[SOLVED] How to Make Unity See Alpha as Transparent?

Unity Engine
1

Ever since upgrading to 5.6.1f1, it seems to no longer accept transparency of sprites? Yes, I have transparency in the sprite, but Unity is filling it with blackness. I’ll show two images (first is the sprite, second is the sprite as shown in editor, and third is the inspector view of said sprite):

Why isn’t the black at the top of the sprite being transparent?

Any help would be greatly appreciated!

EDIT: Thought I should mention, the image is a PNG.

– Chris

2

UPDATE: I think the reason might be due to the fact that the images were initially .ai files (Adobe Illustrator) and I exported them as a PNG, but apparently Unity doesn’t like that? I have other images with transparency that weren’t converted to PNG and they work just fine.