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Thanks for asking. The reservation has an expiry date. For this campaign some rewards can be reserved for 5 days, others for up to 7 days. After this period, the reservation would expire and these rewards would become available again for other users.

Is there any kind of penalty if users continue to reserve rewards but do not deliver?

Each time the reservation expires, the reservation period for that user is shortened. For example, the campaign settings allow a 5-day reservation, but if a user has missed 50% of reservations, the reward can only be reserved for 2.5 days.

Users can cancel reservations at any time, and there is no penalty for doing so. Just go to REWARDS / Reserved and click on '...' for more options. There you can select "Release" to cancel that reservation.

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I'm not sure. Campaigns have a certain budget and reservations reduce the number of rewards available to other users. So I would assume that there are some consequences.