The 2 x 2 clock widget is based on a popular LED watch from Tokyoflash Japan that tells the time in a grid (it can also display the date). The first column keeps track of hours, while the rest of the grid is for minutes (one square per minute, arranged in five-minute rows). The time displayed on the right, for example, is 12:03.
In addition to 15 predefined themes, there's also the option to create your own themes (everything is customizable: background, text, hour, minute, and "LED off" colors) by mixing-and-matching to your heart's content. There are preselected "quick pick" colors available, but you can also input hexadecimal codes or use RGB and HSV values.
Pretty cool, right?
Completely customizable, free in Android Market, functional, and a fun way to confuse your friends. Sounds like the best clock widget ever to me.