The "Dilution Gene" refers to a genetic variation that affects the pigmentation of an organism's fur, skin, or feathers. This gene can lighten the color of these features, resulting in a diluted appearance. In animals, such as dogs and cats, the presence of this gene can lead to shades like blue or fawn instead of the typical black or brown. In horses, the Dilution Gene can create unique coat colors, such as palomino or cremello. This gene is inherited in a simple Mendelian fashion, meaning that it can be passed down from parents to offspring. Understanding this gene helps breeders predict coat colors in future generations.