You can do whatever you want with your points, but i do have a few suggestions
1. You can save them up for when you want to attack a "bunny." Bunnies are players that have a high level but not very high stats that charge you for hitting them so that you can level up fast. Its always a good idea to be on the good side of a bunny so you must always pay them for a hit
2. Sell them for money in the points market. It is a good way to make some fast money that can be used to buy items.
3. Give them to the gang by adding them to the vault