I’m really sorry you’re in this position. Reading your post, what comes through most clearly is how much you’ve already sacrificed, how much pain you’ve carried for years, and how deeply you’ve tried to be principled, even at enormous personal cost.
Because of that, I'm going to push back on your idea of a "half-in/half-out" marriage or a separation-in-place.
First, despite what you say about being emotionally done, it’s clear you still love her and are holding out some hope that she will finally wake up, take responsibility, and choose you. Staying married keeps you emotionally stuck in that hope. It prevents you from fully grieving the marriage you actually had (not the one you wish you had), and it prevents you from building a life that is truly your own. You can’t restart your life while still tethered to the person who repeatedly destroyed it.
Second, remaining married keeps you legally and financially bound to someone who has demonstrated time and time again that you can't trust her. You’ve already uprooted your life, your career, and your identity multiple times for her. Continuing to intertwine your future with someone who lies, minimizes, rewrites history, and avoids accountability puts you at ongoing risk, whether you emotionally disengage or not. Paper and law don’t care how detached you feel.
Third, this situation does not spare your daughter from trauma. It only changes the shape of it. Children learn what relationships are supposed to look like by watching their parents. A household where love is fractured, trust is absent, intimacy is ambiguous, and boundaries are blurred teaches a child that this is normal adult partnership. Many children raised in "we stayed for you" homes later say they felt the tension and wished their parents had chosen honesty and stability instead of quiet misery. It's also unfair to put the burden of your unwillingness to leave a toxic and unhappy marriage on your child. She may grow up to feel immense guilt (or resentment) for your decision to remain married, despite the fact that it's clearly crushing you.
Fourth, practically speaking, this arrangement will sabotage any chance you have of forming a healthy future relationship. Emotionally healthy, self-respecting women do not want to date a man who is still married and living with his wife, regardless of how "separated" he is in theory. The dating pool you’ll attract in that situation is far more likely to consist of people who are themselves unavailable, avoidant, or chaotic—exactly the opposite of what someone with your history needs.
Fifth, many people have tried this "for the kids" limbo. The outcome is almost always the same: they feel trapped. They are unable to fully invest in their marriage, but also unable to fully move on. Years pass. Resentment quietly grows. Life shrinks instead of expanding. You deserve more than survival mode after everything you’ve already endured.
Sixth, the logistics alone are a minefield. How does dating work in real life? Are you expected to watch your daughter while she sees other men? Will she do the same for you? What happens when jealousy, hypocrisy, or old wounds flare up, as they almost certainly will? This isn’t emotional neutrality; it’s an ongoing slow bleed.
Finally—and this is important—you don’t actually control how long this arrangement lasts. Your wife can decide to divorce you at any time. Right now, she’s staying because the status quo benefits her. But the moment a "better deal" appears, you could be discarded anyway... except with more years lost, more entanglement, and more damage done.
You’ve already rebuilt your life from zero multiple times. At some point, rebuilding has to include choosing a structure that protects you instead of eroding you.
Divorce, in your case, would may be the most honest, protective, and ultimately loving choice for your daughter A peaceful, emotionally present father living a grounded, authentic life is far healthier for a child than a father quietly rotting away inside an intact household.
[This message edited by BluerThanBlue at 9:24 PM, Tuesday, January 13th]