I can't say I've ever played Craftopia, but after hearing about this I went to the steam page to see for myself. They have released consistent large updates in the last 6 months and even since the launch of Palworld.

Most of the reviews from people who've played it mention it's getting review bombed because of this mis-information and is actually quite good.

Seems to me if they can pull off making two games with multiple teams both which continue to have development, I say more power to them. I'm enjoying Palworld and will at some point check out Craftopia now because of it.