SUPER LAAATE REPLY: I don't know the word "dunnage" (or didn't, before seeing it here), but yes. These were bought for bait, and that's the shredded-paper-ish compost-y medium they live in while they're in their retail tub.
I sort of like this video. I guess it reminds me of my pet worm I had in a shoebox of dirt, in my closet, as a kid. Well, at least until my mom found it. She didn't like the pet worm, or the shoebox of dirt, part.