diff --git a/apitest/src/test/java/haveno/apitest/method/trade/AbstractTradeTest.java b/apitest/src/test/java/haveno/apitest/method/trade/AbstractTradeTest.java
index 21a4145cbe..0610b97621 100644
--- a/apitest/src/test/java/haveno/apitest/method/trade/AbstractTradeTest.java
+++ b/apitest/src/test/java/haveno/apitest/method/trade/AbstractTradeTest.java
@@ -18,8 +18,8 @@ import static haveno.cli.table.builder.TableType.TRADE_DETAIL_TBL;
 import static haveno.core.trade.Trade.Phase.DEPOSITS_UNLOCKED;
 import static haveno.core.trade.Trade.Phase.PAYMENT_SENT;
 import static haveno.core.trade.Trade.State.BUYER_SAW_ARRIVED_PAYMENT_SENT_MSG;
+import static haveno.core.trade.Trade.State.BUYER_SENT_PAYMENT_SENT_MSG;
 import static haveno.core.trade.Trade.State.DEPOSIT_TXS_UNLOCKED_IN_BLOCKCHAIN;
-import static haveno.core.trade.Trade.State.SELLER_RECEIVED_PAYMENT_SENT_MSG;
 import static java.lang.String.format;
 import static java.lang.System.out;
 import static org.junit.jupiter.api.Assertions.assertEquals;
@@ -144,7 +144,7 @@ public class AbstractTradeTest extends AbstractOfferTest {
                                                                   GrpcClient grpcClient,
                                                                   String tradeId) {
         Predicate<TradeInfo> isTradeInPaymentReceiptConfirmedStateAndPhase = (t) ->
-                t.getState().equals(SELLER_RECEIVED_PAYMENT_SENT_MSG.name()) &&
+                t.getState().equals(BUYER_SENT_PAYMENT_SENT_MSG.name()) &&
                         t.getPhase().equals(PAYMENT_SENT.name());
         String userName = toUserName.apply(grpcClient);
         for (int i = 1; i <= maxTradeStateAndPhaseChecks.get(); i++) {
diff --git a/core/src/main/java/haveno/core/support/dispute/DisputeManager.java b/core/src/main/java/haveno/core/support/dispute/DisputeManager.java
index 9daf00855f..fe275a7fa6 100644
--- a/core/src/main/java/haveno/core/support/dispute/DisputeManager.java
+++ b/core/src/main/java/haveno/core/support/dispute/DisputeManager.java
@@ -494,7 +494,7 @@ public abstract class DisputeManager<T extends DisputeList<Dispute>> extends Sup
                 if (trade.isArbitrator() && message.getPaymentSentMessage() != null) {
                     HavenoUtils.verifyPaymentSentMessage(trade, message.getPaymentSentMessage());
                     trade.getBuyer().setUpdatedMultisigHex(message.getPaymentSentMessage().getUpdatedMultisigHex());
-                    trade.advanceState(sender == trade.getBuyer() ? Trade.State.BUYER_SENT_PAYMENT_SENT_MSG : Trade.State.SELLER_RECEIVED_PAYMENT_SENT_MSG);
+                    trade.advanceState(Trade.State.BUYER_SENT_PAYMENT_SENT_MSG);
                 }
 
                 // update multisig hex
diff --git a/core/src/main/java/haveno/core/trade/Trade.java b/core/src/main/java/haveno/core/trade/Trade.java
index 22f483cfab..252f61e60c 100644
--- a/core/src/main/java/haveno/core/trade/Trade.java
+++ b/core/src/main/java/haveno/core/trade/Trade.java
@@ -609,8 +609,8 @@ public abstract class Trade implements Tradable, Model {
 
         // reset seller's payment received state if no ack receive
         if (this instanceof SellerTrade && getState().ordinal() >= Trade.State.SELLER_CONFIRMED_IN_UI_PAYMENT_RECEIPT.ordinal() && getState().ordinal() < Trade.State.SELLER_STORED_IN_MAILBOX_PAYMENT_RECEIVED_MSG.ordinal()) {
-            log.warn("Resetting state of {} {} from {} to {} because no ack was received", getClass().getSimpleName(), getId(), getState(), Trade.State.SELLER_RECEIVED_PAYMENT_SENT_MSG);
-            setState(Trade.State.SELLER_RECEIVED_PAYMENT_SENT_MSG);
+            log.warn("Resetting state of {} {} from {} to {} because no ack was received", getClass().getSimpleName(), getId(), getState(), Trade.State.BUYER_SENT_PAYMENT_SENT_MSG);
+            setState(Trade.State.BUYER_SENT_PAYMENT_SENT_MSG);
         }
 
         // handle trade phase events
diff --git a/core/src/main/java/haveno/core/trade/protocol/tasks/ProcessPaymentSentMessage.java b/core/src/main/java/haveno/core/trade/protocol/tasks/ProcessPaymentSentMessage.java
index 0079d281da..854004aa02 100644
--- a/core/src/main/java/haveno/core/trade/protocol/tasks/ProcessPaymentSentMessage.java
+++ b/core/src/main/java/haveno/core/trade/protocol/tasks/ProcessPaymentSentMessage.java
@@ -70,7 +70,7 @@ public class ProcessPaymentSentMessage extends TradeTask {
             }
 
