As you can see, the monsters are hitting me but upon death the server and client suddenly synchronize and I literally get teleported to different coords and it's as if I had been there all the time.
It is as if I'm in a different spot serverside, however, this can't be true since I made the console output the X and Y coordinates whenever I moved and they always matched but when using a skill such as fastblade it's get really obvious that server and client side positions don't match. Another example is that when you log in 2 characters and move, on the other client the client will stay in the same place until you teleport away or logout.
I used the Project Manifest source and am currently on patch 5017, just to be clear; I didn't even touch the range system.






