diff --git a/src/load-media-on-paste-or-drop.ts b/src/load-media-on-paste-or-drop.ts
index 90ed87b0d0..fbef04273f 100644
--- a/src/load-media-on-paste-or-drop.ts
+++ b/src/load-media-on-paste-or-drop.ts
@@ -15,7 +15,7 @@ type UploadResponse = {
   origin: string;
 };
 
-function spawnFromUrl(text: string) {
+export function spawnFromUrl(text: string) {
   if (!text) {
     return;
   }
@@ -36,7 +36,7 @@ function spawnFromUrl(text: string) {
   obj.lookAt(avatarPov.getWorldPosition(new Vector3()));
 }
 
-async function spawnFromFileList(files: FileList) {
+export async function spawnFromFileList(files: FileList) {
   for (const file of files) {
     const desiredContentType = file.type || guessContentType(file.name);
     const params = await upload(file, desiredContentType)
@@ -94,10 +94,21 @@ async function onPaste(e: ClipboardEvent) {
   spawnFromUrl(text);
 }
 
+let lastDebugScene: string;
 function onDrop(e: DragEvent) {
   if (!(AFRAME as any).scenes[0].is("entered")) {
     return;
   }
+
+  if (qsTruthy("debugLocalScene")) {
+    URL.revokeObjectURL(lastDebugScene);
+    if (!e.dataTransfer?.files.length) return;
+    const url = URL.createObjectURL(e.dataTransfer.files[0]);
+    APP.hubChannel!.updateScene(url);
+    lastDebugScene = url;
+    return;
+  }
+
   const files = e.dataTransfer?.files;
   if (files && files.length) {
     e.preventDefault();
diff --git a/src/scene-entry-manager.js b/src/scene-entry-manager.js
index 7df692fd54..fbbef42db7 100644
--- a/src/scene-entry-manager.js
+++ b/src/scene-entry-manager.js
@@ -26,6 +26,9 @@ import { addComponent, removeEntity } from "bitecs";
 import { MyCameraTool } from "./bit-components";
 import { anyEntityWith } from "./utils/bit-utils";
 import { moveToSpawnPoint } from "./bit-systems/waypoint";
+import { spawnFromFileList, spawnFromUrl } from "./load-media-on-paste-or-drop";
+
+const useNewLoader = qsTruthy("newLoader");
 
 export default class SceneEntryManager {
   constructor(hubChannel, authChannel, history) {
@@ -76,7 +79,7 @@ export default class SceneEntryManager {
       await exit2DInterstitialAndEnterVR(true);
     }
 
-    if (qsTruthy("newLoader")) {
+    if (useNewLoader) {
       moveToSpawnPoint(APP.world, this.scene.systems["hubs-systems"].characterController);
     } else {
       const waypointSystem = this.scene.systems["hubs-systems"].waypointSystem;
@@ -215,9 +218,26 @@ export default class SceneEntryManager {
   };
 
   _setupMedia = () => {
-    const offset = { x: 0, y: 0, z: -1.5 };
     const spawnMediaInfrontOfPlayer = (src, contentOrigin) => {
+      console.warn(
+        "Spawning newLoader object using `spawnMediaInFrontOfPlayer`. This codepath should likely be made more direct.",
+        src,
+        contentOrigin
+      );
+      if (useNewLoader) {
+        if (typeof src === "string") {
+          spawnFromUrl(src);
+        } else {
+          spawnFromFileList([src]);
+        }
+      } else {
+        spawnMediaInfrontOfPlayerAndReturn(src, contentOrigin).eid;
+      }
+    };
+    // HACK we only care about the return value in 1 spot, don't want to deal with that in the newLoader path
+    const spawnMediaInfrontOfPlayerAndReturn = (src, contentOrigin) => {
       if (!this.hubChannel.can("spawn_and_move_media")) return;
+      const offset = { x: 0, y: 0, z: -1.5 };
       const { entity, orientation } = addMedia(
         src,
         "#interactable-media",
@@ -270,7 +290,7 @@ export default class SceneEntryManager {
 
     this.scene.addEventListener("action_vr_notice_closed", () => forceExitFrom2DInterstitial());
 
-    if (!qsTruthy("newLoader")) {
+    if (!useNewLoader) {
       document.addEventListener("paste", e => {
         if (
           (e.target.matches("input, textarea") || e.target.contentEditable === "true") &&
@@ -340,7 +360,7 @@ export default class SceneEntryManager {
         if (target === "avatar") {
           this.avatarRig.setAttribute("player-info", { isSharingAvatarCamera: true });
         } else {
-          currentVideoShareEntity = spawnMediaInfrontOfPlayer(this.mediaDevicesManager.mediaStream, undefined);
+          currentVideoShareEntity = spawnMediaInfrontOfPlayerAndReturn(this.mediaDevicesManager.mediaStream, undefined);
           // Wire up custom removal event which will stop the stream.
           currentVideoShareEntity.setAttribute(
             "emit-scene-event-on-remove",
diff --git a/src/utils/load-image.tsx b/src/utils/load-image.tsx
index b19a560a62..d2d4bccd65 100644
--- a/src/utils/load-image.tsx
+++ b/src/utils/load-image.tsx
@@ -7,9 +7,22 @@ import { HubsWorld } from "../app";
 import { Texture } from "three";
 import { AlphaMode } from "./create-image-mesh";
 
+// TODO AlphaMode is written in JS and should be a ts enum
+type AlphaModeType = typeof AlphaMode.Opaque | typeof AlphaMode.Mask | typeof AlphaMode.Blend;
 export function* loadImage(world: HubsWorld, url: string, contentType: string) {
   const { texture, ratio, cacheKey }: { texture: Texture; ratio: number; cacheKey: string } =
     yield loadTextureCancellable(url, 1, contentType);
+
+  // TODO it would be nice if we could be less agressive with transparency here.
+  // Doing so requires inspecting the raw file data upstream of here and passing
+  // that info through somehow which feels tricky.
+  let alphaMode: AlphaModeType = AlphaMode.Blend;
+  if (contentType === "image/gif") {
+    alphaMode = AlphaMode.Mask;
+  } else if (contentType === "image/jpeg") {
+    alphaMode = AlphaMode.Opaque;
+  }
+
   return renderAsEntity(
     world,
     <entity
@@ -18,7 +31,7 @@ export function* loadImage(world: HubsWorld, url: string, contentType: string) {
         texture,
         ratio,
         projection: ProjectionMode.FLAT,
-        alphaMode: AlphaMode.Opaque,
+        alphaMode,
         cacheKey
       }}
     />