Nothing is working, so I have to use RMPrep, However, it seems to be a bug in RMPrep, since, regardless of options, it adds ZIP option that renders the drive unusable.

After formating, I managed to connect with updater, but the result was pure crap, seems that the whole device was garbage.
RMPreb was not able to reformat the drive, however I managed to do it in Windows Disk management, and then run RMPrep.

It seems that after each failed attempt 2 folders are created, .system and Journal.
At the same time it looses the Volume Label.
So, What is going on really

Edit:

After loading the original firmware with updater, it still loops.
Reflashing with Cure I can see that the storage/disk is basically empty, is that correct?

I have two folders in the root .System and Journal

.System contains two folders Diag and SQLite

Diag contains one file sys_log2.bin

SQLite contains one folder, temp that is empty

Journal contains one file JEF.bin