What does the term "Netflix and chill" mean, and how is it often used in social contexts?

The term "Netflix and chill" started out as a literal invitation to watch Netflix and relax, but it has since evolved into a colloquial euphemism for an informal way of suggesting sexual activity. It is often used in social contexts as a casual code or a way to invite someone over with the implied intention of intimate encounters while ostensibly proposing a low-key evening of watching television or movies. The phrase has gained widespread popularity and is now well-understood in contemporary dating culture to signify a laid-back pretense to spend time together that could potentially lead to more intimate interactions.