So, if you haven’t heard, the NCAA has gone the way of major league baseball and implemented a type of ‘minor league’ situation. This is certainly a step in the right direction when it comes to player development and will also keep quality players in the US, instead of them bolting for an overseas contract.
Here is how the ‘two way’ contract works, as stated by HoopsHype:
Two-way deals are technically supposed to address that issue, and allow teams to retain a one-to-one relationship with a player to sign him to an NBA contract.