The Jerusalem District Court convicted Yishai Schlissel in April of murder and six counts of attempted murder over the July 2015 stabbings.
He was sentenced to life plus 31 years, a court statement said, after prosecutors had requested life plus 60 years.
Schlissel was led into the courtroom with both his hands and feet shackled.
The incident triggered harsh criticism of the police when it emerged that Schlissel had been released from prison only three weeks earlier after serving a 10-year sentence for a similar attack.
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Many questioned how Schlissel, 40 when he was convicted, was allowed anywhere near the parade, which saw thousands marching through central Jerusalem.
Witnesses described terrifying scenes of Schlissel, with a long beard and dressed in the dark suit worn by ultra-Orthodox Jews, storming the parade with a knife.
"This guy showed no remorse," Noam Eyal, 31, who said he was one of the victims, told AFP outside the court.