He joins the Reds for a transfer fee said to be €30m.
The Spanish midfielder signs a four-year deal at Anfield as he leaves Bavaria after winning seven Bundesliga titles in seven years, while also picking up the Champions League in Lisbon last month.
Liverpool have been chasing the 29-year-old all summer, with Jurgen Klopp certain that he can bring something different to the Premier League champions' midfield.
Thiago will wear the No.6 shirt at Anfield, and could be in line for his Liverpool debut in next Thursday's Carabao Cup third round tie at Lincoln City.
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