I support the idea of turning merits into some sort of currency, as long as it's nothing amazing.
I strongly agree that exp is too easily gained, but I also don't want to "waste" it.
When I finish leveling and meriting everything, it's going to feel kinda bad when I get tons of exp thrown in my face and can't do anything with it.
IMO, revamp the daily tally system and have merits count for that. Maybe even limit the merit > tally ratio per day. I'd like to see daily tally suck a bit less as well but...we'll see. The potential for that system is much higher than it's current.
Turning exp into currency is something tons of other MMOs have been doing. See GW2 for example, where exp is thrown at you no matter what you're doing, and skill points can be spent on legendary weapons and other cool things.
In short though, make exp/merits worth -something- without a limitation. Not something worth grinding for, but something worth throwing merits at when you end up with a ton of them.