There are two types of VeraCrypt volumes:
Note: In addition to creating the above types of virtual volumes, VeraCrypt can encrypt a physical partition/drive where Windows is installed (for more information, see the chapter
System Encryption).
A VeraCrypt file-hosted volume is a normal file, which can reside on any type of storage device. It contains (hosts) a completely independent encrypted virtual disk device.
A VeraCrypt partition is a hard disk partition encrypted using VeraCrypt. You can also encrypt entire hard disks, USB hard disks, USB memory sticks, and other types of storage devices.