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Michelson has different type of annotations. I am curious about what is the main purpose of annotations and where should one use annotations vs where on shouldn't? Is there a michelson pattern where annotations are most useful? I do understand they serve purpose by adding more constraints to typechecking. Can someone provide a example where annotations are necessary?

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Annotations are never necessary, they only add new type constraints.

Their purpose is twofold:

  • documenting what corresponds to what in a Michelson smart contract (and I personally feel that this is really useful and should even be improved);
  • adding constraints to ensure that these annotations are coherent with one another (it's also quite useful and these constraints enables some conservation of annotations when the stack evolves).

https://tezos.gitlab.io/master/whitedoc/michelson.html#x-annotations

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