Word. It's a brilliant idea.

As for being worried about PCs gaining levels too rapidly, don't give out too much treasure. This is one of the blessings of IH. By removing the magic item-driven economy, PCs don't need much cash. 50 gp is a lot of dosh to an IH PC, regardless of level. And you can end up hoarding gps for several levels just to get enough to buy that suit of plate armour you've been dreaming of.