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The Extreme Damage line was first introduced by Mattel in 2021 as part of their Dino Escape / Camp Cretaceous line. It succeeded the Battle Damage feature that was part of the original Fallen Kingdom line up until 2020. The new damage feature can be triggered by pushing a button on the back of the dinosaur. The permanent scratches on both of its sides will then turn red.
Watch an unboxing video of the Coelurus, Dimetrodon and Velociraptor: