Not sure whether or not this is a bug, but the text of wikilinks doesn’t show formatting. For example, if the title of one of my notes has an italicized or bolded element, the wikilink to that note doesn’t show any formatting.
I’d say the behaviour is correct. The link is not the title - it is formatted as a link, not a facsimile of the title. I wouldn’t want wikilinks to be H1s, for example.
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I guess I’m more in the pro-formatting camp. It’s how Roam and Logseq do it, and in cases where I’m creating a TOC composed of other notes with long titles, it’s nice to have the formatting there.