Dolphins Watermarking Flaws - Any Solutions?

Does anyone know a solution to the watermarking flaws with Dolphin?  Perhaps people have inquired about this already so I apologize if this is a redundant post.  My current understanding and experience has revealed two major issues:

1. The only thing that gets watermarked is profile photos.  It does not watermark EVERYTHING that is uploaded into the community; it does not watermark gallery photos and certainly not videos (is there a different admin feature for watermarking videos?).
2. It doesn’t handle transparent .PNG files very well at all. It places a background in the image anyways.

Has anyone found a solution to these two problems, is there a better watermarking engine that can be integrated into Dolphin?

Great Thanks,
Zehn