The chips themselves were cool to touch but the heatsink on the lm7805 was hot as heck. With the rainbow code it is turning on at least 64 leds on at a time @ 20ma each it pulls more than the 1amp 5v can handle so I have ordered a bunch of LT1083 that can handle the higher amperage.
I will need to build a bunch of power supplies or I was thinking on building 1 power supply with many 5v rails. > Is there such a ~12vac transformer rated at 50amps or something like that?
As for the multiplexing of chips I'm not sure if I fully understand. For simplicity say for bank 1 of leds you want all red so you send the code and enable the anode of bank 1. If you wanted bank 2 of leds all red as well you would just enable the anode line for it and it all works well (maybe a little dimmer). Now lets say you want bank 1 all red and bank 2 all green at the same time. How can they be addressed differently if they are all tied to the same 5940 chips (at the same time)?