I'm having the same problem, I want to add detailed, formatted info but if I put it in the description, it doesn't display it well outside Moodle.
Are we misusing the description field?
It seems to me that the OB description was not intended by Mozilla to be used for long, detailed descriptions.
Instead we should have a way of including this level of detail in the criteria page hosted by moodle, which I think is where Mozilla intended it to go.
At the moment in Moodle we don't have a way to add text to the Criteria, it's pulled from the settings for who or how the badge is awarded.
Could we not have text from a wysiwyg editor and the pulled details of the awarding settings?
The wysiwyg text first and the awarding text second combined to make the Criteria?
This would keep the description for it's intended purpose and give us a solution which allows us to add detailed, formatted text.