Nikola Jokic's Contract Decision Is Stirring Up Drama Around the NBA

In each of the past two offseasons, Nikola Jokic has had the opportunity to sign a contract extension with the Denver Nuggets. Both times, he rejected the opportunity to wait for a larger payday.

Next offseason, Jokic will be eligible for a historic five-year, $359.5 million contract extension, making it well worth waiting a couple of years. Jokic is expected to sign that contract next offseason, even verbally committing to the Nuggets this summer after turning down an extension, but that has not stopped the NBA landscape from blowing this situation out of proportion.

NBA insider Marc Stein recently joined the DNVR Nuggets Podcast and said that he expects teams around the league to keep an eye on the Nuggets and Jokic's situation.

"There are a lot of eyeballs on the Denver Nuggets right now league-wide," Stein said. "There is a lot of curiosity about where this team is going and, let's face it, Jokic could have signed an extension for the second straight summer and did not. And even if that is 1000% motivated by the finances involved, it's still going to get other teams whispering, monitoring — you know, pick your adjective — but this is going to be a topic."

From Jokic's situation to Peyton Watson's free agency and various trade rumors, the Nuggets have been stirring up plenty of drama around the NBA, and talks might get even louder throughout the 2026-27 season.

Jokic could be a 2027 free agent

The biggest concern with Jokic right now is that if the three-time MVP changes his mind about staying in Denver at some point during the 2026-27 season, he could simply enter unrestricted free agency next summer. Jokic has a player option worth $62.8 million for the 2027-28 season, and if he declines that, he would enter free agency.

Nikola Jokic will be eligible to sign a five-year, $359.5 million contract by waiting until next summer as a free agent, per @BobbyMarks42

That contract would be the LARGEST in NBA history and would propel his career on-court earnings to $724 million https://t.co/RUaYFeHqXG pic.twitter.com/oHWFiMinjc
— Fullcourtpass (@Fullcourtpass) August 4, 2026

Granted, Jokic is expected to decline the player option regardless, but rather to sign that historic five-year contract extension to stay in Denver. However, if he drifts apart from the Nuggets' front office over the next ten months, things could turn sour for both sides, and this entire situation could come back to bite them.

Of course, that is exactly what other teams will be monitoring. If there is an ounce of feeling around the NBA that Jokic could be growing unhappy in Denver, the Nuggets' phones will be ringing nonstop with trade interest. It is well worth rival teams' time to monitor Jokic's status, just in case they end up having a chance at one of the best players in the world.

Should the Nuggets be worried?

Apr 30, 2026; Minneapolis, Minnesota, USA; Denver Nuggets center Nikola Jokic (15) looks on against the Minnesota Timberwolves in the second half during game six of the first round of the 2026 NBA Playoffs at Target Center. | IMAGN IMAGES via Reuters Connect

Really, there is no reason for Nuggets fans to be too worried right now. Sure, things could potentially turn sour, but there is a very low chance that Jokic actually wants to leave Denver. The three-time MVP and one-time champion has always pledged his allegiance to the Nuggets' franchise, and there is a low chance that changes in the next year.

Even though there will be plenty of teams monitoring the Nuggets next season, they can control everything internally. As long as the Nuggets make an effort to stay competitive and keep Jokic happy, there should be no reason to worry about him wanting to leave.

Sign up for our free Denver Nuggets On SI newsletter, and get breaking Nuggets news delivered to your inbox daily!

Add us as a preferred source on Google