VXVDE does not require any program to dispatch packets: vxvde has been implemented as a module of the libvdeplug library. It does not need any infrustructure other than a well configured IPv4 or IPv6 network supporting IP multicast. VXVDE has a very simple configuration. A valid IP multicast address is enough to configure a "switchless switched" virtual network.

Unlike VXLAN, VXVDE does not require any Virtual Tunnel End Point (VTEP). Virtual Machines manage their own access to the virtual network. VXVDE unicast packets are mapped on UDP packets traveling on a direct path from the sending virtual machine to the receiving one, without any copy, any packet retransmission or extra header.