NBT Data
The Named Binary Tag (NBT) format is used by Minecraft for the various files in which it saves data. The format is designed to store data in a tree structure made up of various tags. All tags have an ID and a name.
The way we access NBT through commands is more similar to JSON format, and isn't very complex.
Optimization
Unfortunately, any command directly connected to NBT Data, such as data, @...[nbt={}], execute if data, etc. Are creating big latency issues when used. It creates lags, freezes, unsyncs, unexpected entity jittering and more.
This is the reason why it is always a better practice to use interfaces - commands, that don't directly change NBT data. You can read more about them on Structure & Commands page.