If a fan work is already stealing art it might as well do it properly rather than a jumbled mess the current AI generated art is at.
The paper dolls already are specific to characters, although many get generated, the NPCs that have events and stories behind them have parameters and often images specific to them, using the same or very similar characters from anime or games.
Currently, art is not what's lacking, but people capable and willing to write characters, events and populate the world with additional content.