The Nuggets exercised the third-year, $2.4 million team option on Watson's rookie contract Wednesday, Vinny Benedetto of The Denver Gazette reports.

EDGE Analysis

Watson didn't play much as a rookie last year, averaging just 3.3 points and 1.6 rebounds in 8.1 minutes per game across 23 appearances. However, the departures of Bruce Brown and Jeff Green this offseason have opened up playing time for Watson and others. The 2022 No. 30 overall pick isn't guaranteed a major role, but the Nuggets exercising his option suggests they think Watson can contribute over the next two years.