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Take screenshots ... that is the main function hence the name
The main reason to use this is if your handling your own advanced screenshot features ... as is all the rage these days.
You can enabled the HookScreenshots feature and Steam will notify you when the user hits the screenshot button they have configured in Steam client. You can then start the process of taking the screenshot however makes since for your game.
A screenshot successfully written or otherwise added to the library and can now be tagged.
A screenshot has been requested by the user from the Steam screenshot hotkey. This will only be called if HookScreenshots has been enabled, in which case Steam will not take the screenshot itself.
Ever wanted to do a fancy screenshot mode for your game, so every screenshot a player takes looks perfect and bug free and is effectively free marketing?
Well the first trick is to actually create such a system, that is left up to you but we recommend using tools like Time Line Director, Cinamachine, Post Processing Volumes, etc.
Next you need to catch the user's request to take a screenshot and trigger your system as opposed to letting the overlay or similar capture the screen.
once done Steam will no longer take screenshots when the user presses the configured screenshot button instead the EventScreenshotRequested event will trigger so you should register to that and act accordingly.