@R2D2 - The Photo applet does support GIFs. I’ve used it with several from the internet.
I’ve simply saved the GIF to my Camera Roll on my iPhone, opened the Tidbyt app, added the Photo/image applet and selected my GIF using the Gallery button.
You’ll be shown a preview of the GIF and can pick how it will be cropped to fit on the 64x32 screen.