What's the difference between the steam version and the fan translation? Any recommendations on which one I should play?
Steam has a more polished translation, with a more loose translation, while Shadesishere's translation is closer in meaning with some fan edits, but not yet polished as he is waited on the DLC. Steam comes with a worse initial font, but that can be avoided by simply deleting the font file in question. If you choose to use the FFFox Mod or Godly Brother mod, both of them get overwritten, FFFox mod with my translation, and Godly Brother mod with Shadesishere's older translation, so choosing between the fan and steam versions become less relevant.
If you're looking for an example of what I mean by 'looser' translation, or fan edits, there's a ramen shop event where the waitress fits words like 'semen', 'cum', and 'ejaculating' into each of their lines (so 'Welcum!' instead of 'Welcome!'). Kagura went with changing the restaurant to having the server said single word responses as the shop's gimmick instead, while Shadesishere fit in the 'Restaurant to Another World' setting as the place instead.
As for other aspects, the links on this thread both have the uncensored images, and same content. The main difference is strictly the translation and font. As for recommendation, if the translation doesn't matter as much for you, but you want to play the DLC asap, I'd recommend Shadesishere's translation, as he plans to translate the DLC asap once it's out, while Kagura will take longer, but it has been confirmed that the DLC will get an official translation. As this Kagura has been hugely successful, I'd imagine the DLC will be faster than the base game, but there's no guarantee.