Cody...! There are no dumb questions, and this is in fact an extremely good one!
This is a "hard wax" which is used differently than a "tacky wax".
Perhaps we all should talk about wax more on this Forum... given how essential it is. I remember having a similar questions about hard wax Cody.
I concur with other tyers on these Pages, that Overton's is amazing stuff. It is a great "tacky wax" that isn't too soft nor too hard. It is the "Goldilocks" of dubbing waxes. I have used it for over over 40 years... and reach for it whenever I want something to stick to tying tread. I often add it to thread just before trying to dub seal fur

. Everything sticks to Overton's....which is great in these situations.
Hard cake wax, like you pictured in your post, along with the Veniard cake wax and the darker Cobblers wax, is much much better for
locking in tails, veilings, hackles, wings, and horns, etc on salmon flies, and for preventing thread wraps from sliding (thread avalanches) when finishing a head.
Everything locks in tight, exactly where you want it when using good hard cake wax. I use it on every thread wrap I make from the start to the end of a fly. After finishing a fly with it, a head becomes essentially a tiny hard bead of wax.