I've got a server in my basement running VMware Workstation. That's how id approach it.
I feel in that case, it was acceptable. Students were encouraged to get a cheap "burner" windows machine and use it only for the proctored tests, and we were warned in advance of all the restrictions.
[0] https://www.amazon.com/Calculus-James-Stewart/dp/1285740629/
I thought the entire premise of proctorU and proctorTrack (which gatech is now using instead of proctorU) was ridiculous though. A cheap hdmi splitter and a long cable would be all you needed to pipe the test out to a second monitor in another room where someone could scoop up the whole test for later. Or maybe even feed back answers to some tiny headphones hidden behind the ear. Impossible to detect.