This clip was recorded in realtime using the built in dvr in 3L at 320x240 pixels motion jpeg a codec at lossless settings to the Ben Folds Five track, Cigarette.
This clip uses just jpegs of smoke mapped on to a rotating sphere with the Transform FX applied to the texture before it is mapped to the sphere. the Transform Fx is simply moving the jpegs on the y axis, which gives the appearance of motion. The opening of the clip is just a silouette with a distorted sphere in front oft with the jpeg moving on the y axis of the sphere in order to demonstrate the concept.
To remove the black from your clips when mapping to the objects so that they are transparent use the following alpha settings on the object:
Top Alpha Menu: S alpha
Bottom Alpha Menu: One
Turn the DEPTH TOGGLE OFF on the object