Where to start...

Well, it works, that's a start!

Problems:

Chat: Your name in the nick list jumps.
How to replicate: Join a channel with more than one player in it, type something in the active window. Your name will pop to the top of the list and then pop back into place.
Notes: Some players have not experienced this.

Chat: Entering a blank slash command sends garbage.
How to replicate: set exactly one alias, wander around to generate network activity, enter a / in an input box and hit enter. You may need to do this a few times in rapid succession. This will not work if you have zero or more than one alias.

Terrain: A grid shows on distant terrain.

How to replicate: set your view distance so the grid region is visible. 500m or higher should work.


Performance: Hitching in windowed mode
How to replicate: (not sure if anyone else has this problem) Run in windowed mode. The client will pause briefly every second or so. I'm running my desktop at 1280x1204x32 with the window taking up almost all of the space, save for the taskbar, and a height of the taskbar above it.
Notes: My card is an Nvidia 6600gt 128M ram, AGP running on an Athlon64 X2 4200.

Performance: Lower framerate, more framerate variation
How to replicate: n/a
Notes: I'm noticing a much wider variation in framerate overall -- higher peaks, lower troughs. The average framerate appears to be lower too, by about 5-10. I'm used to getting around 20-24fps, getting 12-22 now.


Comments:
Terrain loading looks a lot better. I don't see as much sky poking through the ground when I fly around, which is always a plus.

The object loading, however, is kind of distracting. No wait, it's REALLY distracting. Things pop into view as they enter the load radius, which is less than the view distance. The sudden appearance makes me glance over at the object that just loaded and makes me wonder "Was that there already?".

I suggest factoring in an object's size on the viewport in deciding when to load it. That is, big objects (like trees, *lair entrances*, rocks and buildings) load very far out, when they appear to be small and perhaps, barely noticeable. Small objects, (like resource nodes, fungi, and broken lamp posts) can wait to load until you get closer.

If this is done already, it can use a bit of tweaking. :P

Keep up the good work! It's great seeing some progress!