Is there a way to make object move faster than 1 tile per step, but not instantly. If you need to know, I need this for projectiles, like arrows and thrown stuff. Right now, when they move 1 tile per step, you can easily dodge it and even run next to it when it flies.
Typically, if you need an object to move more than one tile per tick, you would use pixel movement. I would personally suggest PixelProjectiles in your case.

An alternative solution is to decrease world.tick_lag to something like 0.7, and have the projectiles move every 0.7 ticks.

You should probably slow your players down, too, with at least some movement delay.
Moving two tiles per step looks fine. Though I know you said not instantly, it really does look fine, it doesn't look choppy at all, it looks great.