The increasingly popular virtual world site, Second Life, which lets online users fly, build homes or simply have sex, is holding a convention this weekend in SF.

There are some 400 people expected at the event. We find irony in an off-line conference for people who prefer escapism.

The site has hundreds of thousands of users. But we don't want to belittle it. Second Life has, surprisingly, become a sophisticated economy with "hundreds of thousands of dollars' worth of transactions conducted each week." As we've mentioned before, users in Second Life create most of the content, and make money by selling it to others willing to buy it.

Check out this chart of daily blog mentions about Second Life (found via Rubel).

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