Those sources told ESPN Thursday that Lynch's deal will come before his reinstatement. Then he will be traded or released, according to the report. Lynch, 30, said he was retiring on Feb. 8, 2016, but has been rumored for a return since that date.
The NFL Network also reported that the Seattle Seahawks and Raiders are "expected to work out a trade" for the running back. Lynch's agents have been given permission from the Seahawks to speak with Oakland about adjusting his deal, according to the report.
Lynch, 30, signed a three-year, $31 million pact with the team in 2015. He would be due $9 million this season if he came out of retirement.
The five-time Pro Bowl selection had 417 yards and three touchdowns in his final season for the Seahawks, but only played in seven games. He led the NFL with 25 rushing touchdowns from 2013 to 2014.
Lynch told the Raiders last week that he planned to come back.
The former All-Pro was born and raised in Oakland. The Raiders will remain in the Bay Area for two seasons before moving the franchise to Las Vegas. The famed football franchise let Latavius Murray walk in free agency this offseason when he signed with the Minnesota Vikings. It currently has Jalen Richard and DeAndre Washington atop its depth chart at running back.
"Beast Mode" went to high school at Oakland Technical before starring at the University of California-Berkley.