Rumor about character level will be reset if everything ok:Is it true?

[Jennestia]

The producer has stated many times that this will never happen.

Your LS is telling lies.

Not entirely true -- He stated that he would never have a character wipe or do his best to avoid it as much as possible, however if there's severe damage, it's unavoidable but powerleveling people through a F2P game isn't severe damage unless it throws off balance of future content.