I am a recently diagnosed diabetic. I am constantly looking for food sources that will work with my eating plan for being a diabetic. Here is a blog that I use: http://mariahealth.blogspot.com/ . I haven't tried many things here yet but I am impressed with quantity of choices. I know she has a red velvet cake recipe. As a diabetic, my main goal is to watch out for those carbs. Everyone is different and can tolerate carbs in a different manner. I cannot tolerate carbs in any fashion so I must regulate my eating plan very carefully.
Another blog site I use is: http://alldayidreamaboutfood.com/ . I know that she has a recipe for red velvet donuts and cupcakes, for example. I haven't tried that one yet but do plan to very soon.
I don't "need" sweets so I don't often try these recipes. I did make a sugar-free apple tart for Thanksgiving and really liked it.
Hope this helps.