On iOS 10, when you go to select a wallpaper, you can select live photos. Then on the preview screen, there is a segmented control that allows you to choose from:
However, "still" is preselected and I can't tap on perspective or live. Tapping on the segmented control animates the live photo but it doesn't select what you are tapping. I have an iPhone 7 running iOS 10.0.3.
Is this due to some other setting or is it a really nasty bug? Force-quitting settings didn't help.