One of TodoPaper's strengths has been the ability to fold/collapse projects, similar to the functionality found in outliner software. Two of the things that I've disliked most about the TodoPaper 1 implementation of folding was the distracting indicators and the fact that folding was limited to projects.

I've completely revamped collapsing in TodoPaper 2. You can now collapse any text hierarchy, including projects, todos, and notes, so long as the line being collapsed has children (lines underneath it with a greater indent). This makes collapsing extremely flexible.

You may have noticed that I've removed the left margin where checkboxes and folding indicators used to live. This helps clean up the interface: checkboxes are now the todo hyphens, and indicators only display if a line is collapsed. 

Collapsing can be achieved by holding the Control key and clicking on a line that has children, or by right clicking and selecting "Collapse" from the context menu, or by a simple keyboard shortcut. 

Let me know what you think: