Just paint with alpha, and save the image as TGA, and it must be grayscale ie black and white, then use the stenciling method on the wiki, not decals, as i'm not sure they even work anymore
Better to have loved and lost than never to have loved at all
It does still work, and I'm not sure what to tell the people who it's failing for besides "it works for me"... You may want to try playing with the alpha buttons in the material and layer settings...
Live KI: 34914 MOULa KI: 23247 Gehn KI: 11588 Available Ages: TunnelDemo3, BoxAge, Odema
Works for me. Just make a second vertex-paint layer and call it "Alpha". Then paint black where you want alpha and white where you want solid. This is how I got the cubes in my RAD age to fade. IT _can_ be done (at least with the version I'm using--Paradox's contrib SVN). The same should apply for the latest release and the nightly.
Currently getting some ink on my hands over at the Guild Of Ink-Makers (PyPRP2).