Linden Dollars should not be pegged to the US Dollar, but rather to Bitcoin. The US Dollar will soon be worthless at the rate at which it is being printed. Bitcoin has a capped supply and will increase in value over time. It is also perfectly suited to enable micro payments within a virtual life scenario.
You're being too hyperbolic when it comes to the dollar. You will have a lot of problems if it crashes, we all will.
Whether you believe into bitcoin or not, it being unused is always a possibility so don't cross that out. It's not like this has never happened before in the world of fintech .
How about you elaborate?
Bitcoin has a wider audience than the second life gamers.
That is debatable. I wonder what the initial number of second life players was.