I would like to use Cygwin as the integrated terminal on Visual Studio Code on my Windows laptop (as this would give me use of the Linux terminal commands git and G++, etc.)
You could just call the Cygwin.bat without ENV issue:
Cygwin.bat
{ // Replace with your Cygwin.bat file path "terminal.integrated.shell.windows": "C:\\cygwin64\\Cygwin.bat", }
Make sure the BAT scripts fit to your Cygwin.