What happens when you die ? Is there any sort of penalty ? I think that I didn't lost any XP or items after my last death. Mobs did not respawn, the map I discovered remained discovered...
EXP loss according to the difficulty you're currently playing in.
Character removed from hardcore league. The character and all the items they are carrying are transferred into the parent Standard league.
Items are dropped upon death, making them lootable for anyone. You also lose 30% experience points which are awarded to the killer.
Edit: corrected (source)