The Russian goal scorer, 25, would have been a restricted free agent July 1, but he has agreed to a new deal that will pay him an average of $6 million per year starting next season, his agent, Tom Lynn, confirmed to ESPN.
He's currently earning $3.5 million per season.
"I like everything about the team and environment here," Panarin said on Thursday. "You can't earn all the money in the world."
Panarin will be an unrestricted free agent at the end of this new contract. The Blackhawks could not have fit him in under their long-term salary cap commitments given what the cost of a long-term deal would have been.
Panarin leads the Blackhawks (22-10-5) in points with 37 (15 goals, 22 assists).