Personally I use it for labeling physical things - mainly boxes. With a corresponding note in my Obsidian vault it really helps with getting content, context, and history about random stuff in my basement.
Python oneliner for generating them I've aliased in my Bash config: python3 -c "import base64; import secrets; print(''.join(secrets.choice(base64._b32alphabet.decode()) for _ in range(4)))"