I played Shards of Dalya for a year or so. It is harder than EQ, and aimed to be much more so. So I know what you mean Haldurson.
Just like in Dungeons of Dredmor, when you die in Topia you lose your character's items and advancement. In Dredmor your character can get back to where he was in a few hours. Just because it's easy to get back on your feet does not mean that it's not true permadeath. We use the term 'harsh penalties for death' because like any other game, you can start over and get right back to where you were, given enough time.
So what do you keep when you die? Your home? Any other terrain-like structures you've created? Is it like EverQuest where your items remain on the ground where you died and you can go back and get them? If so, does that remain the case even if you start a 'new' character (i.e. different stats/name/etc, but in the same game world?) If so, can other players in your game world pick up your dead guy's items? Details, man, details!
If I explained every concept in the game on this forum, my forum post would be dozens of pages long. I encourage everyone to visit the website and forum if they have questions. When you die, your items are on the ground for anyone to take. You keep your home and buildings.
*takes off sunglasses in a dramatic manner* "Mother of God!" This looks sweet,and not just taste-wise.
This is what did it for me: Backed! (but I doubt it will reach its goal ) To have a roguelike experience not only as an individual but as a whole community... YES! (I am probably seeing things way to awesome... but... I like being positive )