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Because the Arduino are 5V devices, and modern sensors, displays and flash cards are 3.3V-only, many makers find that they need to perform level shifting/conversion. The TXB0108 bi-directional level converter converts pretty much any voltage to any other voltage and auto-detects the direction. Since this chip is a special bi-directional level shifter it does not have strong output pins that can drive LEDs or long cables. This breakout saves you from having to solder the very fine pitch packages that this chip comes with. Capacitors of 0.1 µF on both sides and a 10 kΩ pull-up resistor on the output enable pin, make the board usable right out of the box.