This small screenlet (based 99% on FolderView) allows you to set up your Video Wallpaper (using xwinwrap and mplayer on the background). It also allows you to change static wallpapers. All videos and Wallpapers (that are on [home]/Videos) are listed on a screen, and if you click them they get activated.
Tested on Ubuntu 11.10.

If you need help with xwinwrap go to : http://tech.shantanugoel.com/projects/linux/shantz-xwinwrap

Follow my rants here: http://jclinuxscripting.blogspot.com/