There could also be characters who are a bit skeptical. Dolores, with her ability to hear everything, might be able to tell if the fanfiction is based on real events or just pure imagination. If it's too far - fetched, she might be less impressed. However, overall, most characters would probably see it as a form of celebration of their story and be at least somewhat entertained by it.
It depends on the character. Some characters like Mirabel, who is open - minded and curious, might enjoy it a great deal. She loves her family and anything that explores their stories in new ways could be appealing to her.
They could be either impressed or disappointed. The well - written fanfiction that respects the lore and adds new depth to the 40k universe would impress them. But those that are full of inaccuracies or go against the core values of the 40k world might disappoint them. For example, if a fanfiction portrays a noble character as a villain without proper reasoning, the character might be offended. On the other hand, if a fanfiction explores a new aspect of their backstory in an intelligent way, they would be quite impressed.
Some characters might be offended. If the fanfiction distorts their personalities too much. For example, if it makes Happy Hogan seem cowardly when he is actually brave in the original story. He might not like this misrepresentation at all. However, others like Nick Fury might just take it in stride and see it as part of the popularity of the Iron Man franchise.
It's possible that the characters would be confused at first. They are used to their own storylines in Smallville, and when they see fanfiction that twists and turns those storylines in unexpected ways, it would take them some time to process. For example, if Oliver Queen saw a fanfic where he was a villain instead of a hero, he would need to wrap his head around this new take on his character.
They could be shocked. Maybe they never expected such wild interpretations of their lives and adventures.
Some characters might be very interested and engaged. They could get drawn into the new stories and ideas presented in the fanfiction.
They may laugh. If the fanfiction contains some humorous scenarios or dialogues that are well - written. For instance, if there are some comical interactions between the dragons and the riders that are different from what's in the movie.
Some characters might laugh at the creative and sometimes out - of - the - box ideas in the fanfiction. For example, if there's a fanfic where a dragon can talk in a very strange accent.
Some characters would be shocked. Imagine Legolas seeing a fanfiction where he has some really strange adventures that are completely different from what he actually experienced. He'd be taken aback at first.
Some characters may laugh out loud. If the fanfiction has humorous elements or comical takes on their world, they'll surely find it funny.