Joe Schad of the Palm Beach Post reported the former coveted prospect was waived with a failed-physical designation.
On Monday, ESPN's Adam Schefter reported Jordan cleared waivers and is officially a free agent.
Jordan finishes his Dolphins career with a disappointing 46 combined tackles and three sacks across 26 appearances. He last played during the 2014 regular season.
The 27-year-old Oregon product received a one-year suspension from the NFL that forced him to miss the entire 2015 campaign due to a third violation of the league's substance-abuse policy.
A knee injury suffered during the 2016 offseason never recovered enough for him to play last season, though he did get some practice time in near the end of the year.
Releasing Jordan now doesn't leave any dead cap money and frees up just over $3.2 million in space for Miami, according to Spotrac.
Miami Dolphins executive vice president Mike Tannenbaum admitted earlier in the week that moving up in the draft to select Jordan ended up being a mistake, per Schad.
"Obviously from where he was selected to today, it's not a move that's worked out," Tannenbaum said. "It's pretty obvious. We'll keep evaluating our roster and make moves when we feel it's appropriate."
Jordan should get another opportunity to prove himself based on the upside he showed during his time with the Ducks. He racked up 86 total tackles and 12.5 sacks over his final two years at the college level.
He may have to wait until after the draft in late April to find a landing spot, though. The Cleveland Browns, Los Angeles Chargers, Philadelphia Eagles and Carolina Panthers are among the teams still looking to upgrade their defensive line.