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Image file formats are how we store visual images as digital data. They may be uncompressed, compressed, or vector formats.

GIF
GIF (Graphics Interchange Format) is limited to an 8-bit palette, or 256 colors. This makes the GIF format suitable for storing graphics with relatively few colors such as simple diagrams, shapes, logos and cartoon style images.

JPG/JPEG
JPEG (Joint Photographic Experts Group) is a compression method JPEG-compressed images are usually stored in the JFIF (JPEG File Interchange Format) file format. JPEG compression is (in most cases) lossy compression. The JPEG/JFIF filename extension is JPG or JPEG.

PNG
PNG (Portable Network Graphics) file format was created as the free, open-source successor to GIF. The PNG file format supports 8 bit paletted images (with optional transparency for all palette colors) and 24 bit truecolor (16 million colors) or 48 bit truecolor with and without alpha channel - while GIF supports only 256 colors and a single transparent color.