Minetest version

Minetest 5.8.0 (Linux)
Using Irrlicht 1.9.0mt13
Using LuaJIT 2.1.0-beta3
BUILD_TYPE=Release
RUN_IN_PLACE=0
USE_CURL=1
USE_GETTEXT=1
USE_SOUND=1
STATIC_SHAREDIR="/app/share/minetest"
STATIC_LOCALEDIR="/app/share/locale"

Irrlicht device

X11

Operating system and version

Fedora 39

CPU model

No response

GPU model

AMD Radeon RX 5700 XT

Active renderer

OpenGL 4.6

Summary

Notice the difference between how an item renders in hotbar/inventory and how it renders in hand:

My guess is that it's caused by half-transparent pixels in the overlay. The color difference - I'm not sure.

Steps to reproduce

See the attached mod for textures and items

item_render_bug_report.zip

inventory_overlay is not meant to be used for dropped items and wielditems, AFAIK. It shows an image on top of the items mesh, and does not modify the mesh. You can see this very good if you're using the inventory items animations setting.

The issue with color reminds me of #12578. Duplicate?

There is also wield_overlay which doesn't work either.

The issue with color reminds me of #12578. Duplicate?

Most likely, yes