I could be completely wrong so take my words with a grain of salt.
I believe mobs and resources won't be instanced. There will be no mob tagging. Both experience and loot from a spawn will be contestable.
When a mob dies, you get a percentage of the mob's experience based on damage contribution. For example, if the mob has 1000 experience and you dealt damage to 50% of its hp, you get 500 experience. Then that value is divided and distributed evenly to every party member. But there will be bonus multiplier based on party size (1.3x or 1.4x per party member).
Looting rights will also be based on damage contribution but only the party that collectively dealt the most damage gets to loot the mob and keep all the items.
Unlike experience, the amount of loot won't scale with party size. Mobs and resources will drop one instance of loot regardless of party size.
I have no idea how life-skill leveling works. But I wonder if you'll be able to increase your life-skill level together or it'll be mostly a solo grind.
I think it will be good to have temporary exp buff that costs meaningful resource (i.e. a consumable, a skill that has long downtime and costs experience to use). There can be a basic exp potion sold by npc vendors and better version that can be crafted.
I think having temporary buffs in general is a good way to add risk and reward. When you have an active buff, death becomes more risky as it would waste the buff duration (effectively the resource) even if the buff doesn't immediately expire on death. For the buff duration, you're also incentivized to play better, be more active and take more risks (e.g. tank instead of kite, pull more mobs to your AoE/cleave, use more healing potions instead of resting to recover), so you can make the most out of each resource you spend.