Nikola Jokić’s Extension Decision Reflects Strategic Patience, Not Doubt in Denver

Gary A. Vasquez/USA Today Sports,

Nikola Jokić, the Denver Nuggets’ franchise cornerstone and three-time NBA MVP, has informed the organization that he will not sign a contract extension during the 2025 offseason. The decision, first reported by The Denver Post, is not rooted in dissatisfaction with the team, but in a calculated financial strategy that could yield roughly $80 million more in guaranteed money if he waits until 2026. Jokić is currently in the third year of a five-year, $276 million supermax contract signed in 2022, which includes a player option for the final season (2027–28). Under current NBA rules and cap projections, Jokić is eligible this summer for a three-year extension worth approximately $212 million. However, by waiting until next offseason, he could secure a four-year deal with higher annual value, made possible by expected increases in the league’s salary cap. According to multiple reports, this delay could translate into an additional $80 million in total earnings. Denver Nuggets governor Josh Kroenke addressed the situation transparently, stating that the organization anticipated Jokić’s choice. “We’re definitely going to offer it,” Kroenke said, referring to the extension. “I’m not sure if he’s going to accept it or not, because we’re also going to explain every financial parameter around him signing now versus signing later. And then he makes the best decision for himself and his family, and we’ll support him in it”.

Jokić’s decision arrives amid a pivotal summer for the Nuggets. Following a second-round playoff exit to the Oklahoma City Thunder in seven games, the franchise undertook major structural changes. Denver parted ways with head coach Michael Malone and general manager Calvin Booth, replacing them with David Adelman and a new front office tandem of Ben Tenzer and Jonathan Wallace. These leadership changes signal a commitment to evolving the franchise around Jokić’s prime years. The Nuggets have also been active in reshaping their roster. They traded forward Michael Porter Jr. to the Brooklyn Nets for sharpshooter Cam Johnson, a move that created salary cap flexibility. That flexibility was then used to re-sign defensive wing Bruce Brown and acquire Tim Hardaway Jr. for shooting depth. Denver also added veteran big man Jonas Valančiūnas, though his availability remains uncertain due to reported interest from overseas clubs. Despite the shakeup, Jokić’s presence remains the anchor for Denver’s hopes. At 30, he continues to perform at an elite level, narrowly missing out on his fourth MVP award in 2025 to Shai Gilgeous-Alexander.

The organization’s recent moves show a clear intent: build a roster capable of contending now while making a compelling case for Jokić to stay long-term. While some fan speculation may interpret the delayed extension as a warning sign, the reality is quite the opposite. With Jokić’s contract already securing him through at least 2026–27, his patience is a logical business decision in an evolving financial landscape. The Denver Nuggets, meanwhile, appear fully aligned with that reality—both on the court and in the boardroom.