Illustrator - Special Effects & Liquify Tools
Used Scallop, Crystalize, and Wrinkle Liquify Tools to create a variety of stars.
Text was created by applying outline (Text > Create Outlines) to Gil Sans Ultra Bold size 24 alternating colors of red and blue text. Then applied 3D (Effect > 3D > Rotate with default values - Position = Off Axis Front with -18, -26, 8, Perspective = 0).
Positioned stars and text on light colored rectangle with dark red 3 stroke. Applied Drop Shadow and Feathering to rectangle.