Using version 0.1.12c, After running pico-8 once(pico-8.exe), closing the program, then re-running (pico-8.exe), the escape key to get to the editor no longer functions. Also, even after a fresh install, changing the carts folder in config.txt to anything but the default breaks it as well.
I have to reinstall for each use. There is no error in log file either.
A Shift-Escape key combo works after the standard escape stops working fortunately. Perhaps this is just a documentation update needed?

Hi @mrwingding67, thanks for the report.

Just to narrow things down -- does this happen if you exit PICO-8, delete config.txt (C:/Users/Yourname/AppData/Roaming/pico-8/config.txt), and then run PICO-8 again?

This is a stab in the dark, but I can't imagine what other state could be changing by re-installing PICO-8.

It's also interesting that Shift-ESC works. I don't suppose you have any other programs running in the background that could be consuming the escape key presses? (e.g. a hotkey utility, or a video capture utility)

One last question: after PICO-8 boots the second (broken) time, can you see the red cursor blinking on the command prompt? If it's not then there is an issue with PICO-8 incorrectly running in the background even when it should be in focus.