I don't know, our own world is pretty much penis-free and brands are confortable here. Freedom doesn't give penis, anonymity give penis, and considering the amount of people that get banned regularly from Facebook for not having a real name...

Now does I believe Facebook has any chance of succeeding in that sphere? Not at all, but it won't be because of virtual penis everywhere. To be frank I don't even believe Facebook will still be relevant in 10 years (and maybe they agree with it and it's why they are trying to push that hard toward something else).