It saddens me to read about where you are at, probably because your situation had much more potential and at the time you were ready to move out your W seemed to realise some things. Unfortunately she has returned inwards and isn't in a place to want to let alone work towards a better M.
Did you make the right decision when you decided not to leave. Some may argue that it is allowing this situation to continue. But I'd like to look at it another way.
You can see she isn't right (as in ok not being right or wrong). She's not herself and she's definitely not happy. In your situation there is no wondering about that. Once separated, the unknown makes us wonder and the LBS usually assumes things are going well for the WAS because they now have what they wanted. Still at home or separated she still has to go through her crisis.
Your aim was/is to save your M. Being still "together" is closer to that objective than being separated. Whereas separation in some cases can help the WAS see their priorities change and they realise the true value of what they are leaving, in many cases it's an extra barrier to getting back to happiness together.
Living as ye are sure isn't fun and can be extremely difficult because you see constantly the differences between how you'd like to interact and the reality. That isn't easy to live with. I would also add it is no way to live indefinitely. Until the day you decide you prefer to stop living that way, your focus needs to be on how you are going to live in cohabitation. I'll expand on that in the next paragraph. Beforehand know that you are living that way because of a choice you made. This isn't a critic but know that is a choice you can change too. There is no pressure to decide today but know you have that power.
Now back to the how. How are you living? Are you living or surviving? It's important to take care if yourself. First advice that I would give you is to avoid focusing on the negative. By that I really mean on what is missing from your R. That leads on to the huge topic of expectations and intentions and the difference with reality. But that's a topic you surely know by now!! By focusing on what isn't there you don't see what is there.
You do seem to have accepted your situation as being as it is. That's good, but I suspect a part of you hasn't fully accepted it, which brings me back to my previous point.
It's good you have friends that you can turn too when down. That's great. Don't bottle things up BUT I would also avoid constantly pouring out about how bad things are. It's related to the point about what you focus on. I remember a story about a W who constantly bad mouthed her H to everyone around her. When she realized that this wasn't good or helpful she decided to stop. But her mother and others would refer to H as she had done previously and when she tried to state positive stuff about him there was resistance because they had been conditioned to thinking of him negatively. But more importantly the Person talking is also influencing their own brain.
It's great you have a strong dad role. I hear you in that it's probably not a fair sharing of parenting, but you are building a huge base for a great relationship with your kids going forward. That is priceless. Look at Irish and his R with his girls.
So what are you doing for fun. Every day do something you enjoy.
Get back to striving
As for the OM question from another poster, I think it's irrelevant in your case. Even if there is someone which I have a doubt, she isn't well. This isn't to excuse anything and everything. You need to know and respect your boundaries. Know how you would react if it occurred and then don't focus on it. Focus o you.
You have your evenings free or at least W free. Use them. Watch series you like, do hobbies, work out..... the list is endless.
Gotta go.
Best wishes ROIST
R 25 years M 14 years S11 & S13 Working on it alone since Oct 2014 M in trouble a lot earlier (~2 years) Feb 2016. 1st R chat in a yr. Next R chat Aug'17 Still together