Taxi Squad definition help

Hello, I am a bit confused as to what the Taxi Squad is in a dynasty league. I’ve read several interpretations like its a extra 5 guys we draft but we have to drop 5 before season starts. I am used to a standard format and just want to know what a Taxi Squad is all about

Think of it like Red Shirting. Typically it would be 5 rookies coming in you are interested in. You can hold onto them in the TAXI spots instead of having to designate a real bench spot to them. Mainly like deep sleepers you may have hope on. If the TAXI spot is only for rookies, going in to your next season, you’ll decide if you want to move them to the bench or just release them.

This sounds cool! The commish is speaking about rookie only taxi squad of up to 5 spots. I’ve never played with a practice style squad and think this could be a great way to allow players to develop I think have potential. Thanks for the response!