Have we reached peak unicorn? It appears not.

If you enjoy a unicorn latte but needs something to take you into the evening, meet unicorn vodka.

The colourful spirit is the creation of Ben Osborne and is made using premium Australian vodka, macerated with tropical fruits. The fruity spirit is a bright blue colour, with a shimmering glitter floating through it - shake it up for the full effect.

"The colour is completely natural. It's from the butterfly pea flower, which is organically grown up in Queensland. It's then dried and macerated with our vodka to give it the awesome blue colour. And the flavours come from tropical fruits" said Osborne.

"The only thing not natural is the fairy dust in it which gives it the shimmer. But it is fully edible - it's a pearl dust which is essentially just a cake glitter."

The real magic happens when the spirit is mixed, and depending on what you add it can change colour, creating a unicorn effect in your drink.

"Butterfly pea flower is PH sensitive, so any time you mix anything acidic with the drink, it will change colours throughout the spectrum. If you add bicarb soda, it will start to go green and then yellow. But if you add lemon or lime it will go purple to pink," he said.

"I really like it as a substitute in vodka lime soda. So on top of your ice and soda, you then layer the shot on top and you get a nice layer of blue. As soon as you squeeze the lime on there, it will pop purple."

It's the first product for Osborne, who owns Canberra distillery tour company Local Spirit. At only 21-years-old, he's one of the youngest in the industry, but has quickly built up experience since getting a bar job straight out of school and worked with a number of distilleries​ and completed training in Tasmania.

"Late last year I was invited to go to America to work with a few bourbon distillers there but was unfortunately not old enough to enter their distilleries and couldn't accept the offer," he said.

Osborne has been distilling out of Melbourne to get up and running, but plans to move production to Canberra soon. He also has more products on the way.

The unicorn vodka is available online, or in Canberra from Plonk in Belconnen and Fyshwick. It is also now available at the chandelier bar at Casino Canberra. See unicornspirits.com.au.