It is a well-characterised negatively-charged inner-sphere redox 'marker'/'couple' that is sensitive to changes occurring at the electrode surface, allowing these changes to be interrogated. It is normally used with a supporting electrolyte (such as 0.1 M KCl).
K3FeCN6 is used typically as an internal standard in aqueous solutions. Although the electrode set-up includes a reference electrode , an internal standard with a well-known redox couple is used as an additional precaution especially when using a quasi-reference electrode.
Yes, the ferro/ferri system has a well-known electrochemical behavior and then is used when you want to test a new design of electrochemical cell, to see that is working appropriately. Another common use is as enzymatic mediator since its redox potential is not high, and presents a quasi-reversible behavior (rapid electron transfer). For example, with Glucose oxidase, horseradish peroxidase...
It is one of the most balanced redox couples, where both oxidation and reduction signals are equatable, or in other words anionic current and the cationic current are proportional.