@PHolder no, this is standard Android behaviour when using the android.support.design.widget.TextInputEditText widget in conjunction with android:inputType="textPassword".
We could of course hide the password programmatically when clicking on "Login", but I would like to understand the issue better before rushing to a solution, since I don't see the described behaviour on my end.
So it would be great if @Cyber Axe could provide some more information. Thank you!
I believe these were the steps, which I've tried to no success
Step 1: Goto the three dots in the top right
Step 2: Click COG icon
Step 3: Click Settings
Step 4: Check the two Request options at the bottom.
Step 5: Click Save
Step 6: On password prompt click eye icon, to show password then enter password and click ok, the box with the password stays visible on screen with password on display.
I tried creating a new Identity and setting the same options i did with my core id by checking the two request options at the bottom as that's when it happened to me, it brought up the encrypting and decrypting dialogs but password box was still visible in background.