Far more serious, eh? Kids raised in traditional, perfectly functional "normal" families (which doesn't exist, BTW) have problems in society, just the same as kinds raised in classic dysfunctional families (which is the norm). Either they'll figure it out and survive in society, or they won't. If they get tired of being ridiculed or excluded, they'll alter their behavior. Kids (and many adults) go through all kinds of stages, from wanting to be very different and set apart, to being homogenized into the crowd, and everything in between. Eventually, they figure out what works best for them, whether they are raised by Ozzie and Harriet or a couple of wacked-out ideologues from Toronto. It won't matter. They'll either figure it out, or they won't.
When you get right down to it, is what these parents doing really and truly fundamentally different, or far worse, than the parents who indoctrinate their kids with religious fundamentalism, racism, political ideology, or for that matter being raised in white trailer trash squalor in the Appalachians? What about kids raised in the projects? Some kids make it and do OK, some don't. But that's also true for kids raised in the suburbs.
Whether you raise your kid to be a pageant queen, a drama queen, or a drag queen, they're gonna end up doing whatever they want to anyway. Some will figure it out, some won't.