Canvas Ignoring Files and Links Settings

ok, so this has nothing to do with wikilinks or markdown links.

Currently, the images (and all other embeds actually) are recorded with their full path relative to the vault root. These links are updated when Obsidian is open.

There is a FR open to make them relative to canvas file itself.

You can open another FR asking to use/follow the shortest format.

It’s unlikely to happen.