I cannot seem to find where DisplayFusion is downloading the temporary wallpapers from Flickr. I have checked the program directory and the folder the current wallpaper resides in:
APPDATA/Binary Fortress/DisplayFusion/CustomWallpaper.bmp

I have also turned off the option to remove temporary downloaded wallpapers in the settings, but I still cannot find them.

Where can I change this to download into a specified folder?

Also I noticed it keeps downloading the same pictures with different time stamps. Perhaps a detection could be built in so it doesnt keep downloading the same images over and over. Would also make loading images faster if they've been downloaded already.

Having a button that says "open download folder" would do the trick. Then you could go grab the current image and copy it elsewhere...