diff --git a/retroshare-gui/src/gui/common/FriendListModel.cpp b/retroshare-gui/src/gui/common/FriendListModel.cpp
index 9ea271f86..6e98c8ee0 100644
--- a/retroshare-gui/src/gui/common/FriendListModel.cpp
+++ b/retroshare-gui/src/gui/common/FriendListModel.cpp
@@ -34,6 +34,8 @@
 #include "gui/common/FriendListModel.h"
 #include "gui/gxs/GxsIdDetails.h"
 #include "gui/gxs/GxsIdTreeWidgetItem.h"
+#include "gui/chat/ChatUserNotify.h"
+
 #include "retroshare/rsexpr.h"
 #include "retroshare/rsmsgs.h"
 
@@ -65,7 +67,7 @@ static const uint32_t NODE_DETAILS_UPDATE_DELAY = 5;	// update each node every 5
 
 RsFriendListModel::RsFriendListModel(QObject *parent)
     : QAbstractItemModel(parent)
-    , mDisplayGroups(true), mDisplayStatusString(true), mDisplayStatusIcon (false)
+    , mDisplayGroups(true), mDisplayStatusString(true), mDisplayStatusIcon (false), mDisplayCircleAvatars (false)
     , mLastInternalDataUpdate(0), mLastNodeUpdate(0)
 {
 	mFilterStrings.clear();
@@ -160,6 +162,27 @@ static QIcon createAvatar(const QPixmap &avatar, const QPixmap &overlay)
 	return icon;
 }
 
+static QImage getCirclePhoto(const QImage original, int sizePhoto)
+{
+    QImage target(sizePhoto, sizePhoto, QImage::Format_ARGB32_Premultiplied);
+    target.fill(Qt::transparent);
+
+    QPainter painter(&target);
+    painter.setRenderHints(QPainter::Antialiasing | QPainter::SmoothPixmapTransform);
+    painter.setBrush(QBrush(Qt::white));
+    auto scaledPhoto = original
+            .scaled(sizePhoto, sizePhoto, Qt::KeepAspectRatioByExpanding, Qt::SmoothTransformation)
+            .convertToFormat(QImage::Format_ARGB32_Premultiplied);
+    int margin = 0;
+    if (scaledPhoto.width() > sizePhoto) {
+        margin = (scaledPhoto.width() - sizePhoto) / 2;
+    }
+    painter.drawEllipse(0, 0, sizePhoto, sizePhoto);
+    painter.setCompositionMode(QPainter::CompositionMode_SourceIn);
+    painter.drawImage(0, 0, scaledPhoto, margin, 0);
+    return target;
+}
+
 void RsFriendListModel::setDisplayStatusString(bool b)
 {
 	preMods();
@@ -174,6 +197,12 @@ void RsFriendListModel::setDisplayStatusIcon(bool b)
 	postMods();
 }
 
+void RsFriendListModel::setDisplayCircleAvatars(bool b)
+{
+	mDisplayCircleAvatars = b;
+	postMods();
+}
+
 void RsFriendListModel::setDisplayGroups(bool b)
 {
     mDisplayGroups = b;
@@ -998,6 +1027,12 @@ QVariant RsFriendListModel::decorationRole(const EntryIndex& entry,int col) cons
 		{
 			QPixmap sslAvatar;
 			bool foundAvatar = false;
+			bool hasPrivateChat = false;
+			
+			// get peers with waiting incoming chats
+			std::vector<RsPeerId> privateChatIds;
+			ChatUserNotify::getPeersWithWaitingChat(privateChatIds);
+
         	const HierarchicalProfileInformation *hn = getProfileInfo(entry);
 			uint32_t status = RS_STATUS_OFFLINE;
 			const HierarchicalNodeInformation *bestNodeInformation = NULL;
@@ -1025,11 +1060,33 @@ QVariant RsFriendListModel::decorationRole(const EntryIndex& entry,int col) cons
 			if (!foundAvatar || sslAvatar.isNull()) {
 				sslAvatar = FilesDefs::getPixmapFromQtResourcePath(AVATAR_DEFAULT_IMAGE);
 			}
+			
+			if(mDisplayCircleAvatars) {
+				//make avatar as circle avatar
+				QImage orginalImage = sslAvatar.toImage();
+				QImage circleImage = getCirclePhoto(orginalImage,orginalImage.size().width());
+				sslAvatar.convertFromImage(circleImage);
+			}
+			
+			if (mDisplayStatusIcon) {
+				for(uint32_t i=0;i<hn->child_node_indices.size();++i) {
+					if (std::find(privateChatIds.begin(), privateChatIds.end(), RsPeerId(mLocations[hn->child_node_indices[i]].node_info.id.toStdString())) != privateChatIds.end()) {
+						// private chat is available
+						hasPrivateChat = true;
+						break;
+						}
+				}
+			}
 
