John Hufnagel, the Stampeders head coach and GM, said the club made the move after being unable to work out a trade involving the veteran tailback.
“By releasing him now rather than waiting until later in the off-season, we wanted to make sure Joffrey had the best opportunity to sign with another team," Hufnagel said in a statement. "We thank Joffrey for his years of excellent service to the Stampeders and wish him all the best.”
The 32-year-old Reynolds became expendable with the emergence of Canadian Jon Cornish, who replaced Reynolds in Calgary's starting lineup last season.
Reynolds spent eight seasons with the Stampeders, rushing for 9,213 yards and 53 TDs while registering 226 catches for 2,036 yards and eight touchdowns.
He rushed for 477 yards last season, the first time since his rookie year in 2004 that he didn't reach the 1,000-yard mark.
Reynolds helped Calgary win the 2008 Grey Cup.