I have seen this done both ways, and it can work for either. The amount of color you want to use really is dependent on just how adventurous and daring you are. You don't want colors that clash. Having a single wall in a bright color will really make it pop, so select the wall with that thought in mind.
I don't like white, black, grey, or beige... they make me feel blah, so the first thing we did was to select a primary background color that would be used on most walls - the same way most folks use white, grey, or beige. In our case we selected a muted yellow. It's bright enough to feel cheery, but doesn't dominate the rooms. Then we selected accent colors to make the lines in the house pop. In our case we used a fairly bright Turquoise on the rear wall of the living room, and as accent on the walls that go to the foyer and dining room. As you move to the kitchen, the turquoise gives way to Terra Cotta Red.
My study and the master bedroom are tangerine... because it makes us happy, and because tangerine (or orange) evokes creativity and energy
Bright colors are not for everyone, but if you find you like them, once you put them in your home it's impossible to go back to the norm. I honestly don't care if other folks don't like it -what is important is does it make you happy? I have had comments all over the place - from "I need sunglasses in here", "It's a hoot!" (real comment from a realtor - haha), to the other end - "Gorgeous", "Warm", "Happy", "Alive".
I guess I like to wake up every morning and get reminded how bright and fun life can be!