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I own it but I still didn't know. Hehe
you just play dude, there would be pitchforks you woulda already heard about if it were like that lol
Yes, the game world DOES reset each time you exit to menu, but you do NOT lose any progress (completed quest, skill points earned, base building)
(nor does your items drop from death disappear. Far as I know, that never happens. Though I've never NOT gotten my loot back from a death).
(Death is not a big deal, as you never drop your gear you have equipped. Just random backpack loot)
That shroud root you chopped down to earn a skill point, will be back... but you got your skill point and don't have to chop it up again (nor will you get an SP if you do).
Game is very fun solo. I've 115 hours in playing solo. Blast.