The Matrix is a world of layers, where reality is ephemeral and the line between "real" and "artificial" is blurred. The vast majority of people are trapped in a machine-built program called the Matrix, enslaving their minds in a world of pure fantasy. Meanwhile, the few humans not plugged into the Matrix live in an apocalyptic hellscape, fighting hopelessly against the AI that took over the world. In the film, the robotic system that holds humanity down is arguably much nicer than reality. The Matrix itself is a limitless world, after all. Anything is possible inside, which is why some people believe there is no "real world" in The Matrix at all.
What if the reality that contains Zion, the human resistance, Neo, and every "free person" on Earth is actually just another layer of the Matrix? That's what one innovative fan theory suggests, and it's supported by plenty of evidence. Logically, the machines would build backup plans to keep humans in line, and the series itself contains evidence that renders this theory eerily possible. This breakdown will go over all of the theory's major points and attempt to prove the worst case scenario for Neo - that he's still trapped somewhere inside the Matrix.