diff --git a/packages/ckeditor5-core/theme/icons/settings.svg b/packages/ckeditor5-core/theme/icons/settings.svg
index fa09c6753fe..fc0ebb84abf 100644
--- a/packages/ckeditor5-core/theme/icons/settings.svg
+++ b/packages/ckeditor5-core/theme/icons/settings.svg
@@ -1 +1 @@
-<svg xmlns="http://www.w3.org/2000/svg" viewBox="0 0 20 20"><path d="M3.734 6.375H1.75a.75.75 0 0 1 0-1.5h1.984a2.626 2.626 0 0 1 5.032 0h9.48a.75.75 0 0 1 0 1.5h-9.48a2.626 2.626 0 0 1-5.032 0Zm1.141-.75a1.375 1.375 0 1 1 2.75 0 1.375 1.375 0 0 1-2.75 0Zm11.388 8h1.983a.75.75 0 0 1 0 1.5h-1.983a2.626 2.626 0 0 1-5.033 0H1.75a.75.75 0 0 1 0-1.5h9.48a2.626 2.626 0 0 1 5.033 0Zm-1.142.75a1.375 1.375 0 1 1-2.75 0 1.375 1.375 0 0 1 2.75 0Z" clip-rule="evenodd"/></svg>
\ No newline at end of file
+<svg viewBox="0 0 20 20" xmlns="http://www.w3.org/2000/svg"><path fill-rule="evenodd" clip-rule="evenodd" d="M3.734 6.375H1.75a.75.75 0 0 1 0-1.5h1.984a2.626 2.626 0 0 1 5.032 0h9.48a.75.75 0 0 1 0 1.5h-9.48a2.626 2.626 0 0 1-5.032 0Zm1.141-.75a1.375 1.375 0 1 1 2.75 0 1.375 1.375 0 0 1-2.75 0ZM16.263 14.625h1.983a.75.75 0 0 1 0 1.5h-1.983a2.626 2.626 0 0 1-5.033 0H1.75a.75.75 0 0 1 0-1.5h9.48a2.626 2.626 0 0 1 5.033 0Zm-1.142.75a1.375 1.375 0 1 1-2.75 0 1.375 1.375 0 0 1 2.75 0Z"/></svg>
diff --git a/packages/ckeditor5-link/lang/contexts.json b/packages/ckeditor5-link/lang/contexts.json
index ddb4d07e000..83965236d48 100644
--- a/packages/ckeditor5-link/lang/contexts.json
+++ b/packages/ckeditor5-link/lang/contexts.json
@@ -4,6 +4,7 @@
 	"Link URL": "Label for the URL input in the Link URL editing balloon.",
 	"Link URL must not be empty.": "An error text displayed when user attempted to enter an empty URL.",
 	"Link image": "Label for the image link button.",
+	"Link properties": "Label for the link properties link balloon title.",
 	"Edit link": "Button opening the Link URL editing balloon.",
 	"Open link in new tab": "Button opening the link in new browser tab.",
 	"This link has no URL": "Label explaining that a link has no URL set (the URL is empty).",
@@ -14,7 +15,6 @@
 	"Move out of a link": "Keystroke description for assistive technologies: keystroke for moving out of a link.",
 	"Bookmarks": "Title for a feature displaying a list of bookmarks.",
 	"No bookmarks available.": "A message displayed instead of a list of bookmarks if it is empty.",
-	"Advanced": "Title for a feature displaying advanced link settings.",
 	"Displayed text": "The label of the input field for the displayed text of the link.",
 	"Back": "The label of the button that returns to the previous view."
 }
diff --git a/packages/ckeditor5-link/src/linkcommand.ts b/packages/ckeditor5-link/src/linkcommand.ts
index 1fa44fbf7ca..d3c7703f8c2 100644
--- a/packages/ckeditor5-link/src/linkcommand.ts
+++ b/packages/ckeditor5-link/src/linkcommand.ts
@@ -10,10 +10,10 @@
 import { Command } from 'ckeditor5/src/core.js';
 import { findAttributeRange } from 'ckeditor5/src/typing.js';
 import { Collection, first, toMap } from 'ckeditor5/src/utils.js';
-import type { Range, DocumentSelection, Model, Writer } from 'ckeditor5/src/engine.js';
+import { LivePosition, type Range } from 'ckeditor5/src/engine.js';
 
 import AutomaticDecorators from './utils/automaticdecorators.js';
-import { isLinkableElement } from './utils.js';
+import { extractTextFromLinkRange, isLinkableElement } from './utils.js';
 import type ManualDecorator from './utils/manualdecorator.js';
 
 /**
@@ -135,13 +135,33 @@ export default class LinkCommand extends Command {
 	 * **Note**: {@link module:link/unlinkcommand~UnlinkCommand#execute `UnlinkCommand#execute()`} removes all
 	 * decorator attributes.
 	 *
+	 * An optional parameter called `displayedText` is to add or update text of the link that represents the `href`. For example:
+	 * ```ts
+	 * const linkCommand = editor.commands.get( 'link' );
+	 *
+	 * // Adding a new link with `displayedText` attribute.
+	 * linkCommand.execute( 'http://example.com', {}, 'Example' );
+	 * ```
+	 *
+	 * The above code will create an anchor like this:
+	 *
+	 * ```html
+	 * <a href="http://example.com">Example</a>
+	 * ```
+	 *
 	 * @fires execute
 	 * @param href Link destination.
 	 * @param manualDecoratorIds The information about manual decorator attributes to be applied or removed upon execution.
+	 * @param displayedText Text of the link.
 	 */
-	public override execute( href: string, manualDecoratorIds: Record<string, boolean> = {} ): void {
+	public override execute(
+		href: string,
+		manualDecoratorIds: Record<string, boolean> = {},
+		displayedText?: string
+	): void {
 		const model = this.editor.model;
 		const selection = model.document.selection;
+
 		// Stores information about manual decorators to turn them on/off when command is applied.
 		const truthyManualDecorators: Array<string> = [];
 		const falsyManualDecorators: Array<string> = [];
@@ -155,32 +175,62 @@ export default class LinkCommand extends Command {
 		}
 
 		model.change( writer => {
+			const updateLinkAttributes = ( range: Range ): void => {
+				writer.setAttribute( 'linkHref', href, range );
+
+				truthyManualDecorators.forEach( item => writer.setAttribute( item, true, range ) );
+				falsyManualDecorators.forEach( item => writer.removeAttribute( item, range ) );
+			};
+
+			const updateLinkTextIfNeeded = ( range: Range, linkHref?: string ): Range | undefined => {
+				const linkText = extractTextFromLinkRange( range );
+
+				if ( !linkText ) {
+					return range;
+				}
+
+				// Make a copy not to override the command param value.
+				let newText = displayedText;
+
+				if ( !newText ) {
+					// Replace the link text with the new href if previously href was equal to text.
+					// For example: `<a href="http://ckeditor.com/">http://ckeditor.com/</a>`.
+					newText = linkHref && linkHref == linkText ? href : linkText;
+				}
+
+				// Only if needed.
+				if ( newText != linkText ) {
+					return model.insertContent( writer.createText( newText ), range );
+				}
+			};
+
+			const collapseSelectionAtLinkEnd = ( linkRange: Range ): void => {
+				writer.setSelection( linkRange.end );
+
+				// Remove the `linkHref` attribute and all link decorators from the selection.
+				// It stops adding a new content into the link element.
+				for ( const key of [ 'linkHref', ...truthyManualDecorators, ...falsyManualDecorators ] ) {
+					writer.removeSelectionAttribute( key );
+				}
+			};
+
 			// If selection is collapsed then update selected link or insert new one at the place of caret.
 			if ( selection.isCollapsed ) {
 				const position = selection.getFirstPosition()!;
 
 				// When selection is inside text with `linkHref` attribute.
 				if ( selection.hasAttribute( 'linkHref' ) ) {
-					const linkText = extractTextFromSelection( selection );
-					// Then update `linkHref` value.
-					let linkRange = findAttributeRange( position, 'linkHref', selection.getAttribute( 'linkHref' ), model );
-
-					if ( selection.getAttribute( 'linkHref' ) === linkText ) {
-						linkRange = this._updateLinkContent( model, writer, linkRange, href );
-					}
-
-					writer.setAttribute( 'linkHref', href, linkRange );
-
-					truthyManualDecorators.forEach( item => {
-						writer.setAttribute( item, true, linkRange );
-					} );
+					const linkHref = selection.getAttribute( 'linkHref' ) as string;
+					const linkRange = findAttributeRange( position, 'linkHref', linkHref, model );
+					const newLinkRange = updateLinkTextIfNeeded( linkRange, linkHref );
 
-					falsyManualDecorators.forEach( item => {
-						writer.removeAttribute( item, linkRange );
-					} );
+					updateLinkAttributes( newLinkRange || linkRange );
 
-					// Put the selection at the end of the updated link.
-					writer.setSelection( writer.createPositionAfter( linkRange.end.nodeBefore! ) );
+					// Put the selection at the end of the updated link only when text was changed.
+					// When text was not altered we keep the original selection.
+					if ( newLinkRange ) {
+						collapseSelectionAtLinkEnd( newLinkRange );
+					}
 				}
 				// If not then insert text node with `linkHref` attribute in place of caret.
 				// However, since selection is collapsed, attribute value will be used as data for text node.
@@ -194,22 +244,19 @@ export default class LinkCommand extends Command {
 						attributes.set( item, true );
 					} );
 
-					const { end: positionAfter } = model.insertContent( writer.createText( href, attributes ), position );
+					const newLinkRange = model.insertContent( writer.createText( displayedText || href, attributes ), position );
 
 					// Put the selection at the end of the inserted link.
 					// Using end of range returned from insertContent in case nodes with the same attributes got merged.
-					writer.setSelection( positionAfter );
+					collapseSelectionAtLinkEnd( newLinkRange );
 				}
-
-				// Remove the `linkHref` attribute and all link decorators from the selection.
-				// It stops adding a new content into the link element.
-				[ 'linkHref', ...truthyManualDecorators, ...falsyManualDecorators ].forEach( item => {
-					writer.removeSelectionAttribute( item );
-				} );
 			} else {
+				// Non-collapsed selection.
+
 				// If selection has non-collapsed ranges, we change attribute on nodes inside those ranges
 				// omitting nodes where the `linkHref` attribute is disallowed.
-				const ranges = model.schema.getValidRanges( selection.getRanges(), 'linkHref' );
+				const selectionRanges = Array.from( selection.getRanges() );
+				const ranges = model.schema.getValidRanges( selectionRanges, 'linkHref' );
 
 				// But for the first, check whether the `linkHref` attribute is allowed on selected blocks (e.g. the "image" element).
 				const allowedRanges = [];
@@ -231,29 +278,30 @@ export default class LinkCommand extends Command {
 					}
 				}
 
-				for ( const range of rangesToUpdate ) {
-					let linkRange = range;
+				// Store the selection ranges in a pseudo live range array (stickiness to the outside of the range).
+				const stickyPseudoRanges = selectionRanges.map( range => ( {
+					start: LivePosition.fromPosition( range.start, 'toPrevious' ),
+					end: LivePosition.fromPosition( range.end, 'toNext' )
+				} ) );
 
-					if ( rangesToUpdate.length === 1 ) {
-						// Current text of the link in the document.
-						const linkText = extractTextFromSelection( selection );
+				// Update or set links (including text update if needed).
+				for ( let range of rangesToUpdate ) {
+					const linkHref = ( range.start.textNode || range.start.nodeAfter! ).getAttribute( 'linkHref' ) as string | undefined;
 
-						if ( selection.getAttribute( 'linkHref' ) === linkText ) {
-							linkRange = this._updateLinkContent( model, writer, range, href );
-							writer.setSelection( writer.createSelection( linkRange ) );
-						}
-					}
+					range = updateLinkTextIfNeeded( range, linkHref ) || range;
+					updateLinkAttributes( range );
+				}
 
-					writer.setAttribute( 'linkHref', href, linkRange );
+				// The original selection got trimmed by replacing content so we need to restore it.
+				writer.setSelection( stickyPseudoRanges.map( pseudoRange => {
+					const start = pseudoRange.start.toPosition();
+					const end = pseudoRange.end.toPosition();
 
-					truthyManualDecorators.forEach( item => {
-						writer.setAttribute( item, true, linkRange );
-					} );
+					pseudoRange.start.detach();
+					pseudoRange.end.detach();
 
-					falsyManualDecorators.forEach( item => {
-						writer.removeAttribute( item, linkRange );
-					} );
-				}
+					return model.createRange( start, end );
+				} ) );
 			}
 		} );
 	}
@@ -294,41 +342,4 @@ export default class LinkCommand extends Command {
 
 		return true;
 	}
-
-	/**
-	 * Updates selected link with a new value as its content and as its href attribute.
-	 *
-	 * @param model Model is need to insert content.
-	 * @param writer Writer is need to create text element in model.
-	 * @param range A range where should be inserted content.
-	 * @param href A link value which should be in the href attribute and in the content.
-	 */
-	private _updateLinkContent( model: Model, writer: Writer, range: Range, href: string ): Range {
-		const text = writer.createText( href, { linkHref: href } );
-
-		return model.insertContent( text, range );
-	}
-}
-
-// Returns a text of a link under the collapsed selection or a selection that contains the entire link.
-function extractTextFromSelection( selection: DocumentSelection ): string | null {
-	if ( selection.isCollapsed ) {
-		const firstPosition = selection.getFirstPosition();
-
-		return firstPosition!.textNode && firstPosition!.textNode.data;
-	} else {
-		const rangeItems = Array.from( selection.getFirstRange()!.getItems() );
-
-		if ( rangeItems.length > 1 ) {
-			return null;
-		}
-
-		const firstNode = rangeItems[ 0 ];
-
-		if ( firstNode.is( '$text' ) || firstNode.is( '$textProxy' ) ) {
-			return firstNode.data;
-		}
-
-		return null;
-	}
 }
diff --git a/packages/ckeditor5-link/src/linkconfig.ts b/packages/ckeditor5-link/src/linkconfig.ts
index 8256e0b8127..edf2bcf4010 100644
--- a/packages/ckeditor5-link/src/linkconfig.ts
+++ b/packages/ckeditor5-link/src/linkconfig.ts
@@ -189,16 +189,20 @@ export interface LinkConfig {
 	 *
 	 * * `'linkPreview'`,
 	 * * `'editLink'`,
+	 * * `'linkProperties'`
 	 * * `'unlink'`.
 	 *
 	 * The default configuration for link toolbar is:
 	 *
 	 * ```ts
 	 * const linkConfig = {
-	 * 	toolbar: [ 'linkPreview', '|', 'editLink', 'unlink' ]
+	 * 	toolbar: [ 'linkPreview', '|', 'editLink', 'linkProperties', 'unlink' ]
 	 * };
 	 * ```
 	 *
+	 * The `linkProperties` toolbar item is only available when at least one manual decorator is defined in the
+	 * {@link module:link/linkconfig~LinkConfig#decorators decorators configuration}.
+	 *
 	 * Of course, the same buttons can also be used in the
 	 * {@link module:core/editor/editorconfig~EditorConfig#toolbar main editor toolbar}.
 	 *
diff --git a/packages/ckeditor5-link/src/linkediting.ts b/packages/ckeditor5-link/src/linkediting.ts
index 2cb910967df..b0a33f4e437 100644
--- a/packages/ckeditor5-link/src/linkediting.ts
+++ b/packages/ckeditor5-link/src/linkediting.ts
@@ -90,7 +90,7 @@ export default class LinkEditing extends Plugin {
 		editor.config.define( 'link', {
 			allowCreatingEmptyLinks: false,
 			addTargetToExternalLinks: false,
-			toolbar: [ 'linkPreview', '|', 'editLink', 'unlink' ]
+			toolbar: [ 'linkPreview', '|', 'editLink', 'linkProperties', 'unlink' ]
 		} );
 	}
 
diff --git a/packages/ckeditor5-link/src/linkui.ts b/packages/ckeditor5-link/src/linkui.ts
index c600544ea19..44faca8fafb 100644
--- a/packages/ckeditor5-link/src/linkui.ts
+++ b/packages/ckeditor5-link/src/linkui.ts
@@ -33,7 +33,7 @@ import { isWidget } from 'ckeditor5/src/widget.js';
 import LinkPreviewButtonView, { type LinkPreviewButtonNavigateEvent } from './ui/linkpreviewbuttonview.js';
 import LinkFormView, { type LinkFormValidatorCallback } from './ui/linkformview.js';
 import LinkBookmarksView from './ui/linkbookmarksview.js';
-import LinkAdvancedView from './ui/linkadvancedview.js';
+import LinkPropertiesView from './ui/linkpropertiesview.js';
 import LinkButtonView from './ui/linkbuttonview.js';
 import type LinkCommand from './linkcommand.js';
 import type UnlinkCommand from './unlinkcommand.js';
@@ -44,6 +44,7 @@ import {
 	isLinkElement,
 	isScrollableToTarget,
 	scrollToTarget,
+	extractTextFromLinkRange,
 	LINK_KEYSTROKE
 } from './utils.js';
 
