Pvp only. It's honestly kind of crappy that they can just continually throw one shotting projectiles and never take damage from it at a close range. Also a reduction of damage when you're only in splash radius. It shouldn't kill you if a tiny ember hit you from far away.
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I think all abilities need to be looked at and have damage reduction when they are at a further distance. The same thing can be said about a warlock melee. If the tip of the melee hits me then I should not take the full force damage it doesn't make sense.