The celebrity jeweler donated the diamond to the Smithsonian Institution more than 50 years ago.
In the past, the diamond was displayed in an oval setting surrounded by a series of white diamonds.
The new designed called "Embracing Hope" was chosen from three possibilities in an online vote of more than 100,000 people.
The diamond will stay in this setting for a year and then return to the traditional look.
The famous diamond was said to be cursed, but Smithsonian officials said it's been a boon to the museum, drawing seven million visitors a year.
The Associated Press Contributed to this report.