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Hello I was trying to install ubuntu on my VM and when I got to the installation type I saw that everyone choose "erase disk and install ubuntu" but I wasn't sure what it is going to erase, The whole dedicated disk I installed the VM on or the folder that located on the dedicated disk. I saw that more people asked this question but I didn't understand the terms they used. Thanks to everyone who answer

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It will erase the whole dedicated Virtual VM Drive that you have created which is stored on your physical drive in some folder.

It is safe to do so , it will not affect your complete host physical drive but only will affect the folder where your Virtual VM Drive is stored