There is provided a system and method for creating a digital puppet show by animating a digital puppet using gestures and sound. The method includes presenting the digital puppet to a user on a display. The method further includes receiving motion data corresponding to a gesture, using a camera, from the user, translating the motion data into digital data using a motion tracking algorithm, and animating the digital puppet, on the display, using the digital data. The method can further include receiving audio data from the user using a microphone and playing the audio data, using a speaker, while animating the digital puppet on the display to create the digital puppet show.