The 20-year-old was riding on of distinctive bicycles in Whitechapel High Street when she was involved in a collision with a? lorry.
The driver of the lorry stopped at the scene but was not arrested.
Transport for London (TfL) said it is the first fatality involving one of the hire bikes, dubbed Boris Bikes after being launched by London Mayor Boris Johnson in 2010.
Leon Daniels, TfL's managing director of surface transport, said: "Our thoughts go out to the friends and family of the female cyclist who tragically died ... following a collision with a heavy goods vehicle on Whitechapel High Street.
"We understand she was riding a Barclays Cycle Hire bike.
"TfL has a range of measures already under way to further reduce the number of collisions involving cyclists across London and we will be assisting the Metropolitan Police with their investigation into this tragic incident."
The woman was taken to Royal London Hospital after the crash, which occurred just before 6.20pm, where she was pronounced dead.
Her next of kin have yet to be informed.
The accident is believed to have occurred on Cycle Superhighway 2 outside Aldgate East underground station.
The Barclays cycle routes run from outer London to the centre and are designed to provide "safer, faster and more direct journeys into the city", according to TfL.
Four have been opened so far, with a further eight to be introduced by 2015.
Officers from the road death investigation unit at Chadwell Heath traffic garage are investigating the circumstances of the collision and any witnesses are asked to call police on 0208 597 4874.
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