[Denatonium]

I've tunneled VXLAN over Wireguard on Linux. In my setup, my WAN's MTU was 1500 bytes, and my Wireguard tunnel's MTU was 1550, with the VXLAN's MTU being 1500. Surprisingly, traffic and iperf3 tests going over the VXLAN had much better throughput than traffic going directly over the Wireguard connection. IIRC, over the VXLAN, I was pulling ~800Mbps over the VXLAN/WG setup with iperf3.

Where this would fall apart is if there are firewalls in between that silently drop UDP fragments. In a case like that, it may be necessary to do VXLAN/Wireguard/Wireguard to conceal the fragmented packets with MTUs of 1500/1550/1440 respectively, assuming IPv4 and WAN MTU of 1500. I bet this would come with a significant performance hit though.