The 23-year-old England international had been heavily linked with a move to Anfield in recent weeks and is the Reds’ first signing of the January transfer window.
The fee is believed to be in the region of £12m, and Liverpool have not disclosed the length of his Anfield contract.
“I am humbled and happy to be here,” said Sturridge.
“Brendan Rodgers said he sees me here for a long time – and I also see myself here for a long time. I’ve not signed here to play for a couple of years and then move on.
“I’ve signed to be here for as long as possible. It’s a humongous club – for me, one of the biggest in the world – and to have the fans and world-class players we have here is amazing.”
Sturridge, who netted 24 goals for the Blues, spent three-and-a-half years at Chelsea, starting 49 games and making 47 appearances as a substitute.
The striker had found his first-team opportunities at Stamford Bridge extremely limited this season, starting only two games for the west Londoners.
A statement on Chelsea’s website read: “Chelsea Football Club thanks Daniel for his part in the very successful seasons we enjoyed during his time with us. And we wish him all the best for the future.”
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