I like #1 the most. I think having flags displayed on the battlefield is a very important part of the war. Men died just carrying a flag so not having a flag displayed here would not be genuine. Not displaying it on the map would not "feel" right.
I would like to see the shape of the flags in #1 shaped like the flags in #2. The flags in #2 just seem alive and flowing while the #1 flags are too square and not realistic. Does anybody else notice this?