Except that for what you're describing to exist, other countries would have to acknowledge it and set up diplomatic relations. That's the issue with the power

Except that for what you're describing to exist, other countries would have to acknowledge it and set up diplomatic relations. That's the issue with the power of the existing system of countries - you can go claim to form your own online country if you want, but it only exists inasmuch as other countries agree it does. The US isn't going to allow you to set up an embassy because to do so it would have to agree to redefine the concept of what a nation is, and as one of the most powerful nations on earth, that's clearly not in its interest.