I hear the nausea issue is much less pronounced for the Vive.
In Minecraft or in general?
Seems obvious that the principal factor is movement by controller, instead of some analog of walking or some way of detaching your movement from your body like a platform, cockpit or vehicle.
Speed of movement is also an issue and acceleration moreso, your body doesn't move like FPS or Minecraft, when you walk you accelerate a bit before moving, then decelerate before stopping... the instant stops and moves don't accompany the expected G forces that your body expects. There's also the issue of lateral and backwards speed not being equal, but I believe that's secondary.
Why on earth there would be a way to move your view other than moving your head and turning is beyond me, that's more or less guaranteed to cause nausea, like in first-person games that take over the camera all of a sudden.
What's odd is that these things have been pointed out/discovered by Occulus itself, they mostly apply to FPS, but first-person whacker/miners are obviously just as bad. Shouldn't be a surprise for them, and I was kind of impressed that they announced Minecraft as a launch title for the Rift.
It's not that easy an issue to fix, you'd need to overhaul movement, speed and acceleration in the game, which requires you overhaul and rebalance enemies and maybe distances. That'd take creating an alternate version of Minecraft, so not that simple to resolve.
And I agree with DavidC1, I also get dizzy on desktop Minecraft, just try making a spiral staircase to your underground mine/tunnels and going up them fast, with the walls/steps hitting you on the face constantly as you jump. Imagine that on VR...