This is a 2D fluid simulation of textures using Niagara Fluid.
Although I use many modules provided in Niagara Fluid Plugin, I customize some parts to achieve better looks and easier iterations.
You can use any texture you want and from the given texture shape, smoke and particles are released and simulated in real-time. If you use color texture sim, the smoke and particles will reflect the color automatically.
The data is available here:
https://heyyohanashima.gumroad.com/l/ykaul
Normal
Dissolve