@@ -77,9 +78,20 @@ export default class LinkUI extends Plugin {
 	public bookmarksView: LinkBookmarksView | null = null;
 
 	/**
-	 * The form view displaying advanced link settings.
+	 * The form view displaying properties link settings.
 	 */
-	public advancedView: LinkAdvancedView | null = null;
+	public propertiesView: LinkPropertiesView & ViewWithCssTransitionDisabler | null = null;
+
+	/**
+	 * The selected text of the link or text that is selected and can become a link.
+	 *
+	 * Note: It is `undefined` when the current selection does not allow for text,
+	 * for example any non text node is selected or multiple blocks are selected.
+	 *
+	 * @observable
+	 * @readonly
+	 */
+	declare public selectedLinkableText: string | undefined;
 
 	/**
 	 * The contextual balloon plugin instance.
@@ -114,6 +126,8 @@ export default class LinkUI extends Plugin {
 		const editor = this.editor;
 		const t = this.editor.t;
 
+		this.set( 'selectedLinkableText', undefined );
+
 		editor.editing.view.addObserver( ClickObserver );
 
 		this._balloon = editor.plugins.get( ContextualBalloon );
@@ -174,8 +188,8 @@ export default class LinkUI extends Plugin {
 		super.destroy();
 
 		// Destroy created UI components as they are not automatically destroyed (see ckeditor5#1341).
-		if ( this.advancedView ) {
-			this.advancedView.destroy();
+		if ( this.propertiesView ) {
+			this.propertiesView.destroy();
 		}
 
 		if ( this.formView ) {
@@ -195,9 +209,14 @@ export default class LinkUI extends Plugin {
 	 * Creates views.
 	 */
 	private _createViews() {
+		const linkCommand: LinkCommand = this.editor.commands.get( 'link' )!;
+
 		this.toolbarView = this._createToolbarView();
 		this.formView = this._createFormView();
-		this.advancedView = this._createAdvancedView();
+
+		if ( linkCommand.manualDecorators.length ) {
+			this.propertiesView = this._createPropertiesView();
+		}
 
 		if ( this.editor.plugins.has( 'BookmarkEditing' ) ) {
 			this.bookmarksView = this._createBookmarksView();
@@ -214,10 +233,18 @@ export default class LinkUI extends Plugin {
 	private _createToolbarView(): ToolbarView {
 		const editor = this.editor;
 		const toolbarView = new ToolbarView( editor.locale );
+		const linkCommand: LinkCommand = editor.commands.get( 'link' )!;
 
 		toolbarView.class = 'ck-link-toolbar';
 
-		toolbarView.fillFromConfig( editor.config.get( 'link.toolbar' )!, editor.ui.componentFactory );
+		// Remove the linkProperties button if there are no manual decorators, as it would be useless.
+		let toolbarItems = editor.config.get( 'link.toolbar' )!;
+
+		if ( !linkCommand.manualDecorators.length ) {
+			toolbarItems = toolbarItems.filter( item => item !== 'linkProperties' );
+		}
+
+		toolbarView.fillFromConfig( toolbarItems, editor.ui.componentFactory );
 
 		// Close the panel on esc key press when the **link toolbar have focus**.
 		toolbarView.keystrokes.set( 'Esc', ( data, cancel ) => {
@@ -259,9 +286,7 @@ export default class LinkUI extends Plugin {
 
 		const formView = new ( CssTransitionDisablerMixin( LinkFormView ) )( editor.locale, getFormValidators( editor ) );
 
-		formView.urlInputView.fieldView.bind( 'value' ).to( linkCommand, 'value' );
-
-		// TODO: Bind to the "Displayed text" input
+		formView.displayedTextInputView.bind( 'isEnabled' ).to( this, 'selectedLinkableText', value => value !== undefined );
 
 		// Form elements should be read-only when corresponding commands are disabled.
 		formView.urlInputView.bind( 'isEnabled' ).to( linkCommand, 'isEnabled' );
@@ -269,20 +294,22 @@ export default class LinkUI extends Plugin {
 		// Disable the "save" button if the command is disabled.
 		formView.saveButtonView.bind( 'isEnabled' ).to( linkCommand, 'isEnabled' );
 
-		// Show the "Advanced" button only when there are manual decorators.
-		formView.settingsButtonView.bind( 'isVisible' ).to( linkCommand, 'manualDecorators', decorators => decorators.length > 0 );
-
 		// Change the "Save" button label depending on the command state.
 		formView.saveButtonView.bind( 'label' ).to( linkCommand, 'value', value => value ? t( 'Update' ) : t( 'Insert' ) );
 
 		// Execute link command after clicking the "Save" button.
 		this.listenTo( formView, 'submit', () => {
-			// TODO: Does this need updating after adding the "Displayed text" input?
 			if ( formView.isValid() ) {
-				const { value } = formView.urlInputView.fieldView.element!;
-				const parsedUrl = addLinkProtocolIfApplicable( value, defaultProtocol );
-
-				editor.execute( 'link', parsedUrl, this._getDecoratorSwitchesState() );
+				const url = formView.urlInputView.fieldView.element!.value;
+				const parsedUrl = addLinkProtocolIfApplicable( url, defaultProtocol );
+				const displayedText = formView.displayedTextInputView.fieldView.element!.value;
+
+				editor.execute(
+					'link',
+					parsedUrl,
+					this._getDecoratorSwitchesState(),
+					displayedText !== this.selectedLinkableText ? displayedText : undefined
+				);
 
 				this._closeFormView();
 			}
@@ -298,15 +325,6 @@ export default class LinkUI extends Plugin {
 			this._closeFormView();
 		} );
 
-		this.listenTo( formView.settingsButtonView, 'execute', () => {
-			this._balloon.add( {
-				view: this.advancedView!,
-				position: this._getBalloonPositionData()
-			} );
-
-			this.advancedView!.focus();
-		} );
-
 		// Close the panel on esc key press when the **form has focus**.
 		formView.keystrokes.set( 'Esc', ( data, cancel ) => {
 			this._closeFormView();
@@ -337,6 +355,7 @@ export default class LinkUI extends Plugin {
 			} );
 
 			buttonView.on( 'execute', () => {
+				this.formView!.resetFormStatus();
 				this.formView!.urlInputView.fieldView.value = '#' + bookmarkName;
 
 				// Set focus to the editing view to prevent from losing it while current view is removed.
@@ -374,21 +393,20 @@ export default class LinkUI extends Plugin {
 	}
 
 	/**
-	 * Creates the {@link module:link/ui/linkadvancedview~LinkAdvancedView} instance.
+	 * Creates the {@link module:link/ui/linkpropertiesview~LinkPropertiesView} instance.
 	 */
-	private _createAdvancedView(): LinkAdvancedView {
+	private _createPropertiesView(): LinkPropertiesView & ViewWithCssTransitionDisabler {
 		const editor = this.editor;
 		const linkCommand: LinkCommand = this.editor.commands.get( 'link' )!;
-		const view = new LinkAdvancedView( this.editor.locale );
+
+		const view = new ( CssTransitionDisablerMixin( LinkPropertiesView ) )( editor.locale );
 
 		// Hide the panel after clicking the back button.
 		this.listenTo( view, 'back', () => {
-			// Make sure the focus always gets back to the editable _before_ removing the focused form view.
-			// Doing otherwise causes issues in some browsers. See https://github.com/ckeditor/ckeditor5-link/issues/193.
+			// Move focus back to the editing view to prevent from losing it while current view is removed.
 			editor.editing.view.focus();
 
-			this._removeAdvancedView();
-			this.formView!.focus();
+			this._removePropertiesView();
 		} );
 
 		view.listChildren.bindTo( linkCommand.manualDecorators ).using( manualDecorator => {
@@ -407,6 +425,7 @@ export default class LinkUI extends Plugin {
 
 			button.on( 'execute', () => {
 				manualDecorator.set( 'value', !button.isOn );
+				editor.execute( 'link', linkCommand.value!, this._getDecoratorSwitchesState() );
 			} );
 
 			return button;
@@ -538,6 +557,31 @@ export default class LinkUI extends Plugin {
 
 			return button;
 		} );
+
+		editor.ui.componentFactory.add( 'linkProperties', locale => {
+			const linkCommand: LinkCommand = editor.commands.get( 'link' )!;
+			const button = new ButtonView( locale );
+			const t = locale.t;
+
+			button.set( {
+				label: t( 'Link properties' ),
+				icon: icons.settings,
+				tooltip: true
+			} );
+
+			button.bind( 'isEnabled' ).to(
+				linkCommand, 'isEnabled',
+				linkCommand, 'value',
+				linkCommand, 'manualDecorators',
+				( isEnabled, href, manualDecorators ) => isEnabled && !!href && manualDecorators.length > 0
+			);
+
+			this.listenTo<ButtonExecuteEvent>( button, 'execute', () => {
+				this._addPropertiesView();
+			} );
+
+			return button;
+		} );
 	}
 
 	/**
@@ -694,12 +738,16 @@ export default class LinkUI extends Plugin {
 			position: this._getBalloonPositionData()
 		} );
 
-		// Make sure that each time the panel shows up, the URL field remains in sync with the value of
+		// Make sure that each time the panel shows up, the fields remains in sync with the value of
 		// the command. If the user typed in the input, then canceled the balloon (`urlInputView.fieldView#value` stays
 		// unaltered) and re-opened it without changing the value of the link command (e.g. because they
 		// clicked the same link), they would see the old value instead of the actual value of the command.
 		// https://github.com/ckeditor/ckeditor5-link/issues/78
 		// https://github.com/ckeditor/ckeditor5-link/issues/123
+
+		this.selectedLinkableText = this._getSelectedLinkableText();
+
+		this.formView!.displayedTextInputView.fieldView.value = this.selectedLinkableText || '';
 		this.formView!.urlInputView.fieldView.value = linkCommand.value || '';
 
 		// Select input when form view is currently visible.
@@ -710,6 +758,29 @@ export default class LinkUI extends Plugin {
 		this.formView!.enableCssTransitions();
 	}
 
+	/**
+	 * Adds the {@link #propertiesView} to the {@link #_balloon}.
+	 */
+	private _addPropertiesView(): void {
+		if ( !this.propertiesView ) {
+			this._createViews();
+		}
+
+		if ( this._arePropertiesInPanel ) {
+			return;
+		}
+
+		this.propertiesView!.disableCssTransitions();
+
+		this._balloon.add( {
+			view: this.propertiesView!,
+			position: this._getBalloonPositionData()
+		} );
+
+		this.propertiesView!.enableCssTransitions();
+		this.propertiesView!.focus();
+	}
+
 	/**
 	 * Adds the {@link #bookmarksView} to the {@link #_balloon}.
 	 */
@@ -731,19 +802,13 @@ export default class LinkUI extends Plugin {
 	/**
 	 * Closes the form view. Decides whether the balloon should be hidden completely or if the action view should be shown. This is
 	 * decided upon the link command value (which has a value if the document selection is in the link).
-	 *
-	 * Additionally, if any {@link module:link/linkconfig~LinkConfig#decorators} are defined in the editor configuration, the state of
-	 * switch buttons responsible for manual decorator handling is restored.
 	 */
 	private _closeFormView(): void {
 		const linkCommand: LinkCommand = this.editor.commands.get( 'link' )!;
 
-		// Restore manual decorator states to represent the current model state. This case is important to reset the switch buttons
-		// when the user cancels the editing form.
-		linkCommand.restoreManualDecoratorStates();
+		this.selectedLinkableText = undefined;
 
 		if ( linkCommand.value !== undefined ) {
-			this._removeAdvancedView();
 			this._removeFormView();
 		} else {
 			this._hideUI();
@@ -751,11 +816,11 @@ export default class LinkUI extends Plugin {
 	}
 
 	/**
-	 * Removes the {@link #advancedView} from the {@link #_balloon}.
+	 * Removes the {@link #propertiesView} from the {@link #_balloon}.
 	 */
-	private _removeAdvancedView(): void {
-		if ( this._isAdvancedInPanel ) {
-			this._balloon.remove( this.advancedView! );
+	private _removePropertiesView(): void {
+		if ( this._arePropertiesInPanel ) {
+			this._balloon.remove( this.propertiesView! );
 		}
 	}
 
@@ -777,7 +842,8 @@ export default class LinkUI extends Plugin {
 			// See https://github.com/ckeditor/ckeditor5/issues/1501.
 			this.formView!.saveButtonView.focus();
 
-			// Reset the URL field to update the state of the submit button.
+			// Reset fields to update the state of the submit button.
+			this.formView!.displayedTextInputView.fieldView.reset();
 			this.formView!.urlInputView.fieldView.reset();
 
 			this._balloon.remove( this.formView! );
@@ -857,15 +923,13 @@ export default class LinkUI extends Plugin {
 			editor.editing.view.focus();
 		}
 
-		// TODO: Remove dynamically registered views
-
 		// If the bookmarks view is visible, remove it because it can be on top of the stack.
 		this._removeBookmarksView();
 
-		// If the advanced form view is visible, remove it because it can be on top of the stack.
-		this._removeAdvancedView();
+		// If the properties form view is visible, remove it because it can be on top of the stack.
+		this._removePropertiesView();
 
-		// Then remove the form view because it's beneath the advanced form.
+		// Then remove the form view because it's beneath the properties form.
 		this._removeFormView();
 
 		// Finally, remove the link toolbar view because it's last in the stack.
@@ -933,10 +997,10 @@ export default class LinkUI extends Plugin {
 	}
 
