Reds want FC Twente defender as long-term replacement for former England international.
Liverpool have lined up FC Twente centre-half Douglas as a replacement for the retiring Jamie Carragher, reports the Daily Mail.
The Brazilian – a long-term target for Newcastle – is out of contract this summer and available on a free transfer.
Reds boss Brendan Rodgers is desperate to strengthen his defence this summer, with 35-year-old Carragher set to hang up his boots, and Martin Srktel and Sebastian Coates also expected to depart.
Rodgers reportedly has just £25m to spend this summer – unless the club sell Luis Suarez – and is therefore keen to evaluate cheap options.
Douglas, 25, has played 31 times in the Eredivisie this season and has been with Twente since 2007.
The defender was born in Brazil but recently obtained Dutch citizenship and was called up to the Netherlands squad for the first time in October 2012, but is yet to make his debut.