This could be the right time to trade KO, though TY is not a return I'd be excited about.
KO's value is in the eye of the beholder. He could be viewed as a 7ft shooter with great upside -- a guy who has 20/10 potential who may grow into an average defender with some coaching, experience, and some body adjustments. On the other hand, he is slow, has weak hands, and may be a 3rd/4th big in a decent rotaion -- a 12/5 guy with poor defense who'll get smoked by quicker or stronger guys.
Someone may be willing to trade for his upside, in which case Danny will (should) listen. I am a huge KO fan, but I am very dubious about his future. Really could go either way.