However, he only ended up playing three games with the Cavaliers, who waived him before that deal would become fully guaranteed.
He reportedly reached a deal with the Eastern Conference-contending Toronto Raptors on Wednesday.
The Raptors aren't involved in the investigation. Cleveland signed McCaw to an offer sheet on December 28, and Golden State decided not to match it. After clearing the waiver wire, the third-year wing became an unrestricted free agent. The NBA had examined the two-year, $6 million offer sheet closely prior to approving it, league sources said, but found no reason to disallow it.
McCaw averaged 1.7 points and one rebound in three games with Cleveland this season before his release.
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After waiving McCaw, the Cavs, who are now dealing with several injuries, went out and signed point guard Cameron Payne to shore up their ranks at the point guard position. McCaw, 23, was an early-season holdout following two years with the Golden State Warriors.
Suspicions immediately arose around Cleveland's motivation behind signing a player from the team that beat them in three of four NBA Finals, then releasing him nearly immediately.
After only a week in Cleveland, McCaw was waived before his contract was guaranteed. The New York Times reported that the league granted the request, although league executives are skeptical of any punishment being handed out, according to ESPN.
It's surely been a whirlwind couple days for McCaw.