The 24-year-old's future at Camp Nou had been in some doubt in recent times, with the player said to have been left unimpressed with the Catalonians' offerings of a new deal.
The center back, who has been linked with a move to Manchester United, believed that his performances merited becoming one of the club's highest earners, with the France international insistent that he should sit behind only Lionel Messi in the club's pay scale.
Those figures, however, did not seem viable to the Barcelona hierarchy, although, according to Mundo Deportivo, the club were always confident they would be able to tie down Umtiti to a new deal this summer.
However, the urgency to strike a new agreement came about as it became known that the defender, who joined Barca from Olympique Lyonnais in 2016 in a deal worth around £22.5m, had only a €60m (£52m) release clause - something that must be included in a player's contract by law in Spain.
Blaugrana were concerned, considering the financial might of the Premier League, that their backline star may become a target for several rivals this summer.
Although that now seems unlikely, according to ESPN journalist Samuel Marsden Barcelona president Bartomeu has confirmed that as part of Umtiti's new contract with the club, there is a €500m release clause, which should go some way in warding off any pursuers.
On signing his new deal the World Cup-bound guardian stated: "The priority was to renew here at Barcelona, as I have done. It’s my home. It's a dream to play here, with the best players at, for me, the best club in the world. I don’t see myself playing for another team."
Umtiti now joins the likes of Gareth Bale, Gerard Pique, Luka Modric, Toni Kroos and Dani Ceballos at the half-a-billion-euro release mark, although is still some way behind Lionel Messi, Isco and Marco Asensio, who are valued at €700m, while Cristiano Ronaldo and Karim Benzema's contracts reach the somewhat stomach-churning €1bn price tag.