Ugo Sangiorgi has a new spin on the concept of a "phone theremin". Unlike most theremin apps on phones which rely on dragging your finger across the surface of the phone or tilting it back and forth, Ugo takes advantage of the compass in his HTC Tattoo and manipulates sound with a coin.
Check out the video on his blog here. Great stuff - can't wait to see what the final product ends up looking like!