Hi there! Thanks for your report, I'd like to clarify a few things.
The update updated our old code/menu, etc. to the one used in our last two and most recent games. So because of this, the main menu looks different from what you're used to and might be confusing at first after logging in the first time, but your progress will not be lost. The host of your game just needs to select "Start new journey" and pick the checkpoint where you left off at. More info in this thread: https://discord.com/channels/443362260602322944/1396779169492373685
With this update, the lower graphics are actually improved (in my opinion your second screenshot looks much sharper/clearer/better textured). The lower graphics now look better than before, but with this new upgraded code the min. requirements have also become stricter. Meaning, while some people might have been lucky and been able to get away with playing below the min. requirements, they now could experience more lag, freezes or graphical issues if they do not meet the minimum requirements. I will include the specs down below, so make sure to check this and keep in mind that integrated graphic cards are not supported: