The Nuggets were doing the latter. For a time now
Just like they were in JB talks. Everything is fluid
Watson probably remains a Nugget and they're still the 3rd or 4th best team in the West and are still missing a piece or two to make it out the West regardless
Nuggets plan has always been the same for a while now
Match any offer Watson gets (he hasn't been given any yet and its almost August)
And move Cam or Braun to dip under the apron