PNG not completely transparent.

I have been working on solving this all morning before posting here. I have a simple plane that has a PNG image on it that I use to show character selection. The PNG has an alpha channel as shown in the following images:

107627-screen-shot-2017-12-19-at-95201-am.png

107628-screen-shot-2017-12-19-at-95207-am.png

However, in game, it has a shaded, semi-transparent look to it. The shader is set to Transparency and I have “Alpha is transparency” checked. I followed the Graphics HOWTO on how to set it up in Photoshop. Not sure what else to do.

I couldn’t add more pics in the initial post, here’s a screenshot of the issue in-game. Only the teal circle should be visible, the rest should be transparent.

I just had the same problem and solved it by changing the Shader to “Sprites/Default”

Same Issue:

Try setting the standard shader to fade instead of transparent.