Hi, as you may have noticed by now, all images inside image elements are served via Cloudfront and processed to be served as highly compressed jpgs.
This is also the case for pngs without transparency, and it isn’t a bug, but rather a design choice to give users the best performance out of the box.
I understand that it may result in visibly poor image quality for small PNGs, but since most cases we encountered to date involved very high resolution retouched photos, this default behavior was quite satisfactory and gave very acceptable quality for all intents and purposes.
We are working on a way to add advanced features like disabling this processing step to the property editor without making it too cluttered ; in the meantime you can bypass this by serving the master image from S3 inside an HTML element as suggested above, or by appending ?ignore_imgix to the image source property inside the image element.
Since this is a hack, you should expect expect worse loading times as you are bypassing our edge caching engine.
Adding an alpha channel to your image can also solve your issue but it may be more time-consuming to do so.
We will make sure to notify when we add these advanced settings to our image elements!