I have tested with two players and the symptom was the same. When starting playing with the video renderer set to madVR, some Windows-7-Basic-Theme-like GUI flashes over the video player app and all the desktop icons flash once. As far as I know, desktop icon flashing happens when an app is trying to change system file icon settings (or associations).
So, do you know why is this happening with madVR?
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Because you chose an output device that disables glass effects.