The ratio of input to output resolution with this panel is 2.5. While this does not allow flawless scaling the resulting pattern is very regular: 1 original px is mapped to 2, then to 3px, then to 2 and so on. I come from a gpicase with a 320x240 panel where this pattern is totally irregular because of the ratio 1.875.
Yes, you can still see it, mainly in some lines of text, but barely. And I prefer the sharpness of this approach to the blurriness of bilinear filtering.
There is a best of both worlds though, you do an integer upscale, then a bilinear downscale. E.g. I set my pi0s internal resolution to 1024x768. If you have high enough dpi like we have in todays smartphones the issue tends to go away.