From now on, tools are even more specialized by their purpose of use. Wrong use of a tool leads to quicker degradation. The material of tools now plays a bigger role, for example, wooden or stone tools have lower durability than iron tools. That is why we are adding the stone axe to the game. It has a universal use for the early stage of the game, but has low durability. A new kind of item, wooden sticks, will serve as a basic source of wood. These will be also used in the early stages of game. These are first iterations of these features so please leave us your feedback.
https://www.youtube.com/watch?v=KxRITXyJHGw
Full list of new features and fixes: http://forums.keenswh.com/threads/7382972