I think I also vote for system 2, with the caveat that the game we’re playing may evolve or we might have to be flexible, because unless we really want to atomize all the modifiers and circumstances, there are just going to be ways in which the game mechanics are not going to be compatible with the world building. If I have a Caterpie, and Rayquaza descends from the sky and uses twister, I don’t care that it’s just a 40 power tier 1 move, my bug is getting thrown into the sea. If I throw out a Magnemite against a Diglett, and it uses magnitude, it’s hitting my dumb magnet orb with a quadruple effective move when that stupid thing is floating in the air… [i]how[/i]? I think we’re just gonna have to be a little comfortable evolving the rules, or at least being very conscientious with how we flavor the text when we write out and justify the mechanics of the scene, as necessary for the circumstance. 

I’m also team animal-sounds as opposed to pokemon names for their cries lol.