Imagine a camera that only takes pictures one pixel wide. Now make it take a picture, for example, 60 times a second and append every pixel-wide image together in order. This is what's happening here, it's a bunch of one pixel wide images ordered by time. The background stays still as it's always the same area captured by that one pixel, resulting in the lines, but moving objects end up looking correct as they're spread out over time.
At first, I thought this explanation would make sense, but then I read back what I just wrote and I'm not sure it really does. Sorry about that.