 	/**
-	 * Returns `true` when {@link #advancedView} is in the {@link #_balloon}.
+	 * Returns `true` when {@link #propertiesView} is in the {@link #_balloon}.
 	 */
-	private get _isAdvancedInPanel(): boolean {
-		return !!this.advancedView && this._balloon.hasView( this.advancedView );
+	private get _arePropertiesInPanel(): boolean {
+		return !!this.propertiesView && this._balloon.hasView( this.propertiesView );
 	}
 
 	/**
@@ -961,11 +1025,11 @@ export default class LinkUI extends Plugin {
 	}
 
 	/**
-	 * Returns `true` when {@link #advancedView} is in the {@link #_balloon} and it is
+	 * Returns `true` when {@link #propertiesView} is in the {@link #_balloon} and it is
 	 * currently visible.
 	 */
-	private get _isAdvancedVisible(): boolean {
-		return !!this.advancedView && this._balloon.visibleView === this.advancedView;
+	private get _isPropertiesVisible(): boolean {
+		return !!this.propertiesView && this._balloon.visibleView === this.propertiesView;
 	}
 
 	/**
@@ -993,19 +1057,19 @@ export default class LinkUI extends Plugin {
 	}
 
 	/**
-	 * Returns `true` when {@link #advancedView}, {@link #toolbarView}, {@link #bookmarksView}
+	 * Returns `true` when {@link #propertiesView}, {@link #toolbarView}, {@link #bookmarksView}
 	 * or {@link #formView} is in the {@link #_balloon}.
 	 */
 	private get _isUIInPanel(): boolean {
-		return this._isAdvancedInPanel || this._areBookmarksInPanel || this._isFormInPanel || this._isToolbarInPanel;
+		return this._arePropertiesInPanel || this._areBookmarksInPanel || this._isFormInPanel || this._isToolbarInPanel;
 	}
 
 	/**
-	 * Returns `true` when {@link #advancedView}, {@link #bookmarksView}, {@link #toolbarView}
+	 * Returns `true` when {@link #propertiesView}, {@link #bookmarksView}, {@link #toolbarView}
 	 * or {@link #formView} is in the {@link #_balloon} and it is currently visible.
 	 */
 	private get _isUIVisible(): boolean {
-		return this._isAdvancedVisible || this._areBookmarksVisible || this._isFormVisible || this._isToolbarVisible;
+		return this._isPropertiesVisible || this._areBookmarksVisible || this._isFormVisible || this._isToolbarVisible;
 	}
 
 	/**
@@ -1017,25 +1081,33 @@ export default class LinkUI extends Plugin {
 	 */
 	private _getBalloonPositionData(): Partial<PositionOptions> {
 		const view = this.editor.editing.view;
-		const model = this.editor.model;
 		const viewDocument = view.document;
-		let target: PositionOptions[ 'target' ];
+		const model = this.editor.model;
 
 		if ( model.markers.has( VISUAL_SELECTION_MARKER_NAME ) ) {
 			// There are cases when we highlight selection using a marker (#7705, #4721).
-			const markerViewElements = Array.from( this.editor.editing.mapper.markerNameToElements( VISUAL_SELECTION_MARKER_NAME )! );
-			const newRange = view.createRange(
-				view.createPositionBefore( markerViewElements[ 0 ] ),
-				view.createPositionAfter( markerViewElements[ markerViewElements.length - 1 ] )
-			);
+			const markerViewElements = this.editor.editing.mapper.markerNameToElements( VISUAL_SELECTION_MARKER_NAME );
+
+			// Marker could be removed by link text override and end up in the graveyard.
+			if ( markerViewElements ) {
+				const markerViewElementsArray = Array.from( markerViewElements );
+				const newRange = view.createRange(
+					view.createPositionBefore( markerViewElementsArray[ 0 ] ),
+					view.createPositionAfter( markerViewElementsArray[ markerViewElementsArray.length - 1 ] )
+				);
 
-			target = view.domConverter.viewRangeToDom( newRange );
-		} else {
-			// Make sure the target is calculated on demand at the last moment because a cached DOM range
-			// (which is very fragile) can desynchronize with the state of the editing view if there was
-			// any rendering done in the meantime. This can happen, for instance, when an inline widget
-			// gets unlinked.
-			target = () => {
+				return {
+					target: view.domConverter.viewRangeToDom( newRange )
+				};
+			}
+		}
+
+		// Make sure the target is calculated on demand at the last moment because a cached DOM range
+		// (which is very fragile) can desynchronize with the state of the editing view if there was
+		// any rendering done in the meantime. This can happen, for instance, when an inline widget
+		// gets unlinked.
+		return {
+			target: () => {
 				const targetLink = this._getSelectedLinkElement();
 
 				return targetLink ?
@@ -1043,10 +1115,8 @@ export default class LinkUI extends Plugin {
 					view.domConverter.mapViewToDom( targetLink )! :
 					// Otherwise attach panel to the selection.
 					view.domConverter.viewRangeToDom( viewDocument.selection.getFirstRange()! );
-			};
-		}
-
-		return { target };
+			}
+		};
 	}
 
 	/**
@@ -1086,6 +1156,26 @@ export default class LinkUI extends Plugin {
 		}
 	}
 
+	/**
+	 * Returns selected link text content.
+	 * If link is not selected it returns the selected text.
+	 * If selection or link includes non text node (inline object or block) then returns undefined.
+	 */
+	private _getSelectedLinkableText(): string | undefined {
+		const model = this.editor.model;
+		const editing = this.editor.editing;
+		const selectedLink = this._getSelectedLinkElement();
+
+		if ( !selectedLink ) {
+			return extractTextFromLinkRange( model.document.selection.getFirstRange()! );
+		}
+
+		const viewLinkRange = editing.view.createRangeOn( selectedLink );
+		const linkRange = editing.mapper.toModelRange( viewLinkRange );
+
+		return extractTextFromLinkRange( linkRange );
+	}
+
 	/**
 	 * Displays a fake visual selection when the contextual balloon is displayed.
 	 *
diff --git a/packages/ckeditor5-link/src/ui/linkformview.ts b/packages/ckeditor5-link/src/ui/linkformview.ts
index 08e0b44002c..65666034088 100644
--- a/packages/ckeditor5-link/src/ui/linkformview.ts
+++ b/packages/ckeditor5-link/src/ui/linkformview.ts
@@ -52,11 +52,6 @@ export default class LinkFormView extends View {
 	 */
 	public backButtonView: ButtonView;
 
-	/**
-	 * The Settings button view displayed in the header.
-	 */
-	public settingsButtonView: ButtonView;
-
 	/**
 	 * The Save button view.
 	 */
@@ -120,7 +115,6 @@ export default class LinkFormView extends View {
 
 		// Create buttons
 		this.backButtonView = this._createBackButton();
-		this.settingsButtonView = this._createSettingsButton();
 		this.saveButtonView = this._createSaveButton();
 
 		// Create input fields
@@ -183,7 +177,6 @@ export default class LinkFormView extends View {
 			this.saveButtonView,
 			...this.listChildren,
 			this.backButtonView,
-			this.settingsButtonView,
 			this.displayedTextInputView
 		];
 
@@ -265,22 +258,6 @@ export default class LinkFormView extends View {
 		return backButton;
 	}
 
-	/**
-	 * Creates a settings button view that opens the advanced settings panel.
-	 */
-	private _createSettingsButton(): ButtonView {
-		const t = this.locale!.t;
-		const settingsButton = new ButtonView( this.locale );
-
-		settingsButton.set( {
-			label: t( 'Advanced' ),
-			icon: icons.settings,
-			tooltip: true
-		} );
-
-		return settingsButton;
-	}
-
 	/**
 	 * Creates a save button view that inserts the link.
 	 */
@@ -310,7 +287,6 @@ export default class LinkFormView extends View {
 		} );
 
 		header.children.add( this.backButtonView, 0 );
-		header.children.add( this.settingsButtonView );
 
 		return header;
 	}
diff --git a/packages/ckeditor5-link/src/ui/linkadvancedview.ts b/packages/ckeditor5-link/src/ui/linkpropertiesview.ts
similarity index 90%
rename from packages/ckeditor5-link/src/ui/linkadvancedview.ts
rename to packages/ckeditor5-link/src/ui/linkpropertiesview.ts
index 2bd10d15b47..9ad593069ae 100644
--- a/packages/ckeditor5-link/src/ui/linkadvancedview.ts
+++ b/packages/ckeditor5-link/src/ui/linkpropertiesview.ts
@@ -4,7 +4,7 @@
  */
 
 /**
- * @module link/ui/linkadvancedview
+ * @module link/ui/linkpropertiesview
  */
 
 import {
@@ -31,11 +31,11 @@ import '@ckeditor/ckeditor5-ui/theme/components/responsive-form/responsiveform.c
 import '../../theme/linkform.css';
 
 /**
- * The link form view controller class.
+ * The link properties view controller class.
  *
- * See {@link module:link/ui/linkadvancedview~LinkAdvancedView}.
+ * See {@link module:link/ui/linkpropertiesview~LinkPropertiesView}.
  */
-export default class LinkAdvancedView extends View {
+export default class LinkPropertiesView extends View {
 	/**
 	 * Tracks information about DOM focus in the form.
 	 */
@@ -74,7 +74,7 @@ export default class LinkAdvancedView extends View {
 	private readonly _focusCycler: FocusCycler;
 
 	/**
-	 * Creates an instance of the {@link module:link/ui/linkadvancedview~LinkAdvancedView} class.
+	 * Creates an instance of the {@link module:link/ui/linkpropertiesview~LinkPropertiesView} class.
 	 *
 	 * Also see {@link #render}.
 	 *
@@ -108,7 +108,7 @@ export default class LinkAdvancedView extends View {
 			tag: 'div',
 
 			attributes: {
-				class: [ 'ck', 'ck-link__panel', 'ck-link__advanced' ],
+				class: [ 'ck', 'ck-link__panel', 'ck-link__properties' ],
 
 				// https://github.com/ckeditor/ckeditor5-link/issues/90
 				tabindex: '-1'
@@ -190,7 +190,7 @@ export default class LinkAdvancedView extends View {
 		const t = this.locale!.t;
 
 		const header = new FormHeaderView( this.locale, {
-			label: t( 'Advanced' )
+			label: t( 'Link properties' )
 		} );
 
 		header.children.add( this.backButtonView, 0 );
@@ -225,9 +225,9 @@ export default class LinkAdvancedView extends View {
 }
 
 /**
- * Fired when the {@link ~LinkAdvancedView#backButtonView} is pressed.
+ * Fired when the {@link ~LinkPropertiesView#backButtonView} is pressed.
  *
- * @eventName ~LinkAdvancedView#back
+ * @eventName ~LinkPropertiesView#back
  */
 export type BackEvent = {
 	name: 'back';
diff --git a/packages/ckeditor5-link/src/utils.ts b/packages/ckeditor5-link/src/utils.ts
index b37c2bc1aa3..7da136106bd 100644
--- a/packages/ckeditor5-link/src/utils.ts
+++ b/packages/ckeditor5-link/src/utils.ts
@@ -15,7 +15,8 @@ import type {
 	Schema,
 	ViewAttributeElement,
 	ViewNode,
-	ViewDocumentFragment
+	ViewDocumentFragment,
+	Range
 } from 'ckeditor5/src/engine.js';
 
 import type { Editor } from 'ckeditor5/src/core.js';
@@ -237,6 +238,25 @@ export function scrollToTarget( editor: Editor, link: string ): boolean {
 	return true;
 }
 
+/**
+ * Returns a text of a link range.
+ *
+ * If the returned value is `undefined`, it means that the range contains elements other than text nodes.
+ */
+export function extractTextFromLinkRange( range: Range ): string | undefined {
+	let text = '';
+
+	for ( const item of range.getItems() ) {
+		if ( !item.is( '$text' ) && !item.is( '$textProxy' ) ) {
+			return;
+		}
+
+		text += item.data;
+	}
+
+	return text;
+}
+
 export type NormalizedLinkDecoratorAutomaticDefinition = LinkDecoratorAutomaticDefinition & { id: string };
 export type NormalizedLinkDecoratorManualDefinition = LinkDecoratorManualDefinition & { id: string };
 export type NormalizedLinkDecoratorDefinition = NormalizedLinkDecoratorAutomaticDefinition | NormalizedLinkDecoratorManualDefinition;
diff --git a/packages/ckeditor5-link/tests/linkcommand.js b/packages/ckeditor5-link/tests/linkcommand.js
index b507d51345c..170599cb6b1 100644
--- a/packages/ckeditor5-link/tests/linkcommand.js
+++ b/packages/ckeditor5-link/tests/linkcommand.js
@@ -293,6 +293,17 @@ describe( 'LinkCommand', () => {
 				expect( command.value ).to.equal( 'url' );
 			} );
 
+			it( 'should set `linkHref` attribute to selected text and change the selected text', () => {
+				setData( model, 'f[ooba]r' );
+
+				expect( command.value ).to.be.undefined;
+
+				command.execute( 'url', {}, 'xyz' );
+
+				expect( getData( model ) ).to.equal( 'f[<$text linkHref="url">xyz</$text>]r' );
+				expect( command.value ).to.equal( 'url' );
+			} );
+
 			it( 'should set `linkHref` attribute to selected text when text already has attributes', () => {
 				setData( model, 'f[o<$text bold="true">oba]r</$text>' );
 
@@ -361,6 +372,18 @@ describe( 'LinkCommand', () => {
 				expect( command.value ).to.equal( 'url' );
 			} );
 
+			it( 'should overwrite existing `linkHref` attribute and displayed text' +
+					'when whole text with `linkHref` attribute is selected', () => {
+				setData( model, 'fo[<$text linkHref="other url">o</$text>]bar' );
+
+				expect( command.value ).to.equal( 'other url' );
+
+				command.execute( 'url', {}, 'xyz' );
+
+				expect( getData( model ) ).to.equal( 'fo[<$text linkHref="url">xyz</$text>]bar' );
+				expect( command.value ).to.equal( 'url' );
+			} );
+
 			it( 'should set `linkHref` attribute to selected text when text is split by $block element', () => {
 				setData( model, '<paragraph>f[oo</paragraph><paragraph>ba]r</paragraph>' );
 
@@ -374,6 +397,38 @@ describe( 'LinkCommand', () => {
 				expect( command.value ).to.equal( 'url' );
 			} );
 
