libp2p is a modular networking stack designed to support peer-to-peer applications across diverse environments. It abstracts transport, discovery, encryption, and routing into composable components, allowing developers to focus on application logic rather than low-level networking details.

Its significance lies in standardization without centralization. By providing shared primitives for peer-to-peer communication, libp2p enabled interoperability across ecosystems while preserving architectural freedom. It became connective tissue for decentralized systems that otherwise would have remained isolated experiments.