Your complaint is aimed at a server... yet the root of your complaint is the lack of "penalties" with reguards to character death.
Aside from being a blatent attempt at flame bait, you raise a good point that has been discussed to (excuse the pun) death.
The penalty for character death in MxO is too light. However, few people can come to an agreement on how it should be altered, as many other aspects of the game lead to non-stop character death by the hands of NPCs.
First: This should be on the Vector forums, not General Discussion.
Second: Do not flamebait other players on the forums. Causing disruptions by doing so is against the forums rules.