In a video posted to his YouTube channel, Daley said he'd been misquoted and it drove him to come clean about his relationship for the first time.
"In spring this year my life changed massively when I met someone, and they make me feel so happy, so safe and everything just feels great," he said. "That someone is a guy."
Daley has dated women in the past, and said he "of course [he] still fanci[es] girls."
"Is it a big deal?" he said. "I don't think so. I wanted to say something and I feel like now I am ready to do it."
Daley was just 14 years old when he became a star in Britain, after reaching the finals in both the individual 10-meter platform and 10-meter platform synchro diving events at the 2008 Beijing Olympics. His celebrity only grew, even earning him a television show called Splash in the U.K., and he walked away with a bronze medal in the 2012 London games.
Watch Daley's whole video: