diff --git a/electrum/lnpeer.py b/electrum/lnpeer.py
index f7979a350..2c79099e2 100644
--- a/electrum/lnpeer.py
+++ b/electrum/lnpeer.py
@@ -504,11 +504,12 @@ class Peer(Logger):
             was_announced=False,
             current_commitment_signature=None,
             current_htlc_signatures=b'',
+            htlc_minimum_msat=1,
         )
         return local_config
 
     @log_exceptions
-    async def channel_establishment_flow(self, password: Optional[str], funding_tx: 'PartialTransaction', funding_sat: int, 
+    async def channel_establishment_flow(self, password: Optional[str], funding_tx: 'PartialTransaction', funding_sat: int,
                                          push_msat: int, temp_channel_id: bytes) -> Tuple[Channel, 'PartialTransaction']:
         await asyncio.wait_for(self.initialized, LN_P2P_NETWORK_TIMEOUT)
         feerate = self.lnworker.current_feerate_per_kw()
@@ -536,7 +537,7 @@ class Peer(Logger):
             max_htlc_value_in_flight_msat=local_config.max_htlc_value_in_flight_msat,
             channel_flags=0x00,  # not willing to announce channel
             channel_reserve_satoshis=local_config.reserve_sat,
-            htlc_minimum_msat=1,
+            htlc_minimum_msat=local_config.htlc_minimum_msat,
         )
         payload = await self.wait_for_message('accept_channel', temp_channel_id)
         remote_per_commitment_point = payload['first_per_commitment_point']
diff --git a/electrum/lnutil.py b/electrum/lnutil.py
index 22349a29f..03d6cfa6e 100644
--- a/electrum/lnutil.py
+++ b/electrum/lnutil.py
@@ -69,6 +69,7 @@ class Config(StoredObject):
     max_accepted_htlcs = attr.ib(type=int)
     initial_msat = attr.ib(type=int)
     reserve_sat = attr.ib(type=int)
+    htlc_minimum_msat = attr.ib(type=int)
 
 @attr.s
 class LocalConfig(Config):
@@ -80,7 +81,6 @@ class LocalConfig(Config):
 
 @attr.s
 class RemoteConfig(Config):
-    htlc_minimum_msat = attr.ib(type=int)
     next_per_commitment_point = attr.ib(type=bytes, converter=hex_to_bytes)
     current_per_commitment_point = attr.ib(default=None, type=bytes, converter=hex_to_bytes)
 
diff --git a/electrum/tests/test_lnchannel.py b/electrum/tests/test_lnchannel.py
index 46b68a4ff..14baabf87 100644
--- a/electrum/tests/test_lnchannel.py
+++ b/electrum/tests/test_lnchannel.py
@@ -83,6 +83,7 @@ def create_channel_state(funding_txid, funding_index, funding_sat, is_initiator,
                 was_announced=False,
                 current_commitment_signature=None,
                 current_htlc_signatures=None,
+                htlc_minimum_msat=1,
             ),
             "constraints":lnpeer.ChannelConstraints(
                 capacity=funding_sat,
diff --git a/electrum/wallet_db.py b/electrum/wallet_db.py
index 952c97018..0f10ebf19 100644
--- a/electrum/wallet_db.py
+++ b/electrum/wallet_db.py
@@ -50,7 +50,7 @@ if TYPE_CHECKING:
 
 OLD_SEED_VERSION = 4        # electrum versions < 2.0
 NEW_SEED_VERSION = 11       # electrum versions >= 2.0
-FINAL_SEED_VERSION = 26     # electrum >= 2.7 will set this to prevent
+FINAL_SEED_VERSION = 27     # electrum >= 2.7 will set this to prevent
                             # old versions from overwriting new format
 
 
@@ -172,6 +172,7 @@ class WalletDB(JsonDB):
         self._convert_version_24()
         self._convert_version_25()
         self._convert_version_26()
+        self._convert_version_27()
         self.put('seed_version', FINAL_SEED_VERSION)  # just to be sure
 
         self._after_upgrade_tasks()
@@ -587,6 +588,14 @@ class WalletDB(JsonDB):
                     c['closing_height'] = closing_txid, closing_height, closing_timestamp
         self.data['seed_version'] = 26
 
+    def _convert_version_27(self):
+        if not self._is_upgrade_method_needed(26, 26):
+            return
+        channels = self.data.get('channels', {})
+        for channel_id, c in channels.items():
+            c['local_config']['htlc_minimum_msat'] = 1
+        self.data['seed_version'] = 27
+
     def _convert_imported(self):
         if not self._is_upgrade_method_needed(0, 13):
             return