As a sometimes phoenix user, I think I'd like phoenix alot more if they increased her health by a large amount, turned dark phoenix into a level 3 super that only lasts say 10 seconds or whatever, and made it so dark phoenix doesn't restore her health at all, but got rid of the health drain too. Maybe weaken the benefit she gets from X-factor a little bit too.
She'd be less intimidating as a super bomb that you're scared to kill, at the same time she'd be more fun for phoenix users cause you wouldn't lose her the moment you made one tiny slip up once.
 
 
Edit: Also, event mode is one of the most horrible implementations of an idea I've ever seen. Whoever was in charge of that should be ashamed :(

I play Phoenix a lot, and I (and pretty much every other Phoenix player) thinks Dark Phoenix with X-Factor is too powerful.

X-factor untouched? I figured they'd get on that quickly... I mean, keep it there, it's fine with the negated chip damage, rapid cancel (whoa, talking Blazblue now) and such, but that damage boost(!) is just ridiculous; it changes x-factor from a tool used to alter the momentum to an instant "get out of trouble quick" panic button.

X-Factor needs to stay, whatever happens. This shit is what makes fighting games fun, the unexpected carnage card that you can play at any time. Both players have it, and you can still play smart and avoid almost all set-ups and wait for it to tick out. Nerfing individual characters (within reason) or scaling their specific X-Factor buffs down is fine, just KEEP X-FACTOR IN THE GAME. I'm preaching to the choir though, Capcom loves it as much as I do.