Red velvetfish (Gnathanacanthus goetzeei)
The red velvetfish is a relative of the scorpionfishes that is found in the inshore waters of western and southern Australia. Adults are usually reddish-orange with paler marbling and mottling. Juveniles have pale translucent skin with scattered bright reddish spots.
Instead of scales, its skin is covered with small and soft warty growths, hence its name. Its fins are large and spined. The dorsal-fin spines are venomous and can inflict an excruciatingly painful and long-lasting wound. The fish grows up to 30 cm in length.
It is the sole member of the family Gnathanacanthidae and genus Gnathanacanthus. That word translated as thorn jaw. The area beneath the eye has two spines which may be concealed by skin. This is called a lachrymal sabre and can project a switch-blade-like mechanism. The sabres glow fluorescent green. There is evidence that they are not tipped with venom and may be used in courtship behaviours in battles with other members of their species, like ram horns.
Red Velvetfish shelter on rocky reefs amongst kelp and macroalgae. It lives especially in deeper gutters and caves. Red Velvetfish are surprisingly well-camouflaged amongst kelp and other macroalgae and are rarely encountered by divers. In South Australia it is known to be associated with offshore red algal communities in 15-20 metres.
Red velvetfish are more active at night, when they hunt small fishes, shrimps, crab and octopus on the sea floor. In turn they get hunted and there is a record of being found in the stomach of a seal They may be relatively common in some areas, but I doubt that is based on any detailed survey. When reef monitoring studies are done they indicate that the population may have declined greatly over the past 20 years.