if this idea were to be considered i would say instead of stat boosts, spell buffs instead may actually make things much more interesting instead. it would be a one-time buff per daytime change and if you logged on after the change and original buffs happened you'd still be buffed that one time if it corresponded to your allegiance choice.
another twist i could come up with which would be more difficult to do would be to have custom monsters spawn for the two parts of the day. once that part of day is done the monsters would disappear and the other set of monsters would appear in the place. i dunno a bit much maybe but just my thoughts.
