3.0.18 OSD and subtitles get blurry

[zoloip]

Since I updated to the latest VLC version (3.0.18), I get subtitles and OSD text in low quality, as if they were matching the video quality and were not being rendered independently. I don't know if it's a setting I'm missing, but the problem is not present with the older VLC version 3.0.13, without touching any setting. Pics below for example (second one is the correct one I'm trying to get). I'm on MacBook Pro with M1, updated to latest MacOS version. Can somebody please tell me if it's a bug or again, something I'm missing? thanks a lot.