diff --git a/mutiny-core/src/nodemanager.rs b/mutiny-core/src/nodemanager.rs
index cd524d8a5..23e2fb660 100644
--- a/mutiny-core/src/nodemanager.rs
+++ b/mutiny-core/src/nodemanager.rs
@@ -767,7 +767,16 @@ impl<S: MutinyStorage> NodeManager<S> {
             .map_err(|_| MutinyError::IncorrectNetwork)?;
         let address = uri.address.clone();
         let original_psbt = self.wallet.create_signed_psbt(address, amount, fee_rate)?;
-        // TODO ensure this creates a pending tx in the UI.  Ensure locked UTXO.
+        // Track this transaction in the wallet so it shows as an ActivityItem in UI.
+        // We'll cancel it if and when this original_psbt fallback is replaced with a received payjoin.
+        self.wallet
+            .insert_tx(
+                original_psbt.clone().extract_tx(),
+                ConfirmationTime::unconfirmed(crate::utils::now().as_secs()),
+                None,
+            )
+            .await?;
+
         let fee_rate = if let Some(rate) = fee_rate {
             FeeRate::from_sat_per_vb(rate)
         } else {
@@ -798,6 +807,7 @@ impl<S: MutinyStorage> NodeManager<S> {
             let proposal_psbt = match Self::poll_payjoin_sender(stop, req_ctx).await {
                 Ok(psbt) => psbt,
                 Err(e) => {
+                    // self.wallet cancel_tx
                     log_error!(logger, "Error polling payjoin sender: {e}");
                     return;
                 }
@@ -867,11 +877,13 @@ impl<S: MutinyStorage> NodeManager<S> {
         labels: Vec<String>,
     ) -> Result<Txid, MutinyError> {
         log_debug!(logger, "Sending payjoin..");
+        let original_tx = original_psbt.clone().extract_tx();
         let tx = wallet
             .send_payjoin(original_psbt, proposal_psbt, labels)
             .await?;
         let txid = tx.txid();
         wallet.broadcast_transaction(tx).await?;
+        wallet.cancel_tx(&original_tx)?;
         log_info!(logger, "Payjoin broadcast! TXID: {txid}");
         Ok(txid)
     }
diff --git a/mutiny-core/src/onchain.rs b/mutiny-core/src/onchain.rs
index 77e6dc538..92bd30227 100644
--- a/mutiny-core/src/onchain.rs
+++ b/mutiny-core/src/onchain.rs
@@ -355,6 +355,12 @@ impl<S: MutinyStorage> OnChainWallet<S> {
         Ok(())
     }
 
+    pub(crate) fn cancel_tx(&self, tx: &Transaction) -> Result<(), MutinyError> {
+        let mut wallet = self.wallet.try_write()?;
+        wallet.cancel_tx(tx);
+        Ok(())
+    }
+
     fn is_mine(&self, script: &Script) -> Result<bool, MutinyError> {
         Ok(self.wallet.try_read()?.is_mine(script))
     }
@@ -399,15 +405,12 @@ impl<S: MutinyStorage> OnChainWallet<S> {
 
         // Outputs may be substituted for e.g. batching at this stage
         // We're not doing this yet.
-
         let payjoin_proposal = provisional_payjoin.finalize_proposal(
             |psbt| {
                 let mut psbt = psbt.clone();
-                let wallet = self
-                    .wallet
-                    .try_read()
-                    .map_err(|_| Error::Server(MutinyError::WalletSigningFailed.into()))?;
-                wallet
+                self.wallet
+                    .try_write()
+                    .map_err(|_| Error::Server(MutinyError::WalletSigningFailed.into()))?
                     .sign(&mut psbt, SignOptions::default())
                     .map_err(|_| Error::Server(MutinyError::WalletSigningFailed.into()))?;
                 Ok(psbt)
@@ -415,10 +418,18 @@ impl<S: MutinyStorage> OnChainWallet<S> {
             // TODO: check Mutiny's minfeerate is present here
             Some(payjoin::bitcoin::FeeRate::MIN),
         )?;
-        let payjoin_proposal_psbt = payjoin_proposal.psbt();
+        let payjoin_psbt_tx = payjoin_proposal.psbt().clone().extract_tx();
+        self.wallet
+            .try_write()
+            .map_err(|_| Error::Server(MutinyError::WalletOperationFailed.into()))?
+            .insert_tx(
+                payjoin_psbt_tx,
+                ConfirmationTime::unconfirmed(crate::utils::now().as_secs()),
+            )
+            .map_err(|_| Error::Server(MutinyError::WalletOperationFailed.into()))?;
         log::debug!(
             "Receiver's Payjoin proposal PSBT Rsponse: {:#?}",
-            payjoin_proposal_psbt
+            payjoin_proposal.psbt()
         );
         Ok(payjoin_proposal)
     }