Whenever you register a new paypal account, it will be asked you to verify your account with any credit card on your name. If you not have any credit cards on your name, you can verify paypal using vcc. Virtual Credit Cards is a electronic version of a credit card with the same features of any other normal card.
Generally these VCC should be used within 24 hours from the time they are issued and they work for one account only. When you purchase a VCC then you get a 16 digit virtual credit card number along with the expiration date and the 4 digit verification code. Which you have to enter in your paypal account to complete the verification.