Hoops Rumors Originals

When a free agent signs a standard contract with an NBA team, he becomes ineligible to be traded for at least three months. Since this season’s trade deadline will land on February 6, that means a player who signs a new deal with a team anytime after Wednesday, November 6 won’t be eligible to be dealt this season.

That three-month trade restriction also applies to a player who is converted from a two-way contract to a standard deal. So if a player signs as a free agent or is promoted from a two-way deal to a standard roster spot on Thursday, his trade restriction wouldn’t lift until February 7, a day after this season’s deadline has passed.

If no team completes a signing at some point before midnight Eastern tonight, the most recent signees who will have trade eligibility later this season are a pair of Knicks: Matt Ryan and Ariel Hukporti.

Ryan signed with New York as a free agent on Tuesday, while Hukporti was promoted from his two-way deal to the standard roster. Assuming they’re still on those non-guaranteed deals three months from now, Ryan and Hukporti would become trade-eligible on February 5, a day before the deadline.

Pelicans guard Jaylen Nowell (February 3), Thunder forward Malevy Leons (January 31), and Grizzlies center Jay Huff (January 28) are a few of the other players who would become eligible to be moved shortly before the Feb. 6 deadline if they remain under contract until then.

The three-month trade restriction doesn’t apply to players who sign two-way contracts — those players are ineligible to be dealt for just 30 days. Trades involving players on two-way deals are pretty rare, but it’s worth noting that anyone who inks a two-way contract on or before January 7 would become trade-eligible ahead of this season’s deadline.

We previously posted lists of players who won’t become trade-eligible until December 15 or January 15 after signing new contracts in the offseason. Later this week, we’ll publish one more list detailing which players have special, specific trade eligibility dates — that group will include Ryan, Hukporti, and the rest of the players mentioned above, plus many more, including several who signed offseason contract extensions.

The term “poison pill” doesn’t actually show up in the NBA’s Collective Bargaining Agreement, but it’s used colloquially to refer to a provision in the CBA that affects players who recently signed rookie scale contract extensions.

As we explain in our glossary entry, the so-called poison pill provision applies when a player who signed a rookie scale extension is traded before the extension takes effect.

In that scenario, the player’s incoming value for the receiving team for matching purposes is determined by averaging his current-year salary and the salaries in each year of his new extension. His current team, on the other hand, simply treats his current-year salary as the outgoing figure for matching purposes.

For instance, Rockets big man Alperen Sengun is earning a $5,424,654 salary in 2024/25, but signed a five-year, $185MM extension that will begin in ’25/26.

Therefore, if Houston wanted to trade Sengun this season, his outgoing value for salary-matching purposes would be $5,424,654 (this year’s salary), while his incoming value for the team acquiring him would be $31,737,442 (this year’s salary, plus the $185MM extension, divided by six years).

[RELATED: 2024 NBA Rookie Scale Extension Recap]

Most of the players who signed rookie scale extensions aren’t realistic candidates to be traded anytime soon. But even in the event that a team does want to look into trading one of these recently extended players, the gap between the player’s incoming trade value and outgoing trade value could make it a real challenge to find a deal that works for both sides — especially if a team is operating in or near tax apron territory.

The “poison pill” provision applies to 11 players who signed rookie scale extensions in 2024. Here are those players, along with their outgoing salaries and incoming salaries for trade purposes:

Once the 2025/26 league year begins next July, the poison pill provision will no longer apply to these players. At that time, the player’s ’25/26 salary would represent both his outgoing and incoming value.

Until then, the gap between those outgoing and incoming figures will make it tricky for several of these players to be moved, though it affects some more significantly than others.

The difference of nearly $30MM between Wagner’s incoming and outgoing trade figures, for instance, means there’s essentially no chance he could be dealt to an over-the-cap team in 2024/25 — given that the Magic have no desire to move Wagner, that’ll be a moot point, but it’s still worth noting.

On the other hand, the much smaller divide between Moody’s incoming and outgoing salaries makes a trade involving him a more viable option, though the Warriors will have a hard cap to deal with that could complicate matters in they event they look to include Moody in a deal.

Decisions on rookie scale options for the 2025/26 season were due on Thursday — any team that wanted to exercise a third- or fourth-year option on a player for next season was required to do so by October 31.

As is typically the case, a huge majority of those options were picked up. Even for top picks, who are paid higher salaries due to the NBA’s rookie scale, those third- and fourth-year options are relatively team-friendly. So unless a player has fallen well short of his team’s expectations, it generally makes sense to lock in his salary for the following season at this point.