+			it( 'should update all links which is equal its href if selection is on more than one element', () => {
+				setData( model,
+					'<paragraph>' +
+						'abc<$text linkHref="foo">[foo</$text>' +
+					'</paragraph>' +
+					'<paragraph>' +
+						'<$text linkHref="foo">foo</$text>' +
+					'</paragraph>' +
+					'<paragraph>' +
+						'<$text linkHref="foo">www</$text>' +
+					'</paragraph>' +
+					'<paragraph>baz]xyz</paragraph>'
+				);
+
+				command.execute( 'bar123' );
+
+				expect( getData( model ) ).to.equal(
+					'<paragraph>' +
+						'abc[<$text linkHref="bar123">bar123</$text>' +
+					'</paragraph>' +
+					'<paragraph>' +
+						'<$text linkHref="bar123">bar123</$text>' +
+					'</paragraph>' +
+					'<paragraph>' +
+						'<$text linkHref="bar123">www</$text>' +
+					'</paragraph>' +
+					'<paragraph>' +
+						'<$text linkHref="bar123">baz</$text>]xyz' +
+					'</paragraph>'
+				);
+			} );
+
 			describe( 'for block elements allowing linkHref', () => {
 				it( 'should set `linkHref` attribute to allowed elements', () => {
 					model.schema.register( 'linkableBlock', {
@@ -548,6 +603,31 @@ describe( 'LinkCommand', () => {
 						'</paragraph>'
 					);
 				} );
+
+				it( 'should set `linkHref` attribute to allowed elements and not allow to change the displayed text', () => {
+					model.schema.register( 'linkableInline', {
+						isObject: true,
+						isInline: true,
+						allowWhere: '$text',
+						allowAttributes: [ 'linkHref' ]
+					} );
+
+					setData( model, '<paragraph>f[oo<linkableInline></linkableInline>ba]r</paragraph>' );
+
+					expect( command.value ).to.be.undefined;
+
+					command.execute( 'url', {}, 'xyz' );
+
+					expect( getData( model ) ).to.equal(
+						'<paragraph>' +
+							'f[<$text linkHref="url">oo</$text>' +
+							'<linkableInline linkHref="url"></linkableInline>' +
+							'<$text linkHref="url">ba</$text>]r' +
+						'</paragraph>'
+					);
+
+					expect( command.value ).to.equal( 'url' );
+				} );
 			} );
 		} );
 
@@ -572,12 +652,12 @@ describe( 'LinkCommand', () => {
 				);
 			} );
 
-			it( 'should update `linkHref` attribute (text with `linkHref` attribute) and put the selection after the node', () => {
+			it( 'should update `linkHref` attribute (text with `linkHref` attribute) and keep the selection as was', () => {
 				setData( model, '<$text linkHref="other url">foo[]bar</$text>' );
 
 				command.execute( 'url' );
 
-				expect( getData( model ) ).to.equal( '<$text linkHref="url">foobar</$text>[]' );
+				expect( getData( model ) ).to.equal( '<$text linkHref="url">foo[]bar</$text>' );
 			} );
 
 			it( 'should not insert text with `linkHref` attribute when is not allowed in parent', () => {
@@ -597,7 +677,7 @@ describe( 'LinkCommand', () => {
 			it( 'should not insert text node if link is empty', () => {
 				setData( model, '<paragraph>foo[]bar</paragraph>' );
 
-				command.execute( '' );
+				command.execute( '', {}, '' );
 
 				expect( getData( model ) ).to.equal( '<paragraph>foo[]bar</paragraph>' );
 			} );
@@ -612,6 +692,16 @@ describe( 'LinkCommand', () => {
 
 				expect( getData( model ) ).to.equal( '<$text linkHref="url">foourl</$text>[]bar' );
 			} );
+
+			it( 'should overwrite existing `linkHref` attribute and displayed text', () => {
+				setData( model, 'fo<$text linkHref="other url">o[]b</$text>ar' );
+
+				expect( command.value ).to.equal( 'other url' );
+
+				command.execute( 'url', {}, 'xyz' );
+
+				expect( getData( model ) ).to.equal( 'fo<$text linkHref="url">xyz</$text>[]ar' );
+			} );
 		} );
 	} );
 
@@ -690,7 +780,7 @@ describe( 'LinkCommand', () => {
 				command.execute( 'url', { linkIsFoo: true, linkIsBar: true, linkIsSth: true } );
 
 				expect( getData( model ) ).to
-					.equal( 'f<$text linkHref="url" linkIsBar="true" linkIsFoo="true" linkIsSth="true">ooba</$text>[]r' );
+					.equal( 'f<$text linkHref="url" linkIsBar="true" linkIsFoo="true" linkIsSth="true">o[]oba</$text>r' );
 			} );
 
 			it( 'should remove additional attributes to link if those are falsy', () => {
@@ -698,7 +788,7 @@ describe( 'LinkCommand', () => {
 
 				command.execute( 'url', { linkIsFoo: false, linkIsBar: false } );
 
-				expect( getData( model ) ).to.equal( 'foo<$text linkHref="url">url</$text>[]bar' );
+				expect( getData( model ) ).to.equal( 'foo<$text linkHref="url">u[]rl</$text>bar' );
 			} );
 
 			it( 'should update content if href is equal to content', () => {
@@ -768,7 +858,7 @@ describe( 'LinkCommand', () => {
 				);
 			} );
 
-			it( 'should update content if href is equal to content', () => {
+			it( 'should not update content even if href is equal to content', () => {
 				setData( model, '[<$text linkHref="url">url</$text>]' );
 
 				command.execute( 'url2', { linkIsFoo: true, linkIsBar: true, linkIsSth: true } );
@@ -807,30 +897,6 @@ describe( 'LinkCommand', () => {
 				expect( getData( model ) ).to
 					.equal( '[<$text linkHref="url2">url2</$text>]' );
 			} );
-
-			it( 'should not update link which is equal its href if selection is on more than one element', () => {
-				setData( model,
-					'<paragraph>' +
-						'<$text linkHref="foo">[foo</$text>' +
-					'</paragraph>' +
-					'<paragraph>bar</paragraph>' +
-					'<paragraph>baz]</paragraph>'
-				);
-
-				command.execute( 'foooo' );
-
-				expect( getData( model ) ).to
-					.equal( '<paragraph>' +
-								'[<$text linkHref="foooo">foo</$text>' +
-							'</paragraph>' +
-							'<paragraph>' +
-								'<$text linkHref="foooo">bar</$text>' +
-							'</paragraph>' +
-							'<paragraph>' +
-								'<$text linkHref="foooo">baz</$text>]' +
-							'</paragraph>'
-					);
-			} );
 		} );
 
 		describe( 'restoreManualDecoratorStates()', () => {
diff --git a/packages/ckeditor5-link/tests/linkui.js b/packages/ckeditor5-link/tests/linkui.js
index 3b28353fc59..b9fde469fa4 100644
--- a/packages/ckeditor5-link/tests/linkui.js
+++ b/packages/ckeditor5-link/tests/linkui.js
@@ -19,6 +19,7 @@ import env from '@ckeditor/ckeditor5-utils/src/env.js';
 import Essentials from '@ckeditor/ckeditor5-essentials/src/essentials.js';
 import Paragraph from '@ckeditor/ckeditor5-paragraph/src/paragraph.js';
 import BlockQuote from '@ckeditor/ckeditor5-block-quote/src/blockquote.js';
+import BoldEditing from '@ckeditor/ckeditor5-basic-styles/src/bold/boldediting.js';
 import ClickObserver from '@ckeditor/ckeditor5-engine/src/view/observer/clickobserver.js';
 import ContextualBalloon from '@ckeditor/ckeditor5-ui/src/panel/balloon/contextualballoon.js';
 import ButtonView from '@ckeditor/ckeditor5-ui/src/button/buttonview.js';
@@ -31,64 +32,33 @@ import LinkUI from '../src/linkui.js';
 import LinkFormView from '../src/ui/linkformview.js';
 import LinkButtonView from '../src/ui/linkbuttonview.js';
 import LinkBookmarksView from '../src/ui/linkbookmarksview.js';
-import LinkAdvancedView from '../src/ui/linkadvancedview.js';
 import LinkPreviewButtonView from '../src/ui/linkpreviewbuttonview.js';
+import LinkPropertiesView from '../src/ui/linkpropertiesview.js';
+import ManualDecorator from '../src/utils/manualdecorator.js';
 import { MenuBarMenuListItemButtonView, ToolbarView } from '@ckeditor/ckeditor5-ui';
 
 import linkIcon from '../theme/icons/link.svg';
 
 describe( 'LinkUI', () => {
-	let editor, linkUIFeature, linkButton, balloon, formView, toolbarView, advancedView, editorElement;
+	let editor, linkUIFeature, linkButton, balloon, formView, toolbarView, editorElement, propertiesView;
 
 	testUtils.createSinonSandbox();
 
-	beforeEach( () => {
+	beforeEach( async () => {
 		editorElement = document.createElement( 'div' );
 		document.body.appendChild( editorElement );
 
-		return ClassicTestEditor
-			.create( editorElement, {
-				plugins: [ Essentials, LinkEditing, LinkUI, Paragraph, BlockQuote ],
-				link: {
-					decorators: {
-						decorator1: {
-							mode: 'manual',
-							label: 'Foo',
-							attributes: {
-								foo: 'bar'
-							}
-						},
-						decorator2: {
-							mode: 'manual',
-							label: 'Download',
-							attributes: {
-								download: 'download'
-							},
-							defaultValue: true
-						},
-						decorator3: {
-							mode: 'manual',
-							label: 'Multi',
-							attributes: {
-								class: 'fancy-class',
-								target: '_blank',
-								rel: 'noopener noreferrer'
-							}
-						}
-					}
-				}
-			} )
-			.then( newEditor => {
-				editor = newEditor;
+		editor = await ClassicTestEditor.create( editorElement, {
+			plugins: [ Essentials, LinkEditing, LinkUI, Paragraph, BlockQuote, BoldEditing ]
+		} );
 
-				linkUIFeature = editor.plugins.get( LinkUI );
-				linkButton = editor.ui.componentFactory.create( 'link' );
-				balloon = editor.plugins.get( ContextualBalloon );
+		linkUIFeature = editor.plugins.get( LinkUI );
+		linkButton = editor.ui.componentFactory.create( 'link' );
+		balloon = editor.plugins.get( ContextualBalloon );
 
-				// There is no point to execute BalloonPanelView attachTo and pin methods so lets override it.
-				testUtils.sinon.stub( balloon.view, 'attachTo' ).returns( {} );
-				testUtils.sinon.stub( balloon.view, 'pin' ).returns( {} );
-			} );
+		// There is no point to execute BalloonPanelView attachTo and pin methods so lets override it.
+		testUtils.sinon.stub( balloon.view, 'attachTo' ).returns( {} );
+		testUtils.sinon.stub( balloon.view, 'pin' ).returns( {} );
 	} );
 
 	afterEach( () => {
@@ -332,6 +302,79 @@ describe( 'LinkUI', () => {
 				sinon.assert.calledOnce( stubAddForm );
 			} );
 		} );
+
+		describe( 'the "linkProperties" toolbar button', () => {
+			let button;
+
+			beforeEach( () => {
+				button = editor.ui.componentFactory.create( 'linkProperties' );
+				editor.commands.get( 'link' ).manualDecorators.add( new ManualDecorator( {
+					id: 'linkIsBar',
+					label: 'Bar',
+					attributes: {
+						target: '_blank'
+					}
+				} ) );
+			} );
+
+			it( 'should be a ButtonView instance', () => {
+				expect( button ).to.be.instanceOf( ButtonView );
+			} );
+
+			it( 'should set button properties', () => {
+				expect( button.label ).to.equal( 'Link properties' );
+				expect( button.tooltip ).to.be.true;
+				expect( button.icon ).to.not.be.undefined;
+			} );
+
+			it( 'should be disabled if link value is empty or command is disabled', () => {
+				const linkCommand = editor.commands.get( 'link' );
+
+				linkCommand.value = 'http://ckeditor.com';
+				expect( button.isEnabled ).to.be.true;
+
+				linkCommand.isEnabled = false;
+				expect( button.isEnabled ).to.be.false;
+
+				linkCommand.isEnabled = true;
+				linkCommand.value = '';
+				expect( button.isEnabled ).to.be.false;
+
+				linkCommand.value = null;
+				expect( button.isEnabled ).to.be.false;
+			} );
+
+			it( 'should be disabled if there are no manual decorators', () => {
+				const linkCommand = editor.commands.get( 'link' );
+
+				linkCommand.isEnabled = false;
+
+				expect( button.isEnabled ).to.be.false;
+
+				linkCommand.manualDecorators.clear();
+				linkCommand.isEnabled = true;
+
+				expect( button.isEnabled ).to.be.false;
+			} );
+
+			it( 'should add properties view to the balloon on execute', () => {
+				const stubAddProperties = sinon.stub( linkUIFeature, '_addPropertiesView' );
+
+				button.fire( 'execute' );
+
+				sinon.assert.calledOnce( stubAddProperties );
+			} );
+
+			it( 'should not be available in the toolbar if there are no manual decorators', () => {
+				let items = Array.from( linkUIFeature._createToolbarView().items ).map( item => item.label );
+
+				expect( items ).to.include( 'Link properties' );
+
+				editor.commands.get( 'link' ).manualDecorators.clear();
+				items = Array.from( linkUIFeature._createToolbarView().items ).map( item => item.label );
+				expect( items ).not.to.include( 'Link properties' );
+			} );
+		} );
 	} );
 
 	describe( '_showUI()', () => {
@@ -1133,27 +1176,47 @@ describe( 'LinkUI', () => {
 		} );
 	} );
 
-	describe( '_createAdvancedView()', () => {
+	describe( '_addPropertiesView()', () => {
 		beforeEach( () => {
 			editor.editing.view.document.isFocused = true;
+			editor.commands.get( 'link' ).manualDecorators.add( new ManualDecorator( {
+				id: 'linkIsBar',
+				label: 'Bar',
+				attributes: {
+					target: '_blank'
+				}
+			} ) );
 		} );
 
-		it( 'should create #advancedView', () => {
+		it( 'should create #propertiesView', () => {
 			setModelData( editor.model, '<paragraph>f[o]o</paragraph>' );
 
 			linkUIFeature._showUI();
 
-			expect( linkUIFeature.advancedView ).to.be.instanceOf( LinkAdvancedView );
+			expect( linkUIFeature.propertiesView ).to.be.instanceOf( LinkPropertiesView );
 		} );
 
-		it( 'should add #advancedView to the balloon and attach the balloon', () => {
+		it( 'should add #propertiesView to the balloon and attach the balloon', () => {
 			setModelData( editor.model, '<paragraph>f[o]o</paragraph>' );
 
-			linkUIFeature._showUI();
-			linkUIFeature.formView.settingsButtonView.fire( 'execute' );
-			advancedView = linkUIFeature.advancedView;
+			linkUIFeature._addPropertiesView();
+			propertiesView = linkUIFeature.propertiesView;
 
-			expect( balloon.visibleView ).to.equal( advancedView );
+			expect( balloon.visibleView ).to.equal( propertiesView );
+		} );
+
+		it( 'should not add #propertiesView to the balloon again when it is already added', () => {
+			setModelData( editor.model, '<paragraph>f[o]o</paragraph>' );
+
+			linkUIFeature._addPropertiesView();
+			propertiesView = linkUIFeature.propertiesView;
+
+			const addSpy = sinon.spy( balloon, 'add' );
+
+			linkUIFeature._addPropertiesView();
+
+			expect( addSpy ).not.to.be.called;
+			expect( balloon.visibleView ).to.equal( propertiesView );
 		} );
 	} );
 
