This seems like a very interesting project! It seems little a cute, little game that I would probably love to be part of. I found a video where those who work for this project explain very well how everything works and what they are planning to do:

Your post was very simple and easy to understand. However, I don't understand how selling my cat would work. Do people bid on my cat, or is there a specific price for each cat? And can you just breed whenever and with whoever you want?
Thanks for the introduction to this new project, might actually buy a cryptokitty :D