Hastings, 31, will take over the role from David Hussey who retired at the end of last season.
He is the all-time leading wicket taker for the club, with 40 wickets in 28 matches, having played with the Stars since their inception into the competition.
“I’m very honoured to be the captain of the Melbourne Stars. We have a great Club and I can’t wait to pull the green shirt back on this summer and lead the team,” Hastings said.
“Our squad is very close and we have built a great culture at the Club. I’m especially looking forward to building on it and strengthening it with Stephen Fleming and the coaching panel.”
The Stars’ first game of BBL07 is against the Brisbane Heat at the Gabba on December 20.