I created a character and it was a horrible system.
I agree, I can see they tried to do something different but it just doesn't really work does it..
It can -- in principle. What Rockstar should have focused on prior to the launch is strengthening and foolproofing the servers that they currently DO have, whilst attempting to add more in able to accommodate the slew of thousands (millions, even) who will be inundating them over the next week.
Even if it had taken several more weeks to properly launch GTA: Online, it would've made for a smoother experience for all. As it stands, it's quickly becoming a fiasco of inaccessible modes, spawn griefing and latency (once able to sign in by some miracle).