KoboRoot.tgz is the file that kobo devices use to detect software updates. If such a file exists, the device will consider it a valid update file and use it. It typically consists of replacing/adding files from the device's filesystem with new ones, or adding new ones, usually new libraries. we can intervene and supply the system with KoboRoot.tgz files of our own and trick the system to using them, hence our mods. The contents of the KoboRoot.tgz will depend on the mod, but if you were to unarchive the package, you'd see a folder structure that will resemble a standard Linux structure if you're familiar with it.
Mod developers (myself included) typically use geek1011's NickelHook tool suite to develop mods and package them with a KoboRoot.tgz. There's also the Kobopatch project, which will let you pick and choose from many customization options and install them with a single KoboRoot.tgz.
Single-purpose, small mods that are built with NickelHook are more general purpose, that's why you can find their KoboRoot.tgz files readily available. My mod, NickelNote, for instance, is hosted on GitHub and the zip file over there contains the KoboRoot.tgz
It contains a single compiled binary of my mod which does the "hooking"
Quote:
/usr/local/Kobo/imageformats/libnickelnote.sh
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If you're going with the kobopatch route, since it's highly personalized and configured based on what you want, the KoboRoot.tgz file will have to be created by you, using the instructions on the project page. It's straight-forward but requires some tinkering.