Of of my sister's friends died and they had a version2 so all there items disappeared and there points went back to 0.
But both of mine [v1 and v2] have never died although it nearly did once because I left it in my mum's car and she doesn't come back from work until 6:00pm so from 8:00am to 6:00pm I couldn't feed it or anything and I was nearly going to cry because I thought it woulod be dead after 9 generations but it was alive thankfully!