does he have free will or is he controlled by the player? is his consciousness framed by the logic of our world and our perception of reality (as it must if he is properly our creation), or does it exist autonomously within an unknown set of parameters related to but unique from our own? is his transcendence of his "reality" as you've put it driven by a search for identity or understanding, or is it just to make magic like Neo? to what extent does he properly exist, and in what realities, and what makes his existence, electrical impulses stored within a greater network (at least to our eyes), greater, different, lesser, than our own? do we have the ability to destroy him if he is without physical form, yet bound within a construct of our design which has a physical form? is it possible to destroy or interact with consciousness which exists only in our perception of it? to what extent and in which manners does the power over a consciousness change or otherwise define our own? what is the difference between a consciousness perceived within a construct and a consciousness perceived within our "real" society, aside from the basic formal presentation?
these are the sort of questions you'll get bombarded with when you throw out "transcend reality" and I think any of them could be equally as fun, insightful, profound, trite, or disengaging as the next, so I'm just throwing out a platform for you.