Hmm, at first glance there seems to be no problem with your setup. The only thing I can think of is, that there is some problem with the .mov video on V1. Does the video show OK when he cursor is not intersecting the text clip?
Have you tested to see if it works with an mp4, not a .mov?
Another point is I see you have a “text” filter, indicating you have not got the latest version of SC running (Later vesions have “text:simple” instead). You could try installing the latest version.
Apart from that, I’m scratching my head.