 Solution

A complete metric space is one in which every Cauchy sequence converges to a point of that space. For an incomplete example, take $(0,1)$ with the usual Euclidean metric and $x_n=1/(n+1)$. It is Cauchy because it converges to zero in $\mathbb{R}$. It cannot converge inside $(0,1)$: any such convergence would also hold in $\mathbb{R}$, contradicting uniqueness of the limit, since zero is excluded. Thus the ambient metric and the underlying set both matter to completeness.