Ocram's Razor

Outside a world that combines For the Worthy with Remix, this is an inert object. You cannot craft it, and if you carry one in from elsewhere the tooltip tells you flatly that nothing will happen.

It calls Mechdusa, all three mechanical bosses fused into one encounter. That is what the recipe is really describing: you spend one of each mech summon to fight them together instead of separately, at night, anywhere in the world. There is no version of that fight where you get to pick them off one at a time.

Ocram was a boss on the old console and 3DS releases, and his summon item was itself built out of other boss summons, which is what this is quietly repeating. The rest of the joke is Occam's razor, the principle that the simplest explanation is usually the right one. The item even looks like a box waiting to be opened.