I have to agree, not comfortable with the new process. I would rather you have a pay version that works like the old version, no Internet connection, everything local.
I know the thing that worries me is what is going on that I am required to have a login and have a connection made on every machine I install this version on. You stated the keys are backed up on your website. The keys and my computers GUIDs are stored there also. I would rather lose the keys and access to the files. It has happened before when I forgot the key, it will happen again. Better to lose the files than expose more details about my computers.
Hopefully you will be able to make that work. Lost TrueCrypt, hate to lose AxCrypt as an encryption product also.
For now I am rolling back to whatever version I have on my other computer. I also had an issue with it not accepting my email address.
New version looks interesting, but I will pass on it.
Thank you for your time and effort on this software.