Oracal 631 is the most popular choice of vinyl. It is very versatile and compatible with all vinyl cutting machines. This product is commonly referred to as "indoor vinyl". It certainly is well suited to indoor applications but is not limited to them.
The water based removable adhesive is what makes it a great choice for indoor applications. It will not damage walls when removed assuming the walls are in sound condition. This is also the same feature that leads people to believe that it is not suitable for outdoor applications. Oracal 631 can get wet, it just is not a great choice in areas that it will be constantly exposed to water.
Oracal 631 Specs
Finish - Matte
Adhesive - Water based removable
Indoor durability - 10years + (officially from Oracal is 3 years, but realworld experience says much longer)
Outdoor Durability - 1 year +
Thickness - 3 mils
Waterproof - Yes (not the best choice for constant water exposure or dishes)