No they are talking about the Cup up there^. You get promoted to the next level in the league if you finish in the top 7 places and stay at the same level if you finish in the bottom 7. The players in your league whether you go up or down will be based on quality, friends and numbers.
PS. When you see ppl talk about tanking that is using this system and intentionally finishing in the bottom 7 so that they stay the same level and can improve their team before moving up a level.