Adding a loopback interface

I would like to "overwrite" IP addresses that already exists on the public internet. So, I want to create multiple loopback interfaces on a machine, so I can ping any IP address that I configure from other machines in the same local network, as long as there is a static route configured to the machine containing the loopbacks. What would be the best method, using iproute2? It seems I can create a dummy interface, but also a veth (virtual Ethernet) interface. Is one of these the best solution, or would something else be preferred?