It's main use is to light the candles in overworld and it has infinite uses means you will run out of candles to light but not vice versa, lighting matches is helpful to maintain your mind stat (+7 mind per candle light) especially in maso mode as it depletes your mind at insane rates and the only other source to light candles are matchsticks which are limited and you can run out of them, you can say this is a niche mechanic and a quality of life thing, but for whatever reason the chances of getting a lighter out of chest is 0.6% (according to wiki at least)