From the below images left to right, we can see how the design evolves
From pointed squares to rounded ones to express friendliness.
Singular font types to multiple fonts to add some contrast.
Change of words to add more context.
Change of colors to add aesthetics.
Teams decide how many design stages they need.
Moving to Hi-Fi designs is where we add interactivity. We cannot demonstrate it here in a static image.
But for the sake of explanation, just imagine if you are able to:
Type in email and password fields
Click on buttons (google, facebook, sign up, login) and be able to be redirected to some pages
Then that is Hi-Fi design right there.