Perma-death matters because you'll have to start over as a child again and wait till you're born again. The number of characters in the server is only limited by the pregnant mothers. This game appears to still be very new, and there have been way more sign-ups then expected, that's why there is such a long queue now. I believe ingame time has been sped up right now etc. to increase the birth rate. It's most certainly a very interesting approach, this method, and that's pretty much what has got me curious
