how does linux emulation work?

[Aaron Peterson]

I'm under the impression that linux.ko provides linux kernel emulation,
and linux binary base libraries are installed in /compat/linux/ for linux
binaries to use in linux emulation mode.  when you execute a linux binary
(recognized by branding in the binary) it runs chrooted to /compat/linux/
so it uses the linux libraries, and that's that.  is there more too it
than that?  is there any reason i cant copy my distro of choice from a
fresh installation into /compat/linux/, load linux.ko and be on my way
with it?

aaron