@@ -1179,7 +1242,6 @@ describe( 'LinkUI', () => {
 
 			formView = linkUIFeature.formView;
 			toolbarView = linkUIFeature.toolbarView;
-			advancedView = linkUIFeature.advancedView;
 		} );
 
 		it( 'should remove the UI from the balloon', () => {
@@ -1248,23 +1310,6 @@ describe( 'LinkUI', () => {
 				linkUIFeature._hideUI();
 			} ).to.not.throw();
 		} );
-
-		it( 'should remove the advanced view UI from the balloon', () => {
-			const spy = testUtils.sinon.spy( editor.editing.view, 'focus' );
-			formView.settingsButtonView.fire( 'execute' );
-
-			expect( balloon.hasView( formView ) ).to.be.true;
-			expect( balloon.hasView( toolbarView ) ).to.be.true;
-			expect( balloon.hasView( advancedView ) ).to.be.true;
-
-			linkUIFeature._hideUI();
-
-			expect( balloon.hasView( formView ) ).to.be.false;
-			expect( balloon.hasView( toolbarView ) ).to.be.false;
-			expect( balloon.hasView( advancedView ) ).to.be.false;
-
-			sinon.assert.calledTwice( spy );
-		} );
 	} );
 
 	describe( 'keyboard support', () => {
@@ -1809,52 +1854,26 @@ describe( 'LinkUI', () => {
 	describe( 'link form view', () => {
 		let focusEditableSpy;
 
-		const createEditorWithDefaultProtocol = defaultProtocol => {
-			return ClassicTestEditor
-				.create( editorElement, {
-					plugins: [ LinkEditing, LinkUI, Paragraph, BlockQuote ],
-					link: { defaultProtocol }
-				} )
-				.then( editor => {
-					const linkUIFeature = editor.plugins.get( LinkUI );
-
-					linkUIFeature._createViews();
-
-					const formView = linkUIFeature.formView;
-
-					formView.render();
-
-					editor.model.schema.extend( '$text', {
-						allowIn: '$root',
-						allowAttributes: 'linkHref'
-					} );
-
-					return { editor, formView };
-				} );
-		};
+		const createEditorWithLinkConfig = async link => {
+			const editor = await ClassicTestEditor.create( editorElement, {
+				plugins: [ LinkEditing, LinkUI, Paragraph, BlockQuote ],
+				link
+			} );
 
-		const createEditorWithEmptyLinks = allowCreatingEmptyLinks => {
-			return ClassicTestEditor
-				.create( editorElement, {
-					plugins: [ LinkEditing, LinkUI, Paragraph, BlockQuote ],
-					link: { allowCreatingEmptyLinks }
-				} )
-				.then( editor => {
-					const linkUIFeature = editor.plugins.get( LinkUI );
+			const linkUIFeature = editor.plugins.get( LinkUI );
 
-					linkUIFeature._createViews();
+			linkUIFeature._createViews();
 
-					const formView = linkUIFeature.formView;
+			const formView = linkUIFeature.formView;
 
-					formView.render();
+			formView.render();
 
-					editor.model.schema.extend( '$text', {
-						allowIn: '$root',
-						allowAttributes: 'linkHref'
-					} );
+			editor.model.schema.extend( '$text', {
+				allowIn: '$root',
+				allowAttributes: 'linkHref'
+			} );
 
-					return { editor, formView };
-				} );
+			return { editor, formView };
 		};
 
 		beforeEach( () => {
@@ -1888,52 +1907,48 @@ describe( 'LinkUI', () => {
 				expect( allowCreatingEmptyLinks ).to.equal( false );
 			} );
 
-			it( 'should allow enabling empty links', () => {
-				return createEditorWithEmptyLinks( true ).then( ( { editor } ) => {
-					const allowCreatingEmptyLinks = editor.config.get( 'link.allowCreatingEmptyLinks' );
+			it( 'should allow enabling empty links', async () => {
+				const { editor } = await createEditorWithLinkConfig( { allowCreatingEmptyLinks: true } );
+				const allowCreatingEmptyLinks = editor.config.get( 'link.allowCreatingEmptyLinks' );
 
-					expect( allowCreatingEmptyLinks ).to.equal( true );
+				expect( allowCreatingEmptyLinks ).to.equal( true );
 
-					return editor.destroy();
-				} );
+				return editor.destroy();
 			} );
 
-			it( 'should not allow submitting empty form when link is required', () => {
-				return createEditorWithEmptyLinks( false ).then( ( { editor, formView } ) => {
-					const executeSpy = sinon.spy( editor, 'execute' );
+			it( 'should not allow submitting empty form when link is required', async () => {
+				const { editor, formView } = await createEditorWithLinkConfig( { allowCreatingEmptyLinks: false } );
+				const executeSpy = sinon.spy( editor, 'execute' );
 
-					formView.urlInputView.fieldView.value = '';
-					formView.fire( 'submit' );
+				formView.urlInputView.fieldView.value = '';
+				formView.fire( 'submit' );
 
-					expect( executeSpy ).not.to.be.called;
-					return editor.destroy();
-				} );
+				expect( executeSpy ).not.to.be.called;
+				return editor.destroy();
 			} );
 
-			it( 'should allow submitting empty form when link is not required', () => {
-				return createEditorWithEmptyLinks( true ).then( ( { editor, formView } ) => {
-					expect( formView.saveButtonView.isEnabled ).to.be.true;
+			it( 'should allow submitting empty form when link is not required', async () => {
+				const { editor, formView } = await createEditorWithLinkConfig( { allowCreatingEmptyLinks: true } );
 
-					return editor.destroy();
-				} );
+				expect( formView.saveButtonView.isEnabled ).to.be.true;
+
+				return editor.destroy();
 			} );
 		} );
 
 		describe( 'link protocol', () => {
-			it( 'should use a default link protocol from the `config.link.defaultProtocol` when provided', () => {
-				return ClassicTestEditor
-					.create( editorElement, {
-						link: {
-							defaultProtocol: 'https://'
-						}
-					} )
-					.then( editor => {
-						const defaultProtocol = editor.config.get( 'link.defaultProtocol' );
+			it( 'should use a default link protocol from the `config.link.defaultProtocol` when provided', async () => {
+				const editor = await ClassicTestEditor.create( editorElement, {
+					link: {
+						defaultProtocol: 'https://'
+					}
+				} );
 
-						expect( defaultProtocol ).to.equal( 'https://' );
+				const defaultProtocol = editor.config.get( 'link.defaultProtocol' );
 
-						return editor.destroy();
-					} );
+				expect( defaultProtocol ).to.equal( 'https://' );
+
+				return editor.destroy();
 			} );
 
 			it( 'should not add a protocol without the configuration', () => {
@@ -1947,96 +1962,96 @@ describe( 'LinkUI', () => {
 				return editor.destroy();
 			} );
 
-			it( 'should not add a protocol to the local links even when `config.link.defaultProtocol` configured', () => {
-				return createEditorWithDefaultProtocol( 'http://' ).then( ( { editor, formView } ) => {
-					const linkCommandSpy = sinon.spy( editor.commands.get( 'link' ), 'execute' );
-					formView.urlInputView.fieldView.value = '#test';
-					formView.fire( 'submit' );
+			it( 'should not add a protocol to the local links even when `config.link.defaultProtocol` configured', async () => {
+				const { editor, formView } = await createEditorWithLinkConfig( { defaultProtocol: 'http://' } );
+				const linkCommandSpy = sinon.spy( editor.commands.get( 'link' ), 'execute' );
 
-					sinon.assert.calledWith( linkCommandSpy, '#test', sinon.match.any );
+				formView.urlInputView.fieldView.value = '#test';
+				formView.fire( 'submit' );
 
-					return editor.destroy();
-				} );
+				sinon.assert.calledWith( linkCommandSpy, '#test', sinon.match.any );
+
+				return editor.destroy();
 			} );
 
-			it( 'should not add a protocol to the relative links even when `config.link.defaultProtocol` configured', () => {
-				return createEditorWithDefaultProtocol( 'http://' ).then( ( { editor, formView } ) => {
-					const linkCommandSpy = sinon.spy( editor.commands.get( 'link' ), 'execute' );
-					formView.urlInputView.fieldView.value = '/test.html';
-					formView.fire( 'submit' );
+			it( 'should not add a protocol to the relative links even when `config.link.defaultProtocol` configured', async () => {
+				const { editor, formView } = await createEditorWithLinkConfig( { defaultProtocol: 'http://' } );
+				const linkCommandSpy = sinon.spy( editor.commands.get( 'link' ), 'execute' );
+
+				formView.urlInputView.fieldView.value = '/test.html';
+				formView.fire( 'submit' );
 
-					sinon.assert.calledWith( linkCommandSpy, '/test.html', sinon.match.any );
+				sinon.assert.calledWith( linkCommandSpy, '/test.html', sinon.match.any );
 
-					return editor.destroy();
-				} );
+				return editor.destroy();
 			} );
 
-			it( 'should not add a protocol when given provided within the value even when `config.link.defaultProtocol` configured', () => {
-				return createEditorWithDefaultProtocol( 'http://' ).then( ( { editor, formView } ) => {
-					const linkCommandSpy = sinon.spy( editor.commands.get( 'link' ), 'execute' );
-					formView.urlInputView.fieldView.value = 'http://example.com';
-					formView.fire( 'submit' );
+			it( 'should not add a protocol when given provided within the value ' +
+				'even when `config.link.defaultProtocol` configured', async () => {
+				const { editor, formView } = await createEditorWithLinkConfig( { defaultProtocol: 'http://' } );
+				const linkCommandSpy = sinon.spy( editor.commands.get( 'link' ), 'execute' );
 
-					sinon.assert.calledWith( linkCommandSpy, 'http://example.com', sinon.match.any );
+				formView.urlInputView.fieldView.value = 'http://example.com';
+				formView.fire( 'submit' );
 
-					return editor.destroy();
-				} );
+				sinon.assert.calledWith( linkCommandSpy, 'http://example.com', sinon.match.any );
+
+				return editor.destroy();
 			} );
 
-			it( 'should use the "http://" protocol when it\'s configured', () => {
-				return createEditorWithDefaultProtocol( 'http://' ).then( ( { editor, formView } ) => {
-					const linkCommandSpy = sinon.spy( editor.commands.get( 'link' ), 'execute' );
+			it( 'should use the "http://" protocol when it\'s configured', async () => {
+				const { editor, formView } = await createEditorWithLinkConfig( { defaultProtocol: 'http://' } );
+				const linkCommandSpy = sinon.spy( editor.commands.get( 'link' ), 'execute' );
 
-					formView.urlInputView.fieldView.value = 'ckeditor.com';
-					formView.fire( 'submit' );
+				formView.urlInputView.fieldView.value = 'ckeditor.com';
+				formView.fire( 'submit' );
 
-					sinon.assert.calledWith( linkCommandSpy, 'http://ckeditor.com', sinon.match.any );
+				sinon.assert.calledWith( linkCommandSpy, 'http://ckeditor.com', sinon.match.any );
 
-					return editor.destroy();
-				} );
+				return editor.destroy();
 			} );
 
-			it( 'should use the "http://" protocol when it\'s configured and form input value contains "www."', () => {
-				return createEditorWithDefaultProtocol( 'http://' ).then( ( { editor, formView } ) => {
-					const linkCommandSpy = sinon.spy( editor.commands.get( 'link' ), 'execute' );
+			it( 'should use the "http://" protocol when it\'s configured and form input value contains "www."', async () => {
+				const { editor, formView } = await createEditorWithLinkConfig( { defaultProtocol: 'http://' } );
+				const linkCommandSpy = sinon.spy( editor.commands.get( 'link' ), 'execute' );
 
-					formView.urlInputView.fieldView.value = 'www.ckeditor.com';
-					formView.fire( 'submit' );
+				formView.urlInputView.fieldView.value = 'www.ckeditor.com';
+				formView.fire( 'submit' );
 
-					sinon.assert.calledWith( linkCommandSpy, 'http://www.ckeditor.com', sinon.match.any );
+				sinon.assert.calledWith( linkCommandSpy, 'http://www.ckeditor.com', sinon.match.any );
 
-					return editor.destroy();
-				} );
+				return editor.destroy();
 			} );
 
-			it( 'should propagate the protocol to the link\'s `linkHref` attribute in model', () => {
-				return createEditorWithDefaultProtocol( 'http://' ).then( ( { editor, formView } ) => {
-					setModelData( editor.model, '[ckeditor.com]' );
+			it( 'should propagate the protocol to the link\'s `linkHref` attribute in model', async () => {
+				const { editor, formView } = await createEditorWithLinkConfig( { defaultProtocol: 'http://' } );
 
-					formView.urlInputView.fieldView.value = 'ckeditor.com';
-					formView.fire( 'submit' );
+				setModelData( editor.model, '[ckeditor.com]' );
 
-					expect( getModelData( editor.model ) ).to.equal(
-						'[<$text linkHref="http://ckeditor.com">ckeditor.com</$text>]'
-					);
+				formView.urlInputView.fieldView.value = 'ckeditor.com';
+				formView.fire( 'submit' );
 
-					return editor.destroy();
-				} );
+				expect( getModelData( editor.model ) ).to.equal(
+					'[<$text linkHref="http://ckeditor.com">ckeditor.com</$text>]'
+				);
+
+				return editor.destroy();
 			} );
 
-			it( 'should detect an email on submitting the form and add "mailto:" protocol automatically to the provided value', () => {
-				return createEditorWithDefaultProtocol( 'http://' ).then( ( { editor, formView } ) => {
-					setModelData( editor.model, '[email@example.com]' );
+			it( 'should detect an email on submitting the form and add "mailto:" ' +
+				'protocol automatically to the provided value', async () => {
+				const { editor, formView } = await createEditorWithLinkConfig( { defaultProtocol: 'http://' } );
 
-					formView.urlInputView.fieldView.value = 'email@example.com';
-					formView.fire( 'submit' );
+				setModelData( editor.model, '[email@example.com]' );
 
-					expect( getModelData( editor.model ) ).to.equal(
-						'[<$text linkHref="mailto:email@example.com">email@example.com</$text>]'
-					);
+				formView.urlInputView.fieldView.value = 'email@example.com';
+				formView.fire( 'submit' );
 
-					return editor.destroy();
-				} );
+				expect( getModelData( editor.model ) ).to.equal(
+					'[<$text linkHref="mailto:email@example.com">email@example.com</$text>]'
+				);
+
+				return editor.destroy();
 			} );
 
 			it( 'should detect an email on submitting the form and add "mailto:" protocol automatically to the provided value ' +
@@ -2047,22 +2062,21 @@ describe( 'LinkUI', () => {
 				formView.fire( 'submit' );
 
 				expect( getModelData( editor.model ) ).to.equal(
-					'<paragraph>[<$text linkDecorator2="true" linkHref="mailto:email@example.com">email@example.com</$text>]</paragraph>'
+					'<paragraph>[<$text linkHref="mailto:email@example.com">email@example.com</$text>]</paragraph>'
 				);
 			} );
 
 			it( 'should not add an email protocol when given provided within the value ' +
-				'even when `config.link.defaultProtocol` configured', () => {
-				return createEditorWithDefaultProtocol( 'mailto:' ).then( ( { editor, formView } ) => {
-					const linkCommandSpy = sinon.spy( editor.commands.get( 'link' ), 'execute' );
+				'even when `config.link.defaultProtocol` configured', async () => {
+				const { editor, formView } = await createEditorWithLinkConfig( { defaultProtocol: 'mailto:' } );
+				const linkCommandSpy = sinon.spy( editor.commands.get( 'link' ), 'execute' );
 
