Option C is a really interesting idea to use for a roleplay server, especially seeing the avenues this can open in terms of RP situations like cart travel and the sort. This could lead to a “Traveling” server where one could pay a specific amount of mina to travel to another town. Take the time to sprint it, reduce a fourth off that time. That is how long the player would remain inside, barring any sort of technical issues where the value of time needs be rounded up.
I see option C being extremely beneficial not only in reducing lag, but expanding the canvas the server has to work with. In both technical terms and roleplay terms. You have an opportunity to make something special with this if done right.