Desktop Icon Transparency

[Smooth Brewed Sound]

I like the fact you can change the desktop icons to be transparent. Maybe you can make it so that it's transparent, but when you click the icon it isn't transparent. That'd be a cool effect.

[Echo]

Or how about when you hover over it with your mouse. That would be awesome. :D

[Mystix]

A little utility I use that works well with Wallpaper Engine is Iconoid, you can get at:
http://www.sillysot.com/

It's free and it will hide your desktop icons after a period of inactivity on the desktop (you can set it to a few seconds perhaps, I have mine set to autohide the icons after 5 seconds), and it can similarily also autohide the Windows Taskbar and the mouse-pointer as well if you want.

[Echo]

That's cool and all, but it should be inbuild into this software.