The move closes a turbulent chapter that began when Rozier was placed on an indefinite, unpaid leave by the NBA in October after a shocking federal indictment.
The Washington Wizards clinched the worst record in the NBA with a 140-117 loss to the Miami Heat. Washington has lost nine in a row and 25 of its last 26 to tumble to the bottom of the standings.
Terry Rozier, who is facing federal charges related to a gambling operation, has been waived by the Miami Heat in an expected and procedural move that allows the team to sign another player to its roster before the postseason.