No it's not. Again, that's Game Mechanics 101. Many, many games have such systems, or a hybrid thereof, including MMOs. Some games call them Achievements, other games make them into Titles your character can sport over their head. Regardless, these things encompass all elements of the game - including ones that certain players may not like. However, if you want to earn the achievement, you do what is necessary to earn it. I am not much of a PvP player myself, but understand if I want to earn the max EGO achievement, then I have to PvP (until such a time that the Episode pursuits accumulate enough bonus EGO to minimize or remove the need for PvP, as Deunan said). It would be just the same as WoW having the "PvP Master" achievement where you need to participate in 1000 PvP matches in order to earn it. I may hate PvP, but if I want that achievement, I do what the game requires in order to earn it. Game Mechanics 101. If WoW had a "Grandmaster" achievement that indicates a player completed all other achievements available in the game (which would include PvP Master), and I wanted that achievement, then I understand that I will have to earn the PvP Master achievement in order to gain the Grandmaster achievement.
Defiance simply makes its "Grandmaster" achievement a number. That number is 5000. Currently, the only way to earn that achievement/number is to complete every aspect of the game. Game mechanics 101. It has nothing to do why you think Defiance bombed. In fact you are the first person I have seen to really put up this kind of snit over the issue. This is an achievement. It is not a indication of character level, but an indication of how close you are to achieving the goal of completing all content in the game.
There is no numerical number that tells us what "Experience Level" our characters are in Defiance. It is not that type of game - surprisingly enough, not all games are created equal. Game Mechanics 101. Being EGO 5000 is not the same as being Level 90 in WoW. They are two completely different things. Our characters increase in power not by leveling like in an RPG, but by leveling the tools we use. If you cannot grasp that fact, then obviously Defiance is not your type of game. It may come as a great shock to some people, but not every game will (nor should) appeal to every player. That also is Game Mechanics 101. There are a great many players of Defiance who are grateful, and enjoy, the system as it is.

