K20 Driveshaft Question

[LONGHAIR]

That certainly doesn't look bad. As long as everything is good lengthwise, and no vibration, it will be fine. You don't want the driveline to be straight anyway.
If there is no movement in the joint, the needles just beat against the same place, wearing into the surfaces of the cross.
The tapered blocks have tilted the pinion up, be sure there is some angularity there too. The point of the joints is to make up for movement of the suspension and misalignment, straight is not good there either.
The pinion seal leak is a conundrum. It could be entirely coincidental.
Has the fluid level changed as a result of this? Possibly blocked vent during the process?