I'm with the Batonic team and tried the free browser demo in Chrome on Windows (v0.6.21-aaa, Demo Island, seed 424242). The first goal pointed me to C for crafting, and the initial list clearly showed 4 Wood and 5 Stone, enough for the two starter tools.
I left the character stationary while reading the recipes. I then saw the death/automatic-respawn message while the crafting panel remained open; afterwards it showed 0 Wood and 0 Stone. I didn't catch the cause of death, so this is an onboarding observation rather than a diagnosis of a bug. If danger continues while this menu is open, a prominent hint could help a new player understand the risk before spending time reading it.
I stopped at that point and haven't assessed the wider survival balance or multiplayer.