For a list of notable teams, please see List of notable teams.
Teams are groups of racers who have the same tag in front of their display name. Joining a team is optional. The main goal for a majority of teams is to be as high as possible on the leaderboards. Different teams hold different goals. For example, some teams are meant to group together people with a common interest, and some are made purely as jokes. Before teams were released, players created and joined their own clans. These clans were 100% user-implemented and not really rewarding on the game itself.
Nitro Type added teams on June 13, 2014  after seeing the prominence of Clans. Teams can be created at a cost of $50,000 by players that have completed at least 50 races (previously $5,000,000 and reaching level 20). Someone in the process of creating or editing a team can set minimum race and speed requirements for joining, and type any other requirements (usually activity and/or accuracy requirements) in a "Special Requirements" box, there is no way to join a team without it's requirements, unless you are invited. Captains can also set a time to automatically kick out inactive racers. They can also set the ways players can join the team with the choices of open, which that anyone can join, apply, which means players must apply to join, and closed, which means players can only join if they are invited. The team tag can be anywhere between two and six characters (before October 28, 2019, the maximum was four). When teams were first released, a maximum of 200 players could join a team. This was changed to 50 in August 2014.  The maximum races you can set the team join requirements to is 500 and the maximum WPM is 200. When a new member joins the team, a green "NEW" will appear next to their name that can only be seen by other members of the team. A team's exclusive "All Time" feature is also displayed with its 24 hour and Season stats. This shows the total races the team has done during its existence and the average words per minute and accuracy for those races.
Applying to Teams
A player who is not on a team can apply to teams simply by clicking the red "Join This Team" button directly under the team's special requirements. If the team is set so racers can join the team without officer or captain approval, they will be on the team immediately. If the team is set so that it is open but requires an officer's or captain's approval, the red button under the team's special requirements will say "Apply to Join". The person who applied will have to wait for an officer or captain to accept them. If the team is set to invite-only, no one may apply. Furthermore, if said player does not meet the team's minimum race count and speed requirements, the button remains gray with the text "Requirements Not Met" on top of it.
Message of the Day
The message of the day, usually referred to as the MotD, is a message that can be seen at the top of the team page under the team information (which includes the name, requirements, and enrollment status). Team captains and officers can post a maximum 500-character message every 60 minutes. Regular team members can "boost" (add a reaction to) the latest MotD.
The creator of the team, or captain, can promote five members to officers. A team officer can invite "team-less" players to the team by clicking a button on their profile saying "Invite to Team" and update the MotD. An officer is also able to accept eligible racers to the team once they apply.
The captain of a team can remove, or kick, people from their team. A captain kicking a team member can occur for a wide variety of reasons, the most common being not racing frequently enough. People who have been kicked cannot re-join or re-apply for 14 days without a team invite from the captain or an officer. When officers were first added in the Teams 2.0 update, they were originally able to kick people from teams; however, this was changed a few weeks later because of an incident involving team OBXY. 
Team captains and officers are able to invite team-less players to their team, even if they don't necessarily meet the speed or race requirements.
Team statuses were added on May 27, 2017. Any member of the team, including non-officers, were able to post a 110-character maximum team status every 12 hours. When posted, the status would appear under the player's display name.  On November 1, 2020, team statuses were removed because of off-topic statuses.
If a captain has changed their mind about leading a team, they may disband their team by clicking on the "Disband Team" button and then entering their password for confirmation. Upon disbanding, all players on the team are removed from the team, and the team is made nonexistent. The captain does not get refunded the $50,000 that they used to create the team.
In April 2019, multiple teams were disbanded to free up team tags being held by inactive teams. Teams were disbanded if the captain had not raced for at least four months. This system was deactivated after an update was made increasing team tag sizes to six characters instead of four.
On an unknown date, team captains were given multiple verification steps before disbanding, including various warnings, password inputs, etc.