Frosting is a new plugin that's billed as a real-time audio freezer and microlooper. It can be used to create a range of effects, including rhythmic gating, glitching, stutters and beat repeats.
It works by 'freezing' the incoming audio into a microloop. You can then define the play direction of said loop, and either sync its tempo to your host or set it manually with a slider. The 8-step gate sequencer enables you to create rhythmic patterns with your frozen audio.
That's pretty much all there is to it; you can find out more and download a demo for PC and Mac on the Ju-X website. Frosting is available in VST/AU/AAX formats, and the full version costs $19.