diff --git a/components/debugapi/component.go b/components/debugapi/component.go
index e20696db0..8aa6e4f52 100644
--- a/components/debugapi/component.go
+++ b/components/debugapi/component.go
@@ -86,7 +86,7 @@ func configure() error {
 
 	debugAPIWorkerPool := workerpool.NewGroup("DebugAPI").CreatePool("DebugAPI", workerpool.WithWorkerCount(1))
 
-	deps.Protocol.Events.Engine.Retainer.BlockRetained.Hook(func(block *blocks.Block) {
+	deps.Protocol.Events.Engine.BlockRetainer.BlockRetained.Hook(func(block *blocks.Block) {
 		blocksPerSlot.Set(block.ID().Slot(), append(lo.Return1(blocksPerSlot.GetOrCreate(block.ID().Slot(), func() []*blocks.Block {
 			return make([]*blocks.Block, 0)
 		})), block))
diff --git a/components/inx/server_blocks.go b/components/inx/server_blocks.go
index 81315beb7..1471e29df 100644
--- a/components/inx/server_blocks.go
+++ b/components/inx/server_blocks.go
@@ -186,7 +186,7 @@ func (s *Server) attachBlock(ctx context.Context, block *iotago.Block) (*inx.Blo
 	mergedCtx, mergedCtxCancel := contextutils.MergeContexts(ctx, Component.Daemon().ContextStopped())
 	defer mergedCtxCancel()
 
-	blockID, err := deps.RequestHandler.SubmitBlockAndAwaitBooking(mergedCtx, block)
+	blockID, err := deps.RequestHandler.SubmitBlockAndAwaitRetainer(mergedCtx, block)
 	if err != nil {
 		return nil, status.Errorf(codes.Internal, "failed to attach block: %s", err.Error())
 	}
diff --git a/components/restapi/core/blocks.go b/components/restapi/core/blocks.go
index d91d965b5..4eb3d93a8 100644
--- a/components/restapi/core/blocks.go
+++ b/components/restapi/core/blocks.go
@@ -42,7 +42,7 @@ func sendBlock(c echo.Context) (*api.BlockCreatedResponse, error) {
 		return nil, err
 	}
 
-	blockID, err := deps.RequestHandler.SubmitBlockAndAwaitBooking(c.Request().Context(), iotaBlock)
+	blockID, err := deps.RequestHandler.SubmitBlockAndAwaitRetainer(c.Request().Context(), iotaBlock)
 	if err != nil {
 		return nil, ierrors.WithMessagef(echo.ErrInternalServerError, "failed to attach block: %w", err)
 	}
diff --git a/pkg/protocol/chains.go b/pkg/protocol/chains.go
index 0f07b01bb..fb4b65af6 100644
--- a/pkg/protocol/chains.go
+++ b/pkg/protocol/chains.go
@@ -176,10 +176,14 @@ func attachEngineLogs(instance *engine.Engine) func() {
 			instance.LogTrace("BlockProcessed", "block", blockID)
 		}).Unhook,
 
-		events.Retainer.BlockRetained.Hook(func(block *blocks.Block) {
+		events.BlockRetainer.BlockRetained.Hook(func(block *blocks.Block) {
 			instance.LogTrace("Retainer.BlockRetained", "block", block.ID())
 		}).Unhook,
 
+		events.TransactionRetainer.TransactionRetained.Hook(func(txID iotago.TransactionID) {
+			instance.LogTrace("Retainer.TransactionRetained", "transaction", txID)
+		}).Unhook,
+
 		events.Notarization.SlotCommitted.Hook(func(details *notarization.SlotCommittedDetails) {
 			instance.LogTrace("NotarizationManager.SlotCommitted", "commitment", details.Commitment.ID(), "acceptedBlocks count", details.AcceptedBlocks.Size(), "accepted transactions", len(details.Mutations))
 		}).Unhook,
diff --git a/pkg/protocol/engine/events.go b/pkg/protocol/engine/events.go
index 7d302d877..805f6be9c 100644
--- a/pkg/protocol/engine/events.go
+++ b/pkg/protocol/engine/events.go
@@ -29,23 +29,24 @@ type Events struct {
 	AcceptedBlockProcessed *event.Event1[*blocks.Block]
 	Evict                  *event.Event1[iotago.SlotIndex]
 
