In case you create new items one by one, when creating the action "Create..." you can choose a dashboard to open when the action is run.
In this dashboard you will publish a module dimensioned by the list in which you have added the new item;
The view should have applied a filter on the new items (or those with BLANK Display Name property) and a line item in which you can input the name to display for those items.
Then you should run a process to copy the text from the module to the list or link the property in the list to the module line item via formula.
Anyway, to avoid showing the #ID on items without a Display Name, you can apply a formula in the list property that references the module explained above, and in case of blank you can put a default name.
Sometimes, you need to adjust the "process" to achieve the most streamline approach and educate/inform the user.
Using a standard import process allows you to have more actions running as well as validations to ensure that invalid entries are not created (using a filtered view or DCA). You can't stop the process from being run, but you can prevent items being adding during the process