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Do I loose all the music on my players when changing versions?
No, but your database rebuilds will get hosed and you might have to do this and/or this. I usually end up having to do both after bouncing back and forth between versions.
Also, this last time I bounced back and forth between 2.0 and 3.0 a couple of times, I got some severe playlist corruption, where playlists that were originally three levels down in the tree inexplicably appeared in the root. I hadn't gotten around to reporting that one yet because I'd been doing so much back-and-forth and synching with different emplode versions that I was afraid it was something I'd caused to happen myself. Anyway, I had to delete all my playlists and restore from a backup using riobackup.jar.