The 20-year-old midfielder is Brendan Rodgers' third major signing this summer.
Emre Can is a Liverpool player after completing his move from Bundesliga side Bayer Leverkusen.
Can, who mainly operates in a defensive midfield role but can also play further forward, follows Adam Lallana and Rickie Lambert in joining last season's Premier League runners-up.
"I am proud to be a part of the family and I am looking forward to playing here. I will give it my best," he said.
"LFC is a great club and the fans are amongst the best in the world. I am looking forward to the first game and can't wait to step on the pitch for the first time at Anfield."
http://youtu.be/j3oCTipK6b0
Can made 29 appearances in the Bundesliga last season, scoring three times, while he also made seven appearances in the Champions League.
Liverpool manager Brendan Rodgers is now expected to move on to finding a replacement for striker Luis Suarez, whose transfer to Barcelona seems more imminent by the day, while he is also targetting defensive reinforcements in the shape of a new left-back and a new centre-back.
