The extended deal will keep the full-back with the Cherries until at least the summer of 2024.
Greenwood said, “I’m buzzing to have a further year here at the club I’ve played for the past three or four years; I couldn’t be happier.”
“It tops off a good season for me personally, too, so I’m buzzing.”
This term has seen the defender make his first-team debut and skipper the development squad to a cup final.
That senior debut for the Cherries came back in August, when the defender started away at Norwich City in the Carabao Cup.
Greenwood was substituted off in second-half added time ahead of progression being secured on penalties.
With the development squad, the full-back has been a mainstay in the side and played a key role in booking a Hampshire Senior Cup final spot at Fratton Park earlier this month.
The 20-year-old also was a consistent figure in the team’s Premier League Cup campaign, memorably netting a sensational late winner against Derby County at Vitality Stadium.
Greenwood shared, “I’m thankful for all of the opportunities I’ve been given, and I’ve definitely learnt a lot within that as well.”
“That only stands me in good stead for next season and has meant I’ve really enjoyed this one.”
“Being captain of the development squad, having a good year and then making my first-team debut at the start of the season, that’s always the aim.”
He added, “Hopefully, I can kick on and there’s more to come next season; I’m really excited about it.”
“I’ll keep myself in good shape while I’m off, come back and then see what happens in pre-season.”