It definitely seems like Facebook-owned Instagram is adding at least one new feature every week, sometimes even more often than that. Today's addition has to do with Direct, the part of Instagram's that's essentially a one-to-one messaging service.
Starting with Instagram version 10.34 (which should already be available for Android and iOS in the Google Play Store and iTunes App Store, respectively), you can reply with a photo or video to specific photos, videos, and reshared posts in Direct.
Interestingly, your reply will automatically include a sticker of what you're replying to, as showcased by the screenshots above.
That's not all, however. You can choose to go into a split-screen mode for the reply, modifying that sticker as you see fit. You do this by simply tapping on the sticker after it appears. And as you can see in the example above, you can draw on the sticker, or add effects, as well as choose how big it is and where it's placed in your photo reply.
Instagram started off as a photo-centric social network, so such updates obviously make total sense - after all, why not make the Direct section full of photos and videos too?