How to Use Way of White Circlet
Solution 1:
If you repeatedly disconnect or otherwise go offline while being invaded, summon signs will no longer appear for you. However, you will still be available for invasions only now you can't summon phantoms to help you either with invasions or with bosses.
Much like the Bone of Order in Dark Souls 2, the Way of White Circlet is a way for you to restore that link, allowing you to see summon signs again.
Solution 2:
It's an item used if you get banned. You can use that item to get back into normal play, one of the item will spawn every 10 to 15 hours of gameplay at your coffin.