Webhooks serve as a method for applications to send messages or payloads after executing operations, facilitating communication between a chain of services. The article discusses building a Todo API using FastAPI and Convoy, a tool that reliably publishes webhook events for operations such as creating, updating, and deleting Todo items. The tutorial requires a Convoy Cloud account, an Outgoing Project ID, and an API Key, and provides a step-by-step guide on setting up the environment, defining endpoints, and configuring webhook events using Python. It explains the API endpoints for creating, retrieving, updating, and deleting Todo items, and outlines how to publish webhook events through these operations. The guide also highlights best practices for production environments, emphasizing the importance of scoping endpoints to users or businesses and suggests publishing webhooks from workers instead of controllers.