When bulk editing images, setting the link to "Media File" is setting the link of all images to the first selected image media file.
I'm 99% sure it's a bug (if not, it's a very weird feature) and it should set the associated Media File for each image instead.
Add multiple Image blocks.
Select several images blocks to bulk edit
Insert link > Media File
Select the images to see what media file is linked and see it's the first selected image in the bulk.
Each image should link to its own media file.
First step

Second step

WordPress version: 5.5.3
Gutenberg plugin v9.2.2 installed.
@Socrapop I tried reproducing the bug in at my end. On selecting multiple images, the Insert Link feature isn't working. It doesn't do anything.
I don't have the Gutenberg plugin but the Block Editor. in WordPress 5.5.3. Do you need it specifically for the plugin?
@davy440 Well, I thought the plugin was a version ahead of the block editor, that's why I tested with it :)
Yes indeed, it's not working at all without the plugin and I think it should too.
Editing multiple images is, I think, a new feature, which is why it's not in WordPress 5.5.3.
I've labelled as a bug, thanks for reporting!
Most helpful comment
Editing multiple images is, I think, a new feature, which is why it's not in WordPress 5.5.3.
I've labelled as a bug, thanks for reporting!