1.) Yes, you can die, though fatal choices should be made clear by the narrative.
For example, you stumble upon a goblin camp containing 50 of the bastards. You're Level 1, but decide to storm the camp anyway. Unless you then decide your actions were foolhardy and somehow dash away, you're getting slaughtered.
If you do die, there are options:
- You can create a new character, starting with the XP/level your deceased character had, and then continue your adventure. However, this character won't start exactly where you died, and won't have any gear you've accumulated. You also can't meta-game...that is, use the knowledge you already have to help your character. Example: your first character learned that Fake Niceguy was actually evil, so you have your second character immediately try to kill him, even though this new character has just met him. I know it's difficult to compartmentalize every single thing you'd know, but please give it a shot.
- You can start over at Level 1, though I don't know why you would. Perhaps you want to retrace your dead character's steps?
I'm open to other suggestions.
2.) You usually gain XP from fighting. However, it can be tricky to determine XP rewards if you accomplish tasks without resorting to violence. I'm sure there are guides out there that explain how to do this, but I'm not familiar with them.
The other option D&D mentions is milestone leveling. You level up when you hit certain milestones. For example:
- You level up when you accomplish a major goal.
- You level up after X encounters/issues that you've dealt with
- I'll level you up when it feels appropriate. This could be when you accomplish a major goal, or it could be after you've accomplished several minor ones. Perhaps you had some setbacks, but you'd done enough so a level up seems appropriate.
I planned to simply use XP rewards (you fight stuff, you get XP), but now that I think more about it, I think milestone is the way to go. It'll be simpler (no XP numbers to add after every fight), but it would, at least somewhat, be up to my discretion.
Your thoughts?