NBA free agency officially kicked off on Monday evening as the negotiating window opened for eligible players and all teams across the league at 6 p.m. ET. Monday night was relatively quiet, but the first stunners of the new league year came Tuesday morning.

On Monday, the NBA announced that the salary cap has been set at $154.647 million for the 2025-26 season, while the tax level is $187.895 million. The first apron level is set at $195.945 million, and the second apron level is $207.824 million. The salary cap and tax level went into effect at 12:01 a.m. ET on Tuesday.

Houston is parting ways with one of its young assets. Meanwhile, the market for the Warriors' restricted free agent is beginning to take shape.

The dust has settled on the first wave of NBA free agency, giving us a good feel for how every team has performed so far.

This is The Athletic’s daily sports newsletter. Sign up here to receive The Pulse directly in your inbox. Good morning! We hope you executed a sign-and-trade to acquire some hot dogs. NBA free agency is more or less over.

The Indiana Pacers are looking at a potential rebuild year after the loss of Myles Turner to the Milwaukee Bucks.