diff --git a/graft/coreth/plugin/evm/atomic/txpool/mempool.go b/graft/coreth/plugin/evm/atomic/txpool/mempool.go
index a28cbdd6f8bd..d0e167b16f01 100644
--- a/graft/coreth/plugin/evm/atomic/txpool/mempool.go
+++ b/graft/coreth/plugin/evm/atomic/txpool/mempool.go
@@ -20,18 +20,14 @@ import (
 var (
 	_ gossip.Set[*atomic.Tx] = (*Mempool)(nil)
 
-	ErrAlreadyKnown    = errors.New("already known")
+	ErrDiscarded       = errors.New("previously discarded")
 	ErrConflict        = errors.New("conflict present")
 	ErrInsufficientFee = errors.New("insufficient fee")
 	ErrMempoolFull     = errors.New("mempool full")
 
-	// If the transaction is already in the mempool, marking it as Discarded,
-	// could unexpectedly cause the transaction to have multiple statuses.
-	//
 	// If the mempool is full, that is not the transaction's fault, so we should
 	// not prevent adding the transaction to the mempool later.
 	errsNotToDiscard = []error{
-		ErrAlreadyKnown,
 		ErrMempoolFull,
 	}
 )
@@ -174,17 +170,17 @@ func (m *Mempool) addTx(tx *atomic.Tx, local bool, force bool) error {
 	// add it again.
 	txID := tx.ID()
 	if _, exists := m.issuedTxs[txID]; exists {
-		return fmt.Errorf("%w: tx %s was issued previously", ErrAlreadyKnown, txID)
+		return nil
 	}
 	if _, exists := m.currentTxs[txID]; exists {
-		return fmt.Errorf("%w: tx %s is being built into a block", ErrAlreadyKnown, txID)
+		return nil
 	}
 	if _, exists := m.pendingTxs.Get(txID); exists {
-		return fmt.Errorf("%w: tx %s is pending", ErrAlreadyKnown, txID)
+		return nil
 	}
 	if !local {
 		if _, exists := m.discardedTxs.Get(txID); exists {
-			return fmt.Errorf("%w: tx %s was discarded", ErrAlreadyKnown, txID)
+			return fmt.Errorf("tx %s was %w", txID, ErrDiscarded)
 		}
 	}
 	if !force && m.verify != nil {
diff --git a/graft/coreth/plugin/evm/atomic/txpool/mempool_test.go b/graft/coreth/plugin/evm/atomic/txpool/mempool_test.go
index 65f4872ba8d8..e77c0ccc6e4f 100644
--- a/graft/coreth/plugin/evm/atomic/txpool/mempool_test.go
+++ b/graft/coreth/plugin/evm/atomic/txpool/mempool_test.go
@@ -40,7 +40,7 @@ func TestMempoolAddTx(t *testing.T) {
 	}
 }
 
-// Add should return an error if a tx is already known
+// Add should not return an error if a tx is already known
 func TestMempoolAdd(t *testing.T) {
 	require := require.New(t)
 
@@ -54,8 +54,7 @@ func TestMempoolAdd(t *testing.T) {
 
 	tx := atomictest.GenerateTestImportTxWithGas(1, 1)
 	require.NoError(m.Add(tx))
-	err = m.Add(tx)
-	require.ErrorIs(err, ErrAlreadyKnown)
+	require.NoError(m.Add(tx))
 }
 
 // Add should return an error if a tx doesn't consume any gas
diff --git a/graft/coreth/plugin/evm/atomic/vm/api.go b/graft/coreth/plugin/evm/atomic/vm/api.go
index 5337f5f987da..5c0d2629f36f 100644
--- a/graft/coreth/plugin/evm/atomic/vm/api.go
+++ b/graft/coreth/plugin/evm/atomic/vm/api.go
@@ -12,7 +12,6 @@ import (
 
 	"github.com/ava-labs/avalanchego/api"
 	"github.com/ava-labs/avalanchego/graft/coreth/plugin/evm/atomic"
-	"github.com/ava-labs/avalanchego/graft/coreth/plugin/evm/atomic/txpool"
 	"github.com/ava-labs/avalanchego/graft/coreth/plugin/evm/client"
 	"github.com/ava-labs/avalanchego/ids"
 	"github.com/ava-labs/avalanchego/utils/formatting"
@@ -146,8 +145,7 @@ func (service *AvaxAPI) IssueTx(_ *http.Request, args *api.FormattedTx, response
 	service.vm.Ctx.Lock.Lock()
 	defer service.vm.Ctx.Lock.Unlock()
 
-	err = service.vm.AtomicMempool.AddLocalTx(tx)
-	if err != nil && !errors.Is(err, txpool.ErrAlreadyKnown) {
+	if err := service.vm.AtomicMempool.AddLocalTx(tx); err != nil {
 		return err
 	}
 
diff --git a/graft/coreth/plugin/evm/atomic/vm/block_extension.go b/graft/coreth/plugin/evm/atomic/vm/block_extension.go
index 74a30a11522f..001135d01cfe 100644
--- a/graft/coreth/plugin/evm/atomic/vm/block_extension.go
+++ b/graft/coreth/plugin/evm/atomic/vm/block_extension.go
@@ -212,7 +212,9 @@ func (be *blockExtension) Accept(acceptedBatch database.Batch) error {
 func (be *blockExtension) Reject() error {
 	vm := be.blockExtender.vm
 	for _, tx := range be.atomicTxs {
-		// Re-issue the transaction in the mempool, continue even if it fails
+		// We must remove the rejected transaction first to allow any
+		// transactions marked as Issued to be moved back into the Pending
+		// state.
 		vm.AtomicMempool.RemoveTx(tx)
 		if err := vm.AtomicMempool.AddRemoteTx(tx); err != nil {
 			log.Debug("Failed to re-issue transaction in rejected block", "txID", tx.ID(), "err", err)
diff --git a/graft/coreth/plugin/evm/eth_gossiper.go b/graft/coreth/plugin/evm/eth_gossiper.go
index b6129670e012..e10c131b13e5 100644
--- a/graft/coreth/plugin/evm/eth_gossiper.go
+++ b/graft/coreth/plugin/evm/eth_gossiper.go
@@ -7,6 +7,7 @@ package evm
 
 import (
 	"context"
+	"errors"
 	"fmt"
 	"sync"
 	"sync/atomic"
@@ -117,7 +118,11 @@ func (g *GossipEthTxPool) Subscribe(ctx context.Context) {
 // Add enqueues the transaction to the mempool. Subscribe should be called
 // to receive an event if tx is actually added to the mempool or not.
 func (g *GossipEthTxPool) Add(tx *GossipEthTx) error {
-	return g.mempool.Add([]*types.Transaction{tx.Tx}, false, false)[0]
+	err := g.mempool.Add([]*types.Transaction{tx.Tx}, false, false)[0]
+	if errors.Is(err, txpool.ErrAlreadyKnown) {
+		return nil
+	}
+	return err
 }
 
 // Has should just return whether or not the [txID] is still in the mempool,
diff --git a/network/p2p/gossip/gossip_test.go b/network/p2p/gossip/gossip_test.go
index cb8222ceff4f..9456c4e05126 100644
--- a/network/p2p/gossip/gossip_test.go
+++ b/network/p2p/gossip/gossip_test.go
@@ -5,7 +5,6 @@ package gossip
 
 import (
 	"context"
-	"fmt"
 	"sync"
 	"testing"
 	"time"
@@ -74,16 +73,11 @@ type setDouble struct {
 }
 
 func (s *setDouble) Add(gossipable tx) error {
-	if s.txs.Contains(gossipable) {
-		return fmt.Errorf("%s already present", ids.ID(gossipable))
-	}
-
 	s.txs.Add(gossipable)
 	s.bloom.Add(gossipable)
 	if s.onAdd != nil {
 		s.onAdd(gossipable)
 	}
-
 	return nil
 }
 
diff --git a/network/p2p/gossip/gossipable.go b/network/p2p/gossip/gossipable.go
index b535609a7a48..76818e3798b4 100644
--- a/network/p2p/gossip/gossipable.go
+++ b/network/p2p/gossip/gossipable.go
@@ -18,8 +18,9 @@ type Marshaller[T Gossipable] interface {
 
