Set players on fire with torches and flamethrowers, also fire spreading in wooden base.
Why not? It’s not like torches last forever anyways (less than a full night). It will also give nakeds more things to defend themselves with against players and animals.
Also burning down a wooden building with the structural integrity that is shown in Rust should take a lot of low grade and very high temperatures/extent of flames to entierly burn down. I would definently reccomend increasing the amount of low-grade needed to burn down a full wood structure. It’s just another type of raiding, only it requires low-grade, not sulfur.
A physics engine that would calculate the spread of flames would be pretty cool. Say it would be able to know that a wooden foundation on fire could not spread to another wooden wooden foundation sperated by a stone foundation. This would also help players prioritize their resource spending and placement for structures.