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No worries, you're correct that this is the case with many UE5 games. It is temporally unstable - though not due to DLSS itself, but rather the poor programming underneath.
So this is the example I had in the addendum, and it's because DLSS only really stays temporally stable at a sufficiently high base resolution and frame rate.
Borderlands 4 is so laughably unoptimized that in order to get anywhere near decent performance, you need to run at a very low resolution on pretty much any card, all to get an extremely disappointing frame rate. I vaguely remember you having a 3090 Ti, or something like that - you're in for a bad time with BL4. You're pretty much doomed for a soupy experience on such a weak card (/sarcasm).
4K DLAA is out of the question, even on a 5090 at high settings - you'd even be looking at a sub-60 FPS experience in that case. And, once again, the frame rate is way too low - meaning that the temporal aspect of DLSS/DLAA is not getting enough data to accurately estimate edges to anti-alias. And thus, the result is blur/temporal inaccuracy - a totally ridiculous pox on a game with such a cartoonish aesthetic.
Add on to this the fact that Borderlands 4 is an absurd deferred-rendered UE5 abomination (the lighting in particular is a joke), and the blur is almost inevitable.
This is exactly why DLSS/DLAA cannot be leaned on as a crutch like these stupid companies think it can be. It is a supplementary solution and a great one at that, not a foundational graphical building block.
But its rampant misuse in modern big-budget games gives off the impression on social media that DLSS is some sort of corporate bugbear, crafted in Andrew Wilson/Strauss Zelnick's torture dungeons below EA/Rockstar/Activision HQ. It is very much not that - it has merely been co-opted.
Point being though - AC was not developed with this mentality, and already runs at high frame rates on hardware scaling back 8+ years - so, in theory, if implemented properly, this is exactly that supplementary solution in AC's case. It can provide a considerable boost to fidelity in motion, and with extra headroom from upscaling, can even introduce the possibility of adding things like bonus ExtraFX/Dynamic Light effects that were previously too GPU-heavy.
Tolerance thresholds are subjective, of course, due to personal preferences, screen sizes and refresh rates, etc. - but as I said, I always target a frame rate of 90+ FPS with DLSS - with DLAA or Quality or Balanced at 4K - and Quality only at 1440p or 1080p. This gets me a very clear image in pretty much all use cases.
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