Data_instance_add: What Does This Do?

Archive Python API
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I’m doing some testing with the Python API and instancing, and I ran into the bpy.ops.object.data_instance_add method. Fiddling with it I couldn’t get it to yield anything but {'CANCELED'} By its name and arguments it would seem that it is supposed to create an instance of different types… Questions:

  1. Does this method work?
  2. What is it supposed to do?
  3. Can you provide a working example?
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