Minnesota Timberwolves All-Star guard Anthony Edwards has agreed to a five-year designated rookie maximum contract extension that could become worth $260 million, his agents, Bill Duffy and Joe Branch with WME Sports, told ESPN on Monday.

Edwards -- the No. 1 overall pick in the 2020 NBA draft -- has developed into one of the NBA's most explosive and accomplished young players, averaging 24.6 points, 5.8 rebounds and 4.4 assists in his third season.

Edwards, who turns 22 in August, has established himself as the Timberwolves' cornerstone player whom president of basketball operations Tim Connelly plans to build the organization around. Edwards made his first All-Star Game last season and averaged 31.6 points in the Timberwolves' playoff series against the eventual champion Denver Nuggets.

Edwards is the only NBA player with 1,500 points and 100 steals in each of the past two seasons, according to ESPN Stats & Information research.

Edwards is the fourth member of his draft class to agree on a max contract extension, joining Indiana's Tyrese Haliburton, Charlotte's LaMelo Ball and Memphis' Desmond Bane. Edwards, Haliburton and Ball have the All-NBA escalator clauses that could take the guaranteed $207 million up to $260 million, sources said.

Minnesota joins Denver and Phoenix as one of three teams with three max contracts on the roster for 2024-25.

"I'm humbled, appreciative and excited to remain in Minnesota as part of this incredible Timberwolves organization," Edwards said in a statement. "It's amazing to see where hard work can take you."

Edwards also introduced a new initiative called "Don't Follow The Wave," which will target underserved youth in the local community with "my time, funds and resources," he said in a statement.

"Don't Follow The Wave" will partner with other nonprofits serving young people in the region. Edwards, who lost his mother and grandmother to cancer in 2015, will also contribute his support to the African American Breast Cancer Alliance.