Honor /Inner potential questions

So, the Honor system got revamped and you now can get honor/circulators from bosses rather than just aswan.

Does increasing your honor level do anything now (other than grant free circulators on leveling your honor?), like affect which inner potentials you can get or anything?

Nothing will happen to IAs, I'm sorry
However, getting circ through medal of honor is more effective than trade by coin at least right now, I believe.
At the moment, I have no bonus honor exp from azwan (glitch) so even I get 150 coin per day it's only give you 150/11/3 ~ 4 circ, plus the gold coin (don't remember the name), I can have about 30/3 = 10 circ, plus doing all of that can help you level honor exp up from 1 to 2 or 3 times depends on the level can get about 20-30 circ more. But it'll take a massive amount of time.
In contrast, I easily get about 20-30 medal of honors per 15 min (each medal gave you about 1-10% honor exp), which means you can level 1-2 times with these and have about 15 circ in 15 min.
My char currently at lvl 173, hunting medals at ToT, honor level is around 20.