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Seahorse

This 4-block machine beat all water zones in the demo video! Breaking the castle in the gate zone no longer counts, but now the gate is easier, so you can still beat the zone by harpooning the gear and spinning it around, or by lifting the gate directly!

Controls:

T = forward and up
F and H = steer
R and Y = harpoon gun

Seahorse's main attack is the Dolphin Leap. If you get just under the surface and hold T, it does a dolphin leap out of the water and can powerfully hit a target above the surface, which is enough to clear a lot of zones.

Seahorse can also slide along the ground, which it useful in the last zone.