I got a little prototype to share. Just type, text will come up on screen in random colors
Some iteration went into the detail, that the whole keyboard is supported. I played around with the BGE.events, but it seems not all of the keyboard characters can be catched there. So I just dump the text into a variable and create a new text object which only includes the last typed character. The color of each character is randomly chosen.
Here is the blend: BGE_Text_type_v1p1.blend (553.1 KB)
It includes a typing sound from Feslyianstudios
Feel free to suggest features. I was thinking of some kind of rewarding system for correct characters, words or full sentences which are shown onscreen.