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Cavaliers' latest LeBron James backup plan is quickly falling apart

Denver's salary cap struggles may bar the Cavaliers from getting an offseason win.
Jan 29, 2026; Denver, Colorado, USA; Denver Nuggets guard Peyton Watson (8) reacts on the court in the first quarter against the Brooklyn Nets at Ball Arena. Mandatory Credit: Ron Chenoy-Imagn Images
Jan 29, 2026; Denver, Colorado, USA; Denver Nuggets guard Peyton Watson (8) reacts on the court in the first quarter against the Brooklyn Nets at Ball Arena. Mandatory Credit: Ron Chenoy-Imagn Images | IMAGN IMAGES via Reuters Connect

Since missing out on LeBron James to the Philadelphia 76ers, the Cleveland Cavaliers have been pursuing a final solution to their years long search for a starting small forward.

The Cavaliers have emerged as potential suitors for Jonathan Kuminga and Peyton Watson. While the Cavs seemed initially set on Kuminga, sights have shifted as Watson remains the biggest question mark in free agency for wing players. Stuck in restricted free agency with the Denver Nuggets, Watson is embroiled in a frustrating contract battle either to stay with the team that drafted him or get paid what he believes he is worth somewhere else.

According to Brett Siegel of ClutchPoints, the Nuggets are unwilling to pay Watson more than $20 million annually, causing a rift in discussions. Now, Cleveland is competing with the LA Clippers and Milwaukee Bucks to be Watson's new home.

The 23-year-old forward is one of the most promising young talents at the most coveted position in the league. If the Cavaliers add him to their ranks, the offseason can move from an objective failure to a legitimate success. While Watson does not carry the two-decade pedigree of awards and winning that LeBron would have brought, Watson brings talent that can help Cleveland win now and a runway into future contention alongside Evan Mobley.

Unfortunately, Siegel's piece also notes the Cavaliers are not viewed as frontrunners for Watson. For the same reason the Nuggets are willing to part with Watson, the luxury tax's second apron, the Cavaliers will find it difficult to trade for him. In order to complete a sign-and-trade, the Nuggets must end the transaction below the second apron. This means they cannot take back any salary, instead needing to shed money in the deal.

To complete a deal for Watson, the Cavs would need to include one of Max Strus and Dennis Schröder to afford the young wing. The Nuggets would also need to move off an extra salary like Zeke Nnaji or Christian Braun to end the transaction below the second apron threshold.

According to Siegel, these conflating issues have led to onlookers in the NBA doubted the Cavs' chances to land Watson.

Cleveland needs a win this offseason

Outside of Meleek Thomas and finally signing Mario Hezonja, the Cavaliers have not established any particular wins this offseason. Losing Dean Wade to LeBron's eventual new team in the Sixers started free agency on a sour note for the Cavaliers. Keon Ellis also signed a multi-year contract to join the Brooklyn Nets. Both of the Cavs' best perimeter defenders walked out the door while Cleveland waited to see LeBron's decision.

Watson presents a real victory and sense of hope if he joins the Cavs. He is a young, 6-foot-8 forward with a lot of upside. To resolve an endless search for a starting wing by landing a breakout talent like Watson could redeem much of Cleveland's setbacks over recent years.

Regardless of the Cavs' needs and wants, the second apron is a vicious tyrant against team composition. Last season, Cleveland was the only franchise to brave the second apron, restricting their free agency and trade options to nearly nothing. With a limited stock of draft assets available, the Cavs cannot bribe other teams to take two inflated salaries to complete the trade.

By all means, Thomas and Hezonja are real, tangible improvements in a vacuum. Thomas is an exciting rookie guard on an incredible team-friendly deal. Hezonja is rejoining the NBA after amounting plenty of accolades overseas. Both players can contribute to a winning season, but neither one is as pivotal as LeBron or Watson.

Kuminga may quickly be the Cavs' only real backup plan to land a long-term replacement on the wing. While his defensive upside and confident offensive approach could be serious positives for the Cavaliers, ending the summer with Kuminga as a consolation prize for missing out on James and Watson could leave a bad aftertaste for the fanbase.

With Denver's mismanaged salary sheet, the Cavs are seemingly falling out of the Watson race. The Cleveland Cavaliers have navigated this summer with constant setbacks. A long list of failed trades like DeAndre Hunter and Lonzo Ball have left the Cavaliers desperate for something to go in their favor. The latest Watson news only piles on to a painful bout of roster construction from the Cavs' front office.

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