NGSIv2 is a revamped, simplified RESTful API for managing context information compared to the original NGSIv1 API. Key differences in NGSIv2 include simplified URLs and payloads, support for native JSON data types, improved filtering capabilities for queries and subscriptions, and features like geolocation, datetime handling, and transient entities. NGSIv2 aims to make common operations easy while still supporting complex functionality in a developer-friendly manner aligned with REST principles.