
Fans of the Denver Nuggets have been watching a hectic NBA offseason unfurl around them over the last couple of months, patiently waiting amid it all for one thing and one thing only: any sort of update on the status of Peyton Watson and his ongoing restricted free-agency saga. An update did come Wednesday night, but certainly not one they were expecting.
In a league environment hungry for owners willing to spend into the second luxury-tax apron, the Nuggets are slated to exceed that dreaded threshold this coming season — ironically, with a roster that many feel isn't worth the mile-high salary bill.
But with Watson still unsigned, the Nuggets made a small yet surprising addition this week, one that may not bode well for the one-time champion's return to Ball Arena.
After a year away from the NBA, Lonnie Walker IV has been signed by the Denver Nuggets to a one-year, $3.3 million contract for the 2026-27 season, according to ESPN's Shams Charania.
Lonnie Walker IV has agreed to a one-year, $3.3 million deal with the Denver Nuggets, agent George S. Langberg of @GSLSportsGroup told ESPN. Walker was with Maccabi Tel Aviv in the EuroLeague after last playing in the NBA in 2024-25 and now enters his 8th season in the league. pic.twitter.com/tvxQc2RRjz
— Shams Charania (@ShamsCharania) August 6, 2026
Walker, whose NBA exploits have ranged from putting up a memorable fourth-quarter playoff performance for the Los Angeles Lakers to being waived by the Boston Celtics before playing a single minute for the club, averaged 15.2 points, 2.5 rebounds and 2.3 assists in 28 games for Maccabi Tel Aviv in EuroLeague last season, according to Basketball Reference. Prior to that, the shooting guard put up a modest .420/.354/.800 shooting split in 20 games for the Philadelphia 76ers in 2024-25, a season that ended without Walker finding any suitors in the world's biggest basketball league.
Charania, in reporting the signing, mentioned that the addition of Walker could help to "make up for the loss of Tim Hardaway Jr., who signed a free-agent deal with the Miami Heat, and potentially restricted free agent Peyton Watson." He added that the Milwaukee Bucks, Cleveland Cavaliers and Los Angeles Clippers are all showing active interest in a potential Watson sign-and-trade that would provide Denver with some much-needed salary-cap relief.
Walker would not serve as a one-for-one replacement for Watson by any stretch of the imagination, but then again the salary cap does not care what position you play or how many minutes you feature. After first fighting off the Oklahoma City Thunder to retain Spencer Jones and now seemingly prioritizing the addition of a former NBA outcast over the resolution of Watson's contract limbo, things are not looking promising for those hoping to see the former UCLA man back in Denver this year.
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