I'm going to skip bugs or incomplete content with this and just focus on existing mechanics that could be improved to enhance player experience.
1.) The most pressing is contrast when modifying the terrain. At night time it's nearly impossible to get any sense of depth perception on the sandy terrain because it all looks identical. If the terrain could be modified to give the terrain more contrast it would go along way towards improving things. Day time it's not great but with shadows it helps some. The main problem is everything looks the same so the edges of the sandy terraforming terrain aren't very pronounced.
2.) Fires need to give off light. Right now they seem to give off the appearance of light with out giving off actual light. I can see the light reflecting on my character but the surrounding area is not being lit up by the fire. If fire could be modified to brightly illuminate the surrounding are it would be great.
3.) Left click vs Right click. Most everything in the game you interact through right click. However your hotbars you do left click. I'd like for the game to remain consistant and do either all left clicks or all right clicks. Switching back and forth feels ackward. (Optimally I think left clicking buttons would be preferable to right clicking which doesn't feel natural.)
4.) Chat feels unresponsive and rather sluggish like it can't keep up with me. (Granted I type about 100 words per minute.) Also when I hit enter some times the chat window doesn't seem to recognize it and I start doing various things in game depending on what keys I press before I realize I'm not in the chat bar. Also there is no way to clear out your chat bar so if you type something out you have to hold down your delete key as it slowly deletes what you wrote. Having escape clear your chat bar would be a nice addition.
The other thing is more chat channels something I read that you're adding and I hope you do. One channel that really needs to be added is a speech range chat channel. With out it the game won't attract RPers like it normally would. Being heard for hundreds of meters when talking to the person next to you really has a negative impact on RP.
Crafting: Having to right click what tools you're going to use for every recipe can be a bit irksome. If you could have it remember what tools you used until you lose the tool or change it would be a very positive change. I'm ok with right clicking my materials but selecting my tools for every attempt is tiresome and makes crafting a real chore and unenjoyable.
Over all quite a bit still needs to be done before its ready for release. However what you do have available is either very well done or moderately well done and if the rest of the game is on par with the current release then I expect this to be a very good game. The game can feel a little click spammy at times and macroing will probably be an issue. However progression is easy enough that I don't think players will feel obligated to macro as a way to advance their characters.
P.S. Periodically it seems like the world loses all animal spawns. Friday night there were no animals any where. Then Saturday there were some animals. Sunday we were inundated with animals and Sunday night there wasn't an animal to be seen. You might be aware of it but I figured it was worth mentioning.
Edit: Buildable structures is badly needed and something that I hope is a priority. Buildable structures will ultimately be a make it or break it for Xsyon and my guild.