The Pelicans waived Payton on Tuesday, Shams Charania of ESPN reports.
With the Pelicans shorthanded in mid-November, Payton signed a deal with New Orleans and was immediately thrust into a major role. Over his first four appearances (three starts), Payton averaged 9.8 points, 9.3 assists, 5.0 rebounds and 2.0 steals in 26.5 minutes, including a 14-point, 21-assist performance against the Pacers on Nov. 22. However, the Pelicans have gotten a few backcourt pieces back recently and let go of Payton for monetary reasons. If he doesn't get another NBA opportunity, Payton will likely settle for a role in the G League, which is where he was playing before signing with the Pelicans.