There could be characters who are offended. If the fanfiction portrays them in a negative or untrue light, like making them seem stupid or cruel when they're not, they would likely be angry or hurt. For instance, if a character who values their loyalty is shown as a traitor in the fanfiction, it would be a big blow to their self - image.
Some might laugh. They could find the humorous takes in the fanfiction really entertaining. Maybe there are some comical interpretations of their actions or dialogues that they themselves didn't expect.
Some characters might be shocked. They may not expect such wild interpretations of their lives and relationships.
Naruto would be thrilled. He loves being the center of attention and seeing all these stories about him would make him feel even more important. He'd probably want to meet the writers and tell them how cool he thinks their ideas are.
Some characters might laugh. They would see the humorous side of how fans have twisted and turned their stories. It could be like seeing a new, comical version of their own lives as depicted in the musical.
They could have a range of reactions. Naruto would likely be excited and eager to see new stories about his world. He loves adventures and would be interested in seeing different takes on his life.
Blair would probably be a mix of shocked and a bit jealous. She has always had a complex relationship with Serena and Nate, and this new development would surely stir up her emotions. Chuck might see it as an opportunity to manipulate the situation for his own gain or use it to taunt Nate. Dan would likely be judgmental at first, but then he might come around and offer some practical advice. Jenny could be either excited or use it as a way to gain more popularity in the Upper East Side drama.
Some characters might be critical. Elsa, being a powerful and responsible character, might not like it if the fanfiction misrepresents her in a way that goes against her values. She might think that the writers should be more respectful of her character arc and not make her do things that are completely out of character just for the sake of a wild story. However, at the same time, she might also appreciate the creativity in some parts.
Some would be intrigued. Captain America, being an open - minded person, might be interested in seeing different interpretations of their team dynamics. He could even gain new insights about his relationships with his fellow Avengers through the fanfiction.
Kakashi would be very observant. He would look for how the fanfiction writers understand the world of Naruto, the values and the moral lessons. He might even use some of the creative ideas from the fanfiction in his own teachings if he thought they were valuable and in line with the spirit of the original story.
They could be shocked. Some of the fanfiction might have really wild ideas that they've never thought of.