Label rendering works with text enhancement mods - try out Inline or Emojiful.
Example of item icons using Inline
Configuration
Filtering
Some servers use custom fonts for UI purposes, which cause issues for in-world labels. You can filter the characters used in the name under Memory Bank Settings -> Compatibility -> Container Name Rendering. For more information, see Containers show their backgrounds in the world.
Resizing
You can change the size of the in-world labels by changing 'Container Name Text Scale' in Where Is It's config.
Disabling
You can change how the labels appear under Memory Bank Settings -> Compatibility -> Container Name Rendering:
Full - Always shows labels above chests
Hovered Only - Only show labels when the crosshair is over them