This is a ridiculous mechanics because getting 1 or 2 minutes lag is enough to cause death and break crystals.

Because people make money off of crystals and if they didn't break they would eventually just sit dead on the market 

because death will become pointless if the consequence is just teleport 10 meters away

personaly i dont care if death become pointless just mean for me i can jump the cliff for fun

U still can jump the cliff for fun because crystals break only in PVE death, when monsters kill u.

U still can jump the cliff for fun because crystals break only in PVE death, when monsters kill u.

Also if you are red, die then crystals break as well

This was a valid reason when crystals were 30k silver, which even back then was 5-10 minutes of grinding if you broke ALL of your crystals.  The problem is now you can break billions in crystals and break crystals that can not be replaced if they do break, and also break crystals that take weeks if not months to farm up.

Crystal breakage was stupid when it was cheap to replace, it's even more stupid when it can destroy multiple hours of progress.  

Red downgrade and crystal breakage along with lighstone breakage is also beyond stupid.  Xp Penalty, or a stat penalty that lasts time, even content locking makes sense, but the ability to lose 100+ billion silver in a single death while red is game quitting levels.

Considering the reason someone went red could be defending there spot from someone karma bombing/griefing there rotation and they getting gangked by there guild. I do feel you man but it happens