What Is a ‘Virtual Byte’ (Vbyte) in Bitcoin Transaction Sizing?
A virtual byte (vByte) is the unit of measure for transaction size introduced with the SegWit upgrade. It is a weighted measure, where the 'witness' data (like signatures) is counted as 1/4 of a regular byte.
This allows SegWit transactions to be prioritized and fit more data into the block weight limit, optimizing block space usage.