The nature of emotions and their neural underpinnings remain debated. Appraisal theories such as the component process model propose that the perception and evaluation of events (appraisal) is the key to eliciting the range of emotions we experience. Here we study whether the framework of appraisal theories provides a clearer account for the differentiation of emotional episodes and their functional organisation in the brain. We developed a stealth game to manipulate appraisals in a systematic yet immersive way. The interactive nature of video games heightens self-relevance through the experience of goal-directed action or reaction, evoking strong emotions. We show that our manipulations led to changes in behaviour, physiology and brain activations.