Mystery of the white aliasing

Hey all! Im brand new to Unreal and ARK modding and im having a pretty good time with it so far. I am working to create modded creatures with new colors and patterns and while I have worked out everything with the chroma keying for the different channels I have run in to a big problem; Every time I use a brush that is less than solid the area turns white, like it has no idea what to do with aliasing, from gradients to textured brushes I keep getting these ugly white splotches bordering everything and invading the fades! I have a quick example of the problem down below.

I have tried to remedy it on my own by using different brushes in photoshop, using hard edged brushes and pencils as well as making sure all the properties and settings are identical on the original and on my version. And yet the problem persists! Am I missing something or doing something wrong here?