What are confused about? It's a relatively generic template. I know of three frequently used variations:
1) Sad pepe - represents a lonely, sad, depressed person
2) troll pepe - used for trolling
3) Megusto Pepechet (and others) - Used by edgelords, racists, anticommies and political extremists. 

The frog itself afaik has no further meaning or depth to it. Just like with any other meme template, it represents whatever people project onto it.