I don't know about the sponge but I always thought (assumed) the bellows/diaphragm thing was to fill the air gap between oil and cap to prevent splashing and bubbles forming which could then get pushed into the hydraulics. The bellows/diaphragm gets "sucked" down as the oil level drops as the brake pads wear so it's always sitting on top of the oil.
I assume the sponge does something similar. Perhaps any bubbles cling to the sponge rather than dispersing through the oil. Dunno. Making it up now.