As I understand it (mostly from watching the excellent Netflix Quarterback series), NFL contracts have a much wider spread of payments than rugby. The best paid guys are earning tens of millions of dollars, but at the lower end teams even the QB is paid at a level that wouldn't be out of place for a first team flyhalf here.
LRZ's contract is getting attention for two reasons - one is that it's pretty large for a player who's never played a competitive game, and the other is that he's been taken straight into the main squad rather than via the IPP. I think the latter means he's being paid fully by the Chiefs, and not subsidised by the NFL itself. They've placed a moderately sized bet, in NFL terms.
The reasoning seems to be that the change to kick return this year - which requires both blockers and defenders to stay on specific lines until the ball is touched - creates space for a runner to get up to speed, and the assumption is that this will suit a rugby running style.
Good luck to him, but it's a tough gig. Very few rugby players have made the transition to date outside of kickers.
