The research question was answered by, initially, an application of social semiotics to virtual learning environments, and its relation to the knowledge domains of everyday, specialized and reflexive digital literacy. This application was then further developed, using an analysis of a course specific use of a virtual learning environment in a case study. The study identified discrepancies between the digital literacies of teachers, designers and students. These discrepancies mean that a shared semiotic register was sometimes difficult to maintain. The conclusion is that the designers and teachers as co-designers of virtual learning environments need a better understanding of everyday digital literacy in order to design more sufficient learning environments. The paper shows that digital literacy must be considered as a situated practice, and that it concerns functional and communicative competencies rather than acquiring a set of technical skills.