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Prior to 4.0.1,Demonic Figurine were used by Warlocks in the summon spell Ritual of Doom for the Doomguard. While a random summoner used to be killed in this spell, it now only deals a high amount of damage to a random summoner, not automatically killing them. It appears they have no use now.
Demonic Figurines are sold by Reagent Vendors around the world for 1g.