 // Set holds a set of known Gossipable items
 type Set[T Gossipable] interface {
-	// Add adds a Gossipable to the set. Returns an error if gossipable was not
-	// added.
+	// Add adds a Gossipable to the set. If the Gossipable is already in the
+	// set, no error should be returned. Otherwise, if the Gossipable was not
+	// added to the set, an error should be returned.
 	Add(gossipable T) error
 	// Has returns true if the gossipable is in the set.
 	Has(gossipID ids.ID) bool
diff --git a/vms/avm/network/gossip.go b/vms/avm/network/gossip.go
index fb2077449dae..336bc95888c0 100644
--- a/vms/avm/network/gossip.go
+++ b/vms/avm/network/gossip.go
@@ -5,7 +5,6 @@ package network
 
 import (
 	"context"
-	"fmt"
 	"sync"
 	"time"
 
@@ -93,14 +92,12 @@ type gossipMempool struct {
 	bloom *gossip.BloomFilter
 }
 
-// Add is called by the p2p SDK when handling transactions that were pushed to
-// us and when handling transactions that were pulled from a peer. If this
-// returns a nil error while handling push gossip, the p2p SDK will queue the
-// transaction to push gossip as well.
+// Add is called by the p2p SDK when handling transactions that sent pushed to
+// us and when handling transactions that were pulled from a peer.
 func (g *gossipMempool) Add(tx *txs.Tx) error {
 	txID := tx.ID()
 	if _, ok := g.Mempool.Get(txID); ok {
-		return fmt.Errorf("attempted to issue %w: %s ", mempool.ErrDuplicateTx, txID)
+		return nil
 	}
 
 	if reason := g.Mempool.GetDropReason(txID); reason != nil {
diff --git a/vms/avm/network/network.go b/vms/avm/network/network.go
index 45a873acb60e..9b924c26f316 100644
--- a/vms/avm/network/network.go
+++ b/vms/avm/network/network.go
@@ -189,9 +189,8 @@ func (n *Network) PullGossip(ctx context.Context) {
 // the tx is added to the mempool, it will attempt to push gossip the tx to
 // random peers in the network.
 //
-// If the tx is already in the mempool, mempool.ErrDuplicateTx will be
-// returned.
-// If the tx is not added to the mempool, an error will be returned.
+// If the tx is already in the mempool, no error will be returned.
+// If the tx is otherwise not added to the mempool, an error will be returned.
 func (n *Network) IssueTxFromRPC(tx *txs.Tx) error {
 	if err := n.mempool.Add(tx); err != nil {
 		return err
diff --git a/vms/avm/network/network_test.go b/vms/avm/network/network_test.go
index 4f8df6d55037..78ff43636efb 100644
--- a/vms/avm/network/network_test.go
+++ b/vms/avm/network/network_test.go
@@ -65,17 +65,6 @@ func TestNetworkIssueTxFromRPC(t *testing.T) {
 	}
 
