Rebuilding in the NBA May Never Look the Same

Hunter Tierney
By Hunter Tierney
May 1, 2026
Rebuilding in the NBA May Never Look the Same

The NBA has been trying to solve tanking for years.

Nobody wants to watch a team spend the last six weeks of the season acting like winning is a parking ticket. Nobody wants to spend hard-earned money on courtside seats, or fire up a random Tuesday night game, only to realize one side is basically running a preseason rotation in March. The league can dress it up however they want, but fans know when a team is trying to be bad.

That’s the mess the NBA is trying to clean up with its proposed “3-2-1 lottery” reform. And this isn’t some little cosmetic tweak where the league moves a few ping-pong balls around and calls it progress. This is a real swing. It could change how teams rebuild.

The idea is simple enough on the surface: stop rewarding the worst teams with the best lottery odds. Under the proposed system, the three worst records wouldn't get the best shot at the No. 1 pick. Instead, those stronger odds would move to 4-10.

On paper, that sounds reasonable. Maybe even smart. If teams are racing to the bottom, move the finish line. Make losing less profitable.

The problem is, this is the NBA. Every time the league closes one loophole, smart front offices start hunting for the next one before the ink is dry.

The NBA Finally Had Enough

The timing here isn’t random.

The NBA didn’t just wake up one morning and decide the lottery needed a facelift because everyone in the league office was bored. This season got bad enough that the league finally had to acknowledge what everyone watching already knew: too many teams had way too much reason to lose.

And not normal losing. Not young teams taking lumps. Not a roster that simply isn’t good enough yet. We’re talking about the kind of losing where fans can feel the agenda through the TV.

The biggest spotlight came when the league fined the Utah Jazz $500,000 and the Indiana Pacers $100,000 for roster management. Utah was hit for conduct detrimental to the league after taking both Lauri Markkanen and Jaren Jackson Jr. out before the fourth quarter of games against Orlando and Miami, then not bringing them back even though the games were still winnable. Indiana was fined after the league determined Pascal Siakam and two other starters could have played against the Jazz under the Player Participation Policy standard.

That’s not the NBA quietly grumbling behind closed doors. They're stepping out front and saying, in the most polished corporate way possible, “Yeah… we all know what this is.”

A whopping five teams — Washington, Indiana, Utah, Memphis and Brooklyn — had winning percentages below .180 after the All-Star break. That's far and away the most in NBA history.

It felt like a race to see who could make the final two months of the season feel least watchable.

And this is where the NBA’s problem becomes bigger than just “some bad teams are bad.” Bad teams are part of sports. They always will be. Rebuilds are real, injuries happen, front offices miss, young players need reps. Sometimes a roster just stinks for a year. That’s life.

But strategically bad is different. When a franchise is clearly making choices with draft position in mind instead of trying to win the game in front of them, fans feel that immediately.

The Current System Was Supposed To Help

May 12, 2025; Chicago, Illinois, US; Rolando Blackman of the Dallas Mavericks reacts after winning the the first pick during the 2025 NBA Draft Lottery at McCormick Place.
Credit: David Banks-Imagn Images

The funny part is the NBA already tried to fix this once.

The current lottery system came out of the 2017 reform and started with the 2019 draft. Before that, the math was pretty blunt. The worst team had a 25% chance at the No. 1 pick. The second-worst team had 19.9%. The third-worst team had 15.6%. In other words, if you were going to stink, you might as well really stink. Finishing dead last came with a real reward.

So the NBA flattened the top odds. Now the three worst teams each get a 14% shot at No. 1, and the worst team can’t fall lower than fifth. The idea was simple enough: stop making the very bottom feel like beachfront property.

And to be fair, it helped in one obvious way. There’s less value in finishing with the single worst record than there used to be. The worst team and the third-worst team get the same odds to land the top pick, so there’s no massive incentive to lose one extra meaningless game in April just to move from third-worst to first-worst.

But here’s the catch: the NBA didn’t kill tanking. It just gave it a new address.