-					formView.urlInputView.fieldView.value = 'mailto:test@example.com';
-					formView.fire( 'submit' );
+				formView.urlInputView.fieldView.value = 'mailto:test@example.com';
+				formView.fire( 'submit' );
 
-					sinon.assert.calledWith( linkCommandSpy, 'mailto:test@example.com', sinon.match.any );
+				sinon.assert.calledWith( linkCommandSpy, 'mailto:test@example.com', sinon.match.any );
 
-					return editor.destroy();
-				} );
+				return editor.destroy();
 			} );
 		} );
 
@@ -2071,33 +2085,404 @@ describe( 'LinkUI', () => {
 				setModelData( editor.model, '<paragraph>f[o]o</paragraph>' );
 			} );
 
-			it( 'should bind formView.urlInputView#value to link command value', () => {
-				const command = editor.commands.get( 'link' );
+			it( 'should populate form on open on collapsed selection in text', () => {
+				setModelData( editor.model, '<paragraph>fo[]o</paragraph>' );
+
+				const executeSpy = testUtils.sinon.spy( editor, 'execute' );
+
+				linkUIFeature._showUI(); // FormView
+
+				expect( formView.urlInputView.fieldView.value ).to.equal( '' );
+				expect( formView.displayedTextInputView.fieldView.value ).to.equal( '' );
+				expect( formView.displayedTextInputView.isEnabled ).to.be.true;
+
+				formView.urlInputView.fieldView.value = 'http://ckeditor.com';
+				formView.displayedTextInputView.fieldView.value = 'CKEditor 5';
+
+				expect( formView.urlInputView.fieldView.value ).to.equal( 'http://ckeditor.com' );
+				expect( formView.displayedTextInputView.fieldView.value ).to.equal( 'CKEditor 5' );
+
+				formView.fire( 'submit' );
+
+				expect( executeSpy.calledOnce ).to.be.true;
+				expect( executeSpy.calledWithExactly(
+					'link',
+					'http://ckeditor.com',
+					{},
+					'CKEditor 5'
+				) ).to.be.true;
+
+				expect( getModelData( editor.model ) ).to.equal(
+					'<paragraph>fo<$text linkHref="http://ckeditor.com">CKEditor 5</$text>[]o</paragraph>'
+				);
+			} );
+
+			it( 'should populate form on open on collapsed selection in text (without providing displayed text)', () => {
+				setModelData( editor.model, '<paragraph>fo[]o</paragraph>' );
+
+				const executeSpy = testUtils.sinon.spy( editor, 'execute' );
+
+				linkUIFeature._showUI(); // FormView
+
+				expect( formView.urlInputView.fieldView.value ).to.equal( '' );
+				expect( formView.displayedTextInputView.fieldView.value ).to.equal( '' );
+				expect( formView.displayedTextInputView.isEnabled ).to.be.true;
+
+				formView.urlInputView.fieldView.value = 'http://ckeditor.com';
+
+				expect( formView.urlInputView.fieldView.value ).to.equal( 'http://ckeditor.com' );
+				expect( formView.displayedTextInputView.fieldView.value ).to.equal( '' );
+
+				formView.fire( 'submit' );
+
+				expect( executeSpy.calledOnce ).to.be.true;
+				expect( executeSpy.calledWithExactly(
+					'link',
+					'http://ckeditor.com',
+					{},
+					undefined
+				) ).to.be.true;
+
+				expect( getModelData( editor.model ) ).to.equal(
+					'<paragraph>fo<$text linkHref="http://ckeditor.com">http://ckeditor.com</$text>[]o</paragraph>'
+				);
+			} );
+
+			it( 'should populate form on open on non-collapsed selection in text', () => {
+				setModelData( editor.model, '<paragraph>f[o]o</paragraph>' );
+
+				const executeSpy = testUtils.sinon.spy( editor, 'execute' );
+
+				linkUIFeature._showUI(); // FormView
+
+				expect( formView.urlInputView.fieldView.value ).to.equal( '' );
+				expect( formView.displayedTextInputView.fieldView.value ).to.equal( 'o' );
+				expect( formView.displayedTextInputView.isEnabled ).to.be.true;
+
+				formView.urlInputView.fieldView.value = 'http://ckeditor.com';
+				formView.displayedTextInputView.fieldView.value = 'CKEditor 5';
+
+				expect( formView.urlInputView.fieldView.value ).to.equal( 'http://ckeditor.com' );
+				expect( formView.displayedTextInputView.fieldView.value ).to.equal( 'CKEditor 5' );
+
+				formView.fire( 'submit' );
+
+				expect( executeSpy.calledOnce ).to.be.true;
+				expect( executeSpy.calledWithExactly(
+					'link',
+					'http://ckeditor.com',
+					{},
+					'CKEditor 5'
+				) ).to.be.true;
+
+				expect( getModelData( editor.model ) ).to.equal(
+					'<paragraph>f[<$text linkHref="http://ckeditor.com">CKEditor 5</$text>]o</paragraph>'
+				);
+			} );
+
+			it( 'should populate form on open on non-collapsed selection in text (without providing displayed text)', () => {
+				setModelData( editor.model, '<paragraph>f[o]o</paragraph>' );
+
+				const executeSpy = testUtils.sinon.spy( editor, 'execute' );
+
+				linkUIFeature._showUI(); // FormView
+
+				expect( formView.urlInputView.fieldView.value ).to.equal( '' );
+				expect( formView.displayedTextInputView.fieldView.value ).to.equal( 'o' );
+				expect( formView.displayedTextInputView.isEnabled ).to.be.true;
 
-				expect( formView.urlInputView.fieldView.value ).to.be.undefined;
+				formView.urlInputView.fieldView.value = 'http://ckeditor.com';
+
+				expect( formView.urlInputView.fieldView.value ).to.equal( 'http://ckeditor.com' );
+				expect( formView.displayedTextInputView.fieldView.value ).to.equal( 'o' );
+
+				formView.fire( 'submit' );
+
+				expect( executeSpy.calledOnce ).to.be.true;
+				expect( executeSpy.calledWithExactly(
+					'link',
+					'http://ckeditor.com',
+					{},
+					undefined
+				) ).to.be.true;
+
+				expect( getModelData( editor.model ) ).to.equal(
+					'<paragraph>f[<$text linkHref="http://ckeditor.com">o</$text>]o</paragraph>'
+				);
+			} );
+
+			it( 'should populate form on open on collapsed selection in link', () => {
+				setModelData( editor.model, '<paragraph>fo<$text linkHref="abc">o[]b</$text>ar</paragraph>' );
+
+				const executeSpy = testUtils.sinon.spy( editor, 'execute' );
+
+				linkUIFeature._showUI(); // ToolbarView
+				linkUIFeature._showUI(); // FormView
+
+				expect( formView.urlInputView.fieldView.value ).to.equal( 'abc' );
+				expect( formView.displayedTextInputView.fieldView.value ).to.equal( 'ob' );
+				expect( formView.displayedTextInputView.isEnabled ).to.be.true;
+
+				formView.urlInputView.fieldView.value = 'http://ckeditor.com';
+				formView.displayedTextInputView.fieldView.value = 'CKEditor 5';
+
+				expect( formView.urlInputView.fieldView.value ).to.equal( 'http://ckeditor.com' );
+				expect( formView.displayedTextInputView.fieldView.value ).to.equal( 'CKEditor 5' );
+
+				formView.fire( 'submit' );
+
+				expect( executeSpy.calledOnce ).to.be.true;
+				expect( executeSpy.calledWithExactly(
+					'link',
+					'http://ckeditor.com',
+					{},
+					'CKEditor 5'
+				) ).to.be.true;
+
+				expect( getModelData( editor.model ) ).to.equal(
+					'<paragraph>fo<$text linkHref="http://ckeditor.com">CKEditor 5</$text>[]ar</paragraph>'
+				);
+			} );
+
+			it( 'should populate form on open on collapsed selection in link (without providing displayed text)', () => {
+				setModelData( editor.model, '<paragraph>fo<$text linkHref="abc">o[]b</$text>ar</paragraph>' );
+
+				const executeSpy = testUtils.sinon.spy( editor, 'execute' );
+
+				linkUIFeature._showUI(); // ToolbarView
+				linkUIFeature._showUI(); // FormView
+
+				expect( formView.urlInputView.fieldView.value ).to.equal( 'abc' );
+				expect( formView.displayedTextInputView.fieldView.value ).to.equal( 'ob' );
+				expect( formView.displayedTextInputView.isEnabled ).to.be.true;
+
+				formView.urlInputView.fieldView.value = 'http://ckeditor.com';
+
+				expect( formView.urlInputView.fieldView.value ).to.equal( 'http://ckeditor.com' );
+				expect( formView.displayedTextInputView.fieldView.value ).to.equal( 'ob' );
+
+				formView.fire( 'submit' );
+
+				expect( executeSpy.calledOnce ).to.be.true;
+				expect( executeSpy.calledWithExactly(
+					'link',
+					'http://ckeditor.com',
+					{},
+					undefined
+				) ).to.be.true;
+
+				expect( getModelData( editor.model ) ).to.equal(
+					'<paragraph>fo<$text linkHref="http://ckeditor.com">o[]b</$text>ar</paragraph>'
+				);
+			} );
+
+			it( 'should populate form on open on non-collapsed selection in link', () => {
+				setModelData( editor.model, '<paragraph>fo<$text linkHref="abc">[ob]</$text>ar</paragraph>' );
+
+				const executeSpy = testUtils.sinon.spy( editor, 'execute' );
+
+				linkUIFeature._showUI(); // ToolbarView
+				linkUIFeature._showUI(); // FormView
+
+				expect( formView.urlInputView.fieldView.value ).to.equal( 'abc' );
+				expect( formView.displayedTextInputView.fieldView.value ).to.equal( 'ob' );
+				expect( formView.displayedTextInputView.isEnabled ).to.be.true;
+
+				formView.urlInputView.fieldView.value = 'http://ckeditor.com';
+				formView.displayedTextInputView.fieldView.value = 'CKEditor 5';
+
+				expect( formView.urlInputView.fieldView.value ).to.equal( 'http://ckeditor.com' );
+				expect( formView.displayedTextInputView.fieldView.value ).to.equal( 'CKEditor 5' );
+
+				formView.fire( 'submit' );
+
+				expect( executeSpy.calledOnce ).to.be.true;
+				expect( executeSpy.calledWithExactly(
+					'link',
+					'http://ckeditor.com',
+					{},
+					'CKEditor 5'
+				) ).to.be.true;
+
+				expect( getModelData( editor.model ) ).to.equal(
+					'<paragraph>fo[<$text linkHref="http://ckeditor.com">CKEditor 5</$text>]ar</paragraph>'
+				);
+			} );
+
+			it( 'should populate form on open on non-collapsed selection in link (without providing displayed text)', () => {
+				setModelData( editor.model, '<paragraph>fo<$text linkHref="abc">[ob]</$text>ar</paragraph>' );
+
+				const executeSpy = testUtils.sinon.spy( editor, 'execute' );
+
+				linkUIFeature._showUI(); // ToolbarView
+				linkUIFeature._showUI(); // FormView
+
+				expect( formView.urlInputView.fieldView.value ).to.equal( 'abc' );
+				expect( formView.displayedTextInputView.fieldView.value ).to.equal( 'ob' );
+				expect( formView.displayedTextInputView.isEnabled ).to.be.true;
+
+				formView.urlInputView.fieldView.value = 'http://ckeditor.com';
+
+				expect( formView.urlInputView.fieldView.value ).to.equal( 'http://ckeditor.com' );
+				expect( formView.displayedTextInputView.fieldView.value ).to.equal( 'ob' );
+
+				formView.fire( 'submit' );
+
+				expect( executeSpy.calledOnce ).to.be.true;
+				expect( executeSpy.calledWithExactly(
+					'link',
+					'http://ckeditor.com',
+					{},
+					undefined
+				) ).to.be.true;
+
+				expect( getModelData( editor.model ) ).to.equal(
+					'<paragraph>fo[<$text linkHref="http://ckeditor.com">ob</$text>]ar</paragraph>'
+				);
+			} );
+
+			it( 'should populate form on open on collapsed selection in link with text matching href', () => {
+				setModelData( editor.model,
+					'<paragraph>fo<$text linkHref="http://cksource.com">http://ck[]source.com</$text>ar</paragraph>'
+				);
+
+				const executeSpy = testUtils.sinon.spy( editor, 'execute' );
+
+				linkUIFeature._showUI(); // ToolbarView
+				linkUIFeature._showUI(); // FormView
 
-				command.value = 'http://cksource.com';
 				expect( formView.urlInputView.fieldView.value ).to.equal( 'http://cksource.com' );
+				expect( formView.displayedTextInputView.fieldView.value ).to.equal( 'http://cksource.com' );
+				expect( formView.displayedTextInputView.isEnabled ).to.be.true;
+
+				formView.urlInputView.fieldView.value = 'http://ckeditor.com';
+
+				expect( formView.urlInputView.fieldView.value ).to.equal( 'http://ckeditor.com' );
+				expect( formView.displayedTextInputView.fieldView.value ).to.equal( 'http://cksource.com' );
+
+				formView.fire( 'submit' );
+
+				expect( executeSpy.calledOnce ).to.be.true;
+				expect( executeSpy.calledWithExactly(
+					'link',
+					'http://ckeditor.com',
+					{},
+					undefined
+				) ).to.be.true;
+
+				expect( getModelData( editor.model ) ).to.equal(
+					'<paragraph>fo<$text linkHref="http://ckeditor.com">http://ckeditor.com</$text>[]ar</paragraph>'
+				);
 			} );
 
-			it( 'should execute link command on formView#submit event', () => {
+			it( 'should populate form on open on collapsed selection in link with text matching href but styled', () => {
+				setModelData( editor.model,
+					'<paragraph>' +
+						'fo' +
+						'<$text linkHref="http://cksource.com">htt[]p://</$text>' +
+						'<$text linkHref="http://cksource.com" bold="true">cksource.com</$text>' +
+						'ar' +
+					'</paragraph>'
+				);
+
 				const executeSpy = testUtils.sinon.spy( editor, 'execute' );
 
+				linkUIFeature._showUI(); // ToolbarView
+				linkUIFeature._showUI(); // FormView
+
+				expect( formView.urlInputView.fieldView.value ).to.equal( 'http://cksource.com' );
+				expect( formView.displayedTextInputView.fieldView.value ).to.equal( 'http://cksource.com' );
+				expect( formView.displayedTextInputView.isEnabled ).to.be.true;
+
 				formView.urlInputView.fieldView.value = 'http://ckeditor.com';
+
 				expect( formView.urlInputView.fieldView.value ).to.equal( 'http://ckeditor.com' );
+				expect( formView.displayedTextInputView.fieldView.value ).to.equal( 'http://cksource.com' );
 
-				formView.urlInputView.fieldView.value = 'http://cksource.com';
 				formView.fire( 'submit' );
 
 				expect( executeSpy.calledOnce ).to.be.true;
-				expect( executeSpy.calledWithExactly( 'link', 'http://cksource.com', {
-					linkDecorator1: false,
-					linkDecorator2: true,
-					linkDecorator3: false
-				} ) ).to.be.true;
+				expect( executeSpy.calledWithExactly(
+					'link',
+					'http://ckeditor.com',
+					{},
+					undefined
+				) ).to.be.true;
+
+				expect( getModelData( editor.model ) ).to.equal(
+					'<paragraph>fo<$text linkHref="http://ckeditor.com">http://ckeditor.com</$text>[]ar</paragraph>'
+				);
 			} );
 