 	tests := []test{
-		{
-			name: "mempool has transaction",
-			mempool: func() mempool.Mempool[*txs.Tx] {
-				mempool, err := xmempool.New("", prometheus.NewRegistry())
-				require.NoError(t, err)
-				require.NoError(t, mempool.Add(&txs.Tx{Unsigned: &txs.BaseTx{}}))
-				return mempool
-			}(),
-			tx:          &txs.Tx{Unsigned: &txs.BaseTx{}},
-			expectedErr: mempool.ErrDuplicateTx,
-		},
 		{
 			name: "transaction marked as dropped in mempool",
 			mempool: func() mempool.Mempool[*txs.Tx] {
@@ -198,6 +187,22 @@ func TestNetworkIssueTxFromRPC(t *testing.T) {
 			tx:          &txs.Tx{Unsigned: &txs.BaseTx{}},
 			expectedErr: nil,
 		},
+		{
+			name: "mempool has transaction",
+			mempool: func() mempool.Mempool[*txs.Tx] {
+				mempool, err := xmempool.New("", prometheus.NewRegistry())
+				require.NoError(t, err)
+				require.NoError(t, mempool.Add(&txs.Tx{Unsigned: &txs.BaseTx{}}))
+				return mempool
+			}(),
+			appSenderFunc: func(ctrl *gomock.Controller) common.AppSender {
+				appSender := commonmock.NewSender(ctrl)
+				appSender.EXPECT().SendAppGossip(gomock.Any(), gomock.Any(), gomock.Any()).Return(nil)
+				return appSender
+			},
+			tx:          &txs.Tx{Unsigned: &txs.BaseTx{}},
+			expectedErr: nil,
+		},
 	}
 
 	for _, tt := range tests {
diff --git a/vms/avm/vm.go b/vms/avm/vm.go
index 35b8825530d4..9528cf4c7a99 100644
--- a/vms/avm/vm.go
+++ b/vms/avm/vm.go
@@ -35,7 +35,6 @@ import (
 	"github.com/ava-labs/avalanchego/vms/avm/txs"
 	"github.com/ava-labs/avalanchego/vms/avm/utxo"
 	"github.com/ava-labs/avalanchego/vms/components/avax"
-	"github.com/ava-labs/avalanchego/vms/txs/mempool"
 
 	blockbuilder "github.com/ava-labs/avalanchego/vms/avm/block/builder"
 	blockexecutor "github.com/ava-labs/avalanchego/vms/avm/block/executor"
@@ -468,14 +467,13 @@ func (vm *VM) ParseTx(_ context.Context, bytes []byte) (snowstorm.Tx, error) {
 func (vm *VM) issueTxFromRPC(tx *txs.Tx) (ids.ID, error) {
 	txID := tx.ID()
 	err := vm.network.IssueTxFromRPC(tx)
-	if err != nil && !errors.Is(err, mempool.ErrDuplicateTx) {
+	if err != nil {
 		vm.ctx.Log.Debug("failed to add tx to mempool",
 			zap.Stringer("txID", txID),
 			zap.Error(err),
 		)
-		return txID, err
 	}
-	return txID, nil
+	return txID, err
 }
 
 /*
diff --git a/vms/avm/wallet_service.go b/vms/avm/wallet_service.go
index 7a04bfc9d4b3..149449dde60e 100644
--- a/vms/avm/wallet_service.go
+++ b/vms/avm/wallet_service.go
@@ -4,7 +4,6 @@
 package avm
 
 import (
-	"errors"
 	"fmt"
 	"net/http"
 
@@ -16,7 +15,6 @@ import (
 	"github.com/ava-labs/avalanchego/utils/linked"
 	"github.com/ava-labs/avalanchego/utils/logging"
 	"github.com/ava-labs/avalanchego/vms/avm/txs"
-	"github.com/ava-labs/avalanchego/vms/txs/mempool"
 )
 
 type WalletService struct {
@@ -45,9 +43,6 @@ func (w *WalletService) decided(txID ids.ID) {
 			)
 			return
 		}
-		if errors.Is(err, mempool.ErrDuplicateTx) {
-			return
-		}
 
 		w.pendingTxs.Delete(txID)
 		w.vm.ctx.Log.Warn("dropping tx issued over wallet API",
@@ -71,17 +66,16 @@ func (w *WalletService) issue(tx *txs.Tx) (ids.ID, error) {
 	}
 
