The move was confirmed just as the transfer window slammed shut. The contract also includes an option to extend if conditions are met.
The 38-year-old forward ended his 13-year spell at Leicester in May, signing off in fitting fashion by scoring his 200th goal for the club in his 500th and final appearance. That farewell strike came on the penultimate day of the Premier League season, almost exactly 13 years after he first joined the Foxes.
Vardy's time at Leicester brought unforgettable memories, including the remarkable 2016 Premier League title triumph under Claudio Ranieri and an FA Cup victory in 2021.
The Englishman was greeted with huge enthusiasm on his arrival in Italy. Cremonese supporters gathered to welcome him at the airport on Sunday, with fans chanting "take us into Europe" and some even showing tattoos of the striker's face.
Cremonese, promoted back to Serie A this season, have made a stunning start. They followed up a 2-1 victory away at AC Milan with a thrilling 3-2 win over Sassuolo on Friday.
Coach Davide Nicola has praised the fighting spirit of his side and said Vardy's arrival will bring "leadership and experience that can make the difference in crucial moments."
For now, the club's primary goal is survival, but with Vardy leading the line, fans are daring to dream of more. Vardy himself has said he is ready for the challenge: "Cremonese have shown ambition, and I want to give everything to help them stay in Serie A."
Manchester United have moved decisively to overhaul their attacking options, sending forward Rasmus Hojlund on a season-long loan to Italian champions Napoli, while winger Antony has completed a permanent transfer to Real Betis.
Inter Milan have completed the loan signing of Manchester City defender Manuel Akanji.
AFC Bournemouth have strengthened their defensive options by signing Spanish full-back Alex Jimenez on an initial loan deal from AC Milan.
Bundesliga outfit VfB Stuttgart are on the verge of securing the signature of Moroccan midfielder Bilal El Khannouss from Leicester City, according to reports from journalist Sacha Tavolieri.
