This paper presents an Optimized Sensorless Charge Balance (OSCB) controller based on a damped current model for flyback converter operating in Discontinuous Conduction Mode (DCM). By solving total differential equations of non-ideal transformer currents, the damped current model is derived with consideration of parasitics, leakage inductance of transformer, and the Resistor-Capacitor-Diode (RCD) snubber circuit. Based on the proposed model, current observation and control algorithms of the Sensorless Charge Balance (SCB) controller are optimized, which forms the OSCB control strategy. The average current damping is considered in the equivalent discrete-time small signal model. Furthermore, frequency analyses show that OSCB controller achieves higher closed-loop bandwidth and lower overshoot than a SCB controller, which indicates an improved transient performance. Finally, both OSCB and conventional SCB controllers are experimentally evaluated on a flyback converter prototype.