People still read fan-fiction? Well, more specifically Harry Potter fan-fiction.
People keep writing it, and some of it continues to be good. Until that stops, people will keep reading. Is not surprising concept.
Hell, I still read Ranma or Sailor Moon fanfiction when something decent pops up, and for whatever reason decent stuff keeps popping up. They've been writing this stuff since before a good chunk of the people on this forum were born, and the train just keeps coming. Is one of the reasons I love fanfiction, yes.
In completely unrelated news... apparently Capcom made D&D into a side-scrolling Beat'em-Up. It's the meeting point between Spikey Haired Swordsmen and Owlbears, and it's Anime as hell.
... just now finding out about this, huh? First released in '96~
Guess the re-release thingy's been stirring up some new attention? You might also be interested in Tower of Doom! Released two years earlier, japanese exclusive. Think it may have been included in the remaking stuffs, dunno. Remember them both being pretty decent as beat 'em ups go.