They are most of the time the input/output of an operation. Params are input coming from Rack env, Entities the returning value from/to the db.
E.g. Params: you don't want to use Hash for that.
Read @tenderlove tenderlovemaking.com/2014/06/02/yag…
blog.dnsimple.com/2016/10/overco…
blog.dnsimple.com/2016/11/purpos…
Serialization is an important topic to make sure your system can be compatible outside of its boundaries: eg. send them to Sidekiq or Kafka which only understand primitive data
blog.dnsimple.com/2016/12/ruby-c…
blog.dnsimple.com/2017/01/ruby-c…