Ceballos shot to fame four years ago when he was filmed juggling a ball with then Barca star Ronaldinho, but he did not progress as well as the Catalonian club had liked and they released him from his contract last season.
The 18-year-old trained with Chelsea in March and visited Spurs' training ground towards the end of last season for a trial and his performances at Chigwell were good enough to lead the Spurs hierarchy to offer the teenager a contract.
Ceballos, who can play as an attacking midfielder or forward, will now go in to the club's development squad.
Spurs' technical co-ordinator Tim Sherwood said: "Cristian trained hard and showed some real quality when he originally spent time here towards the end of last season and was even involved in some of the first-team training.
"There was other interest in him too. He needs to be patient and if he can fulfil his potential we believe he can play at the top level."
Source: PA
Source: PA