What happened: The restricted free agent is weighing a $6.5 million qualifying offer for 2026-27. Accepting it would make him an unrestricted free agent next summer.
Why it matters: Denver can match any offer sheet Watson signs. Keeping him on the qualifying offer would lift its projected luxury-tax bill to at least $112 million.
By the numbers: Watson averaged 8.2 points, 3.9 rebounds and 1.4 assists across 79 games in 2025-26.
What to watch: Watch whether Milwaukee meets Denver's asking price or Watson takes the one-year qualifying offer.