GUI button being weirdly distorted

This is how it looks like opened from the assets folder (on the left), and during gameplay (on the right).

This is the script:

using UnityEngine;
using System.Collections;

public class GameMenu : MonoBehaviour {
	
	private bool paused = false;
	private int buttonHeight = 70;
	private int buttonWidth = 70;
	private int restartWidth = 70;
	private GUIContent content = new GUIContent();
	public Texture2D image, hover, active;

	void Awake(){
		content.image = image;

	}
	void Start () {
		Time.timeScale = 1.0f;
	}
	
	void OnGUI(){
		GUI.skin.button.normal.background = image;
		GUI.skin.button.hover.background = hover;
		GUI.skin.button.active.background = active;

		
		if (GUI.Button(new Rect(Screen.width - 100, Screen.height - 100, buttonWidth, buttonHeight), content)) {

						

			if(!paused) {
				togglePause ();
			} else { 
				StartCoroutine(myCoroutine());
			}

			paused = !paused;

						
				
				}

		if (paused) {
						if (GUI.Button (new Rect (Screen.width / 3 - restartWidth, Screen.height / 2 - buttonHeight, restartWidth,
			                        buttonHeight), "Restart")) {
								togglePause();
								Application.LoadLevel ("GameScene");
						}
						if (GUI.Button (new Rect (1 * Screen.width / 2 - restartWidth/2, Screen.height / 2 - buttonHeight, restartWidth,
			                          buttonHeight), "Resume")) {
								paused = !paused;	
								StartCoroutine(myCoroutine());
							
							
						}

						if (GUI.Button (new Rect (2 * Screen.width/3, Screen.height / 2 - buttonHeight, restartWidth,
			                          buttonHeight), "Quit")) {
								togglePause();
								Application.LoadLevel ("MenuScene");
						}

				}
		
	}
	IEnumerator myCoroutine(){
		Time.timeScale = 0.001f;
		yield return new WaitForSeconds (3f * Time.timeScale);
		Time.timeScale = 1.0f;
		}

	void togglePause()
	{
		if(Time.timeScale == 0f)
		{
			Time.timeScale = 1f;
		}
		else
		{
			Time.timeScale = 0f;
		}
	}

}

I had something similar a long time ago, and I think this is how I fixed it. Recreate the white ring image, and make sure that the ring does not go all the way to the edges (leave about 1 or 2 pixels of spacing). That worked for me. Also make sure the image is imported as a GUI element, not a Texture.