You can use Bitcoin as a currency; purchase goods, transact with anyone for anything, basically the same way you use fiat currencies today..  Bitcoin is also used as a investment vehicle, as many speculators believe bitcoin will continue to grow in value thus making it a good albeit risky investment.  ..Bitcoin is also being used to create digital assets on the blockchain. This is done through some third-party open source software such as counterparty and colored coins, to name a few.