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Video quality is pixelated when uploading through a video block.

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I'm trying to add a short video (no more than 7MB file) and the file itself looks good, but when importing to squarespace, the transition appears pixelated and low resolution. It's not a big file. Am I doing something wrong or does squarespace automatically compress video, is there a way to stop this happening? I have attached the good and correct version and have linked to the site URL where it appears.

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