One thing that might be interesting would be to simply shift the focus completely away from town vs. mafia and instead make it all mafia vs. mafia. The name of the game is, after all, Capo de Tutti Capi. When I read that, I think of stuff like this:
The meeting of the five families in Godfather I. Perhaps no one at all is town, and every single player is a mafioso. Don't even bother with the 'innocent townie' roles, just make mafia roles of various ranks which people can climb. The general objective to the game is simply to stop the inevitable carnage, either by having one family eliminate all the others, or by there being a peace agreed by all surviving Dons. This can be made difficult by giving some families vendettas against each other (read: mandatory victory conditions to eliminate another family). Other roles can contribute to make peace difficult, perhaps by allowing families to frame other families for kills and such.
In essence, such a situation would almost be a reverse of the original Capo concept. Instead of townies that can go mafia, the mafia can instead go 'town' by working to stop the killing. The question of whether individual families pursue that objective or go for a unilateral victory could be interesting. Provided that there are enough roles that have to kill to win, there should be enough chaos to make strategic choice of peace versus war an interesting one.
Anyway, just a thought.
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