I realize that isn't the main thrust of your game, but it is the game I've been looking for. I'd certainly see it as a non-mandatory supplement, after you've had time to establish the main game. After all, the game you described here is also serving an underfulfilled niche.
That's still good to hear, and one of the reasons why I set up this wish list. There are a lot of things I want to try with the system once I've got the main game finalized, and xianxia is one of them!