We already have too many numbers retired. We made a mistake years ago by not establishing the retire/honor, two-level system. It is too late to fix it for the ones already retired. But we must avoid compounding the error by retiring more numbers too easily.
In the case of CP, I would not retire his number. Jersey retirement is for accomplishments while at Wake ONLY. All of his NBA accomplishments and all the things he has done for the school since graduating have nothing to do with this decision. CP was a great player at Wake and may very well end up as the greatest point guard to ever play here. But, he was only here 2 years and had few concrete accomplishments, beyond his individual awards.
Personally I would be in favor of a rule requiring that a player play at Wake at least 3 years to have his number retired. Future great players who play 1 or 2 years before going pro could have their jerseys honored, in rare instances...
Why 3 years?
If you're going to make that type of rule then it should be that only players who have graduated can have their numbers retired.