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Here we will show you how to create a vector stamp.
Select the Rectangle Tool and draw a rectangle, say 350 px wide and 230 px high..
Note: For the following effects to work, this reactangle must be selected. If you deselect it, click on it with the Selection Tool 
Go to EFFECT...Distort & Transform...ZigZag and, with 'Preview' checked, enter the following:

Now we'll add a drop shadow. Go to EFFECT...Stylize...Drop Shadow and use these settings:

Now find a suitable image and copy and paste onto the Illustrator image. Resize and centre it on the stamp. Click on the original rectangle outline and remove the stroke colour.

If you are intending to print this artwork, make sure your Document Raster Effects Settings is 300dpi or you will get a pixelated print out. To change your setting, go to EFFECT...Document Raster Effects Settings. If you are designing for web/screen, leave it as 72dpi.

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