V1 layer not displaying in program monitor

[#1]

I'm editing an iphone screen recording on V2 and attempted to do a blurred background on V1 underneath it. However, it's not showing up in program.

When I toggle off V2, though, it still shows up in the sequence. Is there a setting I may have mistakenly turned on or off that's causing this problem? 

 

[#2]

What is the pixel size of the V2 footage? It's almost like the black borders are part of the footage. You could try making an opacity mask to crop the V2 material.

[#3]

You were right - the black borders on V2 were part of the video, and were just covering up V1. I used a crop effect and that worked. Thanks so much!

[#4]

There must be a difference as in the first screenshot V1 has a yellow fx icon and in the second screensot V1 has a green Fx icon.