Toronto Police said two people were injured near Bay Street and Albert Street and that they had recovered two firearms.
Two people are in custody, cops said.
Earlier Monday, at around 4 p.m., police said they and EMS were responding to reports of a woman being shot near Nathan Phillip’s Square, where the festivities were taking place.
Video posted on social media shows red-clad crowds, including children, sprinting away from the festivities.
One clip taken from the top of a nearby building shows a wave of fans scattering away in panic from the stage in Nathan Phillip’s Square.
Raptors announcer Matt Devlin, who was on stage, told the crowds there was an emergency and attempted to keep everyone calm, witnesses said.
The Raptors toppled the Golden State Warriors in their first ever NBA title win last week.