Combining multiple alpha textures

Is there a way to combine two textures with alpha without any cutout effects? That is, both of the textures have bits the other doesn’t cover, and I need them to both show up.

When I set the top texture stage to decal mode, the top image only shows up when the bottom image has alpha==1. The manual states it should be when the top image has alpha==1, which would do what I want.

Relatedly, is there a fast way to procedurally overlay one texture onto another to create a new, single texture? I don’t need to change these textures after creation, so it would help if I could have a single one instead of two.

Have you tried multiple Texture Stages, along with one or more of the options shown here? In particular, the “CMInterpolate” mode might be useful to you.