Hello,
I just went to update my SK to the latest version, and at the 'Patching 10%', (In the updater) I got "Java (TM) SE Binary has stopped working". It closed the updater, so I tried again, and got the same error, but this time it was a bit different. After I closed 'Java (TM) SE Binary' again, (The only option I had) my screen started flashing random colors, mainly yellow, green, and pink. Not the whole screen though, just random 4x8 pixel rectangles around it. After about a minute, my monitor went into sleep mode and wouldn't turn on again, so I had to improperly reboot my computer.

A bit of information about my PC:
Windows 7 Home Premium 32 bit
Latest version of Java (at least, I updated it a few days ago)
My DxDiag if anyone needs it: http://www.2shared.com/document/oZcErDou/DxDiag.html

I am fairly sure that this is an issue with Spiral Knights, Java, or my hardware, as I had just finished a virus scan about 10 minutes before I attempted to launch Spiral Knights.
EDIT: I am launching the game via steam.