I am not sure if my drive is corrupted because it's physically damaged or something went wrong with VeraCrypt and how I should proceed. Should I try to recover the data, restore what I can from Backup and delete what I can't, or replace the drive?

Here are the symptoms

https://www.virtualbox.org/download/hashes/6.0.14/MD5SUMS
Here are non-corrupted MD5 files, text files in the format:

fb8f91f14bd0f2fc65aa936a2a864fe5 Oracle_VM_VirtualBox_Extension_Pack-6.0.14.vbox-extpack
bc0941a3aadba70fc65645e5ca230304
SDKRef.pdf

Screenshot1 is what I get when I open a corrupted MD5 file in FlashSFV
(https://www.trvx.com/flashsfv/, https://www.flashfxp.com/forum/donationware/)

Screenshots 2 and 3 show the expected behaviour.

Screenshot 4 is what happens when I open the MD5 file in a text editor.

Screenshot 5 is when I open an archive in 7zip File Manager.