In fact, we tried to play with Streetwalrus and there was some annoying latency and desync. Both of us were seeing the other one commit suicide for no reason and even if that were not the case, latency would have killed gameplay.

So it can be fun but only if there is a very good connection between both PCs I guess.

The latency was caused by an improperly set buffer size. I think it might also depend on who hosts the game, we didn't try hosting it on your side.
Also I think I know why it desynced. We didn't disable items.

Also DJ, yes distance matters. The further you are, the longer the ping, which is issue prone.