The idea with these labels is not to hide them, but rather to give you context on what sort of account you are communicating with. If you're in a thread where someone is being weird to you in the replies and they have been making a lot of toxic posts outside your thread, you probably want to ignore.
https://cocoon.hailey.at/xrpc/com.atproto.sync.getBlob?did=did:plc:oisofpd7lj26yvgiivf3lxsi&cid=bafkreibrekmhd5e2pwp2liixxcjcg5fprrrm2lkqmhzghhzsknr5d2v25y