All those games have such great water effects but I may relate to you a shocking news...
a hidden gem, never spoken of...
I accidentally found it: yeah like you I too have loved Wave Race 64 to the bone and think and admire to this day that this game is the pioneer of water wave physics in videogames and its one of the most difficult soft body dynamics to pull through in a gaming engine...
When I found this little gem, I got it throwing Wave-Race-64 out of water....
People, its name is: "DEAD in the WATER" for the PSX,
Yeah, you read it right... the original PS1 and in 1997 at that(1 year after Wave Race 64) and it had every single thing that is linked to water physics:
-Interactive + 3D waves (not just plain surface textures)
-Dynamic, multiple height waves
-Environmental Debris falling in water producing 3D waves!!!
-Weapons affecting the water volume and changing surface!
-True buoyancy effects on boats and environment objects(dynamic wobbling)
-Its fair share of transparency
All these features on a system 5 times weaker than the Nintendo 64. Definitely it's not as pretty as Wave Race 64 but definitely better and complete in physics and water behavior. Wonder why this game has never been mentioned?
It truly is the pioneer in fully-featured water dynamics. Check out yourself:
Please share your views how you find this shocking PS1 wonder.