Hi,
A feedback here for the difficulty scaling. I think the new scaling is okay, with 1 big exception : going from tier1 to tier2. It's not really a difficulty progress but a difficulty wall, that you probably have to cheese to cross and is probably a nightmare for new players.
To go from tier1 to tier2, you'll need stinkbug, bombardier, and ladybug.
- Bombardier beetles : There doable with tier1 axe, armor and shield, and some upgrades.
- Ladybug : it's an epic boss fight with the tier1 hammer, and the head needed for the axe is rare, so you'll have to kill more than one.
- Stinkbug : They're doable with tier1 but only if you have a gas mask... but you need stinkbug parts to build the mask. I don't know if it's me but the rotten gas mask seems to have disappeared from the hedge lab, even if it's still mentioned into the lab log. It was a story option to fight stinkbugs and go from tier1 to tier2.
You can get some parts by farming spider eggs, for example the ladybug's head. It's a solution, but not really a rewarding one : it's really random and nothing point to it for a new player. I've done this in a playthrough with the hedge eggs, and it was a chore.
My suggestion is to remove the stinkbug's parts from the gas mask components. Make it craftable with only tier1 parts (replace stinkbug parts with algae ?). This way, you can have a crafting/fighting route where you can craft the hammer by killing stinkbugs and bombardier, and then use it to kill the ladybugs for the axe. It'll still be a hard route, but at least one within reasonable reach and a clear path.