How does the Smoothed 22-62 FPS setting work?

In Borderlands 2 you can select between different Framerate settings. One of them is Smoothed 22-62 FPS.
Can someone explain to me what it does and how it’s different to a regular 60 FPS cap? It seems like a lot of Unreal Engine games have this option but I can’t find any info about it.

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