Whats the point of putting malicious URLs into the hosts file? (Immunization)

[ninelives]

Eset Smart Security complains about it when I take a system snap shot. What exactly is the reason for it? I'm thinking of just copying and pasting all of the URLs into the "BlockSite" Addon for Firefox so I cant join them.

[ninelives]

Wait a second, I have a small guess as to how it works, but I dont really know what I'm talking about ahahah.

I think that if its in the hosts file, that if I try to go to the website it will make a request internally instead of trying to request from the actual site. Is this correct?

[Zenobia]

Please see here:
http://www.safer-networking.org/en/d...hostsfile.html