This IR remote/receiver pair communicate with each other using infrared light. The IR remote flashes on and off in a sequence corresponding to binary bit-encoded information like a TV remote. (Use your phone's camera and you can actually see the IR pulses.) The receiver receives these pulses of light and sends the information to the Arduino using the signal line.
Pinout
Starter Code: https://create.arduino.cc/editor/mjdargen_ncsu/e5b04146-224f-491c-b0dd-a7e34d672d12/preview