Can someone explain the Blanking function on the VW60 a little better than the manual does?

The blanking essentially crops the image without scaling it. A good example of where you might use blanking is if you had a HD cable/satellite feed and you set the VW60 overscan to off. You might decide to not overscan a HD feed because that scales the image, and will degrade it. However, with zero overscan many channels will show CC and other junk on the image edges. The blanking is just an electronic mask to cover the garbage at the edges of the image area (if needed). I'm pretty impressed with all the different scaling modes, zooms, and blanking ability on the VW60. It does many things that were only possible with an external scaler in the past.