The point guard played for Memphis for 12 seasons before he was traded to the Utah Jazz in a move that was approved by the NBA on Saturday.
Grizzlies owner Robert J. Pera said in a release that Conley "represented the Grizzlies and the City of Memphis with true heart and class during his 12 seasons. His talent, determination and resilience elevated our team to a perennial playoff contender, and his altruism and sportsmanship helped shape the community-focused nature of our franchise."
Conley was a key piece of the "Grit and Grind" Grizzlies, a team whose playoff success and yeoman mentality was championed by the city of Memphis.
The 31-year-old Conley averaged 21.1 points and 6.4 assists in 70 games in his final season with the Grizzlies.
The Associated Press contributed to this report.