My gripe is that you do those quests but there is never any change. Yes, you managed to kill the evil warlock, but nothing changed in the landscape; the place is the same, the dungeon is the same, its just that you get less experience.
Building this in with cutscenes could give a game a unique flavour.
Also, it would work perfect for unlimited PvP- in that way, characters would be close in level and would be able to attack everyone on the field (albeit with the usual limits of 'notoriety'/ only attack members of enemy organizations/ etc.)
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