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Second Life- SL and its sister site Teen Second Life are Internet-based virtual reality environments launched June 23, 2003 and developed by Linden Research, Inc, which came to international attention via mainstream news media in late 2006 and early 2007. Second Life caters for users aged over 18, while Teen Second Life is restricted to users aged between 13 and 18. A free downloadable client program called the Second Life Viewer enables its users, called "Residents", to interact with each other through motional avatars, providing an advanced level of a social network service combined with general aspects of a metaverse. Residents can explore, meet other residents, socialize, participate in individual and group activities, and create and trade items (virtual property) and services with one another.

Second Life's world (called "the grid") is divided into 256x256m areas of land, called Regions or Sims (short for "Simulators"). Each Region is simulated by a single server, and is given a unique name and content rating (either PG or Mature). The most basic mode of transport is by foot - walking, running, or jumping - but avatars may also fly unaided, ride in vehicles, and teleport (abbreviated to "TP") directly between locations. Land in Second Life is treated as a valuable and scarce commodity; residents can buy, sell, and rent land areas from each other. Mainstream media has focused on a small number of avatars who make large sums of money by doing so.

Built into the client is a simple primitive-based 3D modeling tool that allows any Resident to build simple virtual objects, and a scripting language called LSL ("Linden Scripting Language") which can be used to add autonomous behaviour to these objects. Other content, such as more complex 3D objects (called "sculpties"), textures for clothing or other objects, and animations and gestures, must be created using external software such as Blender, Poser, or Adobe Photoshop. The Second Life Terms of Service ensure that users retain copyright to any content they create, and the server and client provide simple Digital rights management functions. Content may be given away, or sold.

Second Life uses an internal currency called the "Linden Dollar" (L$). L$ are usually obtained via purchase for real money from other users; Linden Lab and others offers a brokerage service for these transactions. Users may also offer items or services to other users in exchange for L$; services include "camping", working in stores, business management, entertainment (which prominently includes adult entertainment), custom content creation, and other personal services. Virtual goods include buildings, vehicles, devices of all kinds, animations, clothing, skin, hair, jewelry, flora and fauna, and works of art. Second Life's own subscription fees, which are based on the amount of virtual land a user owns, are charged in US$; the exchange of L$ for US$ thus enables users who contribute content widely valued by other Residents to avoid paying US$ from their own pocket to retain that content in the world. This is the most popular usage for the exchange of L$ for US$; in spite of attracting large volumes of press coverage, only a very small percentage of Residents derive a net income from the economy. The currency has become the subject of concern in economic circles in regard to possible taxation.

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