However, not all dryers sheets are the same. They have three basic compositions: spongelike, clothlike, and paperlike. Some are better at different tasks. Spongelike is best for padding, clothlike for filtering, paperlike for firestarting, and so on.
The type and intensity of ingredients matters a lot, too. More natural ingredients and milder scent means lower chance of mishaps. There are only a few brands I can use at all, but I find that I can reuse the sheets in the dryer a second time for a small load (or several used sheets for a larger load).
I most often use old dryer sheets to line pots or otherwise filter things, pack stuff, or make burnable sachets. Our latest discovery for ritual use is to make sachets with a written intent on paper and a spoonful of fire-color granules tied up in a dryer sheet. \o/ They have enough heft to aim well, unlike loose paper, and the granules make vivid colors.