The next step for DeMar DeRozan may matter more than the last one. Sacramento appears to be leaning toward waiving him, and if that happens, the veteran wing would move from an expensive roster complication to a potential market opportunity for teams trying to add scoring without blowing up their cap sheet.
That is where the New York Knicks enter the picture. The Knicks have already made it clear they will not go into the second apron, and that financial discipline has shaped the rest of the offseason. It also explains why a trade for DeRozan was never realistic: his $25 million salary simply could not fit on their books. But if he reaches free agency, the path changes. A veteran minimum contract is suddenly possible, and for a team with limited flexibility, that matters.
What Sacramento is expected to do
According to Kelly Iko, Sacramento is leaning toward waiving DeRozan, and DeRozan is expecting to be waived and stretched by the franchise. The reporting also notes that the 37-year-old is hoping to accelerate his exit, either by becoming a free agent or being moved sooner rather than later. With only $10 million guaranteed on his $25 million deal for the 2025-26 season, the Kings have a reason to treat this as a roster and salary decision, not just a basketball one.
That kind of move would not make DeRozan a different player, but it would change his market. He remains a six-time All-Star, and even at 36, he still has value for a contender that needs creation, shot-making and a steady half-court option. In the right setting, that profile can still play.
Why the Knicks are watching
The Knicks have already spent the offseason operating carefully. Before free agency, James Dolan made it clear the team would stay out of the second apron. During the current offseason, Mohamed Diawara returned in restricted free agency, Landry Shamet and Jose Alvarado were brought back on new deals, and the Knicks signed Andre Drummond. That is not the behavior of a team looking for a splash; it is the behavior of a team trying to preserve flexibility while filling holes.
Still, the need is obvious enough. Steven Simineri noted that the Knicks could use another ball handler because there is not much creation off the bench. He also pointed out that the team has roughly $6.2 million left under the second apron, enough for two minimum deals with some change to spare. One spot appears set aside for another big man, and another could go toward Jordan Clarkson. If DeRozan becomes available at the minimum, he would enter the same conversation as a low-cost upgrade rather than a cap-crushing add-on.
That is the appeal. This is not about chasing a superstar version of DeRozan. It is about whether a veteran who can still create a shot can be added at a price the Knicks can actually live with. As Simineri put it, DeRozan would be an upgrade because of what he can still bring as a 6-foot-6 creator, and because the cost would be minimal.
The catch is that the Knicks are working inside a narrow financial lane. The second-apron mandate already cost them Mitchell Robinson, and that is the kind of constraint that can turn a sensible basketball idea into a nonstarter. Even a useful veteran becomes complicated if the math does not cooperate.
So the story now is less about whether DeRozan can help and more about whether Sacramento gives him the chance to become available at all. If it does, the Knicks will be one of the more obvious teams to watch. If not, this becomes another reminder that in today’s NBA, salary structure often decides the market before basketball does.
