If you're playing with your buddy a bit during Pokemon GO Fest 2020 then you've no doubt come across some confetti gifts. These are souvenirs that are found by your friends which you can collect and keep as a token of your friendship! If you're wondering how this confetti is used, then we're going to take a quick look at it in this post!
It appears that souvenirs are greatly increased during GO Fest hours, so you are naturally going to find yourself getting a lot more of them during this time. As of right now, these don't really do a whole lot other than represent a fun little thing to collect that your buddy will bring you. Confetti appears to be specifically from this event and has been added as a celebration item. Here's the official description of it in-game:
A colorful memento often found at special events. This confetti celebrates Team Mystic, Team Instinct, and Team valor by using their identifying colors.
As you can tell, it looks like Confetti will only be available during particular events like GO Fest! Unfortunately, there's not much you can do with it right now other than collect it. Hopefully, Niantic will add a way to use these little items for something in the future! Even a small animation or the ability to place them in a custom collection could be fun!
There's also confetti just swirling around on the map during the Pokemon GO Fest event! This again is just celebrating the event, so run around and have some fun in it!