diff --git a/Main.tscn b/Main.tscn
index 3a663233a..22f34efd8 100644
--- a/Main.tscn
+++ b/Main.tscn
@@ -1624,7 +1624,7 @@ visible = false
 margin_right = 200.0
 margin_bottom = 70.0
 window_title = "Unsaved Image"
-dialog_text = "Changes has not been saved. Are you sure you want to create a new image?"
+dialog_text = "You have unsaved changes. If you proceed, the progress you have made will be lost."
 
 [node name="QuitDialog" type="ConfirmationDialog" parent="."]
 margin_right = 200.0
diff --git a/Scripts/Dialogs/CreateNewImage.gd b/Scripts/Dialogs/CreateNewImage.gd
index ed8c8bab2..347cd791f 100644
--- a/Scripts/Dialogs/CreateNewImage.gd
+++ b/Scripts/Dialogs/CreateNewImage.gd
@@ -83,7 +83,7 @@ func _on_CreateNewImage_confirmed() -> void:
 	Global.canvases = Global.canvases # To trigger Global.canvases_changed()
 	Global.current_frame = 0
 	Global.layers = Global.layers # To trigger Global.layers_changed()
-	Global.saved = true
+	Global.project_has_changed = false
 	if fill_color.a > 0:
 		Global.canvas.layers[0][0].fill(fill_color)
 		Global.canvas.layers[0][0].lock()
diff --git a/Scripts/Global.gd b/Scripts/Global.gd
index 2a0d85144..d3877439f 100644
--- a/Scripts/Global.gd
+++ b/Scripts/Global.gd
@@ -30,7 +30,7 @@ var key_move_press_time := [0.0, 0.0, 0.0, 0.0]
 var loaded_locales : Array
 var undo_redo : UndoRedo
 var undos := 0 # The number of times we added undo properties
-var saved := true # Checks if the user has saved
+var project_has_changed := false # Checks if the user has made changes to the project
 
 # Canvas related stuff
 var canvases := [] setget canvases_changed
@@ -462,8 +462,8 @@ func undo(_canvases : Array, layer_index : int = -1) -> void:
 		canvas_parent.move_child(_canvases[0], _canvases[0].frame)
 
 	canvas.update()
-	if saved:
-		saved = false
+	if !project_has_changed:
+		project_has_changed = true
 		self.window_title = window_title + "(*)"
 
 
@@ -493,8 +493,8 @@ func redo(_canvases : Array, layer_index : int = -1) -> void:
 		canvas_parent.move_child(_canvases[0], _canvases[0].frame)
 
 	canvas.update()
-	if saved:
-		saved = false
+	if !project_has_changed:
+		project_has_changed = true
 		self.window_title = window_title + "(*)"
 
 
diff --git a/Scripts/Main.gd b/Scripts/Main.gd
index f2058af18..a11743ede 100644
--- a/Scripts/Main.gd
+++ b/Scripts/Main.gd
@@ -5,6 +5,7 @@ var file_menu : PopupMenu
 var view_menu : PopupMenu
 var tools := []
 var redone := false
+var unsaved_canvas_state := 0
 var is_quitting_on_save := false
 var previous_left_color := Color.black
 var previous_right_color := Color.white
@@ -251,7 +252,8 @@ func _notification(what : int) -> void:
 func file_menu_id_pressed(id : int) -> void:
 	match id:
 		0: # New
-			if(!Global.saved):
+			if Global.project_has_changed:
+				unsaved_canvas_state = id
 				$UnsavedCanvasDialog.popup_centered()
 			else:
 				$CreateNewImage.popup_centered()
@@ -263,7 +265,11 @@ func file_menu_id_pressed(id : int) -> void:
 		2: # Open last project
 			# Check if last project path is set and if yes then open
 			if Global.config_cache.has_section_key("preferences", "last_project_path"):
-				load_last_project()
+				if Global.project_has_changed:
+					unsaved_canvas_state = id
+					$UnsavedCanvasDialog.popup_centered()
+				else:
+					load_last_project()
 			else: # if not then warn user that he didn't edit any project yet
 				$NoProjectEditedOrCreatedAlertDialog.popup_centered()
 		3: # Save
@@ -455,7 +461,10 @@ func load_last_project() -> void:
 
 
 func _on_UnsavedCanvasDialog_confirmed() -> void:
-	$CreateNewImage.popup_centered()
+	if unsaved_canvas_state == 0: # New image
+		$CreateNewImage.popup_centered()
+	elif unsaved_canvas_state == 2: # Open last project
+		load_last_project()
 
 
 func _on_OpenSprite_file_selected(path : String) -> void:
@@ -790,7 +799,7 @@ func _on_RightVerticalMirroring_toggled(button_pressed) -> void:
 
 func show_quit_dialog() -> void:
 	if !$QuitDialog.visible:
-		if Global.saved:
+		if !Global.project_has_changed:
 			$QuitDialog.call_deferred("popup_centered")
 		else:
 			$QuitAndSaveDialog.call_deferred("popup_centered")
diff --git a/Scripts/OpenSave.gd b/Scripts/OpenSave.gd
index 185b6649d..f4769fae9 100644
--- a/Scripts/OpenSave.gd
+++ b/Scripts/OpenSave.gd
@@ -152,6 +152,7 @@ func open_pxo_file(path : String, untitled_backup : bool = false) -> void:
 		# Untitled backup should not change window title and save path
 		current_save_path = path
 		Global.window_title = path.get_file() + " - Pixelorama"
+		Global.project_has_changed = false
 
 
 func save_pxo_file(path : String, autosave : bool) -> void:
@@ -226,8 +227,8 @@ func save_pxo_file(path : String, autosave : bool) -> void:
 
 		file.close()
 
-		if !Global.saved and not autosave:
-			Global.saved = true
+		if Global.project_has_changed and not autosave:
+			Global.project_has_changed = false
 
 		if autosave:
 			Global.notification_label("File autosaved")
@@ -306,7 +307,7 @@ func reload_backup_file(project_path : String, backup_path : String) -> void:
 	if project_path != backup_path:
 		current_save_path = project_path
 		Global.window_title = project_path.get_file() + " - Pixelorama(*)"
-		Global.saved = false
+		Global.project_has_changed = true
 
 	Global.notification_label("Backup reloaded")
 
diff --git a/Translations/Translations.pot b/Translations/Translations.pot
index cf3c0778f..6ddfa125d 100644
--- a/Translations/Translations.pot
+++ b/Translations/Translations.pot
@@ -428,7 +428,7 @@ msgstr ""
 msgid "Unsaved Image"
 msgstr ""
 
-msgid "Changes has not been saved. Are you sure you want to create a new image?"
+msgid "You have unsaved changes. If you proceed, the progress you have made will be lost."
 msgstr ""
 
 msgid "Save before exiting?"