What about the split flywheel key Vito's sells a degree key to advance the timing?
It moves the flywheel forward 4 degrees to pass by the trigger coil earlier compared to the crankshaft.
It's just weaker and more likely to strip than a regular keyway.
Plus it's super easy to slot the stator plate to move the timing instead of messing with the key.
The reason the timing didn't move when you moved the flywheel is because you were moving what you were shining the timing light at. You were advancing the timing (ignition event compared to the piston/crank position) by moving the flywheel timing but you can't see the piston/ crank position from the outside. You would move the flywheel and the light would show the flywheel at the same position because the trigger position is at the same location inside the flyhweel so the timing light is showing the same place.
If you were shining the timing light at the clutch gear, it would have moved as you moved the flyhweel....