I have used a png image in a video and added a fade out in VSE using the Gamma Cross. I just have another audio layer in the video. See attached images. I am using Blender-Render engine.
I am attaching three images sequentially fading out. You will notice that towards the fade out end the image starts to pixelate. Why does that happen?
See image state while fading out:
The image has been created in Gimp with following
Even on a 200% zoom it does not pixelate.
What should I be doing to avoid the same?
Blend File as requested: