Unfortunately, you named the thumbnail folder wrong, and it's using the 256x256 images for the thumbnails, instead of the much nicer-looking 64x64 images, which you didn't even make for the thumbnails. This means the game will have to size down the images.
You don't really need description.txt or namecheck.txt for decals, they still work irregardless.
In all seriousness, you could have done better if you got some help.