This was back in the late 90's or early 00's. It was an MMO that featured birth and death and all sorts of crazy shit. Anyway it turned out it was just some kid claiming to be working on an MMO and making 3d stills of stuff. God I can't remember anything else but I have been hammering my brain about it.
What a scam. There were a ton of people that played Asheron's Call that were looking forward to it.
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I just stumbled across this old preview from 2001. I'm sure there's more info out there including more about the hoax aspects of it but I've already wasted enough energy on this reply. ;-) http://www.rpgplanet.com/features/firstlooks/dawn/
Holy shit, the site is still around and he even still has a Dawn site. Amazing! Apparently this is still coming out despite missing their 2001 open beta deadline by just a little.
Read the FAQ! http://www.glitchless.com/dawnfaq.html
Wow.