As the club named its roster for the regular season on Thursday, NYCFC announced it used its one offseason buyout of a guaranteed contract on the 26-year-old.
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Diskerud remains under contract with MLS, and could also be loaned to a European club.
The 26-year-old fell out of favor with Patrick Vieira’s side in 2016, making just 12 MLS appearances and failing to play a single league minute after June 2.
Diskerud has been capped 38 times by the U.S. national team, but has not been in the picture for nearly a year.
