Option 1 is initially better to get to grips with the basic gameplay and weed out the bugs inherent in the code. Transferring save files between versions in not something I care about inbetween any releases to be honest - after all you can just keep the old version installed and start new games on the new version.
Once the game becomes more full-fledged and it's possible to complete without serious bugs then releases should be rarer, with more dramatic and important changes, so that people don't feel the need to keep restarting characters in an ever-changing world.