There should be 3 quest rules to fix this.
Stop link flash-- when finished, link stops flashing
No cheat link flash--Link doesn't flash when the no walls cheat is on
Interpolated link flash--makes link flash more like in OoT/WW (because there are some problems with the link flash for some tilesets) ,color could be set in misc colors or something
I put this here because it didn't seem like a bug.
Well, the reason that Link flashes when the no walls cheat is on is that invincibility is turned on as well. This allows Link to walk through damage combos without taking damage. When the no walls cheat is turned off, invincibility is left on. I suppose an option could be added (in the Etc. menu of ZC) to make it so that turning off the no walls cheat would turn off invincibility as well. Thoughts?
As for the flashing, that is controlled by the "Invincible Link Flickers" quest rule.
yeah those 3 rules could be added cause even if you aren't flashing DN and the no walls is on, you can walk over damage combos without getting hurt and over watter without going through the swimming icon states