When it comes to dating, there is a lot of confusion. Is going on a date the same as dating? The answer is not necessarily. Hanging out can be seen as a more casual version of dating. It doesn't necessarily mean that two people are in a relationship, even if they have sex or a one-night stand.
Dating may involve spending time with someone, but there is no expectation of how many dates you should go on. Some people follow the 3-date rule, which is when you decide if it's time to sleep together. Sometimes, dating is getting to know someone and seeing if it can lead to a relationship. Dating doesn't involve as many emotions as being in a relationship.
When two people hang out, they may feel happy or content.