You probrably have some oil on lens of phone. Try cleaning it with a microfiber cloth. If it is an iphone lens is glass and you can use windex and paper towel.
Normaly sponge is good because it typically only grows in dark areas, stengthens rock structure and to an extent polishes the water. However if it is growing in lighted areas creating an eye sore or crowding out coral the. It may be undesirable. If that is the case there are fish that love it depending on type.