The 19-year-old has been linked with Manchester United and Wigan recently.
“It’s another step forward in my professional career,” said De Gea.
“I’ve spent all my sporting life at Atletico Madrid and for me it’s an honour and a dream to be able to play in the first team having come up through the Rojiblanco youth system.
“Everything is happening very quickly, but my objective is to continue working as I’ve always done,” added De Gea on his club’s website.
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As always it is the so called “big clubs” that have splashed the most cash in the transfer window so far this summer. Manchester United or City? Arsenal or Tottenham? Who are the winners and losers of the transfer window so far?
Being an amiable guy is good for you and Jurgen Klopp is living proof.