I still occasionally use it, but I have Kontakt 2 installed right next to it.
I think with how new Kontakt 2 is that if you plan on releasing your library in the next month or two you should probably do a 1.5.3 version for those that don't upgrade right away. But if you are talking about a release date that's 6 months or more away - then I think you would be safe going with Kontakt 2 only.
I just discovered that K2 has new, different bugs.
They changed the order of importing dynamics.
If you have samples with dynamics named 1, 2, 3... the loudest will be
on the lowest velocity wich means I have to rename my 4.800 Samples.
So, I take both and pick out the working features of each version.
You may want to contact Garth from Chicken Sys before you spend all that time. He has lots of fun little utilities that he makes that takes care of tedious stuff like that. He may be able to help. If not, I could always ask the rest of the beta team if this is the way they meant it to work - maybe someone just inverted something.