All video is kind of broken in 0.5.3 compared to 0.5.2. Certainly when I use it on the Official RPi touchscreen.
Firstly when you select a video file from say the file manager, you get the menu asking which app to play it with. But this menu is now slanted in strips all down the screen, weirdly.
Screenshot is here 
https://cdn.pbrd.co/images/H2VKUxs.jpg
Then guessing (based on colour of app icon and trial and error) the right area to pick a video program to play a file (Built in Media Player, MX Player, VLC, KODI doesn't matter), the display is just corrupt. Also strangely you can get files to play if the resolution is low enough, not sure what the threshold is but a 640x480 mp4 plays but a 720x576 mp4 doesn't. All very odd compared to 0.5.2.
A 720x576 trying to be played:

https://cdn.pbrd.co/images/H2VLKmk.jpg
Happy to share a test fail video file is you like.