The 25-year-old defenseman will be able to sign as an unrestricted free agent July 28.
"I think it's best for him and best for us," Rangers general manager Chris Drury said. "I had a good conversation with Tony yesterday morning, wished him well and certainly we wish him well with whatever comes next for him in his career."
DeAngelo was waived by the Rangers on Feb. 1 after he was involved in an incident with goalie Alexandar Georgiev following a 5-4 overtime loss to the Pittsburgh Penguins two days earlier. He cleared waivers and was assigned to the taxi squad.
Former general manager Jeff Gorton and president John Davidson had confirmed that DeAngelo and Georgiev had an altercation in the runway between the ice and the dressing room that was quickly broken up by another player. DeAngelo was also scratched for two games after he was given an unsportsmanlike conduct penalty following a holding penalty in a 4-0 loss to the New York Islanders on Jan. 14.
The Rangers fired Gorton and Davidson and promoted Drury from associate general manager to GM on May 5. Drury said there was never a thought to bring DeAngelo back once he took over the role.
Gerard Gallant was hired as Rangers coach June 16. David Quinn was fired May 12 after New York (27-23-6) failed to qualify for the Stanley Cup Playoffs this season, finishing fifth in the eight-team MassMutual East Division, where the top four teams made the playoffs.
DeAngelo had one assist and was minus-6 in six games after signing a two-year, $9.6 million contract ($4.8 million average annual value) as a restricted free agent Oct. 15, 2020. He was fourth among NHL defensemen last season with 53 points (15 goals, 38 assists) in 68 games, and scored 92 points (19 goals, 73 assists) in 167 games for the Rangers, who acquired him in a trade with the Arizona Coyotes on June 23, 2017.
NHL.com senior writer Dan Rosen contributed to this report
