You can animate most parts of a windowblind these days. The top part of the start menu is made up of many images, just like any animation, and when you click the start button the menu opens and the animation runs.

The dragon animation IS quite a sophisticated one though, probably consisting of many frames. However, the best start menu animation I have seen is the one in a skin called "Magic". I believe it's a premium skin (that you have to pay for) but it's well worth the money. I just sit there for ages clicking the start button, just to see the animation over and over again...... hehe

Before the top part of the start menu called the user pane could be animated(this is the area you would normally see your name.The animated dragon came after WB v.6 I think anyway the dragon as most start menu animations are a seperate file by themselves that you add in and the give positioning coordinates to!

I love the animations If you like them as well take a look here http://theavman.wincustomize.com/ thelast 7 or so Windowblinds I made have start menu animations they may or may not be your style but kinda fun to watch anyway!

SKS 6 > Open Skin > File > Start Menu animation bulilder.

This is only available in SKS6 Pro.