-	PreSolidFilter  *presolidfilter.Events
-	PostSolidFilter *postsolidfilter.Events
-	BlockRequester  *eventticker.Events[iotago.SlotIndex, iotago.BlockID]
-	TipManager      *tipmanager.Events
-	BlockDAG        *blockdag.Events
-	Booker          *booker.Events
-	Clock           *clock.Events
-	BlockGadget     *blockgadget.Events
-	SlotGadget      *slotgadget.Events
-	SybilProtection *sybilprotection.Events
-	Ledger          *ledger.Events
-	Notarization    *notarization.Events
-	SpendDAG        *spenddag.Events[iotago.TransactionID, mempool.StateID]
-	Scheduler       *scheduler.Events
-	SeatManager     *seatmanager.Events
-	SyncManager     *syncmanager.Events
-	Retainer        *retainer.Events
+	PreSolidFilter      *presolidfilter.Events
+	PostSolidFilter     *postsolidfilter.Events
+	BlockRequester      *eventticker.Events[iotago.SlotIndex, iotago.BlockID]
+	TipManager          *tipmanager.Events
+	BlockDAG            *blockdag.Events
+	Booker              *booker.Events
+	Clock               *clock.Events
+	BlockGadget         *blockgadget.Events
+	SlotGadget          *slotgadget.Events
+	SybilProtection     *sybilprotection.Events
+	Ledger              *ledger.Events
+	Notarization        *notarization.Events
+	SpendDAG            *spenddag.Events[iotago.TransactionID, mempool.StateID]
+	Scheduler           *scheduler.Events
+	SeatManager         *seatmanager.Events
+	SyncManager         *syncmanager.Events
+	BlockRetainer       *retainer.BlockRetainerEvents
+	TransactionRetainer *retainer.TransactionRetainerEvents
 	event.Group[Events, *Events]
 }
 
@@ -71,6 +72,7 @@ var NewEvents = event.CreateGroupConstructor(func() (newEvents *Events) {
 		Scheduler:              scheduler.NewEvents(),
 		SeatManager:            seatmanager.NewEvents(),
 		SyncManager:            syncmanager.NewEvents(),
-		Retainer:               retainer.NewEvents(),
+		BlockRetainer:          retainer.NewBlockRetainerEvents(),
+		TransactionRetainer:    retainer.NewTransactionRetainerEvents(),
 	}
 })
diff --git a/pkg/requesthandler/blockissuance.go b/pkg/requesthandler/blockissuance.go
index c7b65aa76..4bb949bd4 100644
--- a/pkg/requesthandler/blockissuance.go
+++ b/pkg/requesthandler/blockissuance.go
@@ -11,6 +11,7 @@ import (
 	"github.com/iotaledger/iota-core/pkg/protocol/engine/blocks"
 	"github.com/iotaledger/iota-core/pkg/protocol/engine/filter/postsolidfilter"
 	"github.com/iotaledger/iota-core/pkg/protocol/engine/filter/presolidfilter"
+	"github.com/iotaledger/iota-core/pkg/retainer/txretainer"
 	iotago "github.com/iotaledger/iota.go/v4"
 )
 
@@ -24,27 +25,53 @@ func (r *RequestHandler) SubmitBlockWithoutAwaitingBooking(block *model.Block) e
 	return r.submitBlock(block)
 }
 
-// submitBlockAndAwaitEvent submits a block to be processed and waits for the event to be triggered.
-func (r *RequestHandler) submitBlockAndAwaitEvent(ctx context.Context, block *model.Block, evt *event.Event1[*blocks.Block]) error {
+// submitBlockAndAwaitRetainer submits a block to be processed and waits for the block gets retained.
+func (r *RequestHandler) submitBlockAndAwaitRetainer(ctx context.Context, block *model.Block) error {
 	filtered := make(chan error, 1)
 	exit := make(chan struct{})
 	defer close(exit)
 
