By my estimation you just "made" 12 FSPs (which I sincerely doubt you left on your person to be taken back should the affronted party decide to retaliate).
Not too bad to me! To earn that in buff sales would take me 1200 stam or so. To earn it in hunting would likely take more.
Soooo, back to the point, if you increase theft rates the market will go higher. People will "dump" their gold at ever-increasing amounts in order to find a buyer with FSPs.
If you want more PvP, you need to swing levelers to your side. The bounty board is clearly no doing that. If you want more gold from thefts, removing PvP protection will simply inflate the market and likely drive even more players from the game. At the least you'll drive more people to PvP protection and then here we are again....
12 fsp from selling buffs, 12 buffs x 30 stam ( approximately) each = 360 stam. Not sure where you are getting the 1200 stam from? You sell buffs cheaper then stam cost, that's your choice
Speaking from experience, with the low thievery rates, most times hitting for gold isn't lucrative, ( especially in the upper echelons of the game) since the risk - reward isn't worth it. A player can sit and make a nice profit selling buffs risk free.
The board works, IF it is used. Players don't use it, that's the issue.( see evilbry's thread) The mechanics of the board work fine.
As for removing protection driving players away from the game, how do you know that for certain? Because players will stomp and cry bloody murder? Read the forums, it happens on almost every update that hcs releases. Negativity and threats of exodus if players don;t get their own way.