Instead of racing specifically for the worst record, teams started racing for the bottom three. That became the sweet spot. If three teams get a 14% shot at No. 1, and the fourth and fifth teams aren’t far behind, there’s still plenty of reason to slide down the standings once your season goes sideways.

So now the NBA is going a step further and basically saying, “Fine. If being bad still feels too rewarding, we’ll make being really bad detrimental to your future.”

That’s the real philosophical shift here. The old system tried to reduce the reward. This new one adds punishment.

What The “3-2-1 Lottery” Actually Does

The proposal would expand the lottery from 14 teams to 16 teams. This year’s draft would still use the current format, but if owners approve the change, the new version would begin with the 2027 NBA Draft and run through 2029 before the league reviews it again. That alone tells you something: even the NBA knows this is a big enough swing that it may need tweaks once teams start trying to game it.

The “3-2-1” part is about lottery balls, and once you strip away the jargon, it’s really about incentives. Who gets rewarded for being bad, who gets punished for being too bad, and who suddenly finds themselves in the sweet spot.

The teams with the fourth-worst through 10th-worst records would get three lottery balls each. That would give them the best odds at the No. 1 pick, around 8.1% apiece. The three worst teams would enter what’s being described as a “draft relegation” zone. Instead of getting three balls, they’d get two. That would drop their No. 1 odds to 5.4% each. That’s the hammer here. The NBA is basically saying if you fall all the way to the basement, don’t expect a reward basket waiting for you.

The No. 9 and No. 10 play-in seeds in each conference would also get two balls. The losers of the 7-vs.-8 play-in games would get one each, or a 2.7% chance at the top pick. So now even the play-in picture gets tied into lottery math, which is either creative or a future headache depending on how cynical you’re feeling.

The league wants the very bottom to become a place teams avoid, not a place they chase. That’s the entire mission statement right there.

There are other pieces too. The three worst teams could reportedly pick no lower than 12th, while the rest of the lottery field could land anywhere from No. 1 to No. 16. Teams wouldn’t be able to win the No. 1 pick in back-to-back years or land top-five picks in three straight drafts. Teams also wouldn’t be able to protect traded picks in the 12-to-15 range, and the commissioner would have more power to punish tanking by reducing odds or moving draft position.

That’s a lot. Honestly, maybe too much.

It Probably Works In The Short Term

Jun 25, 2025; Brooklyn, NY, USA; Asa Newell stands with NBA commissioner Adam Silver after being selected as the 23rd pick by the New Orleans Pelicans in the first round of the 2025 NBA Draft at Barclays Center.
Credit: Brad Penner-Imagn Images

The part that makes this proposal hard to dismiss is that, in the most obvious sense, it probably works.

A team sitting with the third-worst record with 10 games left is actually going to want to win. It also makes full-on shutdown mode harder to justify. If you’re already bad, and being even worse hurts your odds at No. 1, then benching every useful veteran and rolling out lineups that look like the summer league becomes a much tougher sell.

And this proposal attacks the ugliest version of tanking — the late-season sprint to the bottom — pretty directly.

So that means this is going to work, right?

The Problem Is, Some Teams Are Just Bad

Not every terrible team is tanking. Some teams are just terrible. There’s a difference.

A team can be bad because its best player got hurt. A team can be bad because the young guys aren’t ready yet. A team can be bad because the front office butchered the roster, the coach hire flopped, the veteran signings aged like milk, or the rebuild is in year one and there simply isn’t enough NBA talent on the floor. Sometimes a team isn’t scheming.

Those teams still need help. And historically, the draft has been where the bad NBA teams get their hope. It’s the light at the end of a brutal season. You tell yourself, “This year was rough, but maybe the ping-pong balls finally bounce our way.”

That’s where this proposal gets tricky. It might be better for the league’s regular-season product. It might clean up some of the shameless late-season nonsense. But it could also be brutal for teams that are genuinely stuck in the mud.

