Coady, who won 10 caps for England, had been without a club since leaving Wrexham in September. He had been linked with a move into coaching, including a possible assistant head coach role at League One side Barnsley.
The defender enjoyed the most successful period of his career at Wolves, where he was transformed from a midfielder into a central defender by then manager Nuno Espírito Santo.
He originally emerged through Liverpool's academy as a promising midfielder, with some comparisons made to Steven Gerrard. After a loan spell at Sheffield United in 2013, he joined Huddersfield Town before moving to Molineux in 2015.
Signed by Kenny Jackett, Coady became a key figure in Wolves' rise back to the Premier League. He captained the side to promotion in 2018 and subsequently helped establish them in the top flight.
During his time at Wolves, Coady led the club to two seventh-place Premier League finishes and a run to the quarter-finals of the Europa League. He made 317 appearances for the club, scoring seven goals, and became one of the most recognisable figures of their modern era.
His performances also earned him international recognition. Coady made his England debut in 2020 and went on to win 10 caps, featuring in the squad that reached the final of Euro 2020.
He left Wolves on loan for Everton in 2022, but the Merseyside club decided against making the move permanent despite a reported £4.5 million agreement being discussed.
Leicester subsequently signed him from Wolves for a reported £8.5 million in July 2023. He later moved to Wrexham, although that spell ended prematurely, before joining Charlton Athletic on loan last season.
Coady made his final move to Nathan Jones' Charlton side at The Valley, but his time there proved to be the last chapter of his playing career.
Away from football, he has also worked as a pundit for BBC Radio 5 Live. His experience and leadership have already prompted speculation about a transition into coaching, with Barnsley linked to him as a possible assistant head coach.
His retirement brings an end to a career spanning 503 club appearances, 10 England caps and a defining period as captain of Wolves.