Hi. I won't repeat the story of people "getting busy with real life" and so on. (It's funny to think I registered about a decade ago. Hoho, maybe now I should got with Uncle-A).
In fact, there's actually a fairly active community on Discord that was somewhat an outgrowth of LFE. It started as a place where people would discuss about threads on the forums, but in the end people started exclusively posting on there. So in a sense, it has backfired on LFE as a forum.
I find it horrible, not just from a sentimental point of view, but also from a practical one: Any artwork/mods/fan-games/engines/..etc showcased on Discord does not get properly archived. So even if you go there now, you can try scrolling up in the channels, you'd find something cool but sandwiched between lots of hodgepodge. And when you do find something cool, good luck on finding fragments of updates in the chat logs (if there are any).
Here's some stuff:
Freeze-Ex is working on a very cool reskin of Davis.
There's more on that, but I won't link to more in hope he'll decide to show it off here himself.
Luigi600 is working on a graphical character editor.
See video.
MangaD and the HF (Hero Fighter) community seem to have made a lot of progress in modding Hero Fighter. Every now and then, he shares some pretty cool gifs/screenshots; some even featuring LF2 characters modded into HF. I can't seem to find them quickly, but they're somewhere in the logs..
NX (I think) is working on a new LF2 inspired game engine :P. He mentioned it once or twice when I was there, but I don't know the details.
Something has also been mentioned about a new NTSD3 by the original team using the Alkarter modified exe or similar.
Come on folks! #makeforumhipagain
Edit: and of course, last but not least, there's
STM's very impressive efforts in a pretty technical LF2 mod for the competitive crowd called "LF2 rebalance".