Blurry/pixelated card images when using file upload

Hi! When going to Edit Theme -> Cards -> Course/Subject -> Card Visual Edit, the image is squeezed in and becomes pixelated (see image above). I expected the card image quality to display the picture below

I also did a bit of experimenting and so far, paste image URL option works (but with some snags)

• Upload Image (squeezes and loses quality) Tried the following and still same result

1. Lowering Resolution

2. Using standard ratios (the original ratio was non-graphic standard, so I tried 16:9 and 4:3 and still does the same squeezing)

3. Saving from different file formats (png, jpeg, gif)

4. I tried to see if the issue is caused by Canva by saving a random test image vs. pasting the URL

So I think I can assume that there is an issue on how the extension handles file uploads. I am also using my own theme for my dashboard

File-handling test/ URL and Image Upload Comparison

Pasting the URL (regarding the snag, if I were to copy the image too quick (before the image loads completely), the image output on the card is pixelated)

File Upload (blurry/pixelated compared to URL link pasting)