Transparency Dither
This effect is identical to the distance fade used in StandardMaterial3D under Distance Fade. Unlike distance-based fading, this dithering effect is controlled by the alpha component of the source color.
Source:
https://github.com/godotengine/godot/blob/master/scene/resources/material.cpp
Shader code
shader_type spatial;
const vec3 magic = vec3(0.06711056f, 0.00583715f, 52.9829189f);
uniform vec4 color: source_color = vec4(1.0, 1.0, 1.0, 0.5);
void fragment() {
ALBEDO.rgb = color.rgb;
if (color.a < 0.001 || color.a < fract(magic.z * fract(dot(FRAGCOORD.xy, magic.xy)))) {
discard;
}
}

Bro, this is just like in Baldi’s Basics Plus! This is amazing!!