The "1/2 rate" and "1/3 rate" modes will try to lock the game frame rate to the respective frequency, so for instance if you're using a Quest 2 set to refresh at 90 Hz (the recommended rate for my mods), which means 180 fps when running at full rate and drawing both eyes each frame, the "1/2 rate" will cap the game at 90 fps or 180/2, while "1/3 rate" will cap the game at 60 fps or 180/3. To make another example, if you have a Valve Index set to 120 Hz, the caps will be at 240/2=120 fps and 240/3=80 fps respectively (always remember that the starting rate is double the frequency of the headset, because the headset needs both eye views refreshed on each tick).
It is important to avoid stuttering or missed frames that no other external limiters are competing to also tell the game how fast it should render, so as always with my mods you should keep V-Sync off and not use any third-party limiters like RivaTuner. The internal fps limiter of the game is fine as long as it's set to a frequency above or equal the one you're targeting, so for FF7R it's all good because its frame limiter defaults to 120 Hz.
(Side note: a few people asked how to remove this limitation for FF7R. Don't do that. The game can't render faster than that anyway, especially at VR resolutions, and I observed that if you remove the 120 fps cap something in the driver or the game itself panics and hard-limits the game to 60 fps synced to the monitor, which is way worse than where you started from).
The "1/2" and "1/3" fractions are also important to keep in mind because they represent how many of the frames sent to the headset are actually rendered by the game, as opposed to those which are being synthesized (interpolated) by my new implementation. So, with 1/3 rate, each eye will get one frame rendered by the actual game engine camera, then two frames interpolated by my tech, and then again one frame rendered and so on.
So, which one should you choose? "1/2 rate", normally meaning 90 fps, or "1/3 rate" for 60 fps? The answer is yours to give, in the sense that it depends on the power of your system and on what balance you prefer to strike in the triangle clarity/fluidity/latency.
If you need your game to be super-responsive, and your system does not have lots of GPU power under the hood, then choose 1/2 rate and lower the resolution, or the game graphics options, until the mod reports a stable 90 fps. If you prefer nicer eye candy and don't mind a few more milliseconds of latency, choose "1/3 rate" and you will have a lot more headroom to move your graphics knobs. And of course, if you are the lucky owner of an RTX 4090, choose "1/2 rate" with all the bells and whistles and enjoy your perfectly smooth and insanely detailed VR
The new paradigm ("give your GPU some breathing room") and what to expect
When the tech is functioning properly, basically every frame rate (90 fps with "1/2 rate", 60 fps with "1/3 rate", and further upcoming modes that will have even stronger interpolation capabilities) will look and feel as you were playing a native VR game, i.e., there will be no ghosting and no juddery motion whatsoever, because the headset will always be fed a steady 180 fps stream of images. That magic will last as long as you're hitting the stipulated target, and that can only occur reliably if you have some GPU headroom left