Effective use of tokens view mode? Most probably because of the naming coincidence with the Token module, I cannot find any tutorial or reference as per how to effectively use the Tokens view mode that I can see in perhaps all entities in Drupal.

I smell this serves some particular purpose but cannot get a clue.
This allows you to change the output of field tokens without disturbing the default display of the field.

For example, you might want the Body field displayed as formatted text by default, but plain text whenever it is output as a token.

Take a look at http://drupal.org/node/1299662 for an example of how to use.