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In this tutorial, Jaby from Unique Tutorials demonstrates how to create a transparent signature using Pen 3D on a Windows 10 computer. The Pen 3D tool is built into the Windows 10 operating system, making it easily accessible. By using the magic select option in Pen 3D, you can crop out any unwanted areas in your signature file to make it transparent. Simply right-click on the signature file, select the option to edit with Pen 3D, and follow the steps to make your signature transparent.