Speed is not what is going to get you in trouble...torque is.
I had my '88 Mustang when i was 16. I'm 30 now. I think i've told my parents a few times that i had some close calls with that car and scared the hell out of myself.
It's a short wheel-base care with a lot of power. Come around a curve and give it power and lose traction and the rear comes right around. I've had it happened plenty of times when i was a teen. In the rain, i have done quite a few 360's. Fortunately for me and my car..i never hit it anywhere.
My daily driver has 290HP...more than any *stock* Fox stang, and I would feel 10X more comfortable giving that car to my 16-year old vs a 225HP Fox Mustang. It's not the safety equipment, but the way power is transfered to the ground. The fox mustangs are just tailhappy.
I wouldn't want to rev limit either. You limit to 3000RPM all that does is limit your ability to make power. I would HATE to merge onto a highway in front of an 18-wheeler and find myself banging off an limiter that was set too low. Could me even more dangerous.
I'm sure plenty of people made if fine through there teens in a 5.0....I for one did. But i'm sure they all have their stories they could tell.
My suggestion...let him learn to drive and gain his skills on a different car, then when he's a bit more experienced, give him the fox.