diff --git a/Cargo.toml b/Cargo.toml
index e98c21ab4..2e224720d 100755
--- a/Cargo.toml
+++ b/Cargo.toml
@@ -39,17 +39,17 @@ default = []
 #lightning-liquidity = { version = "0.2.0", features = ["std"] }
 #lightning-macros = { version = "0.2.0" }
 
-lightning = { git = "https://github.com/lightningdevkit/rust-lightning", rev = "2d2151a4e40734b871289e8bb0fa13466c0ea60a", features = ["std"] }
-lightning-types = { git = "https://github.com/lightningdevkit/rust-lightning", rev = "2d2151a4e40734b871289e8bb0fa13466c0ea60a" }
-lightning-invoice = { git = "https://github.com/lightningdevkit/rust-lightning", rev = "2d2151a4e40734b871289e8bb0fa13466c0ea60a", features = ["std"] }
-lightning-net-tokio = { git = "https://github.com/lightningdevkit/rust-lightning", rev = "2d2151a4e40734b871289e8bb0fa13466c0ea60a" }
-lightning-persister = { git = "https://github.com/lightningdevkit/rust-lightning", rev = "2d2151a4e40734b871289e8bb0fa13466c0ea60a", features = ["tokio"] }
-lightning-background-processor = { git = "https://github.com/lightningdevkit/rust-lightning", rev = "2d2151a4e40734b871289e8bb0fa13466c0ea60a" }
-lightning-rapid-gossip-sync = { git = "https://github.com/lightningdevkit/rust-lightning", rev = "2d2151a4e40734b871289e8bb0fa13466c0ea60a" }
-lightning-block-sync = { git = "https://github.com/lightningdevkit/rust-lightning", rev = "2d2151a4e40734b871289e8bb0fa13466c0ea60a", features = ["rest-client", "rpc-client", "tokio"] }
-lightning-transaction-sync = { git = "https://github.com/lightningdevkit/rust-lightning", rev = "2d2151a4e40734b871289e8bb0fa13466c0ea60a", features = ["esplora-async-https", "time", "electrum-rustls-ring"] }
-lightning-liquidity = { git = "https://github.com/lightningdevkit/rust-lightning", rev = "2d2151a4e40734b871289e8bb0fa13466c0ea60a", features = ["std"] }
-lightning-macros = { git = "https://github.com/lightningdevkit/rust-lightning", rev = "2d2151a4e40734b871289e8bb0fa13466c0ea60a" }
+lightning = { git = "https://github.com/lightningdevkit/rust-lightning", rev = "98501d6e5134228c41460dcf786ab53337e41245", features = ["std"] }
+lightning-types = { git = "https://github.com/lightningdevkit/rust-lightning", rev = "98501d6e5134228c41460dcf786ab53337e41245" }
+lightning-invoice = { git = "https://github.com/lightningdevkit/rust-lightning", rev = "98501d6e5134228c41460dcf786ab53337e41245", features = ["std"] }
+lightning-net-tokio = { git = "https://github.com/lightningdevkit/rust-lightning", rev = "98501d6e5134228c41460dcf786ab53337e41245" }
+lightning-persister = { git = "https://github.com/lightningdevkit/rust-lightning", rev = "98501d6e5134228c41460dcf786ab53337e41245", features = ["tokio"] }
+lightning-background-processor = { git = "https://github.com/lightningdevkit/rust-lightning", rev = "98501d6e5134228c41460dcf786ab53337e41245" }
+lightning-rapid-gossip-sync = { git = "https://github.com/lightningdevkit/rust-lightning", rev = "98501d6e5134228c41460dcf786ab53337e41245" }
+lightning-block-sync = { git = "https://github.com/lightningdevkit/rust-lightning", rev = "98501d6e5134228c41460dcf786ab53337e41245", features = ["rest-client", "rpc-client", "tokio"] }
+lightning-transaction-sync = { git = "https://github.com/lightningdevkit/rust-lightning", rev = "98501d6e5134228c41460dcf786ab53337e41245", features = ["esplora-async-https", "time", "electrum-rustls-ring"] }
+lightning-liquidity = { git = "https://github.com/lightningdevkit/rust-lightning", rev = "98501d6e5134228c41460dcf786ab53337e41245", features = ["std"] }
+lightning-macros = { git = "https://github.com/lightningdevkit/rust-lightning", rev = "98501d6e5134228c41460dcf786ab53337e41245" }
 
 bdk_chain = { version = "0.23.0", default-features = false, features = ["std"] }
 bdk_esplora = { version = "0.22.0", default-features = false, features = ["async-https-rustls", "tokio"]}
@@ -78,13 +78,13 @@ log = { version = "0.4.22", default-features = false, features = ["std"]}
 vss-client = { package = "vss-client-ng", version = "0.5" }
 prost = { version = "0.11.6", default-features = false}
 #bitcoin-payment-instructions = { version = "0.6" }
-bitcoin-payment-instructions = { git = "https://github.com/jkczyz/bitcoin-payment-instructions", rev = "8fbb1997917c9a5687f8e532cab9a453af3c3dc1" }
+bitcoin-payment-instructions = { git = "https://github.com/jkczyz/bitcoin-payment-instructions", rev = "869fd348c3ca0c78f439d2f31181f4d798c6b20e" }
 
