Is there any effect in Vegas that will allow me relatively fast to make a visual effect of red paint (or blood if you prefer) dripping down from letters?
Sebaz, I've got a veg file called Drip Down that might work for you that I can send you if you're interested.
It would be need to be modified to fit your needs but it should work.
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Thanks for all your replies, I finally did it in After Effects with the Liquify effect. It's very easy because it has a keyframeable slider that can go from the original to the deformed state, and with the finger you can deform the text yourself, which looks more unique, although still not very real, but well, it wasn't for any important project anyway.
If you really want a really good wet paint effect then use Particle Illusion. PI has a "Get color from Layer" library option that uses the color from the background picture and drips down. You can either update the color as the drips run down or keep original color in the drips so it looks like it's melting.