The Scottish winger has put pen to paper to sign a three-year deal to keep him at the Ibrox Stadium on a permanent basis, following his loan tour with the Scottish team from Brighton.
The 28-year-old, who started his professional football career at Motherwell, has enjoyed 4-year spell with Sheffield United scoring 21 goals in the process, and will be the third signing of new manager Steven Gerrard with the arrivals of Scott Arfield and Allan McGregor.
However, Jamie Murphy, who is not new Scottish Premier League after playing for Motherwell in a seven year spell, will be quick to adapt to life with the Bluenoses.
Talking about his permanent move to the Ibrox Stadium, Murphy announced to the club website: “This club means a lot to me and it already feels like home.
“Whilst I’m naturally disappointed we didn’t complete the objectives that we set for ourselves last season, I am more determined than ever to help this club to be a success.
“With the new manager in place, two new signings confirmed already and an exciting summer to follow, I can’t wait to get started on the next chapter of my Rangers career.”
The Rangers new manager, Gerrard also claimed that the new signing will adapt well to his team, saying: “He had an impressive start to his Rangers career in the second half of last season and we hope to see him continue to grow at the club next season and beyond.”