How to Fix the Windows Terminal Error "Found a profile with an invalid 'icon'. Defaulting that profile to have no icon."
This is an issue I have run into a few times after repeatedly installing and removing various versions of Linux on WSL.

Encountered errors while loading user settings
Found a profile with an invalid "icon". Defaulting that profile to have no icon. Make sure when setting an "icon", the value is a valid file path to an image.
This post is a report on the cause of this error and how to fix it.
Cause
A no-longer-used "zombie" profile remains behind in Windows Terminal (in its cache).
Fix
To get rid of this message, I had to reset the profiles once.
Note: be aware that your existing profile settings may be lost.
Step 1: Close Windows Terminal
Close all Windows Terminal windows completely.
Step 2: Delete settings.json
In File Explorer, navigate to the folder containing settings.json and delete the file.
%LOCALAPPDATA%\Packages\Microsoft.WindowsTerminal_8wekyb3d8bbwe\LocalState\
Step 3: Clear the Windows Terminal "cache"
Open the following folder and delete all files inside it.
%LOCALAPPDATA%\Microsoft\Windows Terminal\
Step 4: Restart Windows Terminal
After restarting Windows Terminal, the zombie profile was gone and the error disappeared as well.