As you click around, you'll notice how your character slides a little as he runs, it takes some time to get used to using this ability usefully.
Leveling is very slow, and won't really make a difference within the game. Your character will gain slight stat bonuses such as damage, maximum health and mana and speed increases. Your equipment will enhance your damage, and your speed can also be given a boost; thus health and mana will be most noticeable.
For information on specific equipment, see Nox/Equipment.
Equipment changes your character aesthetically (during gameplay and in the inventory window character viewer) and statistically. Additional to normal bonuses (i.e. armor or damage), some items have special abilities such as wands, and enchanted items that give positive enhancements or "buffs." For example one of the first buffs you encounter is the lesser heal buff, what this does is increases your health's regeneration rate and is noted by a small square icon in the upper left of the screen. If you place your cursor over it, the tooltip will say "Lesser Heal." Note that this buff uses the same icon as the spell Lesser Heal.