Commodore's version of ASCII was called PETSCII. It included cursor as color control characters. Quite a number of BBSes had "movies" that were done using PETSCII.
- googling - ah, they were called C/G movies - scroll down to the section labeled Commodore Color/Graphics 'Movies' Disk Pack on [link|http://www.portcommodore.com/commodore/files/bbsfiles.html|this site] for a couple disk images for use with an emulator.
One of the last changes I made to my BBS software was to add support ANSI translation PETSCII cursor and color codes. It worked well, though it was noticably slower when sending ANSI than PETSCII. A single PETSCII control character would translate to multiple characters in ANSI.