 	// Make sure we don't wait forever here. If the block is not dispatched to the main engine,
 	// it will never trigger one of the below events.
-	processingCtx, processingCtxCancel := context.WithTimeout(ctx, 5*time.Second)
+	processingCtx, processingCtxCancel := context.WithTimeout(ctx, 10*time.Second)
 	defer processingCtxCancel()
 	// Calculate the blockID so that we don't capture the block pointer in the event handlers.
 	blockID := block.ID()
-	evtUnhook := evt.Hook(func(eventBlock *blocks.Block) {
-		if blockID != eventBlock.ID() {
-			return
-		}
-		select {
-		case filtered <- nil:
-		case <-exit:
+
+	var successUnhook func()
+	// Hook to TransactionAttached event if the block contains a transaction.
+	signedTx, isTx := block.SignedTransaction()
+	if isTx {
+		txID := signedTx.Transaction.MustID()
+		// Check if the transaction is already retained. The onTransactionAttached event is only triggered if it's a new transaction.
+		// If the transaction is already retained, we hook to the BlockRetained event.
+		_, err := r.protocol.Engines.Main.Get().TxRetainer.TransactionMetadata(txID)
+		if ierrors.Is(err, txretainer.ErrEntryNotFound) {
+			successUnhook = r.protocol.Events.Engine.TransactionRetainer.TransactionRetained.Hook(func(transactionID iotago.TransactionID) {
+				if transactionID != txID {
+					return
+				}
+				select {
+				case filtered <- nil:
+				case <-exit:
+				}
+			}, event.WithWorkerPool(r.workerPool)).Unhook
 		}
-	}, event.WithWorkerPool(r.workerPool)).Unhook
+	}
+
+	// if no hook was set, hook to the block retained event.
+	if successUnhook == nil {
+		successUnhook = r.protocol.Events.Engine.BlockRetainer.BlockRetained.Hook(func(eventBlock *blocks.Block) {
+			if blockID != eventBlock.ID() {
+				return
+			}
+			select {
+			case filtered <- nil:
+			case <-exit:
+			}
+		}, event.WithWorkerPool(r.workerPool)).Unhook
+	}
+
 	prefilteredUnhook := r.protocol.Events.Engine.PreSolidFilter.BlockPreFiltered.Hook(func(event *presolidfilter.BlockPreFilteredEvent) {
 		if blockID != event.Block.ID() {
 			return
@@ -65,7 +92,7 @@ func (r *RequestHandler) submitBlockAndAwaitEvent(ctx context.Context, block *mo
 		}
 	}, event.WithWorkerPool(r.workerPool)).Unhook
 
-	defer lo.BatchReverse(evtUnhook, prefilteredUnhook, postfilteredUnhook)()
+	defer lo.BatchReverse(successUnhook, prefilteredUnhook, postfilteredUnhook)()
 
 	if err := r.submitBlock(block); err != nil {
 		return ierrors.Wrapf(err, "failed to issue block %s", blockID)
@@ -82,13 +109,13 @@ func (r *RequestHandler) submitBlockAndAwaitEvent(ctx context.Context, block *mo
 	}
 }
 
-func (r *RequestHandler) SubmitBlockAndAwaitBooking(ctx context.Context, iotaBlock *iotago.Block) (iotago.BlockID, error) {
+func (r *RequestHandler) SubmitBlockAndAwaitRetainer(ctx context.Context, iotaBlock *iotago.Block) (iotago.BlockID, error) {
 	modelBlock, err := model.BlockFromBlock(iotaBlock)
 	if err != nil {
 		return iotago.EmptyBlockID, ierrors.Wrap(err, "error serializing block to model block")
 	}
 
-	if err = r.submitBlockAndAwaitEvent(ctx, modelBlock, r.protocol.Events.Engine.Retainer.BlockRetained); err != nil {
+	if err = r.submitBlockAndAwaitRetainer(ctx, modelBlock); err != nil {
 		return iotago.EmptyBlockID, ierrors.Wrap(err, "error issuing model block")
 	}
 
diff --git a/pkg/retainer/blockretainer/block_retainer.go b/pkg/retainer/blockretainer/block_retainer.go
index 5f648e320..5e75cbf5d 100644
--- a/pkg/retainer/blockretainer/block_retainer.go
+++ b/pkg/retainer/blockretainer/block_retainer.go
@@ -23,7 +23,7 @@ type (
 )
 
 type BlockRetainer struct {
-	events *retainer.Events
+	events *retainer.BlockRetainerEvents
 	store  StoreFunc
 	cache  *cache
 
