diff --git a/packages/transaction-manager/lib/Transaction.ts b/packages/transaction-manager/lib/Transaction.ts
index bcdd1260c2..6775a2d689 100644
--- a/packages/transaction-manager/lib/Transaction.ts
+++ b/packages/transaction-manager/lib/Transaction.ts
@@ -50,6 +50,10 @@ export class Transaction {
 
     readonly attempts: Attempt[]
 
+    createdAt: Date
+
+    updatedAt: Date
+
     /**
      * Stores additional information for the transaction.
      * Enables originators to provide extra details, such as gas limits, which can be leveraged by customizable services.
@@ -66,6 +70,8 @@ export class Transaction {
         deadline,
         status,
         attempts,
+        createdAt,
+        updatedAt,
         metadata,
     }: {
         intentId?: UUID
@@ -77,6 +83,8 @@ export class Transaction {
         deadline?: number
         status?: TransactionStatus
         attempts?: Attempt[]
+        createdAt?: Date
+        updatedAt?: Date
         metadata?: Record<string, unknown>
     }) {
         this.intentId = intentId ?? createUUID()
@@ -88,11 +96,14 @@ export class Transaction {
         this.deadline = deadline
         this.status = status ?? TransactionStatus.Pending
         this.attempts = attempts ?? []
+        this.createdAt = createdAt ?? new Date()
+        this.updatedAt = updatedAt ?? new Date()
         this.metadata = metadata
     }
 
     addAttempt(attempt: Attempt): void {
         this.attempts.push(attempt)
+        this.updatedAt = new Date()
     }
 
     removeAttempt(hash: Hash): void {
@@ -100,6 +111,7 @@ export class Transaction {
         if (index > -1) {
             this.attempts.splice(index, 1)
         }
+        this.updatedAt = new Date()
     }
 
     getInAirAttempts(): Attempt[] {
@@ -114,7 +126,7 @@ export class Transaction {
 
     changeStatus(status: TransactionStatus): void {
         this.status = status
-
+        this.updatedAt = new Date()
         eventBus.emit(Topics.TransactionStatusChanged, {
             transaction: this,
         })
@@ -140,6 +152,8 @@ export class Transaction {
             status: this.status,
             attempts: JSON.stringify(this.attempts, bigIntReplacer),
             metadata: this.metadata ? JSON.stringify(this.metadata, bigIntReplacer) : undefined,
+            createdAt: this.createdAt.getTime(),
+            updatedAt: this.updatedAt.getTime(),
         }
     }
 
@@ -149,6 +163,8 @@ export class Transaction {
             args: JSON.parse(row.args, bigIntReviver),
             attempts: JSON.parse(row.attempts, bigIntReviver),
             metadata: row.metadata ? JSON.parse(row.metadata, bigIntReviver) : undefined,
+            createdAt: new Date(row.createdAt),
+            updatedAt: new Date(row.updatedAt),
         })
     }
 }
diff --git a/packages/transaction-manager/lib/TransactionManager.ts b/packages/transaction-manager/lib/TransactionManager.ts
index d3f790cca6..f6ef369326 100644
--- a/packages/transaction-manager/lib/TransactionManager.ts
+++ b/packages/transaction-manager/lib/TransactionManager.ts
@@ -68,6 +68,13 @@ export type TransactionManagerConfig = {
      */
     blockTime?: bigint
 
+    /**
+     * The time (in milliseconds) after which finalized transactions are purged from the database.
+     * If finalizedTransactionPurgeTime is 0, finalized transactions are not purged from the database.
+     * Defaults to 2 minutes.
+     */
+    finalizedTransactionPurgeTime?: number
+
     /**
      * The gas estimator to use for estimating the gas limit of a transaction.
      * You can provide your own implementation to override the default one.
@@ -99,6 +106,7 @@ export class TransactionManager {
     public readonly maxPriorityFeePerGas: bigint
     public readonly rpcAllowDebug: boolean
     public readonly blockTime: bigint
+    public readonly finalizedTransactionPurgeTime: number
 
     constructor(_config: TransactionManagerConfig) {
         this.collectors = []
@@ -136,6 +144,7 @@ export class TransactionManager {
 
         this.rpcAllowDebug = _config.rpcAllowDebug || false
         this.blockTime = _config.blockTime || 2n
+        this.finalizedTransactionPurgeTime = _config.finalizedTransactionPurgeTime || 2 * 60 * 1000
     }
 
