So what it seems like I'm getting here (and please correct me if I'm wrong) is that you are looking for a way to create a much more versatile game with more varied character options available (both narratively and mechanically) without raising PC power level so much that everything becomes a cakewalk.
Now that, I can understand.
I run two games with 7 players each and I give the PC little bennies along the way that reflect the character growth they make as they go. But with that many players and that much power, any attempt at running the game "standardly" is completely useless. I pretty much have to bump up all my opponents to max HP and max damage on attacks to even attempt to threaten them. Yes, it can be a bit annoying, but it is the price I am willing to play to have their characters show growth through the narrative.
So what it looks like is that you want to let PCs have many cool character options right off the bat... but still run the game at 1st level where there is more opportunity to truly threaten the PCs (because hit points are low enough to actually sometimes one-shot them, especially on crits.) If that is the case and I'm understanding you correctly... then I would say go ahead with your instinct:
Start every PC with all abilities up through 3rd level, but only have them have 1st level hit points.
If you do this... the PCs will have the functionality to take on pretty varied and strong monsters, but are also quite fragile all this considered. The chances of someone being knocked out go up greatly, and the chances of being insta-killed go up as well-- the threat is there. But... those issues can get smoothed over in that players can and will have to spend some of their actions in combat either healing or using Medicine to stabilize their compatriots. PCs won't often bleed out... but you'll also reduce the amount of direct damage your monsters receive in the round (and thus allowing twin or even solo monsters to stick around long enough to feel threatening.)
This is something I have indeed considered for a potential follow-up campaign myself (using the Basic Rules plus E5) and thus have thought about the positives and negative for it. In my particular case... I've worked the system in my head such that my thought was characters start with their max hit die + CON modifier at 1st level, and then only gaining CON modifier in hit points every level after 1st. This will greatly reduce the number of HP the PCs have... but if I run the game where they never are going to advance past 5th level, things will never get too out of hand (not when my table has 7 PCs at it and thus plenty of characters around to heal and stabilize each other when they get one-shotted.)
I've not actually run the game this way yet so I can't say how badly my guesstimations on this might be... but it might be something you can try out for a couple quick sessions-- 3rd level character abilities with only 1st level HP-- and see how it goes. The results might surprise you (to your benefit.)
Now that, I can understand.
I run two games with 7 players each and I give the PC little bennies along the way that reflect the character growth they make as they go. But with that many players and that much power, any attempt at running the game "standardly" is completely useless. I pretty much have to bump up all my opponents to max HP and max damage on attacks to even attempt to threaten them. Yes, it can be a bit annoying, but it is the price I am willing to play to have their characters show growth through the narrative.
So what it looks like is that you want to let PCs have many cool character options right off the bat... but still run the game at 1st level where there is more opportunity to truly threaten the PCs (because hit points are low enough to actually sometimes one-shot them, especially on crits.) If that is the case and I'm understanding you correctly... then I would say go ahead with your instinct:
Start every PC with all abilities up through 3rd level, but only have them have 1st level hit points.
If you do this... the PCs will have the functionality to take on pretty varied and strong monsters, but are also quite fragile all this considered. The chances of someone being knocked out go up greatly, and the chances of being insta-killed go up as well-- the threat is there. But... those issues can get smoothed over in that players can and will have to spend some of their actions in combat either healing or using Medicine to stabilize their compatriots. PCs won't often bleed out... but you'll also reduce the amount of direct damage your monsters receive in the round (and thus allowing twin or even solo monsters to stick around long enough to feel threatening.)
This is something I have indeed considered for a potential follow-up campaign myself (using the Basic Rules plus E5) and thus have thought about the positives and negative for it. In my particular case... I've worked the system in my head such that my thought was characters start with their max hit die + CON modifier at 1st level, and then only gaining CON modifier in hit points every level after 1st. This will greatly reduce the number of HP the PCs have... but if I run the game where they never are going to advance past 5th level, things will never get too out of hand (not when my table has 7 PCs at it and thus plenty of characters around to heal and stabilize each other when they get one-shotted.)
I've not actually run the game this way yet so I can't say how badly my guesstimations on this might be... but it might be something you can try out for a couple quick sessions-- 3rd level character abilities with only 1st level HP-- and see how it goes. The results might surprise you (to your benefit.)
