Video from TMZ shows the power forward led away in handcuffs:
Police say words were exchanged between the 26-year-old and the other man at the corner of Grand River and Abbot in downtown East Lansing around 2:30 a.m. when Green slapped or punched the victim, who was allegedly taunting him.
Green was booked on misdemeanor assault charges and released on $200 bail. He is scheduled for arraignment on July 20.
He was also tested to determine his blood-alcohol level, but police did not release the results of that test or confirm whether Green had any alcohol in his system. Police report the test is standard to determine how long someone may need to be held in jail.
In a statement, the Warriors said they are "aware of news" involving Green: "At this point, we are collecting information and will have no further comment until we have a better understanding of the situation."
"I think it's unfortunate for Draymond to get caught up in something like this," said Oakland resident Keith Thomas.
Richmond resident Lashonda Arnold added, "I don't know, I don't know why he would do something like that. In the profession that he's in he's jeopardizing his character."
Green himself has admitted he needs to control his emotions.
During the NBA Finals he kicked Thunders player Steven Adams in the groin. And the 26-year-old was suspended for a foul against LeBron James.
"Hey, stay on the right path and stay out of trouble," said one Warriors fan.
If convicted, Green would face a maximum of 93 days in jail and a fine of $500.
Green appeared in 81 games for the Warriors last season and started every game in Golden State's playoff run to the NBA Finals, where they lost to the Cleveland Cavaliers in seven games.
He played four seasons for Michigan State under coach Tom Izzo.
Green is set to join Team USA in August at the Rio Olympics. It's unclear how this may impact his status on the team.
The NBA and other players are keeping quiet about the arrest.
Warriors fan MC Hammer has tweeted several times supporting Green, saying, "They're picking on my man Draymond over nothing."
And legendary rapper Chuck D tweeted a warning to the Warriors star, "Advice to @Money23Green bro gotta stay away from hometown events after hours ... Jealousies arise in funny ways & his every move is watched."
Advice to @Money23Green bro gotta stay away from hometown events after hours ... Jealousies arise in funny ways & his every move is watched— Chuck D (@MrChuckD) July 11, 2016
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ABC7 News reporter Elissa Harrington and ESPN contributed to this report.