We could describe to you exactly what kind of experiences hand tracking endeavors attempt to create, or we could take the more illustrative route of showing how games like Hand Physics Lab smash, grab, and shoot their way into showing the technology's potential.
Hand Physics Lab is one of two games made by Holonautic, a company founded by Kuhnert and Roger Küng, who focus on combining "hard sciences," hardware, and art style with the aim of furthering VR immersion.
Whether you're into playing around with physics or checking out the latest in VR UI, Hand Physics Lab has options, and fortunately, if any of those interactive demonstrations pique your interest, it's currently available on Sidequest for free.