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Report: Nuggets' Peyton Watson Considering Nuclear Option Amid Contract Standoff

Denver kept the 25-year-old forward on a two-year, $12 million fully guaranteed deal after Oklahoma City extended the offer sheet, ESPN reported.

  • On Sunday, the Denver Nuggets matched the Oklahoma City Thunder's two-year, $12 million offer sheet for restricted free agent Spencer Jones before the 10:59 p.m. CT deadline.
  • The Thunder extended the fully-guaranteed deal to Jones on Saturday, triggering a 24-hour clock that forced Denver to evaluate the contract terms and decide whether to retain the rotational player.
  • Jones, a Stanford product, posted 6.5 points and shot 69.2 percent from deep in six playoff games while Aaron Gordon missed time during the 2025-26 campaign.
  • Retaining Jones pushes Denver into the second apron, resulting in a $68 million tax penalty, while the Thunder remain roughly $6.9 million under the second apron with an open roster spot.
  • The Nuggets now face decisions regarding restricted free agent Peyton Watson, who reportedly seeks a deal worth around $25 million annually; Denver is reportedly open to a sign-and-trade for Watson.
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Bias Distribution

  • 67% of the sources are Center
67% Center

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Oklahoman broke the news in Oklahoma City, United States on Sunday, July 26, 2026.
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