Instructional simulation had major difficulties in the past for offering limited possibilities in practice and learning. This article proposes a link between instructional simulation and Web 2.0 technologies. More exactly, I present the design of the Virtual Olympic Games Framework (VOGF), as a significant demonstration of how interactivity in virtual environments is necessary for learning and practicing of athletic skills. The Virtual Olympic Games Framework offers opportunities for virtual players to practice, experience, communicate, and receive the kind of feedback that enhances their athletic skills. By combining instructional simulation with situated learning, athletic practices with social interactivity, the skills of participants can be greatly improved. This project further enhances athletes' care, well-being, nutrition, and fitness. In this paper I will first delineate the design principles of the VOGF project. Next, I will present a discussion of the educational theories that this project is based on: situated learning, community of practice, knowledge building theory, and manifold relational understandings. A separate section will be dedicated for discussing different roles, functionalities, and requirements involved in this project. In the last section I will describe a summary of software architecture and user interface designed for Virtual Olympic Games Framework: functional aspects, facilities for athletes and coaches. (Contains 4 figures.)