What is the function of IP addressing?
Picture IP addressing and routing as addresses on homes and the postal office. When you send a letter you assign your “source” address and the “destination” address on the letter. The post office then uses that information to get your letter to the proper recipient. Then using information the recipient receives they are able to send you a reply. So basically the IP address is your network identity.
With Canopy, IP addressing is used by the SM’s to talk with the AP which then sends the data up to the router/gateway. If the SM didnt have an IP address then the devices directly attached to it wouldnt know that the SM existed. Why? Because the SM wouldnt have a network identity.