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The tooltip states, "Wether the material should support a dithered LOD transition when used with the foliage system."
It is my understanding that the foliage system uses LOD dithering by default, and cannot be disabled. This tooltip needs to be reworded to be geared more towards Static Meshes using dithered lod transitions.
1. Open the Material Editor.
2. Expand the Material Properties dropdown.
3. Hover mouse over Dither LOD Transition to read tooltip.
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