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The V-Club is an illicit virtual reality club, not the only one of its type, accessed by the holoband.
At the V-Club, anything goes - including group sex, murder, and human sacrifice (albeit virtual). It is frequented by many people, especially teenagers looking for somewhere to indulge themselves in all sorts of unsanctioned activity. It's motto is "No Limits" (Caprica pilot).
Zoe Graystone and Lacy Rand originally attended for the same reason most teenagers do (sex), but they later come to view the V-Club as a sign of the Twelve Colonies' descent into hedonism, decadence, and ennui. Zoe later creates a separate chamber that can be accessed from the V-Club, where she interacts with her holographic avatar, Zoe-A.
Later, Lacy brings Daniel Graystone to the V-Club, showing him such areas as The Kill Zone (where one can "shoot their friends, shoot the Prime Minister, shoot themselves - whatever"), The Fight Room, group sex dens, drug dens, and an area for virgin sacrifice to Hecate, as well as mentioning "the really gross stuff" beyond. She then gives him access to the chamber and Zoe-A.