 			if (mDisplayStatusIcon) {
 				if (bestNodeInformation) {
-					QPixmap sslOverlayIcon = FilesDefs::getPixmapFromQtResourcePath(StatusDefs::imageStatus(status));
-					return QVariant(QIcon(createAvatar(sslAvatar, sslOverlayIcon)));
+					if (hasPrivateChat) {
+						QPixmap sslOverlayIcon = FilesDefs::getPixmapFromQtResourcePath(":/images/orange-bubble-64.png");
+						return QVariant(QIcon(createAvatar(sslAvatar, sslOverlayIcon)));
+					} else {
+						QPixmap sslOverlayIcon = FilesDefs::getPixmapFromQtResourcePath(StatusDefs::imageStatus(status));
+						return QVariant(QIcon(createAvatar(sslAvatar, sslOverlayIcon)));
+					}
 				}
 			}
 
@@ -1047,10 +1104,38 @@ QVariant RsFriendListModel::decorationRole(const EntryIndex& entry,int col) cons
             return QVariant();
 
 		QPixmap sslAvatar;
+		bool hasPrivateChat = false;
 		AvatarDefs::getAvatarFromSslId(RsPeerId(hn->node_info.id.toStdString()), sslAvatar);
+
+		// get peers with waiting incoming chats
+		std::vector<RsPeerId> privateChatIds;
+		ChatUserNotify::getPeersWithWaitingChat(privateChatIds);
+
+		if(mDisplayCircleAvatars) {
+			//make avatar as circle avatar
+			QImage orginalImage = sslAvatar.toImage();
+			QImage circleImage = getCirclePhoto(orginalImage,orginalImage.size().width());
+			sslAvatar.convertFromImage(circleImage);
+		}
+
 		if (mDisplayStatusIcon) {
-			QPixmap sslOverlayIcon = FilesDefs::getPixmapFromQtResourcePath(StatusDefs::imageStatus(statusRole(entry, col).toInt()));
-			return QVariant(QIcon(createAvatar(sslAvatar, sslOverlayIcon)));
+			for(uint32_t i=0;i<mLocations.size();++i){
+				if (std::find(privateChatIds.begin(), privateChatIds.end(), RsPeerId(hn->node_info.id.toStdString())) != privateChatIds.end()) {
+					// private chat is available
+					hasPrivateChat = true;
+					break;
+				}
+			}
+		}
+		
+		if (mDisplayStatusIcon) {
+			if (hasPrivateChat) {
+				QPixmap sslOverlayIcon = FilesDefs::getPixmapFromQtResourcePath(":/images/orange-bubble-64.png");
+				return QVariant(QIcon(createAvatar(sslAvatar, sslOverlayIcon)));
+			} else {
+				QPixmap sslOverlayIcon = FilesDefs::getPixmapFromQtResourcePath(StatusDefs::imageStatus(statusRole(entry, col).toInt()));
+				return QVariant(QIcon(createAvatar(sslAvatar, sslOverlayIcon)));
+			}
 		}
 
         return QVariant(QIcon(sslAvatar));
diff --git a/retroshare-gui/src/gui/common/FriendListModel.h b/retroshare-gui/src/gui/common/FriendListModel.h
index e19a84f04..67feac9ed 100644
--- a/retroshare-gui/src/gui/common/FriendListModel.h
+++ b/retroshare-gui/src/gui/common/FriendListModel.h
@@ -131,7 +131,8 @@ public:
     bool getDisplayStatusString() const { return mDisplayStatusString; }
 	void setDisplayStatusIcon(bool b);
 	bool getDisplayStatusIcon() const { return mDisplayStatusIcon; }
-
+	void setDisplayCircleAvatars(bool b);
+	bool getDisplayCircleAvatars() const { return mDisplayCircleAvatars; }
 
 
     EntryType getType(const QModelIndex&) const;
@@ -231,6 +232,7 @@ private:
     bool mDisplayGroups ;
     bool mDisplayStatusString ;
     bool mDisplayStatusIcon ;
+    bool mDisplayCircleAvatars ;
     rstime_t mLastInternalDataUpdate;
     rstime_t mLastNodeUpdate;;
 
diff --git a/retroshare-gui/src/gui/common/NewFriendList.cpp b/retroshare-gui/src/gui/common/NewFriendList.cpp
index 38e141e86..4656a523e 100644
--- a/retroshare-gui/src/gui/common/NewFriendList.cpp
+++ b/retroshare-gui/src/gui/common/NewFriendList.cpp
@@ -267,6 +267,7 @@ NewFriendList::NewFriendList(QWidget */*parent*/) : /* RsAutoUpdatePage(5000,par
     connect(ui->actionShowState,          SIGNAL(triggered(bool)), this, SLOT(setShowState(bool))      );
     connect(ui->actionShowStateIcon,      SIGNAL(triggered(bool)), this, SLOT(setShowStateIcon(bool))      );
     connect(ui->actionShowGroups,         SIGNAL(triggered(bool)), this, SLOT(setShowGroups(bool))     );
+    connect(ui->actionShowCircleAvatars,  SIGNAL(triggered(bool)), this, SLOT(setShowCircleAvatars(bool))     );
     connect(ui->actionExportFriendlist,   SIGNAL(triggered())    , this, SLOT(exportFriendlistClicked()));
     connect(ui->actionImportFriendlist,   SIGNAL(triggered())    , this, SLOT(importFriendlistClicked()));
 
