Whenever you browse a website, stream a video, or send a message, your device exchanges small chunks of data called packets. Each packet carries a source IP address (where it came from) and a destination IP address (where it is going). This addressing system lets the internet route information accurately between billions of devices.
IP addresses are part of the Internet Protocol itself, which defines how data is structured, labeled, and routed across networks. Without IP addressing, routers would have no way to distinguish one device from another or decide where traffic should go.