             // update state
-            trade.advanceState(trade.isSeller() ? Trade.State.SELLER_RECEIVED_PAYMENT_SENT_MSG : Trade.State.BUYER_SENT_PAYMENT_SENT_MSG);
+            trade.advanceState(Trade.State.BUYER_SENT_PAYMENT_SENT_MSG);
             trade.requestPersistence();
             complete();
         } catch (Throwable t) {
diff --git a/desktop/src/main/java/haveno/desktop/main/portfolio/pendingtrades/PendingTradesViewModel.java b/desktop/src/main/java/haveno/desktop/main/portfolio/pendingtrades/PendingTradesViewModel.java
index c2b6af466c..5fb8db9316 100644
--- a/desktop/src/main/java/haveno/desktop/main/portfolio/pendingtrades/PendingTradesViewModel.java
+++ b/desktop/src/main/java/haveno/desktop/main/portfolio/pendingtrades/PendingTradesViewModel.java
@@ -377,8 +377,8 @@ public class PendingTradesViewModel extends ActivatableWithDataModel<PendingTrad
             case SENT_PUBLISH_DEPOSIT_TX_REQUEST:
             case SEND_FAILED_PUBLISH_DEPOSIT_TX_REQUEST:
             case SAW_ARRIVED_PUBLISH_DEPOSIT_TX_REQUEST:
-                sellerState.set(UNDEFINED); // TODO: show view while trade initializes?
                 buyerState.set(BuyerState.UNDEFINED);
+                sellerState.set(UNDEFINED); // TODO: show view while trade initializes?
                 break;
 
             case ARBITRATOR_PUBLISHED_DEPOSIT_TXS:
@@ -391,18 +391,20 @@ public class PendingTradesViewModel extends ActivatableWithDataModel<PendingTrad
             // buyer and seller step 2
             // deposits unlocked
             case DEPOSIT_TXS_UNLOCKED_IN_BLOCKCHAIN:
-                sellerState.set(SellerState.STEP2);
                 buyerState.set(BuyerState.STEP2);
+                sellerState.set(SellerState.STEP2);
                 break;
 
             // buyer step 3
             case BUYER_CONFIRMED_IN_UI_PAYMENT_SENT: // UI action
             case BUYER_SENT_PAYMENT_SENT_MSG:  // PAYMENT_SENT_MSG sent
+            case BUYER_SAW_ARRIVED_PAYMENT_SENT_MSG:  // PAYMENT_SENT_MSG arrived
                 // We don't switch the UI before we got the feedback of the msg delivery
                 buyerState.set(BuyerState.STEP2);
+                sellerState.set(trade.isPayoutPublished() ? SellerState.STEP4 : SellerState.STEP3);
                 break;
-            case BUYER_SAW_ARRIVED_PAYMENT_SENT_MSG:  // PAYMENT_SENT_MSG arrived
-            case BUYER_STORED_IN_MAILBOX_PAYMENT_SENT_MSG:  // PAYMENT_SENT_MSG in mailbox
+            case BUYER_STORED_IN_MAILBOX_PAYMENT_SENT_MSG: // PAYMENT_SENT_MSG in mailbox
+            case SELLER_RECEIVED_PAYMENT_SENT_MSG: // PAYMENT_SENT_MSG acked
                 buyerState.set(BuyerState.STEP3);
                 break;
             case BUYER_SEND_FAILED_PAYMENT_SENT_MSG:  // PAYMENT_SENT_MSG failed
@@ -417,7 +419,6 @@ public class PendingTradesViewModel extends ActivatableWithDataModel<PendingTrad
                 break;
 
             // seller step 3
-            case SELLER_RECEIVED_PAYMENT_SENT_MSG: // PAYMENT_SENT_MSG received
             case SELLER_CONFIRMED_IN_UI_PAYMENT_RECEIPT:
             case SELLER_SEND_FAILED_PAYMENT_RECEIVED_MSG:
             case SELLER_STORED_IN_MAILBOX_PAYMENT_RECEIVED_MSG:
diff --git a/desktop/src/main/java/haveno/desktop/main/portfolio/pendingtrades/steps/buyer/BuyerStep2View.java b/desktop/src/main/java/haveno/desktop/main/portfolio/pendingtrades/steps/buyer/BuyerStep2View.java
index 1bdacc8078..b92a4dc1ad 100644
--- a/desktop/src/main/java/haveno/desktop/main/portfolio/pendingtrades/steps/buyer/BuyerStep2View.java
+++ b/desktop/src/main/java/haveno/desktop/main/portfolio/pendingtrades/steps/buyer/BuyerStep2View.java
@@ -156,6 +156,7 @@ public class BuyerStep2View extends TradeStepView {
                             statusLabel.setText(Res.get("shared.preparingConfirmation"));
                             break;
                         case BUYER_SENT_PAYMENT_SENT_MSG:
+                        case BUYER_SAW_ARRIVED_PAYMENT_SENT_MSG:
                             busyAnimation.play();
                             statusLabel.setText(Res.get("shared.sendingConfirmation"));
                             model.setMessageStateProperty(MessageState.SENT);