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TroubleshootingJun 12, 2026 4 min read

OBS Overlay Transparency Not Working? Do This

If your overlay shows up with an ugly black box behind it, you're using the wrong file type. Here's the fix.

A black rectangle behind your animated overlay almost always means the file doesn't carry an alpha channel. Here's how to get true transparency.

Use a .WEBM with alpha

MP4 and GIF handle transparency poorly. Animated .WEBM files do it right โ€” and every CozyOverlays pack ships them, so the transparency just works in OBS.

Add it as a Media Source

Load the .WEBM as a Media Source with Loop enabled. It'll layer cleanly over your camera and game capture, no green screen needed.

Still stuck on a PNG-only tool?

Packs also include static .PNG versions for tools that don't support video โ€” so you're covered either way. Browse the shop.

Overlays with real transparency

Animated .WEBM files with built-in alpha, plus PNG fallbacks. Browse 125+ packs on Etsy.

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