React Native: What is the purpose of React Native's Context API?

1const ThemeContext = createContext("light");
2
3function App() {
4  return (
5    <ThemeContext.Provider value="dark">
6      <ChildComponent />
7    </ThemeContext.Provider>
8  );
9}
10
11function ChildComponent() {
12  const theme = useContext(ThemeContext);
13  return <Text style={{ color: theme === "dark" ? "white" : "black" }}>Text</Text>;
14}