diff --git a/app/src/main/kotlin/com/wire/android/feature/AccountSwitchUseCase.kt b/app/src/main/kotlin/com/wire/android/feature/AccountSwitchUseCase.kt
index 921e20b233c..4d59a2861b2 100644
--- a/app/src/main/kotlin/com/wire/android/feature/AccountSwitchUseCase.kt
+++ b/app/src/main/kotlin/com/wire/android/feature/AccountSwitchUseCase.kt
@@ -167,6 +167,7 @@ class AccountSwitchUseCase @Inject constructor(
             LogoutReason.SELF_SOFT_LOGOUT, LogoutReason.SELF_HARD_LOGOUT -> {
                 deleteSession(invalidAccount.userId)
             }
+            LogoutReason.MIGRATION_TO_CC_FAILED,
             LogoutReason.DELETED_ACCOUNT,
             LogoutReason.REMOVED_CLIENT,
             LogoutReason.SESSION_EXPIRED -> deleteSession(invalidAccount.userId)
diff --git a/app/src/main/kotlin/com/wire/android/ui/WireActivityViewModel.kt b/app/src/main/kotlin/com/wire/android/ui/WireActivityViewModel.kt
index 4fefdb9e261..624b6aa74a5 100644
--- a/app/src/main/kotlin/com/wire/android/ui/WireActivityViewModel.kt
+++ b/app/src/main/kotlin/com/wire/android/ui/WireActivityViewModel.kt
@@ -292,7 +292,7 @@ class WireActivityViewModel @Inject constructor(
                     // Self logout is handled from the Self user profile screen directly
                 }
 
-                LogoutReason.REMOVED_CLIENT ->
+                LogoutReason.MIGRATION_TO_CC_FAILED, LogoutReason.REMOVED_CLIENT ->
                     globalAppState =
                         globalAppState.copy(blockUserUI = CurrentSessionErrorState.RemovedClient)
 
diff --git a/default.json b/default.json
index bdd844d43ac..2256ba670f6 100644
--- a/default.json
+++ b/default.json
@@ -28,7 +28,7 @@
             "default_backend_url_blacklist": "https://clientblacklist.wire.com/staging",
             "default_backend_url_website": "https://wire.com",
             "default_backend_title": "wire-staging",
-            "encrypt_proteus_storage": true,
+            "encrypt_proteus_storage": false,
             "analytics_enabled": false,
             "picture_in_picture_enabled": true,
             "analytics_app_key": "8ffae535f1836ed5f58fd5c8a11c00eca07c5438",
diff --git a/kalium b/kalium
index 786a7b83e84..b7b4bd21471 160000
--- a/kalium
+++ b/kalium
@@ -1 +1 @@
-Subproject commit 786a7b83e84663909c6c40b3f6c72263fe935661
+Subproject commit b7b4bd21471dd3ac48f5f3b3b245cc56723e529f