There is something more depressing about this too. with the creation of quantum computers, philosophers now think that there is a possibility that we might be living in a simulation. I know it sounds crazy but think about it carefully: If quantum computers have the potential to be this powerful, then it is possible they can create artificial intelligence in a simulation. And these computers also have the possibility to simulate entire universes.
As to the math stuff: Couldn't the universe be the three-dimensional surface of a four-dimensional black hole?
well... a black hole contains what is known as singularity in its center. Singularity is one dimensional (so a infinitely small dot) so if we did live in a black hole 1) time would go backwards and 2) we would be crushed to a point by hyper gravity.
I knew the singularity bit, but assumed it wasn't the literal black hole mentioned several posts back.
Code doesn't take up much space, resources do. Even if you have ten thousand goblins standing in a field, the save data just needs to know all their coordinates and conditions, and you only need to store one goblin texture/model to display them with, or a set of textures for separate body types and all that (along with smaller textures for scars, stumps and so on). Assuming the actual game mechanics stayed the same save size wouldn't really need to change, and then you just have to draw textures and make models for every tile type, item, creature, whatever else. I'm not saying it wouldn't be a fairly monumental undertaking given the sheer amount of detail in DF, but it's by no means undo-able.
The bigger concern would be writing a proper engine to handle all of our nonsense, but storage-wise machine code is pretty trivial.
Have you paid attention to how much is abstracted that couldn't be if we had Skyrim graphics? The location, shape, and orientation of scars; the position of scars; the way a dwarf holds a crossbow when missing three fingers; how one wrestles with one's left lower leg; and much, much more. Oh, sure, a crappy job could be done easily, but when has Toady been content with a crappy job?