Yes, not needed with the 123 distributor...Cracks in the ceramic material are usually a result of the heat. The ballast resistor will usually still function despite the cracks as long as the coil is still intact. However when cracked, the coil is exposed to moisture and may rust causing it to eventually break and fail.
When I upgraded to the Pertronix system, one does not need the ballast resistor in that either. HOWEVER, rather than remove it, I use one end of the resistor as a tie-point for various wires in the ignition circuit.
Also, I had cracked resistors...I was able to purchase new ones (Beru brand) from a number of sources online, all very reasonable in price. (I believe my system initially had two different resistors unless my memory fails me). Also as I recall, the resistor coil was exposed from the back leaving the coil somewhat exposed anyway. It is quite possible that after decades of use, the potting material may have fallen out...