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Maybe to choose the weapon type along with its appearance and base stats, the first step of the bounty would be to turn in a legendary weapon to the gunsmith and that gun would turn into the exotic but with your choice of abilities through the method you described.
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I'm sorry, I must be having a seizure! Did I read "500 PVP kills with solar damage *without dying*"???!!! Talk about impossible!
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You'd have to have some kind of a "cap" in place for things. For instance, say that you have 5000 glimmer to spend on a gun. A primary costs 2000, a special 3000, and a heavy 4000. Then, adding things like solar/arc/void damage would cost 250. Tracking would be 500. Unlimited ammo 500.