The reason is that mipmapping blends transparent and opaque pixels together, but the resulting pixels are alpha-tested and not alpha-blended (that is, each pixel is either drawn or not, no intermediate states). But there is a simple workaround: use opaque background in the entity.
To render that, I replaced
local texture = "[combine:"..LCD_WITH.."x"..LCD_WITH
with
local texture = "lcd_anyside.png^[resize:"..LCD_WITH.."x"..LCD_WITH.."^[combine:"..LCD_WITH.."x"..LCD_WITH
but that looks blurry when filtering is enabled.
The reason is that mipmapping blends transparent and opaque pixels together, but the resulting pixels are alpha-tested and not alpha-blended (that is, each pixel is either drawn or not, no intermediate states). But there is a simple workaround: use opaque background in the entity.
To render that, I replaced
local texture = "[combine:"..LCD_WITH.."x"..LCD_WITHwithlocal texture = "lcd_anyside.png^[resize:"..LCD_WITH.."x"..LCD_WITH.."^[combine:"..LCD_WITH.."x"..LCD_WITHbut that looks blurry when filtering is enabled.