Based on drawing I did years ago…
Using the wonderful new skin modifier.
I like this!
My english is not so good and I think this is a stupid question.
How did you make the monster’s skin rippling like this?
Very cool! 
Weird, but Cool, but weird though.
How did you animate the displacement if you don’t mind me asking?
If I had to guess I’d say the ripple displacement is a 3D procedural that he animated. It looks pretty cool!