I tried chopping trees (all types) with an ax. Using the characters (Wilson, Willow, windy, and Woodie) only woodie was able to chop any trees.
All the other characters became invisible when the approached the tree.
I hosted 4 different servers. with the same issue. some of them with friends joining (they faced the same issue)
Keyboard/controller (same issue)
Controls are on default
Everything works fine, except chopping.
We're really excited to come back to this game, but we can't continue without our wood :\