As computing power has increased, so too had the ability of video games to simulate the laws of physics, be it with destructible environments, manipulating gravity, ragdoll animations, and countless other applications.

What applications of physics in games stand out to you as the best or coolest?

From Dust, awesome water/sand/lava flow dynamics. Sadly hampered by small spaces to play in as a 2011 game.

Spin tires for its mud and water physics with terrain deformation.

FS2020 for simulating actual (real time) weather, updrafts, turbulence, icing. With very accurate interaction with the planes.

Star Wars The Force Unleashed comes to mind. I was very impressed how wood splintered and metal bent.

In Little Big Planet you had physics simulations in a 2.5D-platformer. That was very new to me and quite charming.

Kerbal Space Program - from the moment you start creating your plane/rocket/spaceship you're fighting (or using) physics - anything from structural integrity of your creation, to drag of the air in the atmosphere of the planets to orbital mechanics...more or less, game that could not exist if it's not for physics engine under the hood.

I was always fascinated by gravity in the two Super Mario Galaxy games.

Ragdoll physics in BotW are hilarious. And the water/ice, fire and electricity systems work together brilliantly.

BOTW physics

I barely saw another game where the physics "logic" worked flawlessly.

Like when I was climbing for the first time in the rain, I was surprised to see that the wall was slippery.

Besigied physics are stupid funny to look at and fun to mess around with.

I also love some of the physics found in Deep Rock Galactic, like using other players to bounce above their heads to reach higher terrain, or throwing heavy objects around.

I also loved Conan exile's sand physics. Possibly the first game I've seen that actually had decent physics for sand, where I could drag a body through the desert area, and look behind me to see the body and rope trail I made for a mile.

Boobs physics from Senran Kagura