I like comparing it to your ID, vs your Passport.
Your ID (MAC Address) identifies you locally, with your countries authorities that have it registered somewhere, and as long as you are in your country (local network) it’s a perfectly useful way to identify yourself.
When you go to a different country, they don’t give a damn about your ID. You’ve got to use your passport (IP Address), a document that although it’s issued locally, every government has agreements about what they mean, which ones allow you to go to which places, and will help identify you if needed. When you go out of your country, most other places are not looking at you for who you are, they are mostly looking at the agreements with your country. And depending on those, how they’ll treat you will vary. You are basically masked by your country (so although you may have a local IP address, when going out of your network you use a public IP address for identification, masking your local IP address).
If any country needs to get back to you, they do it through whatever channels they have to communicate with your country of origin. And using your ID, your country can ensure everything gets back to you.
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