<type name="Magento\Signifyd\Model\PaymentVerificationFactory">
    <arguments>
        <argument name="config" xsi:type="object">
            Magento\Payment\Gateway\Config\Config
        </argument>
        <argument name="avsDefaultAdapter" xsi:type="object">
            SignifydAvsDefaultMapper
        </argument>
        <argument name="cvvDefaultAdapter" xsi:type="object">
            SignifydCvvDefaultMapper
        </argument>
    </arguments>
</type>

This is a type configuration.

This configuration is for the base area. Base area configurations will apply to all the sub-applications.

This configuration tells the Object Manager that when a user wants a Magento\Signifyd\Model\PaymentVerificationFactory object that the following arguments should be used in the foo object's constructor.

• $config = new Magento\Payment\Gateway\Config\Config (...)
• $avsDefaultAdapter = new SignifydAvsDefaultMapper (...)
• $cvvDefaultAdapter = new SignifydCvvDefaultMapper (...)

<virtualType name="SignifydAvsDefaultMapper"
             type="Magento\Signifyd\Model\PredefinedVerificationCode"></virtualType>

This is a virtual type configuration.

This configuration is for the base area. Base area configurations will apply to all the sub-applications.

This virtualType configuration tells the Object Manager when a user wants a virtual SignifydAvsDefaultMapper object that it should return a Magento\Signifyd\Model\PredefinedVerificationCode object.