Quote Originally Posted by Shaone View Post
I think you are may be experiencing the problem I have when I don't use proxy, which is packet loss rather than actual ping delay (I also have a general ping of <100ms). So you might get the packet that tells you another player took out their pickaxe, but the packet before containing their movement to the node got lost, and then retransmitted afterwards. My ISP got me to run Wireshark and this showed a huge number of retransmissions, so it is possible to determine if this is the problem you are having.
Their protocol runs over TCP. There is no re-transmitted afterwards. You won't get that packet for player 2 taking out their pickax until you get the packet containing the movement that was sent before it. That is how TCP works, guaranteed ordered delivery of packets. And, that is one of the major issues with people getting rubberbanding. Any small amount of packet loss on their line (pretty normal for the internet) will cause huge spikes.

The 300ms built in delay is just on top of that.