What happens when a player is placed on waivers?

When a player is placed on waivers, the correct outcome is that other teams in the league have a specified period of time, typically 48 hours, to claim the player. This process is an important mechanism within the NBA that allows teams an opportunity to acquire players that are being let go by their current team. If a player is claimed during this waiver period, he will join the team that made the claim, and his existing contract will be transferred to that team.

If the player is not claimed within the 48 hours, he will then be considered a free agent and can sign with any team of his choice. This system provides teams a chance to evaluate a player's potential value and make strategic decisions to strengthen their rosters.

In contrast, immediately releasing a player would not allow for this process, and the player's contract would not become void automatically. Instead, a player remains under the conditions set when placed on waivers until the claim period concludes.