Sometimes when uploading my own photos into the Sticker Meme section the Top Caption and Bottom Caption wording stays layered in the background. Even if I put new text in it just places the new text over the top, the Top Caption and Bottom Caption wording stays.
@v-litu-msft I see the same issue, though it seems to only occur with files that have a transparent background. The example here on the left is a JPG, the right a PNG with the background transparent. I tried with a non-transparent PNG, and it operated like the JPG. So it seems to have something to do with transparent background, as if the "top caption" and "bottom caption" words are moved to the background (but still present) when someone adds text.