For starters this declaration
typedef struct {
int data;
Node* next;
} Node;
is incorrect. The name Node used in this data member declaration
Node* next;
is undefined.
You need to write
typedef struct Node {
int data;
struct Node* next;
} Node;
As for your question then in this declaration
Node *head;
the pointer head has an indeterminate value because it is not initialized.
So it seems the function init just initializes the pointer. You need to pass the pointer by reference through a pointer to it. Otherwise the function will deal with a copy of the pointer head. Dereferencing the pointer to pointer you will get a direct access to the original pointer head that can be changed within the function. That is the function can look the following way
void init( Node **head )
{
*head = NULL;
}
Pay attention to that you could just write in main
Node *head = NULL;
without a need to call the function init.
*head = NULL;to initialise an empty list.