@@ -349,12 +350,14 @@ void NewFriendList::headerContextMenuRequested(QPoint /*p*/)
     displayMenu.addAction(ui->actionShowOfflineFriends);
     displayMenu.addAction(ui->actionShowState);
     displayMenu.addAction(ui->actionShowStateIcon);
+    displayMenu.addAction(ui->actionShowCircleAvatars);
     displayMenu.addAction(ui->actionShowGroups);
 
     ui->actionShowOfflineFriends->setChecked(mProxyModel->showOfflineNodes());
     ui->actionShowState->setChecked(mModel->getDisplayStatusString());
     ui->actionShowStateIcon->setChecked(mModel->getDisplayStatusIcon());
     ui->actionShowGroups->setChecked(mModel->getDisplayGroups());
+    ui->actionShowCircleAvatars->setChecked(mModel->getDisplayCircleAvatars());
 
     QHeaderView *header = ui->peerTreeWidget->header();
 
@@ -515,6 +518,7 @@ void NewFriendList::processSettings(bool load)
         mModel->setDisplayStatusString(Settings->value("showState", mModel->getDisplayStatusString()).toBool());
         mModel->setDisplayGroups(Settings->value("showGroups", mModel->getDisplayGroups()).toBool());
         mModel->setDisplayStatusIcon(Settings->value("showStateIcon", mModel->getDisplayStatusIcon()).toBool());
+        mModel->setDisplayCircleAvatars(Settings->value("showCircleAvatars", mModel->getDisplayCircleAvatars()).toBool());
 
 
         setColumnVisible(RsFriendListModel::COLUMN_THREAD_IP,Settings->value("showIP", isColumnVisible(RsFriendListModel::COLUMN_THREAD_IP)).toBool());
@@ -540,7 +544,7 @@ void NewFriendList::processSettings(bool load)
         Settings->setValue("showState", mModel->getDisplayStatusString());
         Settings->setValue("showGroups", mModel->getDisplayGroups());
         Settings->setValue("showStateIcon", mModel->getDisplayStatusIcon());
-
+        Settings->setValue("showCircleAvatars", mModel->getDisplayCircleAvatars());
 
         Settings->setValue("showIP",isColumnVisible(RsFriendListModel::COLUMN_THREAD_IP));
         Settings->setValue("showID",isColumnVisible(RsFriendListModel::COLUMN_THREAD_ID));
@@ -1662,6 +1666,12 @@ void NewFriendList::setShowStateIcon(bool show)
     processSettings(false);
 }
 
+void NewFriendList::setShowCircleAvatars(bool show)
+{
+    applyWhileKeepingTree([show,this]() { mModel->setDisplayCircleAvatars(show) ; });
+    processSettings(false);
+}
+
 void NewFriendList::setShowGroups(bool show)
 {
     applyWhileKeepingTree([show,this]() { mModel->setDisplayGroups(show) ; });
diff --git a/retroshare-gui/src/gui/common/NewFriendList.h b/retroshare-gui/src/gui/common/NewFriendList.h
index cf4c68e6f..5f372d131 100644
--- a/retroshare-gui/src/gui/common/NewFriendList.h
+++ b/retroshare-gui/src/gui/common/NewFriendList.h
@@ -89,6 +89,7 @@ public slots:
 	void setShowUnconnected(bool hidden);
 	void setShowState(bool show);
 	void setShowStateIcon(bool show);
+	void setShowCircleAvatars(bool show);
 	void headerContextMenuRequested(QPoint);
 	void exportFriendlistClicked();
 
diff --git a/retroshare-gui/src/gui/common/NewFriendList.ui b/retroshare-gui/src/gui/common/NewFriendList.ui
index 286cf4304..de97e8c06 100644
--- a/retroshare-gui/src/gui/common/NewFriendList.ui
+++ b/retroshare-gui/src/gui/common/NewFriendList.ui
@@ -130,6 +130,14 @@
     <string>Show status icons</string>
    </property>
   </action>
+  <action name="actionShowCircleAvatars">
+   <property name="checkable">
+    <bool>true</bool>
+   </property>
+   <property name="text">
+    <string>Circle Avatars</string>
+   </property>
+  </action>
  </widget>
  <customwidgets>
   <customwidget>