However, you can also use it to easily create animated distortion effects, including dripping blood. Here's how:
Create a new composition in Adobe After Effects and then create a new text layer. Use any text and font you want and tweak to your liking. Now apply the Liquify effect to the layer. Make sure you select the effect in the effect settings and then use the Warp Tool (top left) to draw dripping blood distortions onto your text. I added distortions to the bottom as well as the top so the text looked a little melted and twisted in the end.
Then animate the Distortion Percentage property of the effect from 0% to 100% (or more) to have your text slowly drip down into blood. For a little bit more impact, I also applied a Gradient Ramp effect to the layer. I changed my gradient colour to go from black to (blood) red and animated the Blend with Original property from 100% down to 0%. This makes the text fade from a friendly white to a Halloween horror dark blood red as it distorts. I just thought it was a nice effect, but of course, feel free to make any adjustments that you prefer.