Second Life

Peter Stindberg explains it this way: “Males want challenges, tasks and goals — all this is not apparent in SL. You need to find your own purpose in SL, make your own goals, find your own tasks. This makes SL less attractive compared to a kill-all-enemies-grab-all-gold type of game.” He suggests converting orientation stations into games which might offer a reward, perhaps a small amount of L$ or some sort of avatar clothing or equipment. “It’s a stereotype, but give each new male resident a fishing rod and a shotgun, fill the Linden seas with fish and the forests with deer, reward each trophy with L$1 or status points or gadgets, and the crucial first days and weeks will pass more easily,” adds Peter.

Male fashion blogs have blossomed, among them Winter Jefferson’s blog, In Cold Blood; Lawless McBride’s blog, Half Arsed; Takeshi Ugajin’s blog, Shop with Takeshi; Lustinian Tomsen’s blog, Second Life Male Style and Fashion; Monta Horan’s blog, Monta; and Oscar Page’s blog, Oscaresque. Of course, one can’t leave out the collaborative blogs Men’s Second Style and SL Men, and now there are even two blogs covering male-related freebies: Free Finds for Men and Free for Men.

Fundamental lessons have been learnt, and these firms will reap the rewards by being well positioned to take informed advantage of future VR developments. And fundamental developments are essential that encompass service delivery stability, ‘in world’ governance and behaviour policing, legal and copyright protection, a shift away from ‘virtual reality is just a game’ consciousness, and mainstream user adoption.

Second Life is a global phenomenon. Reuters estimates that only 31.2% of active Second Life users are U.S. residents. The majority of active users (more than 54%) are from Europe. Second Life usage is so pervasive in Korea, for example, that it is beginning to impact the country’s social agenda, according to virtual world expert Edward Castronova.

In a recent interview for National Public Radio Weekend Edition (www.npr.org, Feb. 9, 08), Bloomfield described the basics of the Second Life economy and the real financial losses from the recent Second Life banking crisis. (The currency used for economic transactions in Second Life is called Linden Dollars. Linden Dollars can be exchanged for real U.S. dollars at a rate of approximately 260-to-1. Last year, Linden Lab banned online gambling operations that had become popular in Second Life. Early this year, Linden Lab banned unregulated banking operations in Second Life because several banks were reneging on unsustainable high interest rates on deposits.) Bloomfield attributes his initial interest in Second Life to its potential use as an economic simulator in which reactions to new financial regulations could be studied by FASB.

Professor Steven Hornik, of the University of Central Florida, is another accounting professor exploring accounting education applications. He created a Second Life location called Really Engaging Accounting and maintains a blog about his efforts at www.mydebitcredit.com. In his financial accounting course, he uses the social networking capabilities of Second Life and interactive 3-D objects that he creates. The objects demonstrate basic accounting principles. One simulates the effect of transactions on the basic accounting equation. Another simulates the use of T-accounts to record changes to account balances. Students use their avatars to manipulate the models. Videos of his Second Life creations are available on YouTube (search “second life accounting”).

SUMMARY Second Life is an immersive and engaging 3-D virtual world with economic implications and opportunities for the real world. CPA Island is the current center of the public accounting profession in Second Life, but this won’t be the case for long as other CPA firms choose to use it as a tool for meeting, connecting, sharing and collaborating with others. Where business activity goes, it seems certain that CPAs will follow.