-			it( 'should should clear the fake visual selection on formView#submit event', () => {
+			it( 'should populate form on open on collapsed selection in link with text matching href but styled' +
+				'and update text', () => {
+				setModelData( editor.model,
+					'<paragraph>' +
+						'fo' +
+						'<$text linkHref="http://cksource.com">htt[]p://</$text>' +
+						'<$text linkHref="http://cksource.com" bold="true">cksource.com</$text>' +
+						'ar' +
+					'</paragraph>'
+				);
+
+				const executeSpy = testUtils.sinon.spy( editor, 'execute' );
+
+				linkUIFeature._showUI(); // ToolbarView
+				linkUIFeature._showUI(); // FormView
+
+				expect( formView.urlInputView.fieldView.value ).to.equal( 'http://cksource.com' );
+				expect( formView.displayedTextInputView.fieldView.value ).to.equal( 'http://cksource.com' );
+				expect( formView.displayedTextInputView.isEnabled ).to.be.true;
+
+				formView.displayedTextInputView.fieldView.value = 'CKSource';
+
+				expect( formView.urlInputView.fieldView.value ).to.equal( 'http://cksource.com' );
+				expect( formView.displayedTextInputView.fieldView.value ).to.equal( 'CKSource' );
+
+				formView.fire( 'submit' );
+
+				expect( executeSpy.calledOnce ).to.be.true;
+				expect( executeSpy.calledWithExactly(
+					'link',
+					'http://cksource.com',
+					{},
+					'CKSource'
+				) ).to.be.true;
+
+				expect( getModelData( editor.model ) ).to.equal(
+					'<paragraph>fo<$text linkHref="http://cksource.com">CKSource</$text>[]ar</paragraph>'
+				);
+			} );
+
+			it( 'should disable displayed text field on multi block select', () => {
+				setModelData( editor.model,
+					'<paragraph>f[oo</paragraph>' +
+					'<paragraph>ba]r</paragraph>'
+				);
+
+				linkUIFeature._showUI(); // ToolbarView
+				linkUIFeature._showUI(); // FormView
+
+				expect( formView.urlInputView.fieldView.value ).to.equal( '' );
+				expect( formView.displayedTextInputView.fieldView.value ).to.equal( '' );
+				expect( formView.displayedTextInputView.isEnabled ).to.be.false;
+			} );
+
+			it( 'should disable displayed text field if it can not be modified as a plain text', () => {
+				linkUIFeature.selectedLinkableText = undefined;
+				expect( formView.displayedTextInputView.isEnabled ).to.be.false;
+
+				linkUIFeature.selectedLinkableText = '';
+				expect( formView.displayedTextInputView.isEnabled ).to.be.true;
+
+				linkUIFeature.selectedLinkableText = 'foo';
+				expect( formView.displayedTextInputView.isEnabled ).to.be.true;
+
+				linkUIFeature.selectedLinkableText = undefined;
+				expect( formView.displayedTextInputView.isEnabled ).to.be.false;
+			} );
+
+			it( 'should clear the fake visual selection on formView#submit event', () => {
 				linkUIFeature._showUI();
 				expect( editor.model.markers.has( 'link-ui' ) ).to.be.true;
 
@@ -2181,67 +2566,65 @@ describe( 'LinkUI', () => {
 			} );
 
 			describe( 'support manual decorators', () => {
-				let editorElement, editor, model, formView, advancedView, linkUIFeature;
+				let editorElement, editor, model, formView, propertiesView, linkUIFeature;
 
-				beforeEach( () => {
+				beforeEach( async () => {
 					editorElement = document.createElement( 'div' );
 					document.body.appendChild( editorElement );
-					return ClassicTestEditor
-						.create( editorElement, {
-							plugins: [ LinkEditing, LinkUI, Paragraph ],
-							link: {
-								decorators: {
-									decorator1: {
-										mode: 'manual',
-										label: 'Foo',
-										attributes: {
-											foo: 'bar'
-										}
-									},
-									decorator2: {
-										mode: 'manual',
-										label: 'Download',
-										attributes: {
-											download: 'download'
-										},
-										defaultValue: true
+
+					editor = await ClassicTestEditor.create( editorElement, {
+						plugins: [ LinkEditing, LinkUI, Paragraph ],
+						link: {
+							decorators: {
+								decorator1: {
+									mode: 'manual',
+									label: 'Foo',
+									attributes: {
+										foo: 'bar'
+									}
+								},
+								decorator2: {
+									mode: 'manual',
+									label: 'Download',
+									attributes: {
+										download: 'download'
 									},
-									decorator3: {
-										mode: 'manual',
-										label: 'Multi',
-										attributes: {
-											class: 'fancy-class',
-											target: '_blank',
-											rel: 'noopener noreferrer'
-										}
+									defaultValue: true
+								},
+								decorator3: {
+									mode: 'manual',
+									label: 'Multi',
+									attributes: {
+										class: 'fancy-class',
+										target: '_blank',
+										rel: 'noopener noreferrer'
 									}
 								}
 							}
-						} )
-						.then( newEditor => {
-							editor = newEditor;
-							model = editor.model;
+						}
+					} );
 
-							model.schema.extend( '$text', {
-								allowIn: '$root',
-								allowAttributes: 'linkHref'
-							} );
+					model = editor.model;
 
-							linkUIFeature = editor.plugins.get( LinkUI );
-							linkUIFeature._createViews();
+					model.schema.extend( '$text', {
+						allowIn: '$root',
+						allowAttributes: 'linkHref'
+					} );
 
-							const balloon = editor.plugins.get( ContextualBalloon );
+					linkUIFeature = editor.plugins.get( LinkUI );
+					linkUIFeature._createViews();
 
-							formView = linkUIFeature.formView;
-							advancedView = linkUIFeature.advancedView;
+					const balloon = editor.plugins.get( ContextualBalloon );
 
-							// There is no point to execute BalloonPanelView attachTo and pin methods so lets override it.
-							testUtils.sinon.stub( balloon.view, 'attachTo' ).returns( {} );
-							testUtils.sinon.stub( balloon.view, 'pin' ).returns( {} );
+					formView = linkUIFeature.formView;
+					propertiesView = linkUIFeature.propertiesView;
 
-							formView.render();
-							advancedView.render();
-						} );
+					// There is no point to execute BalloonPanelView attachTo and pin methods so lets override it.
+					testUtils.sinon.stub( balloon.view, 'attachTo' ).returns( {} );
+					testUtils.sinon.stub( balloon.view, 'pin' ).returns( {} );
+
+					formView.render();
+					propertiesView.render();
 				} );
 
 				afterEach( () => {
@@ -2253,7 +2636,12 @@ describe( 'LinkUI', () => {
 					const executeSpy = testUtils.sinon.spy( editor, 'execute' );
 
 					setModelData( model, 'f[<$text linkHref="url" linkDecorator1="true">ooba</$text>]r' );
+
+					linkUIFeature._showUI( true ); // ToolbarView
+					linkUIFeature._showUI( true ); // FormView
+
 					expect( formView.urlInputView.fieldView.element.value ).to.equal( 'url' );
+					expect( formView.displayedTextInputView.fieldView.value ).to.equal( 'ooba' );
 					expect( linkUIFeature._getDecoratorSwitchesState() ).to.deep.equal( {
 						linkDecorator1: true,
 						linkDecorator2: false,
@@ -2261,83 +2649,75 @@ describe( 'LinkUI', () => {
 					} );
 
 					// Switch the first decorator on.
-					advancedView.listChildren.get( 1 ).fire( 'execute' );
-					formView.fire( 'submit' );
+					linkUIFeature._createPropertiesView();
+					propertiesView.listChildren.get( 1 ).fire( 'execute' );
 
 					sinon.assert.calledOnce( executeSpy );
-					sinon.assert.calledWithExactly( executeSpy, 'link', 'url', {
-						linkDecorator1: true,
-						linkDecorator2: true,
-						linkDecorator3: false
-					} );
+					sinon.assert.calledWithExactly(
+						executeSpy,
+						'link',
+						'url',
+						{
+							linkDecorator1: true,
+							linkDecorator2: true,
+							linkDecorator3: false
+						}
+					);
 				} );
 
-				it( 'should reset switch state when form view is closed', () => {
+				it( 'should keep switch state when form is closed', () => {
 					setModelData( model, 'f[<$text linkHref="url" linkIsFoo="true">ooba</$text>]r' );
 
+					linkUIFeature._createPropertiesView();
+
 					const manualDecorators = editor.commands.get( 'link' ).manualDecorators;
 					const firstDecoratorModel = manualDecorators.first;
-					const firstDecoratorSwitch = advancedView.listChildren.first;
+					const firstDecoratorSwitch = propertiesView.listChildren.first;
 
 					expect( firstDecoratorModel.value, 'Initial value should be read from the model (true)' ).to.be.undefined;
 					expect( firstDecoratorSwitch.isOn, 'Initial value should be read from the model (true)' ).to.be.false;
 
 					firstDecoratorSwitch.fire( 'execute' );
+
 					expect( firstDecoratorModel.value, 'Pressing button toggles value' ).to.be.true;
 					expect( firstDecoratorSwitch.isOn, 'Pressing button toggles value' ).to.be.true;
 
 					linkUIFeature._closeFormView();
-					expect( firstDecoratorModel.value, 'Close form view without submit resets value to initial state' ).to.be.undefined;
-					expect( firstDecoratorSwitch.isOn, 'Close form view without submit resets value to initial state' ).to.be.false;
+
+					expect( firstDecoratorModel.value ).to.be.true;
+					expect( firstDecoratorSwitch.isOn ).to.be.true;
 				} );
 
 				it( 'switch buttons reflects state of manual decorators', () => {
-					expect( linkUIFeature.advancedView.listChildren.length ).to.equal( 3 );
+					expect( linkUIFeature.propertiesView.listChildren.length ).to.equal( 3 );
 
-					expect( linkUIFeature.advancedView.listChildren.get( 0 ) ).to.deep.include( {
+					expect( linkUIFeature.propertiesView.listChildren.get( 0 ) ).to.deep.include( {
 						label: 'Foo',
 						isOn: false
 					} );
-					expect( linkUIFeature.advancedView.listChildren.get( 1 ) ).to.deep.include( {
+					expect( linkUIFeature.propertiesView.listChildren.get( 1 ) ).to.deep.include( {
 						label: 'Download',
 						isOn: true
 					} );
-					expect( linkUIFeature.advancedView.listChildren.get( 2 ) ).to.deep.include( {
+					expect( linkUIFeature.propertiesView.listChildren.get( 2 ) ).to.deep.include( {
 						label: 'Multi',
 						isOn: false
 					} );
 				} );
 
 				it( 'reacts on switch button changes', () => {
+					setModelData( model, 'f[<$text linkHref="url" linkDecorator1="true">ooba</$text>]r' );
+
 					const linkCommand = editor.commands.get( 'link' );
 					const modelItem = linkCommand.manualDecorators.first;
-					const viewItem = linkUIFeature.advancedView.listChildren.first;
-
-					expect( modelItem.value ).to.be.undefined;
-					expect( viewItem.isOn ).to.be.false;
-
-					viewItem.element.dispatchEvent( new Event( 'click' ) );
+					const viewItem = linkUIFeature.propertiesView.listChildren.first;
 
 					expect( modelItem.value ).to.be.true;
 					expect( viewItem.isOn ).to.be.true;
 
 					viewItem.element.dispatchEvent( new Event( 'click' ) );
 
-					expect( modelItem.value ).to.be.false;
-					expect( viewItem.isOn ).to.be.false;
-				} );
-
-				it( 'reacts on switch button changes for the decorator with defaultValue', () => {
-					const linkCommand = editor.commands.get( 'link' );
-					const modelItem = linkCommand.manualDecorators.get( 1 );
-					const viewItem = linkUIFeature.advancedView.listChildren.get( 1 );
-
 					expect( modelItem.value ).to.be.undefined;
-					expect( viewItem.isOn ).to.be.true;
-
-					viewItem.element.dispatchEvent( new Event( 'click' ) );
-
-					expect( modelItem.value ).to.be.false;
 					expect( viewItem.isOn ).to.be.false;
 
 					viewItem.element.dispatchEvent( new Event( 'click' ) );
@@ -2348,21 +2728,23 @@ describe( 'LinkUI', () => {
 
 				describe( '_getDecoratorSwitchesState()', () => {
 					it( 'should provide object with decorators states', () => {
+						setModelData( model, 'f[<$text linkHref="url" linkDecorator1="true">ooba</$text>]r' );
+
 						expect( linkUIFeature._getDecoratorSwitchesState() ).to.deep.equal( {
-							linkDecorator1: false,
-							linkDecorator2: true,
+							linkDecorator1: true,
+							linkDecorator2: false,
 							linkDecorator3: false
 						} );
 
-						linkUIFeature.advancedView.listChildren.map( item => {
+						linkUIFeature.propertiesView.listChildren.map( item => {
 							item.element.dispatchEvent( new Event( 'click' ) );
 						} );
 
-						linkUIFeature.advancedView.listChildren.get( 2 ).element.dispatchEvent( new Event( 'click' ) );
+						linkUIFeature.propertiesView.listChildren.get( 2 ).element.dispatchEvent( new Event( 'click' ) );
 
 						expect( linkUIFeature._getDecoratorSwitchesState() ).to.deep.equal( {
-							linkDecorator1: true,
-							linkDecorator2: false,
+							linkDecorator1: false,
+							linkDecorator2: true,
 							linkDecorator3: false
 						} );
 					} );
@@ -2434,57 +2816,53 @@ describe( 'LinkUI', () => {
 		} );
 	} );
 
-	describe( 'advanced view', () => {
-		it( 'is not visible if there are no decorators', () => {
-			setModelData( editor.model, '<paragraph>f[o]o</paragraph>' );
-
-			editor.commands.get( 'link' ).manualDecorators.clear();
-
-			linkUIFeature._showUI();
-
-			expect( linkUIFeature.formView.settingsButtonView.isVisible ).to.be.false;
+	describe( 'properties view', () => {
+		beforeEach( () => {
+			editor.commands.get( 'link' ).manualDecorators.add( new ManualDecorator( {
+				id: 'linkIsBar',
+				label: 'Bar',
+				attributes: {
+					target: '_blank'
+				}
+			} ) );
 		} );
 
-		it( 'can be opened by clicking the settings button', () => {
+		it( 'can be closed by clicking the back button', () => {
 			const spy = sinon.spy();
 
 			setModelData( editor.model, '<paragraph>f[o]o</paragraph>' );
 
 			linkUIFeature._showUI();
-			linkUIFeature.listenTo( linkUIFeature.formView.settingsButtonView, 'execute', spy );
-			linkUIFeature.formView.settingsButtonView.fire( 'execute' );
-
-			sinon.assert.calledOnce( spy );
-			expect( balloon.visibleView ).to.equal( linkUIFeature.advancedView );
-		} );
+			linkUIFeature._addPropertiesView();
 
-		it( 'can be closed by clicking the back button', () => {
-			const spy = sinon.spy();
+			expect( balloon.visibleView ).to.equal( linkUIFeature.propertiesView );
 
