Wallis' future at the Kennel had been cast under some doubt after being found out of favour for the Dogs throughout the course of the 2021 season.
The 28-year-old played just the six games this year - two of which coming as a medical sub - despite being named as skipper Marcus Bontempelli's right-hand man for the year.
Speaking on the announcement, Wallis stated his excitement to remain in the blue, red and white for another 12 months.
“Signing on for season 2022 is something I’m personally very excited for – I absolutely love being part of this football club,” Wallis said.
“I couldn’t be prouder of what we achieved this season, despite missing out on the ultimate prize. I’m looking forward to seeing how we can use that experience to our advantage in 2022.
“I’m going to embrace the challenge of improving elements of my game, as I feel I have a lot to contribute towards the on-field success of the club moving forward.
“I also want to continue to help motivate my teammates to become the best versions of themselves - it’s been amazing to watch my younger teammates develop over recent seasons. I feel I can help guide them to new heights in the future.”
Wallis has played 157 games for the Bulldogs since joining the club as a father-son selection via the 2010 National Draft, making his debut the following season.
The new deal comes one day after the Bulldogs announced Roarke Smith has signed on until the end of the 2023 season.