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Grass Layers Alpha help??

Okay,Ive watched SoarFly Concept Tutorial Video on how to make 3d volumetric layer grass here:

But here is one problem,I already have the grass texture with me and ive duplicate the "planes" in blender 4 times and entered the grass texture.Then,I export them as collada and import from MCX but I am lost at this part,because in the video he said that alpha channels are needed for this but I havent have a clue wht does he mean by alpha channel layers and what must i do in order to have a result like this

and mine is already like this



Resource contributor
alpha channel is a seperate channel in the texture besides the usual Red Green and Blue (RGB) to create RGBA. It can for instance be added in photoshop or gimp. What it should do (given the right material parameters) is make the ares without grasss invisible.