The reason why sparring is not seen as competitive anymore is not that something is wrong with the current system, the system always had been like this. the main reason for spar going down is the increasing amount of treshold country players or massive delayers in general, partially causing a second reason which is that major sparrers retired. On the base of that, no good new sparrers will rise. The essence of spar always has been an 1vs1 against a more or less random player and the preparedness for any possible situation that might occur, being able to read various types of sparrers and eventually adjusting the own spar style. there should rather be something like a solo spar tournament as a pendant to the GST. someone who spars for 3 months actively and gets most points does deserve rank one because consistency too is a value, not only skill.
my point however is that perhaps changes could be made, that can be debated about, but as a base, the lag/delay issue needs to be resolved, otherwise every further plans had no meaning if they were to be realized. delay always decreases the quality of a spar, it never increases it, and from some degree of delay, there cannot be made a clear statement anymore about whether wins/defeats are a result of skill or delay.
as long as players delay so massively, they will not only have an advantage, it also means that the opponents will change their way of sparring since in the end both want the win. the result is a distorted image of what is supposed to be a spar. that is the exact reality right now and the major factor that needs to be fixed. the circumstance that most sparrers seem to have accepted the status quo by saying 'it's just a part of Graal now', 'it's not their fault' and even collaborate with them because of the obvious advantages does not change that.
it all starts with fixing the delay issue, there is no logical argument to disprove that. since I know there will be no delay limit ever, the least sparrers who truly are interested into sparring on the highest quality level can do is to kick and from now on refuse recruiting massive delayers because then, among the legitimate sparrers, there would be fair circumstances and on the base of those, there can be a realistic talk about if and how to improve competition, which in the end is the intention of your thread