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In this tutorial, Jaby from Unique Tutorials demonstrates how to create a transparent signature using Pen 3D on Windows 10. The first step is to have Windows 10 installed on your computer, as Pen 3D is pre-installed. By right-clicking on the signature file and selecting the "edit with Pen 3D" option, you can open the signature in the software. Use the magic select tool to crop out unwanted areas and make the signature transparent.