I really don't want to start another thread with a poll question, so I'll just throw it out here for all to post responses.
Do you want to see the Protagonist in 3rd Person or would you rather have it kept to 1st person for 90% of the time?
I myself like the 3rd person angle better than 1st person. You can see more of your surroundings in 3rd person. I don't think it would detract from the story or game either if it's in 3rd person.
Hmm... I guess both have their merits and demerits and I myself would not favor one of them more than the other. In first person there is the feeling of "self" and the fact that the choices your make are your own makes the vicarious experience of the player deeper. But it also limits his control over the overall direction/flow of the story. Also, a player may not like all the actions that the PC takes or may feel like they are being forced into making decisions/ doing things that they don't want to make/do. This is specially true in case of adult games, for example in case of a NTR scene, some players may want to identify with the active person rather than the passive one. One possible solution could be multiple protagonists experiencing things from their own perspective, but then, the player often has a hard time to fall in character after a switch.
On the other hand third person gives the player the freedom to experience the story like a movie. He can make choices on behalf of any character or control the overall progress as he sees fit. Also, there is no sense of remorse after he makes a dark/gruesome decision. For example, if there is a female protagonist who gets raped because of the choices the player made, he does not need to feel guilt/remorse because he is necessary playing as the hand of fate, and fate can take any turn at any time. A player may feel uncomfortable about both being the rapist or the victim and so, in case of first person, the game would need to exclude the whole scene out to avoid that. Third person has no problem because the player is not directly experiencing that. But then this also makes it hard for the player to identify with any one character. Some players may feel being left out since they are not actively participating in a situation.
I guess there is a reason why most games take the first person approach, whereas most movies take the third person approach. The first person approach works well when the whole plot is centered around the protagonist, it is always about where he goes, what he does. This is favorable for games, because they are almost always about the quest/venture of the main character. On the other hand, the stories of the movies often span over multiple characters, and the viewer has no control over their actions. So, the third person approach works well for most movies.
However, I do feel like there should be more adult games, especially visual novels exploring things from the third person. Most game developers seem to take for granted that first person is the only way to go, because the player needs to actively participate in the sexual encounters. But recently I played "Intimate Relations" by PTOLEMY which pulled off of the third person perspective perfectly. You see things from the point of both the father and the daughter, and knowing that what they are thinking/feeling makes it easier to understand why they are doing what they are doing. Also, the game does not force you into being a perverted old man trying to bang his daughter, or a depraved young girl trying to seduce her father, you can simply chose to be an outside observer if you are uncomfortable with either of that.