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Application Programming Interface (API)

Definition

An application programming interface (API) is a set of protocols and codes that determine how different software platforms communicate and share information.

Understanding the Term

When software components communicate with one another, APIs specify what data needs to be utilized and what actions need to be taken. It can be viewed as the main relation between computers and computer programs. To put it another way, APIs are the sequence of processes, protocols, and tools used to construct software applications.

Cryptocurrency exchanges, for instance, use APIs to offer customers the ability to trade cryptocurrency pairs and carry out basic to high-performance trading through premium trading platforms.

Takeaway

APIs are a software bridge that allows computers to communicate and execute tasks with each other. By allowing different platforms to communicate, APIs enhance interoperability across the web.

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