I would quite the game based on that alone. Especially the running at half speed thing. What in the name of fuck were the game designers thinking. Honestly I'm with the other medium. I think dieing should hurt. MMO's should be a dangerous wide world that you don't carelessly venture out in. If you get killed, though, you should have to face a heavy fine.
Running at half speed though? Are you fucking serious. I would seriously forsake the game for that alone.
Spare yourself.