The dead guy got what he deserved. It was partially his fault the whole thing happened. He didn't do it on purpose, but he cluelessly insisted on doing it plus even put the guilty guy in charge of supplies. He paid the highest price, so that's it, but he's in no need of a memorial service.

I agree with David on this thing breaking some dam inside Kirito so that he suddenly pushed forward. Who knows, without this incident their relationship could have remained Asuna making roundabout advances and Kirito half evading, half enjoying it for a long time. Now, I suppose, it struck Kirito that he might never get the chance to get rid of his virtual virgity unless he does it the first chance he gets. Well, actually he wasn't planning that far, being who he is, but maybe his balls already did even if his mind didn't.