It was reported last month that the Irish fighter was in talks to take on the YouTuber and WWE wrestler in a big-money boxing match in India but 'The Notorious' has suggested that his employer was against it.
McGregor told The Schmo: "It is what it is.
"The UFC just aren't into it. The offer was there on the table, in writing.
"Both athletes will say, 'He's not fighting', but both athletes are under the TKO banner. UFC, WWE both rising up.
"The stock price of TKO Holding Ground (is) through the roof. New market in India opened up and booming.
"It was business savvy, and business sense to make the fight happen. Or should I say to make the glorified spar happen.
"In between this waiting period that we find ourselves in before I can get back to the octagon, it made perfect sense on the calendar to go ahead with it.
"The UFC weren't into it. I'm not sure what WWE's interest in it was. I just knew the UFC weren't into it."
McGregor hasn't fought in the UFC since 2021 and has threatened to breach his contract with the organisation to compete in BKFC, the bare-knuckle boxing body of which he is a part owner, as he gets frustrated with the long wait to get back into the octagon.
He said: "One of these days you'll just hear my music come onto this stage in Bare Knuckle Fighting Championship and I'll have my fist wrapped with no gloves for a fight, out of nowhere.
"No promotion. No promo. No nothing. Just fighting a random fight on the card."