The VATS is the security system for your corvette. And don't worry, I'll try to help you with this, and it's not that expensive to fix! As far as your key, the key can look to be in perfect shape, chip still there, and it won't work at all. What happens on a corvette ignition is that there are contacts in the ignition itself that get worn, or otherwise fouled. This will not allow the ignition to read the proper code from your key, therefore the car thinks it is being stolen, and disables the car. You have two options, get the ignition replaced, which would be a few hundred bucks, OR buy a VATS bypass which is about $26. What you will need to do is take your key by to your local chevy dealership, or locksmith, and have them measure the resistance of the chip in your key. If i remember correctly it should be a number from about 1 to 15. Then go to
www.ecklers.com and type in "VATS" and it will bring up the bypass modules and replacement keys, then just select the correct module with your resistance code. (you don't need any keys) Once you get it in, it will come with detailed instructions of how to install it, and it only takes about 15 minutes with a screwdriver and small socket set. You just have to remove the panel just below the steering wheel and the instructions will tell you where to hook that up at. It works by simulating the correct resistor code for your computer everytime. You won't even need the chip in your key at all anymore, AND anybody who would like to steal your corvette would have no idea that it has been disabled. I hope that helps!!