Causes all traits of even the brightest dragons to appear bleached, even if elemental color rules would make them darker or more saturated. Their base scales or markings may be white as well, as long as all markings are visible on the dragon (no albino dragons!). Unless it is a Light or Dark dragon, the dragon should NOT appear grayscale. Here is an example that is split between two palettes–the left one is Faded and the right one is before Faded is applied.
Faded Red Palette VS Normal Red Palette:
Faded 
Normal
Texture Rules
This affects the whole dragon, so it has no edge to make a texture.
Color Rules
The markings and base color of the dragon may not exceed 127 (out of 255) saturation (or 50%). It may also not go beneath 127 (out of 255) brightness (or 50%). This will also affect individual marking color sliders.
Here is another color chart with the full legal range of Faded for a single color. If your computer does not use scales of 255 or show you what percentage your color is at, simply match the hue of this image to the desired one from your slider and then color pick from it! Changing the hue will not change the brightness/saturation.
Layering Rules
It affects every trait, including top layer markings, color modifiers, and even mutations.
Effect on Modifiers & Physical Traits
It affects all modifiers, traits, skin, nails, ears, and similar things.
Charged Faded
All markings on a dragon may have gray, silver, or white even if the element or marking would not normally allow for it. Their base scales may be gray, silver, or white even if the element would not normally allow for it. Unless it is a Light or Dark dragon, the dragon should NOT appear grayscale. Additionally, the Faded effect may appear in patches instead of the whole body. These patches should have a soft, gradient edge.
