Really glad you like it. And yes, it's pixelated because I don't have animations ready and they are not a main focus for me. The main focus is the mini game that overlays the stage. That's where I'm going to put my efforts by extending it and adding more animations.
Also, she covers her breasts because she is shy. Later I'll introduce the option to corrupt the main character and she will get bolder when naked. People will also start reacting to her being naked during dialogues eventually.