Rashada, who was the highest-rated signee in the Gators' 2023 class in December, asked for his release after a reported $13 million name, image and likeness package fell through.
State law prohibits universities in Florida from providing or arranging NIL compensation. Deals are therefore made through third parties known as collectives.
The Associated Press reported that the Gator Collective terminated its agreement with Rashada, which was to be paid out over four years.
Rashada never enrolled in classes and asked for his release earlier in the week.
The No. 27 player in the ESPN 300, Rashada becomes the highest-ranked uncommitted prospect in the 2023 class. And with National Signing Day, Feb. 1, nearing, Rashada is visiting Arizona State this weekend and plans to visit TCU next weekend, a source told ESPN's Pete Thamel on Saturday.
Rashada, who is from California, was originally committed to Miami before flipping his commitment to Florida.
The Gators are thin at the quarterback position with Rashada now off the board.
On3 was first to report that Rashada was granted his release.