Is that the only place where you do not see the favicons?

Do you see favicons on the tab bar and in the Bookmarks/History Manager (Library)?

Are you possibly using code in userChrome.css that could affect this?

• http://kb.mozillazine.org/userChrome.css

Start Firefox in Safe Mode to check if one of the extensions ("3-bar" menu button or Tools -> Add-ons -> Extensions) or if hardware acceleration is causing the problem.

• switch to the DEFAULT theme: "3-bar" menu button or Tools -> Add-ons -> Appearance
• do NOT click the "Refresh Firefox" button on the Safe Mode start window

• https://support.mozilla.org/en-US/kb/troubleshoot-firefox-issues-using-safe-mode
• https://support.mozilla.org/en-US/kb/troubleshoot-extensions-themes-to-fix-problems

It's happening only in "Recently Closed Tabs".

In bookmarks and tabs I can see the favicons.

One more problem is that there's nothing in Show All History (Library) - I haven't cleared recent history though.

Disabling hardware acceleration didn't help.

I'm not sure how to check code in userChrome.css - Even after reading the tutorial I couldn't understand how to create and delete userChrome.css

I do have the latest version of Chrome and it has NO extensions.

You do not need to create a userChrome.css. If the chrome folder and the userChrome.css and userContent.css files isn't present then this doesn't apply and you can ignore it.

If there are problems with the history or bookmarks then check for problems with the places.sqlite database in the Firefox profile folder.

• use "Verify Integrity" on the "Help -> Troubleshooting Information" (about:support) page

See also:

• http://kb.mozillazine.org/Locked_or_damaged_places.sqlite
• https://support.mozilla.org/en-US/kb/Bookmarks+not+saved#w_fix-the-bookmarks-file

"Verify integrity" and two other links you sent didn't help me in finding Library.