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I think I figured it out. Saturn says:
>"So, it's you... I've heard about you and what took place at the Spear Pillar. Our leader, Master Cyrus, hated the very idea of spirit. He hated spirit for being incomplete. And yet, using fiery exhortations, he rallied the spirit of others. What he hated most, he used to control others. Isn't that ironic? That fascinated me. I wanted to see what he would do. And I did. At his side. But it's over. A world without spirit... Who would want such a thing?!"
I think "spirit" is hope. Hope causes strife because people who hope for conflicting things to happen clash with each other, and the human spirit is incomplete because something that is hoped for can't be had. When Cyrus manipulates the grunts with the hope of a perfect world, he plays on the problems in their lives that he doesn't give a shit about solving. But ultimately, his downfall is his own hope for the perfect world, which leads him to be thwarted by us. In the Rainbow Rocket scenario, this still works, because "hopeless" Cyrus would only care about erasing hope in the world he entered. He would interact the same way regardless of whether or not he erased hope in his perfect world.