This only seperates the more skilled players further from those that are not.
When you break Eggwars down to it's core, there are 2 basic strategies: 1. 'End the game as quickly as possible with the minimal little ammount of resources before others have outgeared you' and 2. 'Gear up and farm as much resources as possible, to outgear those that try to kill you, to eventually take them down without much of a hustle'. Both strategies are fairly balanced in the game's current state. One might think the first one is stronger because it happens more often, which is caused because the second strategy simply takes longer. Both strategies are currently very viable and balanced.
Your suggestion however, (making people drop their loot when they die), only benefits those that utilise the first strategy, they get the benefits from gearing up, without actually having to do so. It'd put the game in an unbalanced state where slowly but surely, no one decides to go for diamonds or center at all, or camps harder than ever because they know they'll only be feeding their opponents once they die.
Plis no.