That doesn't look like a problem with the example project. The circle sprite is stretched and has no anti-aliasing pixels so it will look jagged. Look around the scene and see if there are any of the HD sprites looking incorrect.
The problem you originally posted might also just be because you are rotating a low resolution sprite with no anti-aliasing.
In the example project, if you place something like the military crate objects that cast shadow and rotate it to some random angle, does it also have the same issue?