To hide a player's message in chat, press on the message and select the X icon in the pop-up window. This will make the message disappear, but only for you.
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If you change your mind, you can always return a hidden message back to chat by selecting a checkmark in the pop-up window.
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If you wish to edit your message, you can do that during the first 10 minutes after you send it. Please note, that an edited message will have an "edited" note on it.

If you don't like the message you sent, you can delete it and start from scratch. Once deleted, a message is no longer visible to anyone in the chat.