The loop on the hilt of the knife can be looped over the thumb & run over the back of the hand. The loop & the handle meet near your little finger. This helps prevent your hand from going forward on the blade when stabbing something or someone & keeps the handle firmly in your hand when withdrawing the blade, helpful if the blade is stuck in something or someone. My "Kabar" (Camillus) does not have a lanyard hole. The loop is worked into a turk's head (knot) at the end of the handle.