However, not every player with a 2025/26 team option had it exercised by Thursday’s deadline. A player who had his option declined will now be on track to reach unrestricted free agency during the summer of 2025, assuming he’s not waived before then. At the end of the season, his team won’t be able to offer him a starting salary that exceeds the value of his declined option.

Listed below are the players who had their options turned down, followed by the players whose options were exercised. If a player had his option picked up, his ’25/26 salary is now guaranteed and he won’t be eligible for free agency until at least 2026.

Declined options:

• Johnny Davis, Wizards (fourth year, $6,746,229)
• AJ Griffin, Rockets (fourth year, $5,967,137)
  • Note: Griffin’s fourth-year option was declined when he was bought out and waived.
• Jake LaRavia, Grizzlies (fourth year, $5,163,127)
• David Roddy, Hawks (fourth year, $4,831,766)
• MarJon Beauchamp, Bucks (fourth year, $4,781,276)
• Wendell Moore, Pistons (fourth year, $4,574,283)
• Patrick Baldwin, Wizards (fourth year, $4,420,156)
• Jalen Hood-Schifino, Lakers (third year, $4,064,640)

We saw more rookie scale options turned down this season than usual, which is perhaps a side effect of the NBA’s new tax apron system that has teams more wary than ever of carrying extraneous salary.

It’s also a little unusual to see so many players remain on their teams’ respective rosters after having their options declined. A year ago, for instance, five of the six of the players who didn’t have their rookie scale options exercised ahead of October’s deadline were waived outright, resulting in their options being declined as part of the transaction. That only happened with Griffin this year, and only because he chose to step away from basketball.

Among the players whose fourth-year options were declined, Davis, Moore, and Baldwin were the least surprising decisions. I was half-expecting one or more of them to be cut during the offseason or preseason. I also wasn’t shocked to see the Hawks and Bucks pass on Roddy’s and Beauchamp’s options, respectively. Neither player has established himself as a reliable rotation piece, and Milwaukee especially has luxury tax penalties to consider — the Bucks are better off replacing Beauchamp’s $4.8MM salary with a minimum-salary contract in 2025/26.

I didn’t view LaRavia as a lock to have his option picked up, but I thought the Grizzlies might pull the trigger on it, since he’s playing rotation minutes in the early going this season. That decision looks like it’s as much about roster flexibility as it is financial flexibility — Memphis has about $157MM in guaranteed money on its books for next season, which is well below the luxury tax line, but that’s for 12 players. Not locking in LaRavia’s contract gives the club some more room to maneuver with those last few roster spots.

Of all these option decisions, the Lakers declining Hood-Schifino’s was the biggest eyebrow-raiser. It’s rare for a player to have his third-year option turned down just a year after being made a first-round pick. It’s even rarer when it’s a player who was drafted as high as Hood-Schifino (No. 17). The Lakers have their cap situation to consider, and clearing Hood-Schifino from the books for 2025/26 could created some additional spending flexibility, but it’s a tacit acknowledgment from the front office that its top 2023 pick was a miss.

Exercised options:

Fourth year:

Note: These players will become eligible for rookie scale extensions in July of 2025. If they’re not extended, they’ll be on track for restricted free agency in 2026.

• Paolo Banchero, Magic ($15,334,769)
• Chet Holmgren, Thunder ($13,731,368)
• Jabari Smith, Rockets ($12,350,392)
• Keegan Murray, Kings ($11,144,093)
• Jaden Ivey, Pistons ($10,107,163)
• Bennedict Mathurin, Pacers ($9,187,573)
• Shaedon Sharpe, Trail Blazers ($8,399,983)
• Dyson Daniels, Hawks ($7,707,709)
• Jeremy Sochan, Spurs ($7,096,231)
• Ousmane Dieng, Thunder ($6,670,882)
• Jalen Williams, Thunder ($6,580,997)
• Jalen Duren, Pistons ($6,483,144)
• Ochai Agbaji, Raptors ($6,383,525)
• Mark Williams, Hornets ($6,276,531)
• Tari Eason, Rockets ($5,675,766)
• Dalen Terry, Bulls ($5,399,118)
• Malaki Branham, Spurs ($4,962,033)
• Christian Braun, Nuggets ($4,921,797)
• Walker Kessler, Jazz ($4,878,938)
• Blake Wesley, Spurs ($4,726,328)
• Nikola Jovic, Heat ($4,445,417)
• Peyton Watson, Nuggets ($4,356,476)

These 22 players who had their fourth-year options exercised, along with the seven listed in the section above who had their fourth-year options declined, were drafted in the first round in 2022.

