Blocking on a given time interval is only one of the possibilities for a task to be temporarily excluded from the active list. The kernel may implement other event and interrupt handlers to bring the tasks back into the scheduler loop, so that the task may block waiting for I/O events from a specific set of resources while in a TASK_WAITING state.
In our example code, a read function can be implemented to retrieve the status of the button from a task, which would block and only return once the button is pressed. Until then, the calling task remains in the waiting list and is never scheduled. A task toggling the green LED every time the button is pressed relies on button_read() as its blocking point:
#define BUTTON_DEBOUNCE_TIME ...