I, um, told you most of my comments in chat :)
It's a nice start, and cool to see one of our room regs make something. I'm curious to see how this will evolve.
Still buggy right now, but I trust that'll be taken care of as you add more to it.
Movement feels jagged and slow when multiple groups of blocks are removed. The "rotating" block switches way too fast. Same "match 3" concept as other games, not as well executed.
One should be able to click on the differences on both the original and the fake, I'd think; without at least an indicator of the cursor's position on both, accidental clicks are practically guaranteed.
Works just fine in Chrome, but I don't think it's too keen on some of my Firefox add-ons; I'm getting a snowy-white screen. Reloaded a few times, re-opened the browser, same thing.
It doesn't cheat, and it isn't a game; the same concept was around for "The Flash Mind Reader" a long while back.
If you're stuck on how it works, read the article here: http://artlung.com/words/flash-psychic-proof/
The twinkling stars in the background are absurdly distracting. Try something more subtle (in speed, size, and opacity) or offer users an opportunity to disable them.