I don't put my real name but I use my stage and pen name online and my flatmates think that's crazy but at the end on the day, you guys wouldn't know me if you passed me on the street so it's no biggie.
As far as people bigging themselves up, it's to do with lack of confidence I think. If we all make an effort to keep our doors open for other and always offer love and support in life, the need will fade.