The resignation of 59-year-old Joshi, who had about 15 months more left in service, came hours after submarine INS Sindhuratna had a mishap off the Mumbai coast in which seven sailors were taken seriously ill and two officers were missing.
Smoke engulfed the Russian-made submarine and the seven affected sailors had to be airlifted to a hospital in Mumbai.
A specialist in anti-submarine warfare, Admiral Joshi had taken over as the Navy Chief on August 31,2012.
"Taking moral responsibility for the accidents and incidents which have taken place during the past few months, the Chief of Naval Staff Admiral D K Joshi today resigned from the post of Navy Chief," Defence Ministry said.
"The Government has accepted the resignation of Admiral Joshi with immediate effect," it said.
After the Navy was hit this morning by the 10th mishap involving its warships in the last seven months, the concerned Defence Ministry sought a detailed report from the force.