Another more popular, and almost obvious design choice in First Person experiences is to not depict the protagonist's arms in the game.
Definitely; for the arms, IK matching the hands to the shoulder without tracking the players' elbow is a difficult problem. If they're being tracked, rendering the hands (or some representation such as a gun, the actual controller, etc) is something that's quite common in current VR games.
I'm wondering now; are there many VR games that render the character's
body or do most games just do a disembodied camera and maybe hands? Do they limit the angle of rotation as you look down, or can the player look down far enough such that they can see into their own neck? And if they do limit the angle of rotation, how does it feel as a player to try and look at an angle that the game doesn't allow?
Another big limitation (until the Virtuix Omni becomes cheaper) is the fact that walking type movement might cause motion sickness.
I don't feel like there's as much funding from the people with money going into things like the Virtuix Omni as there are going into just the VR headset and tracking for room-sized games. I'm unsure if this will change, but my gut tells me if a developer could were to support something like the Virtuix Omni (on top of already going all in on VR) they can expect their audience to be the intersection of people interested in the game, people with the device in question (which will be fragmented the more headsets there are) AND people who have an Omni. For the time being, I'm going to say that most of the lower end devices are going to have games that focus on either cockpit-style or on rails gameplay rather than a lot of walking...
It is worth noting that the space that people will be playing in may be restrictive. As I'm living in a small apartment, were I to pick up a Vive or PS VR I doubt I'd pick up many games that had me do anything more than standing in place or seated on a stool.