One feature that I think would really set this apart is an interactive story tree like writing.com, cyoo, or the undending BE addventure, but with some nextgen features that would make it not only easier to read and navigate, but to encourage writers to contribute.
My idea is that an author can start a story, then give two or more options on what happens next.
From there, others can do several things.
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Comment on that part of the stories chapter.
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Vote for where the story should go next. Votes would be tied to each account.
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Add an entirely new option for where the story might go.
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Award the author with points.
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Write a new chapter in the story. Once a new chapter in the story is written, everyone who voted then gets an alert on their account showing that it's updated. After they've read a chapter, they then have a choice in whether to award the point from their vote to that chapter, or keep it in reserve in the hopes (and to encourage) a new chapter is written from that branch.
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Create rewards. A reader can choose to invest a number of points on a particular option, such as "At least1000 words, where X and Y happens to the character" for 50 points. After someone completes that, either a moderator or a random jury decide how well it fulfills the request, and they get that many points.
In essence, the idea is to create an economy of virtual currency that's primarily generated by users reading and participating in a story, with writers given the potential to quickly score lots of points if they're well received. I know I personally would find it really motivating, and to be honest, a lot of fun. Points are fun. If the site becomes truly successful, you could even have a way to convert points back and forth with actual money, which would lead to an incredible platform for people to commission and even crowdsource smut.