This seems so simple and I’m sure it is… I just want to create an invisible barrier so that players can’t swim endlessly into the void and also not be able to swim from the spawn island to the main island.
easiest one is a blocking volume
I see your blocking volume, and raise you an elimination volume paired with a Hud message ‘You Drowned’ 
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You have to always find a way to make that work visually though (not just come across as collision glitch).
Maybe… This can get pretty infuriating when too many other games pretty much do the same thing though. 
Part of the creative process is trying to come up with new ways to solve old problems (get the player to smile at least). Got a lot of time for devs who add special anims or whimsical voiceovers at least. Maybe make the player get tired or fed up, but without hitting the almighty adversarial ex-machina: ‘you’re leaving the battle-zone: 5.4.3.2.1 bang’…
Prefer how space games sometimes do it… Where momentum or progress halves with every stroke, so the distance traveled means the player never quite gets there (to any destination). At least this way the player just gets bored and turns back, rather than just implodes. 