You sheeple are overthinking this too much. The simpler theory posits that the first two gens was set in Tajiriverse. Tajiriverse is set on Earth, but with Pokemons as aliens arriving from space several dozen/hundred years before Red was born, living alongside man and animals (Mt. Moon theory), hence, the recent creation of Pokeballs, Pokedex, TM/HM,
Silph.Co techs, emergence of Team Rocket, etc, etc. Once Gen 3 rolls in, Tajiriverse ended, and Masudaverse begins. In Masudaverse, Pokemon has existed since primordial chaos and the original lifeform of the universe. It's from Masudaverse that Pokemon lore starts to get convoluted.
