Textures don't blend at all if used in first person (Seems to only happen with render dragon based devices like Minecraft for windows 10 edition). It worked fine with the old rendering engine, however. Lots of other materials also do not function properly in 1st person, such as ones that UV animate. Currently, even with the entity_alphablend material it seems to render as completely invisible if the opacity is too low (will show as completely opaque if the opacity is higher, but still not 100%), but the same texture renders fine on my android device. I tried this on RTX as well, not too different results but on RTX it seems to render them as completely black.

Below I attached screenshots of what using the blending materials look like for each type of device. This bug ruins quite a bit of new capabilities found in recent updates especially now that 1st person animations and geometry are more data-driven.