The physics engine in Algodoo utilizes the SPOOK[1] linear constraint solver by Claude Lacoursière and a modified version of the Smoothed-Particle Hydrodynamics (SPH) computational method.

[3] Algodoo has remained as a popular choice from websites like List Of Freeware[4] and Download Cloud[5] for a physics sandbox program due to its complexity, simple GUI and free price.

[6] This project was released for public and non-commercial use under the name "Phun" and gained considerable attention after a clip of Ernerfeldt using the software went viral on YouTube.

Two notable changes include a new optics modeling engine and a snap-to-grid feature allowing for higher precision scene creation.

The inclusion of the optics modeling engine granted much more freedom in terms of using Algodoo's scripting language, Thyme, as users were thereafter able to initiate events by hitting an object with a stream of laser light.

Other notable changes include the addition of a velocity menu, which allows users to set a geometry's velocity to a set value; incompressible water, which allows for much more realistic fluid simulation; the plotting menu; vector visualization; and many other new features, bug fixes, and improvements.

[13] In 2011, a computer science master's student at Umeå University, Emanuel Dahlberg, completed his thesis on using the 2D mechanics in Algodoo to model electricity for the purposes of education.

"[25] Originally, the upload system for Phun was hosted by a small website at the Academic Computer Club from Umeå University.