Please note that I play on Bedrock Edition:
Basic chest items are incredibly broken as you can choose the tank kit and have instant iron armor while everybody else has to work with leather and chain. Also as soon as you find an iron pickaxe in the middle, you have instant access to diamond stuff (Who's idea was it to put diamond blocks in most of the maps????)
Normal chest items are also broken early game as you have a chance of getting fully armored early game with half diamond, or you get only chain leggings and boots. I don't understand how people call this "fair and balanced" when the person actually getting kills gets hardly any good gear, while the person camping at their base has full diamond armor because he was fortunate enough to get an iron pickaxe.
Now let's talk about overpowered. Especially in teams, the starter chest loot is just too good. The insta-mine tools make like 80% of surfaces potentially unsafe to walk on. Everybody has a million golden apples. Everybody having fire-aspect makes the enchantment less special.
So which mode do I like best? Well, ALL OF THEM SUCK. But if I HAD to choose, I would prefer overpowered items. Everybody has roughly the same amount of gear at the beginning, which in that regard is pretty fair. While fights do tend to last longer, I kind of prefer it that way. It is much more challenging to fight for a longer period of time as you gotta keep check on your surroundings and your supplies. I don't understand why people think tossing players into the void is necessarily a bad thing. This is SKYWARS, not survival games. You use the void to your advantage.