Fighting is now implemented. Unsurprisingly this also means that the players and monsters can now die.
Simple loot is also implemented so if someone dies (player at this point as npcs don’t yet pick up items or use them), his items will be dropped to the location where he died. This also happens if someone disconnects from the game by for example closing the browser window (for server dying and disconnecting are at this point the same thing).
Monster stats (including monster speed) are not done yet so every monster is the same although they look different. There is lot of balancing that needs to be done for all the stats and item list is quite limited at this point.
But I think for the first time I had quite a fun few games myself testing the loot hunting, fighting a few unwinnable fights, dying and hunting down my old characters stuff with new character. If you want to try the same, feel free to test the alpha version at tales.gamedev.org