What I think can speak to its power a lot more than just some virtual degree which will probably be overlooked at, is an awesome product/project/etc created by virtual university graduates and publicized as so.

Creating these virtual degrees is pointless and loses respect really quickly. Just like security certifications serve only as a filter for the lowest candidates and don't actually add much to some qualified.

Projects, interests and output talks, b.s. walks. (This is coming from someone who ended up getting a CISSP... sigh)