​The Denver Nuggets have taken a measured approach to the offseason, largely focusing on retaining their own players while operating under the NBA’s restrictive luxury-tax rules.One important piece of business remains unresolved: Peyton Watson’s future.“We want Peyton to stay with us,” a Denver front office executive told Spotrac’s Keith Smith. “He’s an important player for us. We’ll see where things go with his contract, but we’ve made it clear our intention is for him to stay with us.”Jan 18, 2026; Denver, Colorado, USA; Denver Nuggets guardPeytonWatson(8) during the first quarter against the Charlotte Hornets at Ball Arena. Mandatory Credit: Ron Chenoy-Imagn ImagesWatson remains a restricted free agent, giving Denver the ability to match an offer sheet he signs with another team.Watson’s breakout creates a decisionWatson delivered the best season of his four-year career in 2025-26, averaging 14.6 points, 4.9 rebounds and 2.1 assists. The 6-foot-8 wing also continued establishing himself as one of Denver’s most versatile defensive players.His combination of length, athleticism and improving offense makes him an important part of a rotation built around Nikola Jokić, Jamal Murray and Aaron Gordon.Watson’s progress, however, has increased his value at a time when the Nuggets are carefully managing their payroll. Denver reportedly presented him with a four-year, $70 million offer, but the sides have yet to reach an agreement.The Nuggets already made one expensive decision involving a restricted free agent by matching the Oklahoma City Thunder’s two-year, approximately $12 million offer sheet for Spencer Jones.“We couldn’t let Spencer go,” the executive said. “He’s an important player for us, and that’s a value contract. No-brainer to match that and keep Spencer home in Denver.”Jones averaged 5.5 points and 3.3 rebounds in 64 games last season, including 37 starts.Denver maintains its coreThe Nuggets’ other moves included re-signing Tyus Jones and adding Marvin Bagley III after parting with veteran center Jonas Valančiūnas.Bagley offers a more athletic option behind Jokić, although he does not provide the same physical post presence as Valančiūnas.“Definitely a different look from Jonas to Marvin,” the executive said. “But we think it’s a more athletic presence behind Nikola, and that’s a good thing.”Jan 29, 2026; Denver, Colorado, USA; Denver Nuggets guardPeytonWatson(8) and guard Jamal Murray (27) during the first quarter against the Brooklyn Nets at Ball Arena. Mandatory Credit: Ron Chenoy-Imagn ImagesDenver’s relatively quiet summer has not changed how at least one rival executive views its ceiling.“Way too many people are writing them off,” a rival Western Conference general manager said. “They still have Jokić, Murray, Gordon and good role players.”Watson is central to that outlook. His development gives Denver an athletic two-way wing capable of defending multiple positi