Hello everyone!
So, I'm currently running Windows 7, i like linux very much but i can't give up windows programs and games. I can't dualboot, i tried multiple times but i can't be bothered to reboot like, ever and just end up running windows anyways.
But i finally decided what i want to do! I would like to install linux or bsd as my main os and use a vm to run all my windows stuff. As i said i like to game but i also use hardware acceleration in graphics design aplications so i would need a GPU passthrough.
I have a 4790k, gtx970, 16 gb ram and an ssd and would like to keep the performance as close to native as possible.

What distro should i use?
What virtualization software?
Is it possible to passthrough a GPU to multiple VMs running diferent OS's(not at once)?
Can i mount encrypted partition to a VM?
How would one go about doing this?
What about a Windows licence in a VM?

Hello and welcome to LQ.

Most people have an OEM version of windows that is tied to the motherboard. They don't move easily.

I'd just run a vm program under windows and run all sorts of linux, bsd, and what not under it.

To answer directly.

Distro is really your choice. There are mainstream that are similar in many ways. There are special distros that are made for specific tasks like proxmox would be for using VM's.

The VM choices are a few. From free to pay. Free choice on windows might be Windows's product(s), virtualbox, qemu/bochs, containers and vmware. Think there is an other one too but I forget it.

Linux runs vm's virtualbox, vmware, kvm(qemu), xen for some clients, boxes, containers and maybe a few others.

There is at least one java based virtual machine but it is kind of slow.

The features of vm's are getting better all the time. The host hardware is being more closely integrated into the systems. They are not at real time just yet for all tasks but getting close. Some systems might do OK on gpu pass though.