Imagine being a 17-win team that isn’t gaming anything. You’re not hiding healthy stars. You’re not pulling weird lineup stunts. You’re not treating losses like currency. You’re just bad, plain and simple. Under the current system, at least you’ve got a 14% shot at No. 1 and a good chance to stay near the top of the draft. Under this proposal, you'd have only a 5.4% chance at No. 1 and could slide all the way to 12th.

That’s a brutal sell to a fanbase that just sat through six months of bad basketball. That’s how you lose people.

And that’s the tightrope the NBA is walking here. It’s basically choosing between two problems. One problem is teams exploiting the lottery by losing on purpose. The other is genuinely bad teams getting punished for being genuinely bad.

Right now, the league seems to be saying the first problem is worse for the product on the floor. Maybe they’re right. Watching obvious tanking is miserable. But there’s real danger in making hopeless teams feel even more hopeless.

The Play-In Gets Complicated

The play-in tournament has been one of the NBA’s better recent ideas, honestly. It gave more teams something real to play for, which the league badly needed. Instead of half the conference checking out by February, a few more fanbases get to stay engaged. That’s a win.

It also made the bottom half of the playoff race feel less dead in February and March. A team sitting 11th wasn’t automatically buried anymore. A team sitting 10th had something real to chase.

This proposal, though, pulls the play-in into the lottery, and that could get dangerous in a hurry.

The losers of the 7-vs.-8 games would get one lottery ball. The No. 9 and No. 10 seeds would get two. That means play-in teams would have to choose between getting a shot at the top pick or getting blown out by a top seed in the first round. That seems counterintuitive.

It also creates the incentive to lose again, and the league has a long history of underestimating how quickly front offices will notice those incentives.

That doesn’t mean teams are going to openly throw play-in games. Most players and coaches aren’t wired that way. The guys on the floor are trying to win.

But organizations make decisions long before tip-off. They decide what risks are worth taking. They decide whether a veteran with a sore knee should push through or sit. They decide how aggressive they really want to be.

That’s a pretty big gray area. And if we’re being honest, the NBA’s entire tanking problem has always lived in the gray area.

The Long-Term Ripple Effects Could Be Wild

Feb 14, 2026; Los Angeles, CA, USA; NBA commissioner Adam Silver speaks to the media during a press conference before 2026 NBA All Star Saturday Night at Intuit Dome.
Credit: Kirby Lee-Imagn Images

NBA rule changes usually go something like this: the league spots a real problem, swings hard at it, then spends the next five years watching teams figure out where the new loopholes are hiding. That’s not even meant as a shot. It’s just reality in a league full of smart people whose entire job is finding those little edges.

The 2019 lottery reform is the perfect example. The NBA wanted to reduce the incentive to finish with the worst record. In that sense, it worked. Finishing dead last stopped being the golden ticket it used to be. But it also created a different side effect: more teams started believing they had a real shot to jump in the lottery, which helped spread the incentive to lose across the standings.

That’s the danger with any system change. You solve the obvious problem, then find two new ones you created a few years later.

And now there’s another layer to all of this. The NBA has spent years making it easier for teams to keep their own stars through supermax rules, extensions, and every mechanism possible to help teams hang onto elite, homegrown talent. In a lot of ways, that’s good for the league. Fanbases like continuity. Stars staying home is better for parity.

But there’s another side to it. True franchise-changers rarely ever hit unrestricted free agency in their primes anymore. If you’re a struggling team, the old dream of “we’ll just sign a superstar” is mostly fantasy now. Those guys aren’t really hitting the market. And when they do, they’re usually choosing contenders, glamour markets, tax-friendly situations, or places that already have another star waiting.

So if bad teams can’t realistically sign stars, and now they’re being given a tougher path to drafting one, how exactly are they supposed to climb out?

That’s the real fear here. Not that one bad team gets unlucky once. That happens. The system is designed to have some randomness. The fear is that some franchises get trapped in a loop where they’re too bad to matter, not lucky enough to land a franchise-changer, and not attractive enough to fix it another way.

That would be the nightmare version of this reform.

Because the NBA absolutely wants to avoid tanking. They should. But they also have to avoid turning this "draft relegation zone" into a holding cell for the same three hopeless teams.


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