Nico Williams said he wants to continue making history at Athletic Club having turned down offers to leave the Basque outfit this summer.
Barcelona, who tried to sign the player a year ago, were prepared to pay Nico's 58 million ($67m) release clause.
Spain international Nico, having recently signed a contract with Athletic until June 2035, said: "I think we have a very long season ahead of us. We have very ambitious titles like the Champions League, which everyone would like to play in. What could be better than doing it with the club of my life? I would like to continue making history here at San Mams, with the fans, with my family, and with a lot of enthusiasm."
A Euro 2024 winner with Spain, Nico has become one of the most coveted forwards with Bayern Munich, Arsenal and Chelsea having also attempted to acquire Nico.
Athletic's director of football Mikel Gonzalez was thrilled with Nico's decision to remain at the club.
"He is a unique and exceptional player, and retaining this talent at Athletic is fantastic news," Gonzalez said.
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Nico, who first joined Athletic as an 11-year-old, will continue playing alongside his brother, Ghana international Iaki Williams, who will captain the first team this season.
"We've both always dreamed of this moment," Nico said. "My brother is a role model for everyone, especially for me. I think he's the best person to be captain, and I can't wait to see him wearing the armband for a long time."
Gonzalez added: "Family is extremely important to Athletic, and we are delighted to be able to continue seeing Iaki lead the team and Nico contribute his skill."
