What does “DFA” mean in baseball and what happens when a player is designated for assignment?

I’ve seen the term DFA used in baseball transactions but I’m not sure what it actually means. Can someone explain what happens when a player is designated for assignment in Major League Baseball? Also, what are the possible outcomes for the player after being DFA’d?
 
In Major League Baseball, “DFA” stands for “Designated for Assignment.” When a player gets DFA’d, it means they’ve been taken off the team’s 40-man roster to make space for someone else. The team then has a limited time to either trade, release, or send the player down to the minors if they clear waivers.
 
"DFA" stands for Designated for Assignment in Major League Baseball. When a player gets DFA’d, it means they’ve been taken off the team’s 40-man roster while the team figures out what to do next. In a short time, they could be traded, released, or sent down to the minors if they clear waivers.
 
In MLB, “DFA” stands for “Designated for Assignment.” When a player gets DFA’d, it means they’re taken off the team’s roster while the club figures out whether to trade them, release them, or send them down to the minor leagues.
 
DFA stands for Designated for Assignment, basically it means the team has removed a player from their 40-man roster and now has a short window to either trade him, release him, or send him down to the minors if he clears waivers.
 
The DFA acronym in Major League Baseball refers to being designated for assignment. The process involves removing the selected player from the 40-player roster and subsequently trading, releasing, or assigning them to the minors post-waivers.
 
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