Simulation inside a simulation. Now tie this concept into the popular topic of the Singularity. The concept of humans trying to transfer their consciousness into machines so they could be immortal. What if that is what we really are? Maybe those people the believe in reincarnation are onto something... consciousness moving onto the next character in it's simulation.
You literally could speculate and talk about this for a very long time. It is a very deep rabbit hole. Some corners of it might be a little spooky. I like spooky things. :)
Thanks for your reply.