Any parent with an elementary-age kid and a computer in their home has probably heard of Webkinz. My kids are obsessed with these stuffed animals and addicted to the webkinz world online.
I have mixed feelings about the whole thing. On one hand, I like the idea that they earn virtual money and use it to buy virtual stuff.

I can see this spilling over into real life, as they are thinking more about how they want to spend or save their real money. On the other hand, they social-networking component seems a bit like a myspace for little kids

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Is this a chance for parents to teach their kids about appropriate online behavior, or is it an avenue for kids to develop the habit of wasting lots of time online. Probably both. I'd really like to hear the perspectives and experiences of some other parents.