There's three reasons I use one. One is to get different chord voicings. The second is basically the same as the first. I'll use a capo to allow me to play open chords in keys like Eb.
The last reason is easy key changes for singing. I play at my church and depending on who's leading there are song songs we might go up either a half or whole step. It's much easier to capo than to learn the chords for two different keys.
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