The origin of this word stems from the 2006 Deutsche Sommerschule am Atlantik (DSSA) program, during which two mechanical engineering students enrolled in the DSSA program's Phonetiks course, (Zack and John) replaced the common phrase "sweet" (In the sense of something being better than average or inciting excitement / a better sense of being) with a crude equivalent. The German "w" is pronounced in the same manner as an American "v", hence the strapping pair of young lads pronounced the word as "Sveet". The rest is history.
Zack: "Oh we have no Tagebuch to write today? SVEET."