I don't think that is the only way but it would probably be the best way, so that everything was being done with 3D graphics and is resolution independent. The other approach I can think of would be to draw the 2D image first every frame and then Renderworld without clearing the screen to draw the 3D letters on top, but the disadvantages are that, well, it doesn't have the advantages I mentioned above.
2D background for a 3D animation
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