Regenerating your calendar link
Your calendar link isn't just an address — it's a credential. Anyone who has it can see everything that feed shows, without logging in. If you shared it somewhere you shouldn't have, or you're just not sure who's had access to it, "Regenerate link" replaces it with a fresh one.
Regenerating takes effect immediately, and there's a real cost to it: the old link stops working right away, for everyone who had it — including your own calendar app. You'll need to subscribe again with the new link to keep getting updates; the app warns you about exactly this before you confirm.
So it's not something to click casually. Do it when you actually have a reason — you shared the link somewhere public by mistake, a device you subscribed from is no longer yours, or you simply want to be sure only you have the current one. If nothing like that applies, there's no need to touch it.

