The Golden State Warriors’ offseason has seen them go without signing a single outside free agent. After missing out on a potential deal for LeBron James, the franchise shifted focus towards retaining its own players. However, their loyalty to De’Anthony Melton has locked them into hard-cap restrictions.

As the final details of Melton’s contract surfaced, the Warriors found themselves facing questions about the team’s long-term roster construction. While the approach allowed Dub Nation to maintain continuity around Stephen Curry, it has also cost them $5.2M in cap flexibility.

“De’Anthony Melton’s contract with the Warriors came in higher than was reported. Melton got the full Taxpayer MLE from GSW: 2026-27: $6.064M 2027-28: $6.4M 2027-28 is a player option for Melton,” Cap analyst Keith Smith reported.

“GSW is hard-capped at the second apron by using the Taxpayer MLE. They have about $5.2M in room under the second apron.”

The contract came in higher than the original reported figure of two years and $11 million. The initial expectation was that Melton would return on a smaller deal after opting out of his previous $3.5 million player option. Instead, the Warriors used the entire taxpayer mid-level exception to keep him.

Originally signed as a free agent on July 8, 2024 by GSW, his first season ended after six games. This occurred during the franchise’s 11th game of the season when they played host to the Mavericks on November 12, 2025. Melton got subbed off in the final quarter after making a 29-foot basket to take the score to 112-108 at the time.

Ahead of the Warriors’ next game at home to the Grizzlies, head coach Steve Kerr admitted that the injury was a concern and they would know more over the next few days.

After the ACL sprain and surgery were announced, Kerr expressed his dismay at the events that had transpired. His words even hinted at Melton being a player they would be keen to get back in.

“He’s such a perfect fit for us, and we were so excited to have him. He was clearly going to be our starter next to Steph [Curry]. The good news is he’s a young guy and the surgery is pretty routine these days. He should be able to come back and resume his career really well. But I feel awful for him and bad for us, too.”

A partially torn left ACL ended his campaign, and later the Warriors traded him in December that year. Melton, who upon being traded had revealed that he would have traded himself as well, eventually returned to Golden State on October 1, 2025.

He featured in 49 games last season, taking his total with the team to 55 over a season and a half. Despite the limited availability and just 26 starts, Golden State continued investing in his return.

Melton received $13 million in July 2024 and another $3 million in July 2025. His latest agreement added another significant commitment, with the Warriors giving him the full taxpayer mid-level exception.

By using the taxpayer mid-level exception, the Warriors became hard-capped at the second apron. The team entered the season with only around $5.2 million of room below that threshold, limiting its ability to make additional upgrades. However, the move could be seen as a small way of keeping Curry happy.

Last December, Curry responded to the prospect of playing alongside De’Anthony Melton, with whom he shared the court for six games last season. 

“Just a guy who understands what this level is all about, and he has a way of making the game very simple,” he said. 

Melton seemed to reciprocate the gesture, admitting that he would love to return. In the same April 20 media interaction, he responded to Curry’s sentiment of liking playing alongside him. 

“It means a lot. Somebody of his caliber, of his stature, to say things that compliment you as well as him means that you’re doing something right,” said the player.

On paper, Melton’s skill set fits alongside Curry and the Warriors’ style of play. The concern, however, has been consistency and availability.

During the 2025-26 season, Melton averaged a career-high 12.3 points per game. However, he struggled with efficiency, shooting 40.7% from the field and just 29.4% from three-point range.

Keeping Melton could still prove valuable if he stays healthy. His defensive ability and experience can help a team build around an elite veteran leader. With Curry entering the later stages of his career, the Warriors cannot afford many more expensive moves that fail to provide consistent impact.