Torrent is a type of method to download files from internet. It is popularly used when we need to download files of huge sizes. But they can be used for files of any size.

A torrent file is another file like word file designed for a particular purpose. During http downloads, we download the file from the server where the files is hosted. ie, the file is stored somewhere and we use download manager which is capable of multiple connections to download file as fast as possible. In case of torrents, we download the file from other users who have already downloaded the file. It helps the companies save their bandwidth and helps user achieve higher speed based on the no of seeds available.

A seed is a person who has already download the file. A peer is a person who is downloading the file along side you. When you download from seeds, it is their bandwidth that you consume. Not the original poster's.