I don't use dip - it's so absurd and unintuitive that I tend to forget about its existance.
I think the idea in itself is neat and make sense with some weapons. While dipping bow/crossbow still looks silly with how it is presented, it makes some kind of sense - arrows can be lighten on fire and shot out. I prefered magic ammo from earlier titles, but in a pinch this will do.
Dipping a melee weapon in fire, giving it fire status is straight up dumb. If it was me, I would make it do 1d4 fire damage to the wielder every turn and make a constutution check to not drop the weapon.