The risk/reward system of Tel Var is a great idea for creating a high value currency, however, the current system simply isn't attractive enough for the current playerbase to engage with, partly due to the incentive structure offering significant rewards for simply not engaging with it in the intended way, not carrying any tel var of your own (eliminating your own risk), and instead "ganking" players who are trying to engage with the system.
To this end, I'd propose reworking the way your Tel Var earned from killing players is calculated to incentivize carrying more Tel Var, while simultaneously mitigating the losses for dying to players who aren't engaging with the system.
Currently, you gain (distributed amongst the players who contributed to the kill) half the the Tel Var a player is carrying, which is then affected by your multiplier. This multiplier is, in theory, supposed to provide the incentive for engaging with the system, but it simply isn't doing it's job.
I'd like to propose the following alternative structure (note that this isn't capped at the end of the table, it's just an example)
Earning Formula: MAX(DEFENDER TEL VAR*(ATTACKER TEL VAR/DEFENDER TEL VAR)*0.5, CURRENT LOSS CAP)
In this this table, yellow is the "break even" point with the current system. In the top table, you can see that in cases where you (or the group who made the kill on average) is carrying less tel var than the player who was killed, you would earn less and the person killed would lose less, these cells are shaded red. This provides the disincentive for avoiding the "risk" part of the "risk/reward" mechanic - if you aren't carrying Tel Var, your ability to earn Tel Var is significantly reduced. In the lower table, you can see how this provides protection to players who are engaging with the system (by earning and carrying tel var) from disproportionately high losses to players who aren't engaging - the green cells in the lower table reflect cases where you would loose less than you do currently).
This also provides increased incentives for earning Tel Var and actually engaging in PVP. If you're carrying a large amount of Tel Var, you simply earn more from killing players
regardless of how much Tel Var they actually have on them, while still capping their losses to the current 50% maximum. For example in this new system, if you are carrying 20,000 Tel Var, and you kill a player, you would earn no less than 10,000 Tel Var for that kill. They wouldn't lose any more than they would now, but you would earn more as an incentive for both engaging in PVP and engaging in the Tel Var system
In this alternative system, you would never lose more Tel Var than the current 50% loss cap, however as long as you were carrying more tel var than the person you killed you would
always earn more Tel Var. However, in order to prevent botting/kill farming this enhanced "bonus" amount for killing a player that's above their loss cap would have to have adjustments similar to how players who have died more recently are worth less AP.
This system rework would, I think, significantly improve the incentives for engaging with PVP in Imperial City for both hardcore and casual players.