The idea itself is not bad, but I think there is a better solution than creating a second server and further dividing the Arcade server, which is already not very populated to begin with:
- Add an in game option that allows players to enable or disable collisions
This way, if you want to have fun with your friends with collisions enabled, you can do so
And if a player wants to play on their own without collisions, they can as well
Of course, this option would only be available on Arcade servers