-			setModelData( editor.model, '<paragraph>f[o]o</paragraph>' );
+			linkUIFeature.listenTo( linkUIFeature.propertiesView, 'back', spy );
 
-			linkUIFeature._showUI();
-			linkUIFeature.listenTo( linkUIFeature.advancedView, 'back', spy );
-			linkUIFeature.formView.settingsButtonView.fire( 'execute' );
-			linkUIFeature.advancedView.backButtonView.fire( 'execute' );
+			const removeBalloonSpy = sinon.spy( balloon, 'remove' );
+			linkUIFeature.propertiesView.backButtonView.fire( 'execute' );
 
 			sinon.assert.calledOnce( spy );
-			expect( balloon.visibleView ).to.equal( linkUIFeature.formView );
+			expect( removeBalloonSpy ).to.be.calledWithExactly( linkUIFeature.propertiesView );
 		} );
 
 		it( 'can be closed by clicking the "esc" button', () => {
 			setModelData( editor.model, '<paragraph>f[o]o</paragraph>' );
 
 			linkUIFeature._showUI();
-			linkUIFeature.formView.settingsButtonView.fire( 'execute' );
+			linkUIFeature._addPropertiesView();
 
-			linkUIFeature.advancedView.keystrokes.press( {
+			expect( balloon.visibleView ).to.equal( linkUIFeature.propertiesView );
+
+			const removeBalloonSpy = sinon.spy( balloon, 'remove' );
+
+			linkUIFeature.propertiesView.keystrokes.press( {
 				keyCode: keyCodes.esc,
 				preventDefault: sinon.spy(),
 				stopPropagation: sinon.spy()
 			} );
 
-			expect( balloon.visibleView ).to.equal( linkUIFeature.formView );
+			expect( removeBalloonSpy ).to.be.calledWithExactly( linkUIFeature.propertiesView );
 		} );
 	} );
 } );
@@ -2494,24 +2872,20 @@ describe( 'LinkUI with Bookmark', () => {
 
 	testUtils.createSinonSandbox();
 
-	beforeEach( () => {
+	beforeEach( async () => {
 		editorElement = document.createElement( 'div' );
 		document.body.appendChild( editorElement );
 
-		return ClassicTestEditor
-			.create( editorElement, {
-				plugins: [ Essentials, LinkEditing, LinkUI, Paragraph, BlockQuote, Bookmark ]
-			} )
-			.then( newEditor => {
-				editor = newEditor;
+		editor = await ClassicTestEditor.create( editorElement, {
+			plugins: [ Essentials, LinkEditing, LinkUI, Paragraph, BlockQuote, Bookmark ]
+		} );
 
-				linkUIFeature = editor.plugins.get( LinkUI );
-				balloon = editor.plugins.get( ContextualBalloon );
+		linkUIFeature = editor.plugins.get( LinkUI );
+		balloon = editor.plugins.get( ContextualBalloon );
 
-				// There is no point to execute BalloonPanelView attachTo and pin methods so lets override it.
-				testUtils.sinon.stub( balloon.view, 'attachTo' ).returns( {} );
-				testUtils.sinon.stub( balloon.view, 'pin' ).returns( {} );
-			} );
+		// There is no point to execute BalloonPanelView attachTo and pin methods so lets override it.
+		testUtils.sinon.stub( balloon.view, 'attachTo' ).returns( {} );
+		testUtils.sinon.stub( balloon.view, 'pin' ).returns( {} );
 	} );
 
 	afterEach( () => {
@@ -2600,6 +2974,31 @@ describe( 'LinkUI with Bookmark', () => {
 				expect( linkUIFeature._balloon.visibleView ).to.be.equal( linkUIFeature.formView );
 				expect( focusSpy.calledOnce ).to.be.true;
 			} );
+
+			it( 'should clear the error message that appears on first attempt of submit the form ' +
+					'when next action is executed after clicking the bookmark button', () => {
+				linkUIFeature._createViews();
+				const formView = linkUIFeature.formView;
+				formView.render();
+
+				setModelData( editor.model, '<paragraph>[foo]</paragraph>' );
+				linkUIFeature._showUI();
+
+				formView.fire( 'submit' );
+
+				expect( formView.urlInputView.errorText ).to.be.equal( 'Link URL must not be empty.' );
+				// First button from the list with bookmark name 'aaa'.
+				const bookmarkButton = bookmarksView.listChildren.get( 0 );
+				const focusSpy = testUtils.sinon.spy( linkUIFeature.formView, 'focus' );
+
+				bookmarkButton.fire( 'execute' );
+
+				expect( linkUIFeature.formView.urlInputView.fieldView.value ).is.equal( '#aaa' );
+				expect( linkUIFeature._balloon.visibleView ).to.be.equal( linkUIFeature.formView );
+				expect( focusSpy.calledOnce ).to.be.true;
+
+				expect( formView.urlInputView.errorText ).to.be.null;
+			} );
 		} );
 	} );
 
diff --git a/packages/ckeditor5-link/tests/ui/linkformview.js b/packages/ckeditor5-link/tests/ui/linkformview.js
index c80b7334bcc..05cafe75d41 100644
--- a/packages/ckeditor5-link/tests/ui/linkformview.js
+++ b/packages/ckeditor5-link/tests/ui/linkformview.js
@@ -37,7 +37,6 @@ describe( 'LinkFormView', () => {
 
 		it( 'should create child views', () => {
 			expect( view.backButtonView ).to.be.instanceOf( View );
-			expect( view.settingsButtonView ).to.be.instanceOf( View );
 			expect( view.saveButtonView ).to.be.instanceOf( View );
 			expect( view.displayedTextInputView ).to.be.instanceOf( View );
 			expect( view.urlInputView ).to.be.instanceOf( View );
@@ -79,7 +78,6 @@ describe( 'LinkFormView', () => {
 				 * 	header
 				 * 		backButtonView
 				 * 		label
-				 * 		settingsButtonView
 				 * 	div
 				 * 		displayedTextInputView
 				 * 		div
@@ -100,7 +98,6 @@ describe( 'LinkFormView', () => {
 				const formChildren = view.template.children[ 0 ].get( 1 ).template.children[ 0 ];
 
 				expect( headerChildren.get( 0 ) ).to.equal( view.backButtonView );
-				expect( headerChildren.get( 2 ) ).to.equal( view.settingsButtonView );
 				expect( formChildren.last.template.children[ 1 ] ).to.equal( view.saveButtonView );
 			} );
 		} );
@@ -112,7 +109,6 @@ describe( 'LinkFormView', () => {
 				view.urlInputView,
 				view.saveButtonView,
 				view.backButtonView,
-				view.settingsButtonView,
 				view.displayedTextInputView
 			] );
 		} );
@@ -126,8 +122,7 @@ describe( 'LinkFormView', () => {
 			sinon.assert.calledWithExactly( spy.getCall( 0 ), view.urlInputView.element );
 			sinon.assert.calledWithExactly( spy.getCall( 1 ), view.saveButtonView.element );
 			sinon.assert.calledWithExactly( spy.getCall( 2 ), view.backButtonView.element );
-			sinon.assert.calledWithExactly( spy.getCall( 3 ), view.settingsButtonView.element );
-			sinon.assert.calledWithExactly( spy.getCall( 4 ), view.displayedTextInputView.element );
+			sinon.assert.calledWithExactly( spy.getCall( 3 ), view.displayedTextInputView.element );
 
 			view.destroy();
 		} );
@@ -325,8 +320,7 @@ describe( 'LinkFormView', () => {
 			sinon.assert.calledWithExactly( spy.getCall( 1 ), view.saveButtonView.element );
 			sinon.assert.calledWithExactly( spy.getCall( 2 ), element );
 			sinon.assert.calledWithExactly( spy.getCall( 3 ), view.backButtonView.element );
-			sinon.assert.calledWithExactly( spy.getCall( 4 ), view.settingsButtonView.element );
-			sinon.assert.calledWithExactly( spy.getCall( 5 ), view.displayedTextInputView.element );
+			sinon.assert.calledWithExactly( spy.getCall( 4 ), view.displayedTextInputView.element );
 
 			view.destroy();
 		} );
diff --git a/packages/ckeditor5-link/tests/ui/linkadvancedview.js b/packages/ckeditor5-link/tests/ui/linkpropertiesview.js
similarity index 96%
rename from packages/ckeditor5-link/tests/ui/linkadvancedview.js
rename to packages/ckeditor5-link/tests/ui/linkpropertiesview.js
index 9586282ffb6..ba403b7638b 100644
--- a/packages/ckeditor5-link/tests/ui/linkadvancedview.js
+++ b/packages/ckeditor5-link/tests/ui/linkpropertiesview.js
@@ -18,12 +18,12 @@ import {
 	SwitchButtonView
 } from '@ckeditor/ckeditor5-ui';
 import testUtils from '@ckeditor/ckeditor5-core/tests/_utils/utils.js';
-import LinkAdvancedView from '../../src/ui/linkadvancedview.js';
+import LinkPropertiesView from '../../src/ui/linkpropertiesview.js';
 import ManualDecorator from '../../src/utils/manualdecorator.js';
 
 const mockLocale = { t: val => val };
 
-describe( 'LinkAdvancedView', () => {
+describe( 'LinkPropertiesView', () => {
 	let view, collection, linkCommand, decorator1, decorator2, decorator3;
 
 	testUtils.createSinonSandbox();
@@ -64,7 +64,7 @@ describe( 'LinkAdvancedView', () => {
 			decorator3
 		] );
 
-		view = new LinkAdvancedView( mockLocale );
+		view = new LinkPropertiesView( mockLocale );
 
 		view.listChildren.bindTo( collection ).using( decorator => {
 			const button = new SwitchButtonView();
@@ -159,7 +159,7 @@ describe( 'LinkAdvancedView', () => {
 		} );
 
 		it( 'starts listening for #keystrokes coming from #element', () => {
-			const view = new LinkAdvancedView( mockLocale, linkCommand );
+			const view = new LinkPropertiesView( mockLocale, linkCommand );
 			const spy = sinon.spy( view.keystrokes, 'listenTo' );
 
 			view.render();
diff --git a/packages/ckeditor5-link/tests/utils.js b/packages/ckeditor5-link/tests/utils.js
index 40373d6d8da..6dd59d7c8f7 100644
--- a/packages/ckeditor5-link/tests/utils.js
+++ b/packages/ckeditor5-link/tests/utils.js
@@ -6,6 +6,7 @@
 /* global window */
 
 import VirtualTestEditor from '@ckeditor/ckeditor5-core/tests/_utils/virtualtesteditor.js';
+import ModelTestEditor from '@ckeditor/ckeditor5-core/tests/_utils/modeltesteditor.js';
 import ViewDocument from '@ckeditor/ckeditor5-engine/src/view/document.js';
 import ViewDowncastWriter from '@ckeditor/ckeditor5-engine/src/view/downcastwriter.js';
 import AttributeElement from '@ckeditor/ckeditor5-engine/src/view/attributeelement.js';
@@ -13,6 +14,10 @@ import ContainerElement from '@ckeditor/ckeditor5-engine/src/view/containereleme
 import Text from '@ckeditor/ckeditor5-engine/src/view/text.js';
 import Schema from '@ckeditor/ckeditor5-engine/src/model/schema.js';
 import ModelElement from '@ckeditor/ckeditor5-engine/src/model/element.js';
+import Paragraph from '@ckeditor/ckeditor5-paragraph/src/paragraph.js';
+import BoldEditing from '@ckeditor/ckeditor5-basic-styles/src/bold/boldediting.js';
+import { setData as setModelData } from '@ckeditor/ckeditor5-engine/src/dev-utils/model.js';
+
 import {
 	createLinkElement,
 	isLinkElement,
@@ -23,7 +28,8 @@ import {
 	addLinkProtocolIfApplicable,
 	openLink,
 	isScrollableToTarget,
-	scrollToTarget
+	scrollToTarget,
+	extractTextFromLinkRange
 } from '../src/utils.js';
 
 describe( 'utils', () => {
@@ -472,4 +478,74 @@ describe( 'utils', () => {
 			} );
 		} );
 	} );
+
+	describe( 'extractTextFromLinkRange()', () => {
+		let editor;
+
+		beforeEach( async () => {
+			function InlineWidget( editor ) {
+				editor.model.schema.register( 'inlineWidget', { inheritAllFrom: '$inlineObject' } );
+				editor.conversion.elementToElement( {
+					view: { name: 'span', class: 'foo' },
+					model: 'inlineWidget'
+				} );
+			}
+
+			editor = await ModelTestEditor.create( {
+				plugins: [ Paragraph, InlineWidget, BoldEditing ]
+			} );
+		} );
+
+		afterEach( async () => {
+			await editor.destroy();
+		} );
+
+		it( 'should extract text from range', () => {
+			setModelData( editor.model, '<paragraph>foo[bar]baz</paragraph>' );
+
+			const text = extractTextFromLinkRange( editor.model.document.selection.getFirstRange() );
+
+			expect( text ).to.equal( 'bar' );
+		} );
+
+		it( 'should extract text from range even when split into multiple text nodes with different style', () => {
+			setModelData( editor.model,
+				'<paragraph>' +
+					'abc[fo' +
+					'<$text bold="true">ob</$text>' +
+					'ar]def' +
+				'</paragraph>'
+			);
+
+			expect( editor.model.document.getRoot().getChild( 0 ).childCount ).to.equal( 3 );
+
+			const text = extractTextFromLinkRange( editor.model.document.selection.getFirstRange() );
+
+			expect( text ).to.equal( 'foobar' );
+		} );
+
+		it( 'should return undefined if range includes an inline object', () => {
+			setModelData( editor.model, '<paragraph>foo[ba<inlineWidget></inlineWidget>r]baz</paragraph>' );
+
+			const text = extractTextFromLinkRange( editor.model.document.selection.getFirstRange() );
+
+			expect( text ).to.be.undefined;
+		} );
+
+		it( 'should return undefined if range is on an inline object', () => {
+			setModelData( editor.model, '<paragraph>fooba[<inlineWidget></inlineWidget>]rbaz</paragraph>' );
+
+			const text = extractTextFromLinkRange( editor.model.document.selection.getFirstRange() );
+
+			expect( text ).to.be.undefined;
+		} );
+
+		it( 'should return undefined if range is spanning multiple blocks', () => {
+			setModelData( editor.model, '<paragraph>f[oo</paragraph><paragraph>ba]z</paragraph>' );
+
+			const text = extractTextFromLinkRange( editor.model.document.selection.getFirstRange() );
+
+			expect( text ).to.be.undefined;
+		} );
+	} );
 } );
diff --git a/scripts/clean-up-svg-icons.mjs b/scripts/clean-up-svg-icons.mjs
index 2ec1aa6b511..a7f215cc44a 100644
--- a/scripts/clean-up-svg-icons.mjs
+++ b/scripts/clean-up-svg-icons.mjs
@@ -46,6 +46,7 @@ import { execSync } from 'child_process';
 // A list of icons that should not NOT be cleaned up. Their internal structure should not be changed
 // because, for instance, CSS animations may depend on it.
 const EXCLUDED_ICONS = [
+	'settings.svg',
 	'return-arrow.svg',
 	'project-logo.svg'
 ];