diff --git a/components/utility-components/nostr-context-provider.tsx b/components/utility-components/nostr-context-provider.tsx
index f826c2f14..f1c7f3e75 100644
--- a/components/utility-components/nostr-context-provider.tsx
+++ b/components/utility-components/nostr-context-provider.tsx
@@ -207,12 +207,20 @@ export function SignerContextProvider({ children }: { children: ReactNode }) {
     loadKeys(signerObject);
 
     const isAlreadyLoaded = localStorage.getItem("signer");
-    if (
-      !isAlreadyLoaded ||
-      JSON.stringify(existingSigner) !== isAlreadyLoaded
-    ) {
-      localStorage.setItem("signer", JSON.stringify(existingSigner));
+    const shouldPersistSigner = existingSigner?.type !== "nip46";
+    const serializedSigner = JSON.stringify(existingSigner);
+    const hasStorageMismatch =
+      !isAlreadyLoaded || serializedSigner !== isAlreadyLoaded;
 
+    if (shouldPersistSigner && hasStorageMismatch) {
+      localStorage.setItem("signer", serializedSigner);
+    }
+
+    if (!shouldPersistSigner && isAlreadyLoaded) {
+      localStorage.removeItem("signer");
+    }
+
+    if (hasStorageMismatch || (!shouldPersistSigner && isAlreadyLoaded)) {
       const shouldReloadSigner = false;
       window.dispatchEvent(
         new CustomEvent("storage", { detail: { shouldReloadSigner } })
diff --git a/utils/nostr/__tests__/local-storage-data.test.ts b/utils/nostr/__tests__/local-storage-data.test.ts
index e62a6d1ec..85025cb28 100644
--- a/utils/nostr/__tests__/local-storage-data.test.ts
+++ b/utils/nostr/__tests__/local-storage-data.test.ts
@@ -1,13 +1,15 @@
 import {
+  LogOut,
   getDefaultBlossomServer,
   getDefaultMint,
   getDefaultRelays,
   getLocalStorageData,
+  setLocalStorageDataOnSignIn,
 } from "../nostr-helper-functions";
 
 describe("getLocalStorageData", () => {
   beforeEach(() => {
-    localStorage.clear();
+    LogOut();
     jest.restoreAllMocks();
   });
 
@@ -70,4 +72,41 @@ describe("getLocalStorageData", () => {
       encryptedPrivKey: "ncryptsec1mock",
     });
   });
+
+  it("keeps bunker signer data in runtime memory only", () => {
+    setLocalStorageDataOnSignIn({
+      signer: {
+        toJSON: () => ({
+          type: "nip46",
+          bunker: "bunker://pubkey?secret=supersecret",
+          appPrivKey: "app-private-key",
+        }),
+      } as any,
+    });
+
+    const data = getLocalStorageData();
+
+    expect(data.signer).toEqual({
+      type: "nip46",
+      bunker: "bunker://pubkey?secret=supersecret",
+      appPrivKey: "app-private-key",
+    });
+    expect(localStorage.getItem("signer")).toBeNull();
+  });
+
+  it("removes legacy persisted bunker signer data on read", () => {
+    localStorage.setItem(
+      "signer",
+      JSON.stringify({
+        type: "nip46",
+        bunker: "bunker://pubkey?secret=legacysecret",
+        appPrivKey: "legacy-app-privkey",
+      })
+    );
+
+    const data = getLocalStorageData();
+
+    expect(data.signer).toBeUndefined();
+    expect(localStorage.getItem("signer")).toBeNull();
+  });
 });
diff --git a/utils/nostr/nostr-helper-functions.ts b/utils/nostr/nostr-helper-functions.ts
index adbcea590..7c14ed57f 100644
--- a/utils/nostr/nostr-helper-functions.ts
+++ b/utils/nostr/nostr-helper-functions.ts
@@ -1261,6 +1261,17 @@ const LOCALSTORAGECONSTANTS = {
   nwcInfo: "nwcInfo",
 };
 
+export type StoredSignerData =
+  | { type: "nip07" }
+  | { type: "nip46"; bunker: string; appPrivKey?: string }
+  | { type: "nsec"; encryptedPrivKey: string; pubkey?: string };
+
+let runtimeSignerData: StoredSignerData | undefined;
+
+function shouldPersistSignerData(signerData: StoredSignerData): boolean {
+  return signerData.type !== "nip46";
+}
+
 export const setLocalStorageDataOnSignIn = ({
   encryptedPrivateKey,
   relays,
@@ -1347,7 +1358,17 @@ export const setLocalStorageDataOnSignIn = ({
   }
 
   if (signer) {
-    localStorage.setItem(LOCALSTORAGECONSTANTS.signer, JSON.stringify(signer));
+    const signerData = signer.toJSON() as StoredSignerData;
+    runtimeSignerData = signerData;
+
+    if (shouldPersistSignerData(signerData)) {
+      localStorage.setItem(
+        LOCALSTORAGECONSTANTS.signer,
+        JSON.stringify(signerData)
+      );
+    } else {
+      localStorage.removeItem(LOCALSTORAGECONSTANTS.signer);
+    }
   }
 
   if (migrationComplete) {
@@ -1375,10 +1396,7 @@ export interface LocalStorageInterface {
   bunkerRemotePubkey?: string;
   bunkerRelays?: string[];
   bunkerSecret?: string;
-  signer?:
-    | { type: "nip07" }
-    | { type: "nip46"; bunker: string; appPrivKey?: string }
-    | { type: "nsec"; encryptedPrivKey: string; pubkey?: string };
+  signer?: StoredSignerData;
   nwcString?: string | null;
   nwcInfo?: string | null;
   migrationComplete?: boolean;
@@ -1386,7 +1404,7 @@ export interface LocalStorageInterface {
 
 function isStoredSignerData(
   value: unknown
-): value is NonNullable<LocalStorageInterface["signer"]> {
+): value is StoredSignerData {
   if (!value || typeof value !== "object" || Array.isArray(value)) {
     return false;
   }
@@ -1440,7 +1458,7 @@ export const getLocalStorageData = (): LocalStorageInterface => {
   let bunkerRemotePubkey;
   let bunkerRelays;
   let bunkerSecret;
-  let signer: LocalStorageInterface["signer"] | undefined;
+  let signer: StoredSignerData | undefined = runtimeSignerData;
   let migrationComplete;
   let nwcString;
   let nwcInfo;
@@ -1576,7 +1594,7 @@ export const getLocalStorageData = (): LocalStorageInterface => {
       ? localStorage.getItem(LOCALSTORAGECONSTANTS.bunkerSecret)
       : undefined;
 
-    signer = getLocalStorageJson<LocalStorageInterface["signer"] | undefined>(
+    const persistedSigner = getLocalStorageJson<StoredSignerData | undefined>(
       LOCALSTORAGECONSTANTS.signer,
       undefined,
       {
@@ -1584,6 +1602,12 @@ export const getLocalStorageData = (): LocalStorageInterface => {
         validate: isStoredSignerData,
       }
     );
+    if (persistedSigner?.type === "nip46") {
+      localStorage.removeItem(LOCALSTORAGECONSTANTS.signer);
+    } else if (persistedSigner) {
+      signer = persistedSigner;
+    }
+
     if (!signer) {
       switch (signInMethod) {
         case "extension":
@@ -1647,6 +1671,8 @@ export const getLocalStorageData = (): LocalStorageInterface => {
 };
 
 export const LogOut = () => {
+  runtimeSignerData = undefined;
+
   // remove old data
   localStorage.removeItem("npub");
   localStorage.removeItem("signIn");