Abstract: The invention presents a method and a system for virtual input environment, and the creation of an input unit with a changeable keys display on an electronic device. The method enables generating a virtual representation through real-time simulation of a user's hands and of an input device (e.g. a keyboard), defining the position and the movements of the hands over the real input device, and displaying a virtual representation of the input device and of the user's hands in virtual space on an output device. The method further allows creating changeable keys on the input device, and assigning functions to the keys from various sources. The system includes virtual reality enabling hardware and software, and a virtual input device in which key displays are fully changeable. The method and system of the present invention enable natural typing action while seeing both hands and input device on a screen in front of the user.