The team released the cornerback on Tuesday, NFL Network's Mike Garafolo reported.
ESPN first reported the move.
Maxwell quickly fell out of favor in Miami this season. The 29-year-old corner played just two games and hadn't seen the field since Week 3. He first missed games while dealing with a hamstring injury, but was scratched the past two weeks after being benched.
The Dolphins acquired Maxwell and linebacker Kiko Alonsoin a deal with the Philadelphia Eagles in 2016. Philly was looking to jettison the big contract the corner received from Chip Kelly the prior year. The Eagles used the draft position acquired in the Maxwell deal (moved up five spots in the first round) to leap up and snag Carson Wentz.
Maxwell enjoyed a renaissance in Miami last year, becoming a stingy cover man after a season of ineptitude in Philadelphia. Alas, it didn't last. Maxwell struggled out of the gate, getting burned to start the season, then being benched, now getting cut.