 	if w.pendingTxs.Len() == 0 {
-		if err := w.vm.network.IssueTxFromRPCWithoutVerification(tx); err == nil {
-			w.vm.ctx.Log.Info("issued tx to mempool over wallet API",
-				zap.Stringer("txID", txID),
-			)
-		} else if !errors.Is(err, mempool.ErrDuplicateTx) {
+		if err := w.vm.network.IssueTxFromRPCWithoutVerification(tx); err != nil {
 			w.vm.ctx.Log.Warn("failed to issue tx over wallet API",
 				zap.Stringer("txID", txID),
 				zap.Error(err),
 			)
 			return ids.Empty, err
 		}
+		w.vm.ctx.Log.Info("issued tx to mempool over wallet API",
+			zap.Stringer("txID", txID),
+		)
 	} else {
 		w.vm.ctx.Log.Info("enqueueing tx over wallet API",
 			zap.Stringer("txID", txID),
diff --git a/vms/platformvm/network/gossip.go b/vms/platformvm/network/gossip.go
index 006c1740c57f..bc2f924326ba 100644
--- a/vms/platformvm/network/gossip.go
+++ b/vms/platformvm/network/gossip.go
@@ -19,8 +19,6 @@ import (
 	"github.com/ava-labs/avalanchego/utils/logging"
 	"github.com/ava-labs/avalanchego/vms/platformvm/txs"
 	"github.com/ava-labs/avalanchego/vms/platformvm/txs/mempool"
-
-	txmempool "github.com/ava-labs/avalanchego/vms/txs/mempool"
 )
 
 var (
@@ -97,7 +95,7 @@ type gossipMempool struct {
 func (g *gossipMempool) Add(tx *txs.Tx) error {
 	txID := tx.ID()
 	if _, ok := g.Mempool.Get(txID); ok {
-		return fmt.Errorf("tx %s dropped: %w", txID, txmempool.ErrDuplicateTx)
+		return nil
 	}
 
 	if reason := g.Mempool.GetDropReason(txID); reason != nil {
diff --git a/vms/platformvm/network/gossip_test.go b/vms/platformvm/network/gossip_test.go
index 87121f26961b..0e8ec84ab5a8 100644
--- a/vms/platformvm/network/gossip_test.go
+++ b/vms/platformvm/network/gossip_test.go
@@ -17,7 +17,6 @@ import (
 	"github.com/ava-labs/avalanchego/vms/components/gas"
 	"github.com/ava-labs/avalanchego/vms/platformvm/txs"
 	"github.com/ava-labs/avalanchego/vms/secp256k1fx"
-	"github.com/ava-labs/avalanchego/vms/txs/mempool"
 
 	pmempool "github.com/ava-labs/avalanchego/vms/platformvm/txs/mempool"
 )
@@ -59,7 +58,7 @@ func TestGossipMempoolAddVerificationError(t *testing.T) {
 	require.False(gossipMempool.bloom.Has(tx))
 }
 
-// Adding a duplicate to the mempool should return an error
+// Adding a duplicate to the mempool should not return an error
 func TestMempoolDuplicate(t *testing.T) {
 	require := require.New(t)
 
@@ -95,7 +94,6 @@ func TestMempoolDuplicate(t *testing.T) {
 		TxID: txID,
 	}
 
-	require.NoError(testMempool.Add(tx))
 	gossipMempool, err := newGossipMempool(
 		testMempool,
 		prometheus.NewRegistry(),
@@ -107,9 +105,11 @@ func TestMempoolDuplicate(t *testing.T) {
 	)
 	require.NoError(err)
 
-	err = gossipMempool.Add(tx)
-	require.ErrorIs(err, mempool.ErrDuplicateTx)
-	require.False(gossipMempool.bloom.Has(tx))
+	require.NoError(gossipMempool.Add(tx))
+	require.True(gossipMempool.bloom.Has(tx))
+
+	require.NoError(gossipMempool.Add(tx))
+	require.True(gossipMempool.bloom.Has(tx))
 }
 