The 30th first-round pick in that class was TyTy Washington, who was waived by the Thunder in August 2023. Washington had both his third- and fourth-year options declined as part of that transaction last summer.

Third year:

Note: Teams will have to make fourth-year option decisions for 2026/27 on these players by October 31, 2025.

• Victor Wembanyama, Spurs ($13,376,880)
• Brandon Miller, Hornets ($11,968,800)
• Scoot Henderson, Trail Blazers ($10,748,040)
• Amen Thompson, Rockets ($9,690,600)
• Ausar Thompson, Pistons ($8,775,000)
• Anthony Black, Magic ($7,970,280)
• Bilal Coulibaly, Wizards ($7,275,600)
• Jarace Walker, Pacers ($6,665,520)
• Taylor Hendricks, Jazz ($6,127,080)
• Cason Wallace, Thunder ($5,820,240)
• Jett Howard, Magic ($5,529,720)
• Dereck Lively II, Mavericks ($5,253,360)
• Gradey Dick, Raptors ($4,990,560)
• Jordan Hawkins, Pelicans ($4,741,320)
• Kobe Bufkin, Hawks ($4,503,720)
• Keyonte George, Jazz ($4,278,960)
• Jaime Jaquez, Heat ($3,861,600)
• Brandin Podziemski, Warriors ($3,687,960)
• Cam Whitmore, Rockets ($3,539,760)
• Noah Clowney, Nets ($3,398,640)
• Dariq Whitehead, Nets ($3,262,560)
• Kris Murray, Trail Blazers ($3,132,000)
• Olivier-Maxence Prosper, Mavericks ($3,007,080)
• Marcus Sasser, Pistons ($2,886,720)
• Ben Sheppard, Pacers ($2,790,720)
• Nick Smith Jr., Hornets ($2,710,680)
• Brice Sensabaugh, Jazz ($2,693,760)
• Julian Strawther, Nuggets ($2,674,200)
• Kobe Brown, Clippers ($2,654,880)

As usual, nearly every player from the 2023 draft class had his third-year option picked up, with 29 of 30 exercised. As noted above, Hood-Schifino was the only player from 2023’s first round who is on track to become an unrestricted free agent in 2025.

For a team-by-team breakdown of this year’s rookie scale option decisions for the 2025/26 season, along with full stories on each decision, you can check out our tracker.

At Hoops Rumors, we track virtually every kind of transaction, including free agent signings, trades, contract extensions, and many more. One form of roster move that has become increasingly common in recent years is the two-way conversion, involving a player either being converted from an Exhibit 10 contract to a two-way deal, or from a two-way deal to the standard roster.

We’re going to track all of the two-way conversions (either to or from the standard roster) in 2024/25 in the space below.

Let’s dive in…

Exhibit 10 contracts to two-way contracts:

When a player signs a contract during the offseason that includes Exhibit 10 language, he gives his new team the ability to unilaterally convert his deal into a two-way contract. The deadline to convert such a deal is the day before the season begins — this year that was Monday, October 21.

A player who signs a training camp contract that doesn’t include Exhibit 10 language could still sign a two-way deal with his club as long as his camp contract doesn’t include a guarantee exceeding $75K. However, he’d have to clear waivers before inking that new two-way contract.

Here are the players who had their Exhibit 10 contracts converted into two-way deals in 2024/25:

• Jamison Battle (Raptors) (story)
• Brandon Boston Jr. (Pelicans) (story)
• Jazian Gortman (Mavericks) (story)
• Kai Jones (Clippers) (story)
• Yuki Kawamura (Grizzlies) (story)
• E.J. Liddell (Bulls) (story)
• Tyrese Martin (Nets) (story)
• Mac McClung (Magic) (story)
• Riley Minix (Spurs) (story)
• Quincy Olivari (Lakers) (story)
• Jared Rhoden (Hornets) (story)
• Liam Robbins (Bucks) (story)

The majority of these players were invited to training camp on Exhibit 10 contracts and ultimately earned two-way slots based on their performances in camp and the preseason.

That wasn’t the case for all of them though. Boston and Rhoden were cut at the end of the preseason by the Spurs and Raptors, respectively, then were claimed off waivers by the Pelicans and Hornets and immediately converted to two-way deals just ahead of the start of the regular season.

