.md
stands for markdown and is generated at the bottom of your github page as html.
Typical syntax includes:
Will become a heading
==============
Will become a sub heading
--------------
*This will be Italic*
**This will be Bold**
- This will be a list item
- This will be a list item
Add a indent and this will end up as code
For more details: http://daringfireball.net/projects/markdown/
.md
extension stands for Markdown, which Github uses, among others, to format those files.
Read about Markdown:
http://daringfireball.net/projects/markdown/
http://en.wikipedia.org/wiki/Markdown
Also:
README.md
or .mkdn
or .markdown
denotes that the file is markdown formatted.
Markdown is a markup language. With it you can easily display headers or have italic words, or bold or almost anything that can be done to text
Source: Stackoverflow.com