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Dyspigmentation often arises after deep partial- or full-thickness burns, and assessment of postburn scarring traditionally includes pigmentation. However, the relationship between dyspigmentation and scarring remains unclear. The physiologic basis of dyspigmentation has often been disregarded, and in pathologic states, its origin has been assumed to be in the epidermal melanin. Greater understanding of dyspigmentation among clinicians is required to increase knowledge and accuracy of assessment. This article aims to review the physiologic basis of pigmentation, and address the assessment, preventative management, and treatment options for postburn dyspigmentation.