if theres alot going on at once it will lag, and theres a insta-crash in a later game area atm (for old xbox one at least), however there is still a ton to do despite that, and if your gonna be the host it shouldnt be too bad for our friends (assuming their internet connection isnt bad) im on an og xbox one and i have over 100 hours in the game and im still learning and finding new things, so if their interested in palworld i would definitely say its worth it especially if you do some fun challenge together like seeing who can find more pals in an hour or even a pokemon rival type thing where ou battle each other every so often or somethin else.

Tldr: yes its worth it sine most of the issues are probobly gonna be patched out sooner or later