I like the idea that I won't accidentally kill myself when I get attacked, but it does close two strategies.
the first strategy is a way of protecting your gold from those with better items: If I'm getting attacked and I'm close to an upgrade, I might be able to attack a few animals really quickly, get some gold, then upgrade my equipment and die. I won't have anything stolen, as the attacker has better items already, and I won't lose as much gold if I've just upgraded.
The second strategy is a way of protecting your items from those with worse equipment: If I'm being attacked, I can attack a dragon, hoping to get hit. If the dragon kills me, I lose gold, same as I would if I'm killed by a player, but a dragon can't steal items from me.
So, these strategies are no longer valid, but they were fun to think of and use, for the limited time I was able to.
So, although the update did help a lot of people, it did remove a few interesting strategies.