Based on my minimal understanding of what it's doing and it's code; It's turning on virtualization, setting up a minimal environment, and then taking the current OS and "moving" it to the virtualized environment. The purpose of doing this in this case is to show how to do it in a minimal fashion, and give it as a jumping off point to create other projects with. Some things that come to mind is a debugger that can't be detected, an easier way to debug a device driver since you could set the hypervisor to log communications with the device somewhere. Or to reverse engineer software that detects normal debuggers being attached and determine what it's actually doing (this is common in malware research I believe).