The effect was initially created in Houdini and then recreated with Unreal.
Senior Unreal Engine Generalist Akram Kasravi Fard has recently shared a brief demo, showcasing a neat Unreal Engine 5 Blueprint for setting up worn and damaged edges. According to the developer, the tool for applying the worn edge effect was initially set up in Houdini using a "specific technique" and was then recreated in UE5 with an almost identical workflow, with the goal being to get the similar results from a different software.
Moreover, the creator has also shared the UE5 version of the effect via Gumroad, planning to also release the original Houdini-made tool sometime in the future. You can download the project files by clicking this link.
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