No additional names will be added to this list for the rest of the 2024/25 season, since players can’t be converted to two-way deals after the regular season begins.

Two-way contracts to standard contracts:

A player who is on a two-way contract can have his deal unilaterally converted a one-year, minimum-salary contract by his team (or a two-year, minimum-salary contract if the player’s two-way deal covers two years, but this is rare).

Generally though, the team’s preference is to negotiate a longer-term contract with the player in order to avoid having him reach free agency at season’s end.

When converting a player from a two-way contract to the standard roster, the team can use cap room or the non-taxpayer mid-level exception to negotiate a deal of up to four years; the room exception for a deal up to three years; or the taxpayer mid-level exception, bi-annual exception, or minimum salary exception for a two-year deal.

For any contract that is worth more than the minimum or exceeds the number of years left on the player’s two-way pact, the player must agree to the terms — a team can’t complete that sort of deal unilaterally.

Here are the players who have been converted from two-way deals to standard contracts so far in 2024/25, along with the terms of their new contracts, in chronological order:

• Scotty Pippen Jr. (Grizzlies): Four years, minimum salary (story). First two years fully guaranteed. Third year partially guaranteed ($350K). Fourth-year team option. Signed using non-taxpayer mid-level exception.
• Jay Huff (Grizzlies): Four years, minimum salary (story). First two years fully guaranteed. Third year partially guaranteed ($379,382). Fourth-year team option. Signed using non-taxpayer mid-level exception.
• Ariel Hukporti (Knicks): Two years, minimum salary (story). First year non-guaranteed. Second-year team option. Signed using minimum salary exception.

Players on two-way contracts can be converted to standard deals until the last day of the regular season, so this list will continue to grow until mid-April.

With the 2024/25 NBA season underway, our calendar of important 2024 preseason dates and deadlines can be retired in favor of a list of the key in-season dates for the ’24/25 campaign.

Here’s a breakdown of the deadlines and events that will influence player movement for the next several months across the NBA:

October 26

• NBA G League draft.

October 28

• NBA G League training camps open.

October 31

• Deadline for teams to exercise rookie scale options for 2025/26.

November 8

• NBA G League Tip-Off Tournament begins.

November 12

• Emirates NBA Cup (in-season tournament) begins.

December 1

• Priority order for waiver claims is now based on 2024/25 record, rather than 2023/24 record. Teams with the worst records receive the highest waiver priority.

December 3

• Emirates NBA Cup group play concludes.

December 10-11

• Emirates NBA Cup quarterfinals.

December 14

• Emirates NBA Cup semifinals.

December 15

• Most offseason signees become eligible for inclusion in trades.

December 17

• Emirates NBA Cup final.

December 19-22

• NBA G League Winter Showcase and Tip-Off Tournament championship.

December 27

• NBA G League regular season begins.

January 5

• First day teams can sign players to 10-day contracts.

January 7

• Last day to waive non-guaranteed NBA contracts (including two-way contracts) before they become guaranteed for the rest of the season. Salaries officially guarantee on January 10 if players haven’t cleared waivers before that date.

January 15

• Most other offseason signees become eligible for inclusion in trades.
• Last day to apply for a disabled player exception.

February 1

• Former first-round picks who were stashed overseas may sign rookie scale NBA contracts for the 2025/26 season.

February 6

• Trade deadline (2:00pm CT).

February 7

• The value of teams’ unused mid-level exceptions and bi-annual exceptions begins to prorate downward by 1/174th per day.

February 14-16

• All-Star weekend in San Francisco.

February 29

• Last day for contract renegotiations.

March 1

• Last day a player can be waived by one team and remain eligible to appear in the postseason for another team.
• Last day for a restricted free agent to sign an offer sheet.

March 4

• Last day for a team to sign a player to a two-way contract.

March 10

• Last day for a team to use a disabled player exception.

March 29

• NBA G League regular season ends.

April 1

• NBA G League playoffs begin.

April 10

• Last day to waive a player on an expiring contract or a player with an option for 2025/26 (4:00pm CT).

April 13

• Last day of the NBA regular season.
• Last day players can sign contracts for 2024/25.
• Last day two-way contracts can be converted to standard NBA contracts.
• Luxury tax penalties calculated based on payroll as of this day.

April 14

• Playoff rosters set (2:00pm CT).

April 15-18

• NBA play-in tournament.

April 19

• NBA playoffs begin.

Larry Coon’s Salary Cap FAQ and NBA.com were used in the creation of this post.