Well when they made paintballs in the first place they were for "paintball guns" that farmers would use to mark cows and mark poles and such. In 1981 the very first paintball game happened when a few friends took these guns and played a game. After they had a lot of fun like a lot of paintball players do, after they played one of them named Bob Gurnsey made the first paintball gun and started selling them. After that the guns kept getting newer and better to this day. Now paintballs are made just to play the sport of paintball.
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Because a competitive marksman sport where you can shoot projectiles is something that many people fine enjoyable, like Dodge Ball or corner-ball (Amish sport) or airsoft.
Because it is fun and it gets your adrenaline running. Also, it is as if you are in a war scenario without dying. It builds muscle and team building.