EDIT: actually found this post that explains more in detail and has a solution: Issue with highlighting instances - #5 by Calsa
I’m trying to use instancing on my project for all the loot on the ground and it works amazing even with 5000 items on the ground.
I’ve realized now that I can no longer use the overlayColor and renderOverlay to highlight items when I hover over them with the mouse.
As I’m not quite sure I understand what you were saying in previous post (…the workaround would be to clone these meshes and to apply outline/overlay on these meshes instead…), do you have any advice @Evgeni_Popov ?