This is a loop used as an attachment point to material. For example, Attached to the edge of a tarp this could be used as a stake down point. Placed on the end of a towel you could use this to hang the towel from a hook. The picture shows 10 loops being pulled together by Paracord. The picture is of the neck hole of my poncho-towel.
Step 1: Materials
The Material you are attaching the loop to.
Sewing machine or needle and thread
A second piece of material to prevent fraying