The Refuge of Souls is basically a training area for (suggested) lv40+ players.
In the Refuge of Souls, you will encounter lv45 Giant and Great Octopussys. The average gold drop (without the +extra gold% bonus) is 50. Dying in the Refuge of Souls will give you the normal death penalty (-10% exp, -20% gold). The monsters do respawn and you do get exp.
There are 3 sections in the Refuge of Souls. They are all in a straight line. The exiting Jump Circle is located in the third section.
The enemies are all lv45 for some reason. In hardcore they are lv115. Within the Refuge is Souls, you can save, and enchanting and melting is allowed. In order to access the Refuge of Souls, you must use the Jump Circle located in the Village Library.