The former Colombia captain has signed an initial six-month contract with the MLS club.
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It's been suggested James will earn a massive $5m from the short-term deal.
The former Real Madrid, Bayern Munich and Everton midfielder told the Minnesota website: "I'm very happy for this new chapter in my life.
"I hope to be at my best so I can bring joy to this city and to all the people who have placed their trust in me.
"I can't wait to meet all the passion Minnesota fans because I'm also a passionate player who wants to give everything on the court and always wants to win."