Fade-Touched Cotton is a Tier 1 type Masterwork Cloth Crafting Materials in Dragon Age: Inquisition (DAI). Materials such as these are found in the field by harvesting, defeating enemies, completing quests or obtained as a reward for War Table Missions.
A masterwork material is used in some Schematics that have a "masterwork slot". These materials provide special effects that no other crafting material can provide in any other slot and are very powerful in comparison, with possibilities such as greatly increasing critical crafting (+10% to final item stats).
Fade-Touched Cotton Effect
On dying: 5% chance to heal for half health 10% chance to apply Walking Bomb for 5 seconds, with detonation of 50% weapon damage