How to implement BoxCryptor like Virtual Drive

Question

I am trying to replicate BoxCryptor behaviour for our company needs.

What it does :

Createas a new network drive X:\ which behaves like a decrypted model of the choosen to encrypt folder.

Each file created in this drive is encrypted and stored in user selected folder. This drive is accessible from the command line, sot it is not explorer extension.

In my understanding it is some sort of virtual file system they managed to integrate with Windows (probably some sort of driver?)

I tried to google it, but for now I dont event know what it might be and where to dig.