Re: Avatar no more displayed / Can not be uplodaed
That you cannot upload points more to an issue with server permissions than BP; even with folder permissions set to 777 the right group permissions need to be in place for the server to be allowed to move files around.
Are you sure no other changes were made to the server? nothing like PHP safe mode turned on, are you on a shared host or do you control the server yourself? What have you tried if anything to rectify the issue? probably won’t help but doesn’t hurt to visit the permalinks page just to ensure you flush possible cache, reset those folder permissions, check who the owner of the directories is, ftp, server or the dreaded pcaln.
It’s also probably worth just ensuring this isn’t a plugin issue by disabling all but absolute required and dropping back to default theme.
I don’t think these points will help all that much, but you need to test a few things and rule them out for us. hopefully someone else may have encountered the same issue (I’ve uploaded 1.2.6 twice to production and not had the issue)
Also how did you upgrade? upload via FTP or using the automatic upgrade?