The Painted Egg, a player collectible / ammunition spawnable under Misc in the F1 Console, is available as a lootable item during the Easter event in RUST every April.
The item itself looks and functions as a colored egg that, when eaten, restores 25 calories and one health. When wielded as ammunition for the Egg Basket, the two perform as a ranged weapon similar to a very slow Snowball Gun, which instead uses said eggs as projectiles. The collection of these eggs during the in-game event is essential for winning the daily contest.
Painted eggs may be collected and upgraded into an assortment of loot-containing items. Ten painted eggs become a Bronze Egg. 10 bronze eggs can then be converted to a Silver Egg. 10 silver eggs may then be converted to the biggest prize, the Gold Egg. These egg types contain separate tiers of loot, each increasing in quality with more egg investment.