The Big Lead

MLS introduces a simpler way for teams to complete domestic transfers

After years of confusing trade mechanisms, the league is finally getting with the times.

By Matt Reed

Dec 4, 2024; Ft. Lauderdale, Florida, USA; Inter Miami CF forward Lionel Messi (10) talks to Inter Miami CF academy players during the presentation of the Landon Donovan MVP award at Chase Stadium. Mandatory Credit: Sam Navarro-Imagn Images
Dec 4, 2024; Ft. Lauderdale, Florida, USA; Inter Miami CF forward Lionel Messi (10) talks to Inter Miami CF academy players during the presentation of the Landon Donovan MVP award at Chase Stadium. Mandatory Credit: Sam Navarro-Imagn Images / Sam Navarro-Imagn Images
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Major League Soccer has taken some big steps over the years, between increasing the size of the league, generating buzz with massive superstars coming into the league, but now there's reason to believe MLS is finally getting on the same page with the rest of the soccer world.

One of the most confusing aspects of MLS for a long time has been how teams do business within the confines of the league. When teams have brought in superstars from foreign countries it's actually been significantly easier to explain how those moves work with transfer fees.

MLS is taking the first step towards creating more clarity for fans of the league by introducing a cash-based transfer system that will allow teams to bring in two players and move two players out each season, according to GiveMeSport's Tom Bogert.

Why exactly is this important? It will create a lot more blockbuster moves within MLS because there's no cap on how much teams can spend for marquee players.

Traditionally, MLS has utilized a system known as General Allocation Money (GAM), where teams have to purchase dollars to spend on domestic trades. This not only has caused a lot of confusion, but some teams rarely even used it.

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Even though GAM will still be used on a lot of trades, this is at least a positive first step towards moving into a completely cash-based transfer system in the future. That would mimic almost every other major soccer league across the world, and potentially invite more big-time signings to come into MLS.

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