Caught my interest when I saw the words "Monster Hunter". Gonna probably check this out at some point.
It is currently down atm as they're getting ready for the Open Beta on the 13th.
But yeah, based on what limited content they have so far, killing enemies for loot to make better gear is in the system, but not as big of a focus.
The fact that the game animate your movements and your taking a hit reminds me strongly of Monster Hunter. Though, from what I understand, the gameplay changes much more drastically between different characters(classes/weapons).
That it does take advantage of the physics that the Source engine can do is interesting as well. In some cases, it can get rather hilarious when you see a boss break down a pillar and the fall debris stuns him.