@@ -39,7 +39,7 @@ type BlockRetainer struct {
 func New(module module.Module, workersGroup *workerpool.Group, retainerStoreFunc StoreFunc, finalizedSlotFunc FinalizedSlotFunc, errorHandler func(error)) *BlockRetainer {
 	b := &BlockRetainer{
 		Module:            module,
-		events:            retainer.NewEvents(),
+		events:            retainer.NewBlockRetainerEvents(),
 		workerPool:        workersGroup.CreatePool("Retainer", workerpool.WithWorkerCount(1)),
 		store:             retainerStoreFunc,
 		cache:             newCache(),
@@ -99,7 +99,7 @@ func NewProvider() module.Provider[*engine.Engine, retainer.BlockRetainer] {
 			}
 		}, asyncOpt)
 
-		e.Events.Retainer.BlockRetained.LinkTo(r.events.BlockRetained)
+		e.Events.BlockRetainer.BlockRetained.LinkTo(r.events.BlockRetained)
 
 		r.InitializedEvent().Trigger()
 
diff --git a/pkg/retainer/events.go b/pkg/retainer/events.go
index 52dff40f5..0147f9d76 100644
--- a/pkg/retainer/events.go
+++ b/pkg/retainer/events.go
@@ -3,19 +3,35 @@ package retainer
 import (
 	"github.com/iotaledger/hive.go/runtime/event"
 	"github.com/iotaledger/iota-core/pkg/protocol/engine/blocks"
+	iotago "github.com/iotaledger/iota.go/v4"
 )
 
-// Events is a collection of Retainer related Events.
-type Events struct {
+// BlockRetainerEvents is a collection of Retainer related BlockRetainerEvents.
+type BlockRetainerEvents struct {
 	// BlockRetained is triggered when a block is stored in the retainer.
 	BlockRetained *event.Event1[*blocks.Block]
 
-	event.Group[Events, *Events]
+	event.Group[BlockRetainerEvents, *BlockRetainerEvents]
 }
 
-// NewEvents contains the constructor of the Events object (it is generated by a generic factory).
-var NewEvents = event.CreateGroupConstructor(func() (newEvents *Events) {
-	return &Events{
+// NewBlockRetainerEvents contains the constructor of the Events object (it is generated by a generic factory).
+var NewBlockRetainerEvents = event.CreateGroupConstructor(func() (newEvents *BlockRetainerEvents) {
+	return &BlockRetainerEvents{
 		BlockRetained: event.New1[*blocks.Block](),
 	}
 })
+
+// TransactionRetainerEvents is a collection of Retainer related TransactionRetainerEvents.
+type TransactionRetainerEvents struct {
+	// TransactionRetained is triggered when a transaction is stored in the retainer.
+	TransactionRetained *event.Event1[iotago.TransactionID]
+
+	event.Group[TransactionRetainerEvents, *TransactionRetainerEvents]
+}
+
+// NewTransactionRetainerEvents contains the constructor of the Events object (it is generated by a generic factory).
+var NewTransactionRetainerEvents = event.CreateGroupConstructor(func() (newEvents *TransactionRetainerEvents) {
+	return &TransactionRetainerEvents{
+		TransactionRetained: event.New1[iotago.TransactionID](),
+	}
+})
diff --git a/pkg/retainer/txretainer/tx_retainer.go b/pkg/retainer/txretainer/tx_retainer.go
index 6f37aa7db..faba1de84 100644
--- a/pkg/retainer/txretainer/tx_retainer.go
+++ b/pkg/retainer/txretainer/tx_retainer.go
@@ -90,6 +90,7 @@ type (
 
 // TransactionRetainer keeps and resolves all the transaction-related metadata needed in the API and INX.
 type TransactionRetainer struct {
+	events                  *retainer.TransactionRetainerEvents
 	workerPool              *workerpool.WorkerPool
 	txRetainerDatabase      *transactionRetainerDatabase
 	latestCommittedSlotFunc SlotFunc
@@ -113,6 +114,7 @@ func WithDebugStoreErrorMessages(store bool) options.Option[TransactionRetainer]
 func New(parentModule module.Module, workersGroup *workerpool.Group, dbExecFunc storage.SQLDatabaseExecFunc, latestCommittedSlotFunc SlotFunc, finalizedSlotFunc SlotFunc, errorHandler func(error), opts ...options.Option[TransactionRetainer]) *TransactionRetainer {
 	return module.InitSimpleLifecycle(options.Apply(&TransactionRetainer{
 		Module:                  parentModule.NewSubModule("TransactionRetainer"),
+		events:                  retainer.NewTransactionRetainerEvents(),
 		workerPool:              workersGroup.CreatePool("TxRetainer", workerpool.WithWorkerCount(1)),
 		txRetainerCache:         NewTransactionRetainerCache(),
 		txRetainerDatabase:      NewTransactionRetainerDB(dbExecFunc),
@@ -158,6 +160,8 @@ func NewProvider(opts ...options.Option[TransactionRetainer]) module.Provider[*e
 				// therefore we use false for the "validSignature" argument.
 				r.UpdateTransactionMetadata(transactionMetadata.ID(), false, transactionMetadata.EarliestIncludedAttachment().Slot(), api.TransactionStatePending, nil)
 
