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The variable type that holds X, Y, and Z coordinates is known as Vector3. This type is specifically designed to represent points or directions in three-dimensional space, making it essential for 3D graphics and physics in Unity. Each component of the Vector3 corresponds to one of the three axes in 3D space, specifically the X-axis (horizontal), Y-axis (vertical), and Z-axis (depth).

Using Vector3 is crucial for tasks such as positioning objects, defining movement directions, and calculating distances between points in 3D environments. For example, if you want to position a character or an object in a 3D scene, you'd typically use a Vector3 variable to define its location in relation to the world space or another object.

In contrast, Vector2 is used for two-dimensional coordinates and would only hold X and Y values, making it unsuitable for 3D applications needing depth information. The other terms, Point3 and Coordinate3D, are not standard variable types found in Unity or commonly in programming related to 3D coordinates, which is why they do not apply here.