My post is gonna get political, but let us be honest, the Aurora lore itself is so intensely recently entrenched (going back to at most 2 years ago) with ideas and concepts that are eternally brainworming our political contemporary that it would be very, very naive or otherwise deceptive to imply that the social spaces between the game and real life are separate and not at all related to each other. Many aspects of contemporary real-world politics - such as in the political systems and rhetoric that currently exist, not the stupid culture wars as to who gets to use a bathroom - are very much integrated into the current state of the lore and the game, and both settings share problems, but the game state aims to be an escalation of many of these problems, most especially that being the settings' hyper-advanced version of libertarian capitalism.
I see no real reason to sanitize the lore of fascism, but it should obviously not get to the point where they are the main antagonist. We should be able to have lore antagonists that are evil not because they pose an existential or paranormal threat, but because their evil is banal and selfishly motivated. I think everyone here can fairly agree that on an OOC level that fascism is an incredibly evil and bad political system unlike any other, and that really stupid shit occurs when you just let it into your society. Not much needs to be explained on that point, but the other lesson that keeps needing to be told is that, as a system of government and a political strategy to achieve power in government, it often employs incredibly effective social manipulation tactics in order to con people into working for fascist ideology. The idea didn't die during [insert time period], it's a stubborn movement built on hatred and resentment, which are intense human emotions that are unlikely to go away anytime soon.
The Solarian Alliance is an example of an entity that failed to meaningfully grow in any capacity for far too long, and this stagnation caused national resentment and restlessness in its populace. Frost and his ATLAS fascists took advantage of this by blaming it on the xenos. Lying is easier than other forms of attempting to gain power, and evidently also seems to be incredibly effective because fact-checkers mean nothing to people who aren't the target audience of fact-checkers (i.e., the current sitting political elite whose power is being threatened by the rise of fascism). A majority of fascist support comes not from ontologically evil and homicidal individuals but from selfish enough people who have been fooled with, and sold, the idea that someone else is the cause of their own explicitly personal problems.
As for the specter of fascism that very clearly lingers in Sol lore, you can thank two people for putting it in in the first place (neither of which are still around), and you can thank the "no significant retcons" policy as well. The impact Frost, ATLAS, and the SRF have made has been evident in more than several lore articles and arcs that under the current policy, their past/current existence cannot be undone, and the ghost of a purely genocidal death cult is not going away anytime soon from the lore. They are, unfortunately, too integral to the main story. I do hope however that we stop seeing the constant pornography of misery being pushed in prior arcs that achieved little besides pushing the sentiment that the only thing we are going to see is more wars every financial quarter.
There is a pretty big silver lining to all this, though. Anyone who thinks it not an ill-advised idea to play anything along the lines close to an obvious Solarian fascist is absolutely free to be clowned on. It is free to bully evil characters. It is okay.