I experienced this issue when I upgraded 18.04 -> 20.04 as well. In my case, any file updates to any locations regardless of ~/Desktop will blink all file icons in Desktop. Also, any updates to a file will have some latency to update a file.
Just for letting you know my workaround: disable desktop icons. This will make you unable to see icons of course, but you will not see annoying blinking anymore. $ gnome-shell-extension-prefs # Disable "Desktop icons" -- You received this bug notification because you are a member of Ubuntu Desktop Bugs, which is subscribed to gnome-shell-extension-desktop-icons in Ubuntu. https://bugs.launchpad.net/bugs/1812883 Title: Desktop view flashes every time ~/Desktop changes To manage notifications about this bug go to: https://bugs.launchpad.net/gnome-shell-extension-desktop-icons/+bug/1812883/+subscriptions -- desktop-bugs mailing list desktop-bugs@lists.ubuntu.com https://lists.ubuntu.com/mailman/listinfo/desktop-bugs