I love the muted colours available at Odosketch. Check out the gallery to see some wonderful sketches by real artists, or glance below to see chook scratchings. Yes, I can't draw for nuts, but I wanted to show you the lovely smooth flowing strokes you can get from your mouse. This would be a lovely place to share with your kids. The interface is fairly intuitive - you click the colour you want, then start to experiment on the canvas. You can also erase, and save if you've registered, then get an embed code. There's even a feature where you can watch sketches replay.
Here's what the Odopod site has to say about Odosketch:
Odosketch seeks to recreate the decidedly non-digital experience of working with a sketchbook. Its papery textures, variety of brushes and intentional imperfections make you forget you're working on a screen.
Let's think how Odosketch could be used for literacy. I think it would make a brilliant place for kids to practise making their letters for a start. There's a lovely swooshy feel to it. It's not a place I would recommend for actually writing a story, but it would make a nice canvas to create a special picture to accompany a story. It's also a great place to play hangman or noughts and crosses.