Need help with sprites not displaying properly

So i’m making a game and i have an issue with my sprites. The sprite for some reason shades itself.
It looks like this:

when it’s supposed to look like this:

Why does it make my axe blood red? Also it may be that i clicked something wrong in the project settings while all i did was make the textures nearest

Disable vram compression in import settings.

I can’t really find it, there’s like multiple import tabs and none of them say vram compression. i even tried turning on english language in the settings in case the translation was not what i expected.

Set this to lossless

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thank you! it works perfectly