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The 31-year-old joined from Everton in 2016 as Pep Guardiola's second signing, going on to make 293 appearances and score 19 goals. Over that decade, he collected 19 major trophies, including six Premier League titles and the UEFA Champions League.
The story may not be over yet, with City still in the FA Cup final and in contention for the Premier League.
Stones marked the announcement with an emotional Instagram post, writing, "They say all good things must come to an end… but this thing we have had has been the greatest, and it will remain a part of me forever."
He becomes the second high-profile departure this summer, after captain Bernardo Silva confirmed his exit earlier this month.