Oh uh… it sounds like you are playing the $25 0.81 early alpha preview build of the game which you downloaded off of f95 (or another site which hosts pirated content), which is currently a beta version that doesn’t have all the flags working, not the demo. This is working as intended for a preview build.
If you’re a $25 backer, you can ask on Patreon for support in the future and don’t need to post on the itch.io page! If you’re not, I’m sorry it’s bugged, but when people post these early versions they aren’t supposed to be full releases so you’re going to end up with bugs like that.