diff --git a/v1/apps/browser-extension-wallet/src/lib/scripts/background/services/lmpService.ts b/v1/apps/browser-extension-wallet/src/lib/scripts/background/services/lmpService.ts
index 11835072a..926d50620 100644
--- a/v1/apps/browser-extension-wallet/src/lib/scripts/background/services/lmpService.ts
+++ b/v1/apps/browser-extension-wallet/src/lib/scripts/background/services/lmpService.ts
@@ -1,12 +1,15 @@
 /* eslint-disable @typescript-eslint/no-var-requires */
 import { BundleAppApi, LmpBundleWallet, v1ApiGlobalProperty } from '@src/utils/lmp';
-import { firstValueFrom, map } from 'rxjs';
+import { BehaviorSubject, firstValueFrom, map } from 'rxjs';
 import { bitcoinWalletManager, walletManager, walletRepository } from '../wallet';
 import { AnyBip32Wallet, AnyWallet, InMemoryWallet, WalletType } from '@cardano-sdk/web-extension';
 import { logger } from '@lace/common';
 import { Wallet } from '@lace/cardano';
-import { setBackgroundStorage } from '../storage';
+import { getBackgroundStorage, setBackgroundStorage } from '../storage';
 import { Bitcoin } from '@lace/bitcoin';
+import { Language } from '@lace/translation';
+import { requestMessage$ } from './utilityServices';
+import { MessageTypes } from '../../types';
 
 const cardanoLogo = require('../../../../assets/icons/browser-view/cardano-logo.svg').default;
 const bitcoinLogo = require('../../../../assets/icons/browser-view/bitcoin-logo.svg').default;
@@ -22,6 +25,28 @@ const isInMemoryWallet = (
   wallet: AnyWallet<Wallet.WalletMetadata, Wallet.AccountMetadata>
 ): wallet is InMemoryWallet<Wallet.WalletMetadata, Wallet.AccountMetadata> => wallet.type === WalletType.InMemory;
 
+// BehaviorSubject for language state, initialized with default 'en'
+export const language$ = new BehaviorSubject<Language>(Language.en);
+
+// Initialize language from storage on startup
+(async () => {
+  try {
+    const storage = await getBackgroundStorage();
+    if (storage.languageChoice) {
+      language$.next(storage.languageChoice);
+    }
+  } catch (error) {
+    logger.error('Failed to initialize language from storage:', error);
+  }
+})();
+
+// Subscribe to v1 UI language changes via requestMessage$
+requestMessage$.subscribe(({ type, data }) => {
+  if (type === MessageTypes.CHANGE_LANGUAGE) {
+    language$.next(data as Language);
+  }
+});
+
 const api: BundleAppApi = {
   wallets$: walletRepository.wallets$.pipe(
     map((wallets) =>
@@ -81,6 +106,12 @@ const api: BundleAppApi = {
         });
       }
     }
+  },
+  language$,
+  setLanguage: async (language: Language): Promise<void> => {
+    language$.next(language);
+    await setBackgroundStorage({ languageChoice: language });
+    requestMessage$.next({ type: MessageTypes.CHANGE_LANGUAGE, data: language });
   }
 };
 
diff --git a/v1/apps/browser-extension-wallet/src/utils/lmp.ts b/v1/apps/browser-extension-wallet/src/utils/lmp.ts
index 751d31ec2..47aa0f667 100644
--- a/v1/apps/browser-extension-wallet/src/utils/lmp.ts
+++ b/v1/apps/browser-extension-wallet/src/utils/lmp.ts
@@ -2,6 +2,7 @@
 import { RemoteApiProperties, RemoteApiPropertyType } from '@cardano-sdk/web-extension';
 import { Observable } from 'rxjs';
 import { storage } from 'webextension-polyfill';
+import { Language } from '@lace/translation';
 
 export type LmpBundleWallet = {
   walletId: string;
@@ -13,10 +14,14 @@ export type LmpBundleWallet = {
 export type BundleAppApi = {
   wallets$: Observable<LmpBundleWallet[]>;
   activate(walletId: string): Promise<void>;
+  language$: Observable<Language>;
+  setLanguage(language: Language): Promise<void>;
 };
 export const bundleAppApiProps: RemoteApiProperties<BundleAppApi> = {
   wallets$: RemoteApiPropertyType.HotObservable,
-  activate: RemoteApiPropertyType.MethodReturningPromise
+  activate: RemoteApiPropertyType.MethodReturningPromise,
+  language$: RemoteApiPropertyType.HotObservable,
+  setLanguage: RemoteApiPropertyType.MethodReturningPromise
 };
 export const lmpApiBaseChannel = 'bundle-lmp';
 export const v1ApiGlobalProperty = 'bundleV1';
diff --git a/v2 b/v2
index 03af6586d..a56ea5025 160000
--- a/v2
+++ b/v2
@@ -1 +1 @@
-Subproject commit 03af6586df7bd84f1696796601ce7f1afb785dfd
+Subproject commit a56ea5025d4c5bd16a910385deb85d1296f2f998