     /**
diff --git a/packages/transaction-manager/lib/TransactionRepository.ts b/packages/transaction-manager/lib/TransactionRepository.ts
index 2301115c4a..9f1f2ee3ce 100644
--- a/packages/transaction-manager/lib/TransactionRepository.ts
+++ b/packages/transaction-manager/lib/TransactionRepository.ts
@@ -1,6 +1,7 @@
 import { unknownToError } from "@happychain/common"
 import type { UUID } from "@happychain/common"
 import { type Result, ResultAsync } from "neverthrow"
+import { Topics, eventBus } from "./EventBus.js"
 import { NotFinalizedStatuses, Transaction } from "./Transaction.js"
 import type { TransactionManager } from "./TransactionManager.js"
 import { db } from "./db/driver.js"
@@ -22,6 +23,10 @@ export class TransactionRepository {
             .execute()
 
         this.notFinalizedTransactions = transactionRows.map((row) => Transaction.fromDbRow(row))
+
+        if (this.transactionManager.finalizedTransactionPurgeTime > 0) {
+            eventBus.on(Topics.NewBlock, this.purgeFinalizedTransactions.bind(this))
+        }
     }
 
     getNotFinalizedTransactions(): Transaction[] {
@@ -72,6 +77,11 @@ export class TransactionRepository {
                 .execute(),
             unknownToError,
         )
+
+        this.notFinalizedTransactions = this.notFinalizedTransactions.filter((transaction) =>
+            NotFinalizedStatuses.includes(transaction.status),
+        )
+
         return result.map(() => undefined)
     }
 
@@ -89,6 +99,11 @@ export class TransactionRepository {
             }),
             unknownToError,
         )
+
+        this.notFinalizedTransactions = this.notFinalizedTransactions.filter((transaction) =>
+            NotFinalizedStatuses.includes(transaction.status),
+        )
+
         return result
     }
 
@@ -103,4 +118,12 @@ export class TransactionRepository {
             (n) => !this.notFinalizedTransactions.some((t) => t.attempts.some((a) => a.nonce === n)),
         )
     }
+
+    async purgeFinalizedTransactions() {
+        await db
+            .deleteFrom("transaction")
+            .where("status", "not in", NotFinalizedStatuses)
+            .where("updatedAt", "<", Date.now() - this.transactionManager.finalizedTransactionPurgeTime)
+            .execute()
+    }
 }
diff --git a/packages/transaction-manager/lib/db/types.ts b/packages/transaction-manager/lib/db/types.ts
index 7f545486f4..e5b71b1589 100644
--- a/packages/transaction-manager/lib/db/types.ts
+++ b/packages/transaction-manager/lib/db/types.ts
@@ -13,6 +13,8 @@ export interface TransactionTable {
     status: TransactionStatus
     attempts: string
     metadata: string | undefined
+    createdAt: number
+    updatedAt: number
 }
 
 export interface Database {
diff --git a/packages/transaction-manager/migrations/Migration20241111223000.js b/packages/transaction-manager/migrations/Migration20241111223000.js
new file mode 100644
index 0000000000..97e24c6ba7
--- /dev/null
+++ b/packages/transaction-manager/migrations/Migration20241111223000.js
@@ -0,0 +1,10 @@
+/*
+    SQLite does not have native time types. The SQL interface allows arbitrary type names including "DATE" and "DATETIME",
+    but this is invalid in this API, and results in "NUMERIC" affinity instead of "INTEGER" affinity, 
+    which is the one we want here
+*/
+export async function up(db) {
+    await db.schema.alterTable("transaction").addColumn("createdAt", "integer").execute()
+
+    await db.schema.alterTable("transaction").addColumn("updatedAt", "integer").execute()
+}