I've heard this transaction might be given an outward appearance of the Browns/Ravens "move" - i.e. Utah gets an "expansion team" but absorbs the Coyotes organization while the Arizona Coyotes "suspend operations" and go into hiatus but do not fold outright, and return later via expansion draft once they sort out the arena issue.
Which begs the question - why would Smith even want the Coyotes organization? With the Browns/Ravens organization there was ownership continuity, which isn't the case here. Moreover, taking on the Coyotes means taking on contracts Arizona absorbed to technically get to the floor, but will be problematic for Smith assuming he plans to try and build a contender in the short term.
The Coyotes are FAIAP on a twelve year playoff drought, the asterisked playoff appearance of 2020 notwithstanding. Whereas Vegas has missed the playoffs once in seven years and are defending champs, and whereas Seattle made the playoffs and dethroned the defending champs in their second year. If you're being asked to pay 300M premium on top of 1B to join this league, on what terms would you want to join? Not a hard call IMHO.
A Coyotes dispersal draft would also presumably suit most of the players just fine. They're moving in any case. And let's face it, SLC is not Funville USA. Alot of players without NTCs would prefer to head almost anywhere else. And if Schmaltz and Kerfoot can decline to play for ten teams each, why should they be forced to play in Utah if they don't want to?
Finally, this eliminates any perception that the Coyotes have "moved" - all things considered, it seems a logical way to resolve this matter.