 // Adding a tx to the mempool should add it to the bloom filter
diff --git a/vms/platformvm/network/network_test.go b/vms/platformvm/network/network_test.go
index f9b6e5543ce7..49a7458eabd1 100644
--- a/vms/platformvm/network/network_test.go
+++ b/vms/platformvm/network/network_test.go
@@ -118,7 +118,7 @@ func TestNetworkIssueTxFromRPC(t *testing.T) {
 					},
 				},
 			},
-			expectedErr: mempool.ErrDuplicateTx,
+			expectedErr: nil,
 		},
 		{
 			name: "transaction marked as dropped in mempool",
diff --git a/vms/platformvm/vm.go b/vms/platformvm/vm.go
index 4b270e045a3e..bfee3232f02b 100644
--- a/vms/platformvm/vm.go
+++ b/vms/platformvm/vm.go
@@ -40,7 +40,6 @@ import (
 	"github.com/ava-labs/avalanchego/vms/platformvm/txs"
 	"github.com/ava-labs/avalanchego/vms/platformvm/utxo"
 	"github.com/ava-labs/avalanchego/vms/secp256k1fx"
-	"github.com/ava-labs/avalanchego/vms/txs/mempool"
 
 	snowmanblock "github.com/ava-labs/avalanchego/snow/engine/snowman/block"
 	blockbuilder "github.com/ava-labs/avalanchego/vms/platformvm/block/builder"
@@ -504,13 +503,11 @@ func (vm *VM) GetBlockIDAtHeight(_ context.Context, height uint64) (ids.ID, erro
 
 func (vm *VM) issueTxFromRPC(tx *txs.Tx) error {
 	err := vm.Network.IssueTxFromRPC(tx)
-	if err != nil && !errors.Is(err, mempool.ErrDuplicateTx) {
+	if err != nil {
 		vm.ctx.Log.Debug("failed to add tx to mempool",
 			zap.Stringer("txID", tx.ID()),
 			zap.Error(err),
 		)
-		return err
 	}
-
-	return nil
+	return err
 }
diff --git a/vms/txs/mempool/mempool.go b/vms/txs/mempool/mempool.go
index cc5f2e5297f2..4f8320c91b7c 100644
--- a/vms/txs/mempool/mempool.go
+++ b/vms/txs/mempool/mempool.go
@@ -32,7 +32,6 @@ const (
 )
 
 var (
-	ErrDuplicateTx          = errors.New("duplicate tx")
 	ErrTxTooLarge           = errors.New("tx too large")
 	ErrMempoolFull          = errors.New("mempool is full")
 	ErrConflictsWithOtherTx = errors.New("tx conflicts with other tx")
@@ -110,7 +109,7 @@ func (m *mempool[T]) Add(tx T) error {
 	defer m.lock.Unlock()
 
 	if _, ok := m.unissuedTxs.Get(txID); ok {
-		return fmt.Errorf("%w: %s", ErrDuplicateTx, txID)
+		return nil
 	}
 
 	txSize := tx.Size()
diff --git a/vms/txs/mempool/mempool_test.go b/vms/txs/mempool/mempool_test.go
index 7d53e259b72c..99f6453f7230 100644
--- a/vms/txs/mempool/mempool_test.go
+++ b/vms/txs/mempool/mempool_test.go
@@ -61,10 +61,10 @@ func TestAdd(t *testing.T) {
 			dropReason: nil,
 		},
 		{
-			name:       "attempt adding duplicate tx",
+			name:       "add duplicate tx",
 			initialTxs: []*dummyTx{tx0},
 			tx:         tx0,
-			err:        ErrDuplicateTx,
+			err:        nil,
 			dropReason: nil,
 		},
 		{