It's not DX10 in XP, it's very high settings in XP. Very high settings are neither what enable DX10 effects, nor do the settings require DX10 (Vista and a DX10-compatible video card) to be enabled. Very high is simply locked out automatically if you have either XP, a DX9 video card, or both. Speculatively, this is because they were paid off by Microsoft and possibly the video card companies to do so in order to increase sales for Vista and DX10 video cards.
All that trick is doing is providing a workaround for the automatic very high lockout. You simply copy certain lines in the very high .cfg file over corresponding lines in one of the other setting .cfg files (let's use high, for example), which makes it so that anytime to you put any of the video settings to high, it's really at very high.
DX10 is only possible in Vista with a DX10-compatible card. But very high doesn't need DX10 like they would have you believe. DX10 can be used for any of the settings - low, medium, high, or very high - as long as you have the proper OS and video card. But it only provides a very minor visual improvement, and while for some, Vista DX10 performance may be substantially better than Vista DX9 performance (which is the way it's supposed to work), some seem to get no gain or even experience a drop in performance from this. And even for those that do get better performance with Vista DX10, their performance would likely still be better in XP DX9 due to the performance constraints of Vista.
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