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[Watermarking in images]

I'm doing a project on watermarking digital images. I'd like to know if anyone else here has done something in that area. I've researched into working with file formats - I am now weighing it out between GIFs & JPEGs, but will most likely stick with GIFs in the end. Since I couldn't find much of a standard definition that set watermarking clearly apart from steganography, I've decided to go along with embedding text containing copyright information into the image. Right now I'm looking for a custom API which can grab the pixels in a GIF for modification.

One of the sites relevant to my project is on Romana Machado's EZ Stego software. She uses the Acme package, I believe. I'd like to know, however, if anyone else has used any other custom API for something similar. Even better, I'd appreciate some good advice on my project from someone with experience. Anyone?