I like the circles of progress and the points system, sounds good. Some theme ideas.
Summons- This would be where a creature is summoned in the real world to wreak havoc on the summoner or some cases someone the summoner chooses. I think the concept has been worked out perfectly.
Submission- This would be a category where the player is forced to submit to a sexual act or force that submission onto someone else. The acts would be simple in the first ring, maybe a kiss, a touch, fondling, cuddling, forced contact, and progress to more sexual acts as the game progresses.
Apparel- This involves clothing and gear. Having your dress changed into very naughty lingerie or your jeans and shirt into a speedo with a net top would be one idea. It could be simple things as being forced to wear a corset. An apparel punishment might be a chastity belt that only the game or another player has the key to. Minor changes like having dresses get shorter or outfits become swimsuits would be great for the first circle of the early game. Step ups might include vibrators, edible clothing, forced nudity, piercings, tattoos, clothes that stimulate, etc. This segment would include bondage gear such as handcuffs, tying, leather, chaining in positions and such.
Transformation- This would involve physical changes to the body, increasing in severity with each advancing circle of the game.
Mental- This would involve the alteration of memories, knowledge, preferences, habits, speech patterns, lust, and aspects of personality. Also increasing in severity as the game advances. The characters should retain some basic knowledge somewhere of who they were, so they have a chance of reversing the effects if they get the option.
Combo mental/physical Transformations- Late game. Would involve a series of changes that constitute a theme. Such as a full anthro transformation, bimbofication, macho-superstud, mythical creature, or even the somewhat frightening prospect of becoming a genitalia tentacle monster. These might advance a little each turn, with the player having to take actions and spend points to delay or halt the effects. There would have to be a chance of drawing or using a reversal power.
Fantasy- This would allow the player to escape in a setting that would be a fantasy for them. It could actually be a welcome rest from the chaos of the game, like laying on the beach with a good book for the time the player is in the fantasy.
Trial- This would suck the player in the world to face some kind of encounter where a task must be fulfilled to earn points for that turn.
Every category might have a rest card, meaning the player would face no challenge or change but still gain a small amount of points. That would leave some room for luck.
So people will try to move out of the first level, they should remember that not leaving a level does not mean they are safe from more severe effects, as other players who have advanced will get cards that force or encourage them to inflict events and changes on other players.
I think each category should have some group cards instead of having a group category in and of itself.