Square brackets may be placed around objects (e.g. views, databases, columns etc)
Their primary purpose is, as Mark mentioned, to encapsulate the objects so that special characters such as a space or period do not interfere with your syntax.
Many applications by default use the bracketed notation, to further reduce risk of syntax errors or anything of that sort.
It's typically good practice to not include any spaces
Database_Name < GOOD PRACTICE
Database Name < GENERALLY TRY TO AVOID
In any case, if the latter is used, you may use square brackets i.e.
select * from [Database Name]