Honestly, I don't have a huge problem with the blurred look. Better that than jaggy. It could be improved, sure, but I don't think it takes away from the visuals too significantly.
This looks pretty darn good for a direct capture
VS (PC shot)
Fair enough. I think Witcher 3 is one of the most visually overrated games of the last 10 years. I don't think it looks really all that good at all. XV decimates it in my book. W3 has zero sense of scale, horrible grass textures everywhere, inferior lighting, mediocre animation and an overall jerky appearance. It can look decent enough on a beefy PC, I suppose, but the console versions are simply awful.