Miami Heat center Meyers Leonard used an anti-Semitic slur while live-streaming himself playing Call of Duty on Twitch.
Leonard has been fined $50,000 and suspended from all Heat facilities and team activities as a result of his anti-Semitic comment on Monday.
He will also be required to take part in a cultural diversity program. NBA Commissioner Adam Silver said: "He spoke to representatives of the Anti-Defamation League to better understand the impact of his words and we accept that he is genuinely remorseful."
Eric Spoelstra, head coach of the Miami Heat also spoke on the situation to the media.
"I was very disappointed, disappointed, you know, those words are extremely hurtful we don't condone that.
"There's just so much more that needs to be done in terms of education and what's right versus what's wrong," Spoelstra said.
"Meyers has been a really good teammate, he's a good human being, he said something that was extremely distasteful and hurtful."
Leonard released a statement apologizing for using the slur. He said: "I promise to do better and know that my future actions will be more powerful than my use of this word."