DVNC is about representing data without a fixed alphabet. It can be used for security by applying encryption principles, but its not new encryption.
In encryption, if you have an egg, you scramble it. Once its out of the shell, its really hard to recreate without the proper key. The scrambling process is performed by a computational transform of some sort.
In DVNC, if you have an egg, you inscribe a description of the egg onto a piece of toast. When you transmit your "egg" you don't send an egg at all, you send the toast. The receiver reads the toast and clones an egg from the instructions.
Each time you send the egg, you can use a different piece of toast. To observers, the toasts all look different even with the same egg.
Now, how is that any more secure? It isn't, its just systematic obfuscation. But like any encryption, the process can be keyed. And thats where some interesting things happen that are hyped on the website. But draw your own conclusions.
This page probably wasn't up when you last checked, and more whitepapers have since been released. It explains it in more detail.http://www.thedvnc.org/post-encryption/