You were right, destroying the town (at least the stuff lying around) was really fun. Overall, the whole game had that arcade fun feel, it was quite fun to roam around. Partly because the environment had lot of interesting things to see and the music + sound effects were great. I think the sound effect you get from collecting candy is a bit late tho, but that's a nitpick. The animation for player character was great btw, top notch walk cycle. Now, only thing I'd want to improve is the camera: Make it so it shows little more of what's in front of you, so the player could see better where they are going. It's not a big deal to be fair, I mean I loved how the camera would follow your hatched, it really felt like a movie! Heh.
Regardless of my nitpicking, really solid experience, I found an Easter egg (pretty sure it was lol) and love em. Great work ^^