Hi, MarkBorok
First of all ... please excuse my English, i'm no native speaker. So if something sounds rude or inpolite ... i absolutely do not mean it!
I don't agree with you! << ... Moho should stick wit cut-out animation ... i think it would be great if Lost Marble made another program ...>>
Moho does not only stick with cut-out animation!!!! It also sticks with flash-animation, with 3d animation, etc...

there IS software that does particles VERY well, maybe better,
there IS software that let's you set Blur and things like that VERY well,
software that does 3d ... enough said ....
... but here you have it all in one package!!!!! ... designed for flash authoring ... you get an all-in-one solution. Isn't that what a lot of people are searching for!?
Well, i am!!!! I'm tired of having to use 10 applications in order to fullfill some tasks that could be done in one application ... in that way the people at Lost Marble do pioneering work! ... they bring these tools together.
Besides that: Why should not cut-animation profit from frame-by-frame animation and vice versa? Wouldn't that be cool?! Why shouldn't 3d-concepts (rigging, bones, etc.) profit from frame-by-frame animation and VICE VERSA (Moho is the first program I know of that combined rigging with 2d animation, the first 2d application to combine real 3d with 2d ... VERY COOL FEATURES)
Interface-issues are very important and I have to agree that the interface might get cluttered ... hey, let's clutter it!!!!! It will evolve.
I guess that here it's up to us users to tell the developers why this or that is confusing and so on ... most powerful applications suffer from "bad usability", even if the interface was designed very carefully ... i guess there are many factors regarding usability ...
Therefore: PLEASE developers at Lost Marble include a style-sheet and keep your eye on frame-by-frame animation!!
Keep on your incredibly good word!!! (i'm a developer and know that it's all about very hard work)
... there are some applications that can do that very well (Toonboom Studio, The Tab, Swish, Swift, etc) but Moho 5 set a milestone ... also because of it's scripting features ... close to perfect ...
Thank you, VERY GOOD JOB!!!!!!!!!!!!!!!!!!!!
Stalti