The Serbia international has penned a seven-year contract with the club that runs until 2026.
Tadic, though, will only play for four of those years before moving immediately into coaching after hanging up his boots at the end of the 2022/23 season.
An unprecedented move by Ajax Amsterdam, but a move that could become the norm for players aiming for a long-term solution once their playing careers come to an end.
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Tadic, 30, scored 38 goals and assisted a further 24 in 56 appearances across all competitions for the club last season as they claimed a domestic league and cup double, while also reaching the semifinals of the Uefa Champions League.
“It's great when a club offers you such a contract. It is a motivation for me to show even more. It also gives me more responsibility and I love that," said Tadic.
“I want to start as a coach after my career. We will see when that will be, we will do it step by step. At the moment I still feel great, that's the most important thing.”
Ajax Amsterdam have been very busy in the transfer window as they aim to fill the gaps left by those leaving the club. Frenkie de Jong has already signed for Barcelona while captain Matthijs de Ligt is expected to join Juventus.