> Can this tool allow me to run both VMs in an Apple Silicon device in a performant way?

I use VMWare Fusion on an M1 Air to run ARM Windows. Windows is then able to run Windows x86-64 executables I believe through it's own Rosetta 2 like implementation. The main limitation is that you cannot use x86-64 drivers.

Similarly, ARM Linux VMs can use Rosetta 2 to run x86-64 binaries with excellent performance. For that I mostly use Rancher or podman which setup the Linux VM automatically and then use it to run Linux ARM containers. I don't recall if I've tried to run x86-64 Linux binaries inside an Linux ARM container. It might be a little trickier to get Rosetta 2 to work. It's been a long time since I tried to run a Linux x86-64 container.

Possible catch: Rosetta 2 goes away next year in macOS 27.

I don’t know what the story for VMs is. I’d really like to know as it affects me.

Sure you can go QEMU, but there’s a real performance hit there.