It is a logical impossibility: the 'virtual world' has to be created by people who are very much in the real world.
It is an amusement - on the line from telling stories around the campfire, to reading novels, to movies and on to TV.
Time Magazine - that paragon of intellect - would publish stories "Will people spend their entire lives watching TV?". We don't. We never have.
As your tag-line says: “The contemplation of things as they are, without error or confusion, without substitution or imposture, is in itself a nobler thing than a whole harvest of invention” - F. Bacon
It has been argued we are already living in a simulation:
A technologically mature “posthuman” civilization would have enormous computing power. Based on this empirical fact, the simulation argument shows that at least one of the following propositions is true: (1) The fraction of human-level civilizations that reach a posthuman stage is very close to zero; (2) The fraction of posthuman civilizations that are interested in running ancestor-simulations is very close to zero; (3) The fraction of all people with our kind of experiences that are living in a simulation is very close to one.
If (1) is true, then we will almost certainly go extinct before reaching posthumanity. If (2) is true, then there must be a strong convergence among the courses of advanced civilizations so that virtually none contains any relatively wealthy individuals who desire to run ancestor-simulations and are free to do so. If (3) is true, then we almost certainly live in a simulation. In the dark forest of our current ignorance, it seems sensible to apportion one’s credence roughly evenly between (1), (2), and (3).
Unless we are now living in a simulation, our descendants will almost certainly never run an ancestor-simulation.