The NBA landscape shifted dramatically on January 7, 2026, when the Atlanta Hawks agreed to trade four-time All-Star point guard Trae Young to the Washington Wizards in exchange for veteran guard CJ McCollum and sharpshooting wing Corey Kispert. The blockbuster deal, first reported by ESPN's Shams Charania, ends Young's seven-plus season tenure as the face of the Hawks franchise and sends him to his preferred destination in the nation's capital.
How the Trae Young Trade Unfolded: Inside the Blockbuster Deal
The trade represents a significant pivot for both franchises. For Atlanta, it marks the end of an era that saw Young lead the Hawks to the Eastern Conference Finals in 2021 but also featured growing evidence that the team performed better without its star guard. This season, Atlanta posted a 2-8 record with Young in the lineup compared to 16-13 without him, according to ESPN statistics. The Hawks' decision not to offer Young a contract extension last summer signaled the impending separation, with trade discussions accelerating in recent days.
Washington, in the midst of a rebuild but with promising young talent, emerged as the ideal destination for Young. The Wizards' front office, led by Monumental Basketball president Michael Winger and general manager Will Dawkins, had been searching for a franchise point guard to anchor their young core. Young's familiarity with senior vice president of player personnel Travis Schlenk—the executive who originally drafted him to Atlanta—created natural alignment between player and organization.
Timeline: How the Trae Young Trade Developed Over Recent Weeks
The road to this trade began in October 2025 when Young suffered a right MCL sprain that sidelined him for 22 games. During his absence, the Hawks discovered they could compete without him, going 13-9 according to The Athletic's reporting. When Young returned in December, Atlanta lost all five games he played before he suffered a right quad contusion that has kept him out of the last six contests.
Trade rumors began circulating in early January 2026, with Marc Stein first reporting that the sides were closing in on a deal. By January 7, ESPN confirmed the agreement was in place. Both McCollum and Kispert were held out of Washington's January 7 game against Philadelphia with injuries, while Young watched Atlanta's victory over New Orleans from the bench in street clothes before making his final exit from the Hawks' facility.
Why the Trade Matters: Expert Analysis and Impact on Both Franchises
For the Hawks, this trade ushers in a new era centered around emerging star Jalen Johnson, who has been playing at near All-NBA level this season. McCollum provides a valuable veteran presence and an expiring $30.6 million contract that gives Atlanta significant financial flexibility for future moves. Corey Kispert adds much-needed wing depth and shooting to complement Johnson's development.
"The Hawks are now poised to turn the page to a new era with the emergence of Jalen Johnson, Nickeil Alexander-Walker, Dyson Daniels, Onyeka Okongwu, and Zaccharie Risacher," ESPN reported. "McCollum serves as a valuable plug-and-play veteran leader for the Hawks while holding a $30.6 million expiring contract."
Washington acquires a proven superstar who can accelerate their rebuild. Young joins a promising young core featuring 2025 first-round pick Alex Sarr, Kyshawn George, Bilal Coulibaly, Tre Johnson, and Bub Carrington. The Wizards believe Young's elite playmaking will unlock the offensive potential of their young players while providing Sarr with an elite pick-and-roll partner.
Where Things Stand Now: Latest on the Trade and Player Status
As of January 8, 2026, the trade is pending league approval. Young is expected to rehab his quad injury with the Wizards medical staff, with no immediate timetable for his return to the court. The 27-year-old guard has $95 million remaining on his contract through the 2026-27 season, including a $49 million player option for the final year.
CJ McCollum, 34, was averaging a team-high 18.8 points per game for Washington this season while shooting 39.3% from three-point range. Corey Kispert, 26, has averaged 9.2 points per game and provides career 38.3% three-point shooting. Both players are expected to join the Hawks once the trade is finalized.
What Happens Next: The Road Ahead for Young, McCollum, and Both Teams
The Wizards now face the challenge of integrating Young into their system while evaluating whether he represents their long-term solution at point guard. With approximately $80 million in projected cap space for the 2026 offseason, Washington has flexibility to build around Young if he exercises his player option or to pursue other avenues if he enters free agency.
Atlanta, meanwhile, gains financial flexibility to pursue major moves, with Anthony Davis of the Dallas Mavericks mentioned as a potential trade target according to ESPN. The Hawks also own a valuable first-round pick in the 2026 draft that could accelerate their rebuild around Jalen Johnson.
The Bottom Line: Key Points to Remember About the Blockbuster Trade
- Trae Young ends his Hawks tenure as the franchise's all-time leader in assists (4,837) and three-pointers (1,295)
- The Hawks were 2-8 with Young this season and 16-13 without him
- CJ McCollum's expiring $30.6 million contract provides Atlanta significant cap flexibility
- Washington acquires a four-time All-Star without surrendering any draft compensation
- Young joins a young Wizards core that includes Alex Sarr, Kyshawn George, Bilal Coulibaly, Tre Johnson, and Bub Carrington
As Hawks power forward Mouhamed Gueye told reporters after learning of the trade: "That's T.Y. That's Trae Young. When I first got here, he was one of the first guys that texted me, welcoming me to the city, gave me a lot of advice. Obviously, playing with Trae, as a big, is like a dream come true. I love him as a guy. I love him as a teammate. ... An Atlanta legend."
