The former Leeds Rhinos and Bradford Bulls hooker will join Bulldogs at the end of this season on a three-year deal.
Diskin, 34, has been confirmed as the successor to John Kear, who will return to Wakefield Trinity Wildcats in a new role as head of rugby for 2017.
Diskin will see out this season as Bulls’ under-19s team boss and assistant to head coach James Lowes before linking with the Kingstone Press Championship part-timers.
“It is the next step on the ladder and too good an opportunity to miss,” said Diskin, who played for Rhinos from 2001-2010 before a four-season stint at Bradford.
“Batley is a very well run club and it suits where I am with my life at the moment. I am extremely excited about the challenge for 2017 and I can’t wait.”
But Diskin stressed: “I have got other obligations and commitments at the moment.
“I hope Batley finish fantastically and I can build on that next year.”
Kear - who will remain at the Batley helm for the rest of this season - took part in the process to select the new coach.
He said: “Matt came across really well in interview. I’d like to wish him a great deal of success for next year and his time at Batley.”