First off:
Trigger settings is for how the block is 'triggered' to spawn an item.
In the 'destroy' command prompt, tell the block to be "destroyed" so that you get your breaking effect. Then you can tell it to "change" the block (by "change" I mean just replace the block with a new one, to do so, just say, "Change Block (ID), (ID)." If you have multiple blocks in the view, don't include an idea for the first ID spot.) and lastly, tell it to change the block's sprite. This way you don't have to create multiple blocks to make this work.
If the change command doesn't work, just tell it to spawn a new replacement block over itself. That would be, "spawn block (ID), self."