diff --git a/Content/Shaders/Editor/Grid.flax b/Content/Shaders/Editor/Grid.flax
index 1c87a1332..440d37512 100644
--- a/Content/Shaders/Editor/Grid.flax
+++ b/Content/Shaders/Editor/Grid.flax
@@ -1,3 +1,3 @@
 version https://git-lfs.github.com/spec/v1
-oid sha256:ce516159bb427e1c2cbd48f86be17b2b3c065d2ecd6943aace05451853d6b3e1
-size 4626
+oid sha256:9aa0cb389296afe4ee474395f188e61f8a1e428aac1f09fc7d54825b1d6e58df
+size 4744
diff --git a/Source/Editor/Gizmo/GridGizmo.cs b/Source/Editor/Gizmo/GridGizmo.cs
index b5fcf9a31..3b519d9f8 100644
--- a/Source/Editor/Gizmo/GridGizmo.cs
+++ b/Source/Editor/Gizmo/GridGizmo.cs
@@ -19,12 +19,11 @@ namespace FlaxEditor.Gizmo
             [StructLayout(LayoutKind.Sequential)]
             private struct Data
             {
-                public Matrix WorldMatrix;
                 public Matrix ViewProjectionMatrix;
                 public Float4 GridColor;
                 public Float3 ViewPos;
                 public float Far;
-                public Float3 Padding;
+                public Float3 ViewOrigin;
                 public float GridSize;
             }
 
@@ -62,7 +61,6 @@ namespace FlaxEditor.Gizmo
                 Profiler.BeginEventGPU("Editor Grid");
 
                 var options = Editor.Instance.Options.Options;
-                Float3 camPos = renderContext.View.WorldPosition;
                 float gridSize = renderContext.View.Far + 20000;
 
                 // Lazy-init resources
@@ -97,10 +95,10 @@ namespace FlaxEditor.Gizmo
                 float y = 1.5f; // Add small bias to reduce Z-fighting with geometry at scene origin
                 var vertices = new Float3[]
                 {
-                    new Float3(-gridSize + camPos.X, y, -gridSize + camPos.Z),
-                    new Float3(gridSize + camPos.X, y, gridSize + camPos.Z),
-                    new Float3(-gridSize + camPos.X, y, gridSize + camPos.Z),
-                    new Float3(gridSize + camPos.X, y, -gridSize + camPos.Z),
+                    new Float3(-gridSize, y, -gridSize),
+                    new Float3(gridSize, y, gridSize),
+                    new Float3(-gridSize, y, gridSize),
+                    new Float3(gridSize, y, -gridSize),
                 };
                 fixed (Float3* ptr = vertices)
                 {
@@ -113,12 +111,12 @@ namespace FlaxEditor.Gizmo
                 {
                     var data = new Data();
                     Matrix.Multiply(ref renderContext.View.View, ref renderContext.View.Projection, out var viewProjection);
-                    data.WorldMatrix = Matrix.Identity;
                     Matrix.Transpose(ref viewProjection, out data.ViewProjectionMatrix);
                     data.ViewPos = renderContext.View.WorldPosition;
                     data.GridColor = options.Viewport.ViewportGridColor;
                     data.Far = renderContext.View.Far;
                     data.GridSize = options.Viewport.ViewportGridViewDistance;
+                    data.ViewOrigin = renderContext.View.Origin;
                     context.UpdateCB(cb, new IntPtr(&data));
                 }
 
diff --git a/Source/Shaders/Editor/Grid.shader b/Source/Shaders/Editor/Grid.shader
index f8b0b0b81..2d305b62a 100644
--- a/Source/Shaders/Editor/Grid.shader
+++ b/Source/Shaders/Editor/Grid.shader
@@ -8,12 +8,11 @@
 #include "./Flax/Common.hlsl"
 
 META_CB_BEGIN(0, Data)
-float4x4 WorldMatrix;
 float4x4 ViewProjectionMatrix;
 float4 GridColor;
 float3 ViewPos;
 float Far;
-float3 Padding;
+float3 ViewOrigin;
 float GridSize;
 META_CB_END
 
@@ -46,8 +45,9 @@ META_VS_IN_ELEMENT(TEXCOORD, 0, R16G16_FLOAT, 1, ALIGN, PER_VERTEX, 0, true)
 VertexOutput VS_Grid(ModelInput input)
 {
     VertexOutput output;
-    output.WorldPosition = mul(float4(input.Position.xyz, 1), WorldMatrix).xyz;
-    output.Position = mul(float4(input.Position.xyz, 1), ViewProjectionMatrix);
+    output.WorldPosition = input.Position.xyz + ViewOrigin;
+    float3 geoPosition = input.Position.xyz - float3(0, ViewOrigin.y, 0);
+    output.Position = mul(float4(geoPosition, 1), ViewProjectionMatrix);
     return output;
 }
 
@@ -139,6 +139,7 @@ float4 GetColor(float3 pos, float scale)
     color = lerp(color, float4(1,0,0,1), l2);
     color = lerp(color, float4(0,0,1,1), l1);
     color *= dist;
+    color *= 1 - saturate(length(pos) - 600000); // Fade out when far from origin (60km)
     return color;
 }