1. A computer implemented method having access to memory, the method providing a real-time three-dimensional interactive environment, comprising the operations of: obtaining two-dimensional data values for a plurality of pixels representing a physical scene, the plurality of pixels being of a captured image; obtaining a depth value for each pixel of the plurality of pixels using a depth sensing device, each depth value indicating a distance from a physical object in the physical scene to the depth sensing device, the depth sensing device configurable to be maintained at a particular depth range defined by a plane so that any of the plurality of pixels between the particular depth range and the depth sensing device are processed by the depth sensing device, wherein the particular depth range establishes active detection by the depth sensing device, as depth values of objects placed through the particular depth range and toward the depth sensing device are detected and depth values of objects placed beyond the particular depth range are not detected, and the objects placed through the particular depth range are rendered and displayed in a virtual scene based on geometric characteristics of the object itself; initiating tracking of the objects when the objects are placed through the particular depth range and toward the depth sensing device, and terminating tracking of the objects when the objects are placed beyond the particular depth range; inserting at least one virtual object into the virtual scene after obtaining the depth value for each pixel within the particular depth range, the virtual object being computer-generated and configured to be inserted within and beyond the particular depth range; detecting an interaction between only objects placed through the particular depth range and the virtual object based on coordinates of the virtual object and the obtained depth values of the objects placed through the particular depth range, wherein the interaction is a collision between a physical object in the scene and the virtual object or interaction with the virtual object; and detecting when the virtual object and a physical object occupy a same three-dimensional space based on three-dimensional coordinates of the virtual object and three-dimensional coordinates of the physical object.