When used directly into the tank itself, it doesn't seem to resolve a direct change. However, when used on a fish, it 'mutates' that fish. I used it on one of my magic fish, the "Crimson Comet" and the result changed it into a Golden Comet.

Also, so people are aware. The news article that was posted about the complete list of Magic fish has inaccurate information in the list of fish required to make the magic breed fish. The list they have below the #4 Magic fish are coming up as the Crimson Comet instead of the Oriental Goldbulb. Just so everyone has a heads up, just refer to the "Database" for the correct combinations instead.

Also, I've noticed that the "Database" hasn't completed its compilation of fish and fin combinations for all the possable combinations. None of the Magic Breed Cross Breeds are listed in the list. Meaning if you want to cross breed the Crimson Comet with the Greefin Spotanus, the list wont show you what you will get. Instead, you'll have to rely on good ole fashion faith, or someone else's list of what those may be.