Liverpool has confirmed Andre Wisdom has put pen to paper on an extension to his contract.
The Reds have secured the future of the highly-rated 18-year-old, who figured in the first-team squad last season, after he signed the deal today.
Liverpool's Director of Football Damien Comolli said: "We are delighted. He made fantastic progress last season. He was here at Melwood with the first team for a few weeks to a month towards the end of last season and he did really well in training and was involved with the first team.
"He also did really well with the reserves. He's got great potential and a great future ahead of him.
"Andre is another player who is versatile. He can play, is good on the ball, intelligent and physically very strong. He has all the ingredients to be a top defender."
Wisdom was installed as reserve-team captain for the 2010-11 season after helping England to success in last summer's U17s European Championships.
A knee injury sidelined the powerful defender at the start of the campaign, but he returned in the New Year stronger than ever, earning international honours at U19 level.
Such was his progress, Wisdom was named on the first-team bench twice over the course of last season, including on the final day at Aston Villa, as well as being included in the Europa League squad.
"We have shown for a while that if young players are good enough they will be rewarded," added Comolli.
"I told him when he signed it is just a step. It's an achievement in a way, but he should not just sit on this contract and wait to see what happens - he should show that he is hungry and wants to keep progressing.
"We know he is very young and that his position at centre-half is very difficult to break into in the first team because of the responsibilities of the position, but Andre has all the qualities and skills to get there."
Since returning to the club in January, Kenny Dalglish has displayed a willingness to give younger players first-team opportunities, with the likes of Jack Robinson, John Flanagan, Jay Spearing and Martin Kelly all benefiting from such an approach last season.
Comolli feels this confidence from the manager in Academy graduates serves as a spur for the club's starlets.
He said: "I think it is massive for the young players. They are coming here (to Melwood) with confidence. Kenny has got a way of saying the right thing at the right time to them, boosting their confidence and making sure they're relaxed, whether it's in a game or a training session.
"For players like Andre, he saw what happened last season with Jack Robinson, Jonathan Flanagan and Jay Spearing, so he must be thinking he could be the next one - and that's what we are pushing him to do."