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Edit - Update 0.2.0:
There have definitely been improvements made to the game, and I would like to thank the development team for listening and taking suggestions. Now I'll address my previous concerns in order.
The 2D textures of the arenas have either been improved, or the pulled back camera helps obscure the pixels that could be previously seen. While I don't think that the characters don't quite match up with the angle they take (made most obvious by Shrimpy's death animation), it still looks remarkably better.
As for combat, it plays remarkably smoother, though the combo attack still feels a little stiff. Perhaps trying to include a buffer system would finally smooth this over, but it's not the end of the world. The pulled back camera along with the camera interpolation helps a lot more with navigation, and the dodge can be freely dodged into and no longer locks you out of attacking, so it's much smoother to use. Additionally, because you can now minimally influence what direction you're moving in while attacking, you don't quite feel like you're totally locked out of your inputs. While it's not quite the most visually appealing thing, it definitely feels a lot better to play.
Boosting the range of the secondary attack and giving it the purpose of enhanced elemental capabilities turned out to be a rather smart choice to help differentiate it from the primary attack. Additionally, because you can use different elements between your primary and secondary attack, you have all the more reason to specialize the both of them for different reasons.
Moving onto elemental effects, while they're mostly described for flavor rather than mechanical benefit, what they do is much more obvious now. With the new inclusion of the status build-up bar, you can now see that your elemental attacks are definitely doing something, and the fire element has gotten the most out of this. It's still not entirely clear what lightning and ice do, but they do seem to increase crit and slow enemies respectively.
The team worked to time their attacks much better. While still perhaps a bit too linear to give them that extra oomph, enemy attacks hit pretty much exactly when you'd expect them to, and melee enemies now aim to where they're facing rather than where you're standing, so you can now strafe them properly. Additionally, because of the transparency effect, you can now see them through terrain, so you no longer have to feel like you got arbitrarily sneak-attacked or are hunting for a missing enemy.
H-Scenes (from what is presented in the free version) remain unchanged, but they're already pretty alright for what they are. It wouldn't be a deal breaker if they remained the way they are now, but even just some fade-ins and out between different drawn expressions would help a lot.
Now, let me talk about the camera. This is so improved over the original. With the zoom out alone, it very neatly solves many the problems the game was suffering from: visible pixels on the terrain textures, enemy hunting or being sniped off-screen, and more room for the player's view to not be so crowded and cramped, and it makes the speed seem a lot more manageable. The newly added camera interpolation also makes the dodge seem much less jerky and movement overall smoother. I'd recommend using the mouse for the reference point to move towards rather than the player's movement, but this is already pretty good.
The upgrade system seems okay. Improving numbers isn't really the best kind of system, but it at least turns the game into an actual rogue-lite.
Sadly, I can't really change my rating just yet because content is still pretty barebones, but I do recommend supporting this team because they're definitely out here to make a fun experience.