Perhaps leave the Level 1 drops the same, but for the most part, the bits you get from combat should be seriously nerfed.
Even with most quests completed, it is way too easy to have each full set of armor, except bronze, way before you can even wear them. And a level 50 character has so many bits, they are practically worthless.
With the introduction of bit trading and banks, I find it relevant to voice my opinion on this matter finally. Before, it wasn't that big of an issue, since there were more pressing problems.
But when the bit reward of a quest, even when it is multiple hundreds of bits, makes you go "meh, I could get the same from a single enemy," you know it's unbalanced.
The nerf should be a 50-75% decrease, too. That's the only way that bits would start to matter to players anymore. They would have to work for things - all things, not just the armor.
And to make combat more fun, and give reasons for people to like grinding, I would suggest adding some more cosmetics that people like, only accessible through an uncommon or rare drop. Kinda like the Enchanted Ice Skates, except a bit less rare.
Speaking of rare, there should not be a difference in rarity between the Sunlight and Moonlight armor, unless you want to give one of them better stats or something. Either add them to the drops of the Pegasus Golems, or add a new mob specifically for the armor set. Dragons either don't spawn in a group, or the group they spawn in has a level 65 dragon that is practically unkillable without about 5 other ponies working together. And the armor doesn't even drop that much with them, either.
I guess my main point is, other than some weird things with the armor, while the combat system is really shaping up, the game is easy in areas that would make it boring. In the same ways cheat codes can make a game boring by giving you no challenges. Too much money is actually a more soul-crushing problem than too little.
And then we can make the grinding (the worst part of the combat right now) more fun by adding the chance of getting cool stuff not buyable with money.
Oh, and as an aside, the sell rate should be 50% at the least. Twenty percent is what games with microtransactions use to get you to buy more in-game currency or overpriced items, and I know you aren't about that.
Or maybe you did it to help the inflation problem, but it didn't do much other than make dropped items from early-game enemies worthless. Seriously, rubies sell for one bit each? Maybe two or three, once the rest of the inflation problem is fixed.
I know this is a bit late but, I'm pretty sure the devs would prefer suggestions of the game on phabricator instead of on the forums.
o i dont mean to be mean to egosoft at all infact i absolotly love them for there great games, thus me going threw so much to make them work _
as an update as well, for sure the program navida experince is one of the many programs messing with the game. as i had it minimzie again and noticed it somehow turned its self back on my guess is its turning its self on when i relaunch the game. so i will see if i can uninstall it in its entierty. _
Actually it's good to have all of those bits now, because if you want to put on a fireworks show with the new ones, it'll run you around 100,000 bits to have a good one (us Wind Riders feel the pain of this when it comes to making airshows XD).
The current bit drop situation doesn't bother me. After the first 500,000 bits, it became a challenge to see just how many bits I can collect. I have nearly 13 million bits now and I'm still cashing in sun and moon armor to build on that. I've spent bits on fireworks and on rubies (to level up in armor & harmony smithing), but it would be interesting to be able purchase really expensive items. Like an apple dryad companion. Did I mention that some of the MOB's would make cool pets? Or how about boots that leave a trail of flowers? Million bit boots.