Pouncey told the Palm Beach Post that he declined the Dolphins' request for him to take a pay cut.
"I gave this city everything I had. I'm heartbroken," the 28-year-old Pouncey told the newspaper.
Pouncey was signed through the 2020 season as part of a five-year contract extension he inked in 2015. The Dolphins will save $7 million on their salary cap following the release of Pouncey, who was named to the Pro Bowl in 2013-15.
Last season, Pouncey played in his first 16-game campaign since 2012. Pouncey has played in 93 games since the Dolphins selected him with the 15th overall pick in the 2011 NFL Draft.
"At the end of the day I'm a Miami Dolphin for life. I think it was awesome," Pouncey told the Palm Beach Post. "I had a hell of a ride here. We'll see what the next chapter is."