Harmy said: Also, I wanted to ask, would it be ok to create an x264 MKV with the correct speed (23,97 fps) and PAL resolution
Pupil used to make those, and I've made them myself. They played back fine in two different media players, but there will always be some players that ignore the DAR and display the video incorrectly.
If you do decide to use 1:1 instead, I would squash the video, rather than stretch it. Playback problems are far more likely when you stretch it to 1024 or whatever, in my experience.