+				r.events.TransactionRetained.Trigger(transactionMetadata.ID())
+
 				// the transaction was accepted
 				transactionMetadata.OnAccepted(func() {
 					e.LogTrace("TxRetainer.TransactionAccepted", "tx", transactionMetadata.ID())
@@ -242,6 +246,10 @@ func NewProvider(opts ...options.Option[TransactionRetainer]) module.Provider[*e
 			}, asyncOpt)
 		})
 
+		e.Events.TransactionRetainer.TransactionRetained.LinkTo(r.events.TransactionRetained)
+
+		r.InitializedEvent().Trigger()
+
 		return r
 	})
 }
diff --git a/pkg/tests/reward_test.go b/pkg/tests/reward_test.go
index 3d8801186..860242dd9 100644
--- a/pkg/tests/reward_test.go
+++ b/pkg/tests/reward_test.go
@@ -373,10 +373,13 @@ func Test_Account_StakeAmountCalculation(t *testing.T) {
 	)
 	block7 := lo.PanicOnErr(ts.IssueBasicBlockWithOptions("block7", ts.DefaultWallet(), tx7, mock.WithStrongParents(latestParents...)))
 
+	latestParents = ts.CommitUntilSlot(block7_8Slot, block7.ID())
+
 	tx8 := ts.DefaultWallet().ClaimDelegatorRewards("TX8", "TX7:0")
-	block8 := lo.PanicOnErr(ts.IssueBasicBlockWithOptions("block8", ts.DefaultWallet(), tx8, mock.WithStrongParents(block7.ID())))
+	block8 := lo.PanicOnErr(ts.IssueBasicBlockWithOptions("block8", ts.DefaultWallet(), tx8, mock.WithStrongParents(latestParents...)))
 
-	latestParents = ts.CommitUntilSlot(block7_8Slot, block8.ID())
+	block8Slot := ts.CurrentSlot()
+	latestParents = ts.CommitUntilSlot(block8Slot, block8.ID())
 
 	// Delegated Stake should be unaffected since no new delegation was effectively added in that slot.
 	ts.AssertAccountStake(accountID, stakedAmount, deleg1+deleg2, ts.Nodes()...)
diff --git a/pkg/testsuite/mock/client.go b/pkg/testsuite/mock/client.go
index 96416ad41..e6f533459 100644
--- a/pkg/testsuite/mock/client.go
+++ b/pkg/testsuite/mock/client.go
@@ -241,7 +241,7 @@ func (c *TestSuiteClient) Routes(_ context.Context) (*api.RoutesResponse, error)
 }
 
 func (c *TestSuiteClient) SubmitBlock(ctx context.Context, block *iotago.Block) (iotago.BlockID, error) {
-	return c.Node.RequestHandler.SubmitBlockAndAwaitBooking(ctx, block)
+	return c.Node.RequestHandler.SubmitBlockAndAwaitRetainer(ctx, block)
 }
 
 func (c *TestSuiteClient) TransactionIncludedBlock(_ context.Context, txID iotago.TransactionID) (*iotago.Block, error) {
diff --git a/tools/docker-network/tests/eventapiframework.go b/tools/docker-network/tests/eventapiframework.go
index 2886d8dfa..b05b70502 100644
--- a/tools/docker-network/tests/eventapiframework.go
+++ b/tools/docker-network/tests/eventapiframework.go
@@ -284,7 +284,13 @@ func (e *EventAPIDockerTestFramework) AssertTransactionMetadataByTransactionID(c
 			select {
 			case metadata := <-acceptedChan:
 				if txID.Compare(metadata.TransactionID) == 0 {
+					// make sure the transaction state is available from the core API
+					resp, err := eventClt.Client.TransactionMetadata(ctx, txID)
+					require.NoError(e.Testing, err)
+					require.NotNil(e.Testing, resp)
+
 					e.finishChan <- struct{}{}
+
 					return
 				}