Preheat your oven to 350°F (175°C). Grease and flour your cake pans to prevent sticking.
In a large mixing bowl, whisk together the flour, cocoa powder, baking soda, and salt until well combined.
In another bowl, combine the sugar (or xylitol), applesauce (or banana/yogurt), oil (or almond butter), vanilla extract, water, red food coloring, and white vinegar (if using). Mix well until the mixture is smooth.
Pour the wet mixture into the bowl of dry ingredients. Using a spatula, gently fold the batter together until just combined. Be careful not to overmix; a few lumps are perfectly fine!
Divide the batter evenly between the prepared cake pans. Bake for 25-30 minutes, or until a toothpick inserted into the center comes out clean.
Remove the pans from the oven and let them cool in the pans for about 10 minutes. Then, turn the cakes out onto a cooling rack to cool completely.
Once the cakes are completely cool, frost with your favorite vegan frosting. A classic cream cheese frosting or a simple vegan buttercream would pair beautifully with the red velvet flavor.