Stephanie beat me to it. Everything she said is on point. The only thing I'd add is that if you're already going to take up the space of a traditional label when the text box receives focus, why not just... stick with a traditional label?

Why go through the trouble of adding some fancy floating label when you're removing the only reason for using a "placeholder" as a label (i.e., saving space)?

Regardless, thanks for the read and comment! Also, thanks for keeping it civil and polite!

All the best!