You’re using a Widget Component in World Mode for this, correct?
Yes that is correct.
The resolution of the source image is currently 209 x 209 pixels. I exported it out of illustrator. Strange thing is; I also exported it as 1024 x 1024 and it got worse somehow. Then reverted to back to 209 x 209. But when I’m opening the widget editor it looks perfectly fine, same for the text. No weird edges.
Yea your guess about the size is probably close. I’m using a 1080p screen.