Hypnotize, the ignored skill?

From the video I saw where she used Hypnotize on a centaur, when a monster is hypnotized, it receives damage itself AND attacks another at the same time. Other monsters can't attack the monster that's Hypnotized. It's already being damaged by itself. Don't know if it works on a boss. Doubt it does. Also from what I saw, the Hypnotized monster looks like it only goes down to 1 HP.
The video isn't very good, so you yeah...
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