Hmm... I could see a GTA MMO game working out really well actually
They have criminal factions, representing the different ethnic groups. (Mafia, Yakuza, bikers, etc)
Then in each criminal faction, you'd have different clans/guilds. Each guild would have something like a point rating, which would give them additional benefits... like having access to higher 'tech' stuff... government officials, bank managers, the local fuzz in your pocket, etc.
The clans could challenge each other occasionally... but normally, they'd have to be quite busy dealing with other criminal factions.
Instead of leveling off normal mobs, players would level and gain exp off other players.
They could hire NPC thugs... hire rate as well as a deposit per thug. Higher gang ratings would attract better level thugs and even unique thugs. Hell, players can even take the roll of a hired thug and play as a wanderer.
At the beginning, they'd start off with petty crimes... stealing stuff from store keepers, burglary, etc. Then move up, bank raids, extortion, drug dealing, weapons distribution... each level attracting higher and more difficult attention.
Or they could choose to play as law enforcement. Which would respond to NPC calls for help. Instead of a system of play similar to the thugs, they'd have their own system of leveling and item acquisition.
And then there could be vehicles and stuff that you can do up. Cars in this game would be alot more difficult to steal; if you try to jack a vehicle, there's a much higher chance of the driver driving away, of another onlooker coming to their aid (crushing and jostling you). Stealing vehicles from lots would require a good amount of time to open as well hot wire. Some cars would simply be impossible due to immobilizer. Some cars would have alarms that attract the attention of closeby security guards. Then some of the cars could have a high chance of breaking down.
And after all that trouble, you couldn't do a lot with a stolen car... drive them around, but attract law enforcement. fencing them would be difficult and would need a system in and of themselves.
In addition, overall car protection in the city will react to the number of cars stolen. If cars get stolen heaps, then citizens will install immobilizers, making it all but impossible to steal cars. After a while, the 'threat level' can go down.
The threat level idea can also apply to homes (for burglary) and businesses and banks, etc.
This would be the greatest game ever if done right