[Haeuserschlucht]

Your question about testability is justified. However, the considerations are not an empirical hypothesis in the scientific sense, but rather a philosophical argument. He is not claiming that the simulation hypothesis can be experimentally confirmed or refuted. His point is rather that even if one accepts the simulation hypothesis — even recursively — it does not result in a privileged beginning, a final observer, or ontological salvation. Change, emergence, and decay persist at every level. The question is therefore less whether we live in a simulation than what this assumption actually explains or changes.