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Not yet, but the monsters give the loot that should be enough to upgrade.

I am working on an update that includes Chest loot, bonfire healing, dead and reborn and new gear as loot.

But I am working on my main task as a computer scientist, so it arrives this summer

Thanks Pordrack! Yes that's how it suppose to work, but will be implemented in the next update. The bonfire will heal you, and work as a break from fighting. Also some attack will heal/lifesteal/repair armor an so on.