I don't think computers particularly like or dislike anything. A realtime fluid sim might be a bit too demanding however it probably comes down to just how much performance/frames you want to achieve. I'm sure something can be done to achieve 30 or 60 fps.
Perhaps even just using some form of cellular automata? That would probably fit better a blockier game in the style of minecraft, but perhaps something could be done to mask it somewhat and perhaps better integrate into a more realistic environment too.