HITC Sport understands Derby have entered the race for the Norwich target.
Godfrey has attracted the interest of a number of clubs higher up the football pyramid after impressing for League Two strugglers York.
Norwich have been leading the chase for Godfrey and have already seen one bid turned down by York for the midfielder.
Godfrey is keen on leaving York after turning down a professional contract at Bootham Cresent and he remains on a scholarship deal.
Norwich remain in talks about striking a deal with York, but the League Two club are remaining steadfast in not allowing the player to leave on the cheap.
However, Derby have now registered their interest to York in signing Godfrey and are hoping to beat Premier League Norwich to the 17-year-old's signature.
York face just getting a compensation fee for the youngster in January as he is not on professional terms at the club, but Derby are hoping to agree a fee for the player to enable them to bring him to the iPro Stadium.