Hmm, I don't know which Amiga you are using, but would it be possible that just for testing you remove the Picasso and connect the VGA-adapter between the Amiga's RGB-out and the Monitors VGA-input cable ? Then try loading a game to see if the problem is still there. If it is, then it's a monitor or maybe adapter problem, otherwise it has something to do with the Picasso's pass thru.
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