I've only skimmed the discussion, but there's a few prominent points I diverge on.
The biggest one: both options are stealth options.
Yes, really. In either case, Ling Qi is attempting to evade notice by blending in with the... wake left by either party's Law crashing through the liminal. In both cases, Ling Qi is blending into an environment at the edge of the conflict, trying not to get squished.
The thing is that she doesn't agree with either of these Laws. Even with the flexibility of youth, she can't actually harmonize herself to those heady environments, in this mutable realm of Dreams. She's going to take damage from the mismatching Law she bathes in, regardless of which it is.
I think there's more things we can do with injuries from Xia Lin, notably around Zhengui's themes. Getting a bit charred is also more distinct from the marks Huisheng stuff has left, which avoids confusing same-y-ness.
[X] She would soar, one spark among the conflagration. Today she was a voice of fire and steel, better to embrace that
Something interesting to think about is, if we assume this event would have played out the same with a different art project, then this would have been the point where Boundaries Untrodden would have showed its stuff by allowing Ling Qi to walk in those Law-tainted spaces without significant harm, or being noticed, by bringing herself into better understanding of the distinction between their truths and her own.
Woulda been neat! I'm honestly not sure how Winter's Crown is supposed to transition into a winter trait upgrade, here. There's not really narrative space for a personal triumph, and the nature of the field means there's no room for winter-y special effects or anything. That's actual, literal suicide. Big ol' question mark on how this progresses, over here.