I would say the most innovative thing about the Lynx was the ability to daisy chain them for network games (I believe it could network 8 or 12 systems).  Also, I think it's debatable if Chip's Challenge is the Lynx's most famous game.  There were several arcade games ported to the system such as Stun Runner, Klaxx, Hard Drivin, APB, and Steel Tallons.