Strange behavior in editor.
Answered
I see this strange behavior in my IDE. Is this some sort of memory snapshot? Can someone please help me on how to turn this off?

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Looks like a video driver issue. Make sure your system/drivers are up to date.
Does the issue affect other Java Swing apps like JEdit or NetBeans?
I am on MacOS catalina. All my drivers are up to date. I don't have the other swing apps installed but i could try installing them and see if this problem happens. Could it also be due to a faulty graphics card?
Yes, in some cases such issues can be caused by the hardware issues, like components overheating or the faulty graphics card.