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What is the purpose of "Variant" LMKs?

The JPOS project (http://jpos.org/wiki/HSM_basics) gives this description:

To make things more secure HSM's use variants. A variant is a hex value for each type of key.

Q1) How do variants make things more secure?

Q2) Is increased security the only reason why variant's are used? I thought another reasons for Variants was to increase the number of keys without requiring more memory storage in the HSM?

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