Many people entertain the thought that we're in an Ai induced simulation or whatever the other weird things people dream up.
What if we were not in a simulation but in some being's inner world/infinite inner world? God would be the one that created/owns the universe he made because he wanted to have his own reality how he wanted it to be. The deities and demons that are in legends etc, would be the people in his reality that he loves and hates respectively.