On PLATO, you could press SHIFT-space to move your cursor back one space and then if you typed another character, it would appear on top of the existing character.
Below are just some examples of smileys and emoticons
http://www.platohistory.org/blog/2012/09/plato-emoticons-revisited.html
@neauoire woah! Thatβs neat. I wish we still had that