not the big demo that was discussed in chat just yet
Codename Blink is a codename, not the title of the game.
In this screenshot you can see the detail of the creature from the video you'll see below
right click - view image to see the full image
This 3 legged creature was a test character used to gauge performance of the blink engine with very large sprites.
In the video you get a brief look at animation blending, between it's walking and running animations. With just two keyframed animations, infinite possible intermediate animations are generated, depending on the position of the slider on the bottom right.
The engine also supports scripted (procedural) animations coded within the editor you see here. Those are not demonstrated in this video. I'm not going to reveal exactly how they will be used in the upcoming game just yet, but scripted animations could be used for anything from foot placement to avoid holes and obstacles, to mixing animations-ai-and-physics data like the Euphoria engine, or generating animations determined by the size, number, and placement of limbs like Spore.
I will be revealing more on the progress of the engine, as well as details on the game itself, in this thread, until the time comes for a proper development site/blog. Any questions or comments are encouraged and appreciated of course.