Currently game is very frustrating (like most games like this, including my own The Missile), but I'd like to have some resistance for the ship so it won't get so easily destroyed.
Nothing big, just so it will be able to withstand 3 or so hits. This would change this game from frustratingly hard, to hard but fun.
It's quite central to the game that you crash in just one hit. If you have some kind of velocity based damage system, it will most likely just lead to edge-case exploits to get the very best time, which are very hard to understand, see and use.
Instantly exploding on touch is much more tangible :)
However, we will have another rocket, that's much more newbie-friendly, called Rooket. It's not as fast, and has aerial drag, to make it a bit easier to control in the air, which means less responsibility to cancel out velocity at all times. It will still explode on touch though, but it doesn't have as large wings.