The 26-year-old Pole joined the team in 2018 and has landed victories at Trofeo Alfredo Binda, Amstel Gold Race, and Tour de l'Ardèche, as well as a podium at the Giro Rosa.
She revealed she began talking to other teams about a possible transfer for 2022 but quickly made up her mind she was happy where she is.
"Everyone understands me on the team and I feel comfortable here. I am 100 per cent myself and that's very important to me," said Niewiadoma.
"I have spoken to other teams but as soon as I did that, I realised that Canyon-SRAM is the team for me. I need a team that accepts me for who I am and is accepting of others. We're such a different group of riders and staff and amongst all of these differences I can find a place for myself. I am supported nonstop by everyone on the team towards my race and season goals and I know that together we can aim high."
Niewiadoma started her career at Rabobank in 2014, going on to win Emakumeen Bira in 2015 before enjoying a breakthrough year in 2016 with eight wins, including the Polish road race and time trial double.
She won the Women's Tour with the team now known as Liv Racing in 2017, before switching to Canyon-SRAM the following year. She won Binda and Ardèche that year, as well as top 10s at Strade Bianche, Tour of Flanders, Giro Rosa, and La Course.
In 2019 she won Amstel Gold Race with an attack on the Cauberg, as well as finishing on the podium at Strade Bianche and the Women's Tour, and in 2020 she won bronze at the European Championship and placed seventh at Worlds, as well as finishing runner-up behind Anna van der Breggen at the Giro Rosa.
"Kasia is important to the team as she is a unique, still rising, athlete with racing qualities not many are gifted with," said team manager Ronny Lauke.
"Her punchy, unpredictable way of racing is important to our further progress as a team. Kasia works hard to achieve her goals and we are happy to continue on that path together with her."
Niewiadoma has signed her new contract half-way through her spring campaign. She was in the top 10 at Strade Bianche and Trofeo Binda, then runner-up at Dwars door Vlaanderen and 20th at the Tour of Flanders. She'll now switch to the Ardennes, looking to defend her Amstel crown as well as taking on La Flèche Wallonne and Liège-Bastogne-Liège.
"It's good I could sign this contract before the second part of the season. I still have a lot of goals at the Ardennes and of course Tokyo Olympics is a big target for me," she said.
"This gives me a lot of stability and calmness and that makes me a stronger rider. It's now clear to everyone, this team is what I want for my future."
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