No, the red threadlocker only seeps down to approx 2-3 threads from the collar so as to prevent spoke pivot. Not permanent
Can use medium strength blue threadlocker too if want.
Spoke Prep is a thread compound that pro wheelbuilders use on the entire spoke thread when wheels are being built. It's like a glue wax thread compound that works like a locking agent to prevent spoke pivot. Over time this wax breaks down and stops gripping. Threadlocker on the nipple collar is a widely used alternative instead of having to diassemble the loose spoke and then re-tru a wheel. It's also good maintenance to prevent the Spoke Prep from disengrating as the threadlocker acts like a sealant at the top of the nipple.
You can always use Spoke Freeze from DT Swiss - but this compound is basically the same as threadlocker but is 3x more expensive than threadlocker
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Coincidence that the shape of the Spoke Freeze bottle is the same as Loctite 242 threadlocker?