Dutchman De Vries was available on a Bosman transfer, his contract with the Barclays Premier League newcomers expiring on 1st July.
The 30-year-old played in all of the Championship play-off winners' 49 league matches last season, and has only missed six league fixtures in the last four seasons for The Swans
Upon his arrival De Vries revealed he is ready for a battle for the Wolves number one shirt with Wayne Hennessey and Carl Ikeme.
"I'm really pleased and positive about the move," De Vries told the club's official website.
"As soon as I got the call from Wolves I had a really good vibe about it and a positive feeling.
"I thought this would be the fresh step I need in terms of progressing.
"That's all I look for as a player - to progress every year on and off the pitch both as a goalkeeper and as a person.
"This is a totally different challenge for me.
"At Swansea I have been number one for a couple of years now having three great seasons and seeing the club go from League One up to the Premier League.
"We got promoted through the play-offs at Wembley which was a great experience but this is the next step for me.
"All throughout my career I've been first choice goalkeeper and I carefully chose my clubs on the basis on where I would be able to play and establish myself.
"I'd always wanted to progress and can look back and say I've played a lot of games and built up my experience.
"Now this is the next step, to challenge for a place in the Premier League, and all I can do is get to know the guys and train really hard and show what I can do."
He follows in the footsteps of midfielder Jamie O'Hara, who on Tuesday signed from Tottenham Hotspur in a £5m deal.
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