In 1960, the Tar Heels were placed on NCAA probation for "improper recruiting entertainment" of basketball prospects. As a result, they were barred from the 1961 NCAA tournament[31] and also withdrew from the 1961 ACC Tournament. Following the season, Chancellor William Aycock forced McGuire to resign. As a replacement, Aycock selected one of McGuire's assistants, Kansas alumnus Dean Smith.
After most schools decided to disband their J.V. squads, North Carolina's athletic department opted to keep the team so that non-scholarship students were given the chance to play basketball for UNC. North Carolina also uses their J.V. team as a way for varsity assistant coaches to gain experience as head coaches, such as the current coach, Hubert Davis. Roy Williams was a J.V. coach for eight years before he was hired at Kansas.

North Carolina is still alive in the recruitment for five-star shooting guard Bryce Thompson, one of the top uncommitted recruits in the 2020 class. The Tulsa, Oklahoma native cut his list down to seven teams in August. On Sunday, Thompson cut his list one more time as he trimmed it down to four finalists: UNC, Kansas, Oklahoma State, and Oklahoma. (Keeping It Heel)
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