Nelson, 28, is a former third-round pick of the Chiefs back in 2015. He finished his four-year, $2.902 million rookie contract with the Chiefs before signing a three-year, $25 million contract with the Steelers in 2019.
Nelson is owed a base salary of $8,250,000 for the 2021 season.
According to OverTheCap.com, releasing Nelson would free up $8,250,000 of available cap space while creating $6,170,000 in dead money.
In 2020, Nelson appeared in 15 games for the Steelers and recorded 48 tackles, two interceptions, a fumble recovery and nine passes defended.