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Blend
The Blend effect blends two layers using one of five modes. A crossfade is a standard transition between two images: the original image fades out while the new image fades in.
Original (left), with layers blended using Darken Only Mode and Blend With Original set to 0% (center), and with Color Only Mode and Blend With Original set to 50% (right)
Note: You can create blends more easily and quickly using layer modes, but you can't animate layer modes. The advantage of using the Blend effect is that you can animate it.
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