Summary
Highsmith is the next Miami G-League prospect that the Heat have turned into a rotation player, similar to guys like Kendrick Nunn, Duncan Robinson, Max Strus, and Gabe Vincent. After playing the '20-'21 season in Germany, Highsmith returned to the G-League in '21-'22, where he also spent the '18-'19 and '19-'20 seasons. He played well enough in the G-League to earn a multi-year contract with the Heat near the end of the 21-'22 season.

Highsmith has only hit 37% from three for the Heat, which is about average, but it has been on low volume and teams have generally been happy to leave him open. He also doesn't have much off-the-dribble ability, and very rarely makes plays for other.

Highsmith has shown some real defensive ability due to his physical tools, and has had some nice moments in previous seasons, including in the 2023 playoffs when the Heat made their Finals run. They will often play Highsmith at the top of their zone defense, where he can use his length and athleticism to disrupt opposing ball-handlers. 

Highsmith will already be 27 as a free agent in 2024, so he's not the youngest prospect around, and this might be his best chance at a big long-term contract.
 
Cap Considerations
Highsmith will be an unrestricted free agent with a $2.1 million cap hold and Full Bird rights, meaning the Heat would have no restrictions on re-signing him.

If Highsmith is brought back by the Heat on a multi-year contract that is above the minimum, they could benefit from frontloading his contract, as it could give them additional flexibility in the future. However, doing so could potentially push them into the luxury tax (or higher into the tax, if already in it) depending on what happens with their other free agents.

For other teams, if Highsmith demands a starting salary of more than the full $12.9 million Non-Taxpayer Mid-Level Exception, only teams with cap space will be able to sign him, unless a sign-and-trade is worked out. However, it's possible that Highsmith could be had for the full MLE or slightly less.