I prefer to think that most humans actually distinguish the fictional context, and so should LLM. As such, if it is to be of any use, it'd better figure out it'

I prefer to think that most humans actually distinguish the fictional context, and so should LLM. As such, if it is to be of any use, it'd better figure out it's fiction if someone's flying on a winged horse, levitating trolls or (obviously harder) running around a forest with a bow. And when answering a question, unambiguously specify this fictional context, or at least indicate that it might be fiction if unsure.