Cleveland Cavaliers guard Daniel Gibson has signed a multi-year contract with the team, Cavaliers General Manager Danny Ferry announced today. Per team and league policy, terms of the deal were not disclosed. Check this page as well as our rumors page later today for details of the deal.

During the 2007-08 season, Gibson averaged career highs of 10.4 points on .432 shooting, 2.3 rebounds and 2.5 assists in 58 games played (26 starts). He ranked fifth in the NBA in three-point percentage (.440). During the 2008 All-Star Weekend, the 22-year old guard was named MVP of the Rookie Challenge after scoring 33 points on a game-record 11 three-pointers and finished second in the Three-Point Shootout.

“Daniel has been an important part of our Cavs family the last two seasons. He has worked to grow as a player and we love his passion for winning and the game itself. He’s been great off the court as well, and is exactly the kind of person we’re proud to have with us,” said Ferry. “In re-signing Daniel, it helps the Cavs both build continuity and create a young core that will be in Cleveland for many years to come.”

As a rookie in 2006-07, Gibson played in 60 games (16 starts) and averaged 4.6 points, 1.5 rebounds and 1.2 assists in 16.5 minutes per game. In the 2007 playoffs, he set a franchise record for points in a quarter with 19 in the fourth quarter of the Cavaliers 98-82 win over Detroit in Game 6 that sent Cleveland to its first-ever NBA Finals appearance. He also became the first rookie since Sam Cassell in 1994 to average double figures in the Finals when he averaged 10.8 points, 1.8 rebounds and 2.5 assists per game against the San Antonio Spurs.

Since entering the NBA in 2006-07, Gibson ranks sixth overall in three-point percentage (.434) and he ranks second all-time in franchise history in three-point percentage.