"The Second Life Art World Isn't Pushing Hard Enough" is a great rant from SL artist Aemeth Lysette, who is also a pretty accomplished artist IRL, laying out the reasons for that title. Such as:
Exhibit A: Second Life has missed its own honorary party in the mainstream art and fashion world. When’s the last time anybody pursued somestill life shots like this? Or this? That’s a serious callback to SL and our snap-to grids. When’s the last time you saw a virtual body of work like that? This is the kind of aesthetic we’ve seen with vaporwave, with past fashion collections, and nary a fuss was made on the grid about this at all. How? And why? When did we become so blind to what the rest of the world was doing that’s clearly inspired by us?
Exhibit B: Most of what is considered fine art and put on a wall is not fine art. Blogging pictures are great and can still be art, but that’s like visiting a gallery, expecting to see fine art, and seeing a bunch of Annie Leibovitz shots and no paintings. That’s what we have. A lot of Annie Leibovitz and Vogue editorials. Where’s the work commenting on the culture of the game, the administration, making fun of ourselves and talking about how we relate to one another? We can’t call ourselves a proper society until we have art like that.
Much more here. The thing is, lots of actual, well-respected artists have been using Second Life as an art venue -- only, they're not from the SL community, and they're not targeting the SL audience only. Take this project just covered by New Scientist: