Apple TV 1st gen playing 1080p?

I have Apple TV 1st gen and installed CrystalHD (newer model). I use external hard drive through USB for my media.
When I try to play full quality Blu-Rays (40-50GB) on it, the playback is in slow motion, sometimes freezes and crashes pale TV.
It plays full quality DVDs just fine.

Is this a defect in the CrystalHD card, or is this normal and expected.

2017-04-11T00:37:33.809Z