 [target.'cfg(windows)'.dependencies]
 winapi = { version = "0.3", features = ["winbase"] }
 
 [dev-dependencies]
-lightning = { git = "https://github.com/lightningdevkit/rust-lightning", rev = "2d2151a4e40734b871289e8bb0fa13466c0ea60a", features = ["std", "_test_utils"] }
+lightning = { git = "https://github.com/lightningdevkit/rust-lightning", rev = "98501d6e5134228c41460dcf786ab53337e41245", features = ["std", "_test_utils"] }
 rand = { version = "0.9.2", default-features = false, features = ["std", "thread_rng", "os_rng"] }
 proptest = "1.0.0"
 regex = "1.5.6"
diff --git a/src/event.rs b/src/event.rs
index 5f02f9f87..a4dcc8cf3 100644
--- a/src/event.rs
+++ b/src/event.rs
@@ -16,7 +16,8 @@ use bitcoin::secp256k1::PublicKey;
 use bitcoin::{Amount, OutPoint};
 use lightning::events::bump_transaction::BumpTransactionEvent;
 use lightning::events::{
-	ClosureReason, Event as LdkEvent, PaymentFailureReason, PaymentPurpose, ReplayEvent,
+	ClosureReason, Event as LdkEvent, FundingInfo, PaymentFailureReason, PaymentPurpose,
+	ReplayEvent,
 };
 use lightning::impl_writeable_tlv_based_enum;
 use lightning::ln::channelmanager::PaymentId;
@@ -1516,7 +1517,26 @@ where
 					},
 				};
 			},
-			LdkEvent::DiscardFunding { .. } => {},
+			LdkEvent::DiscardFunding { channel_id, funding_info } => {
+				if let FundingInfo::Contribution { inputs: _, outputs } = funding_info {
+					log_info!(
+						self.logger,
+						"Reclaiming unused addresses from channel {} funding",
+						channel_id,
+					);
+
+					let tx = bitcoin::Transaction {
+						version: bitcoin::transaction::Version::TWO,
+						lock_time: bitcoin::absolute::LockTime::ZERO,
+						input: vec![],
+						output: outputs,
+					};
+					if let Err(e) = self.wallet.cancel_tx(&tx) {
+						log_error!(self.logger, "Failed reclaiming unused addresses: {}", e);
+						return Err(ReplayEvent());
+					}
+				}
+			},
 			LdkEvent::HTLCIntercepted {
 				requested_next_hop_scid,
 				intercept_id,
@@ -1746,7 +1766,6 @@ where
 				user_channel_id,
 				counterparty_node_id,
 				abandoned_funding_txo,
-				contributed_outputs,
 				..
 			} => {
 				if let Some(funding_txo) = abandoned_funding_txo {
@@ -1766,17 +1785,6 @@ where
 					);
 				}
 
-				let tx = bitcoin::Transaction {
-					version: bitcoin::transaction::Version::TWO,
-					lock_time: bitcoin::absolute::LockTime::ZERO,
-					input: vec![],
-					output: contributed_outputs,
-				};
-				if let Err(e) = self.wallet.cancel_tx(&tx) {
-					log_error!(self.logger, "Failed reclaiming unused addresses: {}", e);
-					return Err(ReplayEvent());
-				}
-
 				let event = Event::SpliceFailed {
 					channel_id,
 					user_channel_id: UserChannelId(user_channel_id),
diff --git a/src/payment/spontaneous.rs b/src/payment/spontaneous.rs
index 84f6c6412..536501e75 100644
--- a/src/payment/spontaneous.rs
+++ b/src/payment/spontaneous.rs
@@ -128,7 +128,7 @@ impl SpontaneousPayment {
 				*max_channel_saturation_power_of_half;
 		}
 
-		let mut recipient_fields = RecipientOnionFields::spontaneous_empty();
+		let mut recipient_fields = RecipientOnionFields::spontaneous_empty(amount_msat);
 		if let Some(tlvs) = custom_tlvs {
 			let tlvs_vec = tlvs.into_iter().map(|tlv| (tlv.type_num, tlv.value)).collect();
 			recipient_fields = recipient_fields.with_custom_tlvs(