Cam,
Well, Richard Dawkins had a blog post once declaring that if we live in a simulated reality, then Mormonism could shockingly be true.
Yes, there could be a whole chain of realities regressing back, and Christians would say it ends with God, as there must be a first cause.
For IDers, it's more like baiting a hook when they suggest possibility of an intermediate design.
The
simulation argument (thanks again tld) would likely be number 1 on my list of cool ideas I've heard in the last 10 years that have only been around that long (13 for this). Of course, virtually every other idea associated with Bostrom's argument is total junk thinking. Like, completely laugh-out-loud stupidity.
Also, you kind of hinted at this, but a philosophical argument for our design, such as this or the ontological argument, or aristotle's metaphysics is totally different than a design argument -- an inductive argument based on observation. As you point out, there is no evidence of a simulation. I am open to evidence for a simulation (standard is so high no one could meet it) or an alien or God, such as in the form of circumstantial evidence.
I am not open to the design argument itself. I think out of the various apologetics, it's low man on the totem pole, the very worst argument.