diff --git a/wallet/db.c b/wallet/db.c
index 2e741ab1f..965feee1b 100644
--- a/wallet/db.c
+++ b/wallet/db.c
@@ -10,7 +10,6 @@
 #include <lightningd/plugin_hook.h>
 #include <wallet/db_common.h>
 
-#define DB_FILE "lightningd.sqlite3"
 #define NSEC_IN_SEC 1000000000
 
 struct migration {
@@ -645,17 +644,6 @@ void db_commit_transaction(struct db *db)
 	db->in_transaction = NULL;
 }
 
-static void setup_open_db(struct db *db)
-{
-	/* This must be outside a transaction, so catch it */
-	assert(!db->in_transaction);
-
-	db_prepare_for_changes(db);
-	if (db->config->setup_fn)
-		db->config->setup_fn(db);
-	db_report_changes(db, NULL, 0);
-}
-
 static struct db_config *db_config_find(const char *driver_name)
 {
 	size_t num_configs;
@@ -671,38 +659,28 @@ static struct db_config *db_config_find(const char *driver_name)
  */
 static struct db *db_open(const tal_t *ctx, char *filename)
 {
-	int err;
 	struct db *db;
-	sqlite3 *sql;
 	const char *driver_name = "sqlite3";
 
-	int flags = SQLITE_OPEN_READWRITE | SQLITE_OPEN_CREATE;
-	err = sqlite3_open_v2(filename, &sql, flags, NULL);
-
-	if (err != SQLITE_OK) {
-		db_fatal("failed to open database %s: %s", filename,
-			 sqlite3_errstr(err));
-	}
-
 	db = tal(ctx, struct db);
 	db->filename = tal_strdup(db, filename);
-	db->sql = sql;
-	db->config = NULL;
 	list_head_init(&db->pending_statements);
 
 	db->config = db_config_find(driver_name);
 	if (!db->config)
 		db_fatal("Unable to find DB driver for %s", driver_name);
 
-	// FIXME(cdecker) Once we parse DB connection strings this needs to be
-	// instantiated correctly.
-	db->conn = sql;
-
 	tal_add_destructor(db, destroy_db);
 	db->in_transaction = NULL;
 	db->changes = NULL;
 
-	setup_open_db(db);
+	/* This must be outside a transaction, so catch it */
+	assert(!db->in_transaction);
+
+	db_prepare_for_changes(db);
+	if (db->config->setup_fn)
+		db->config->setup_fn(db);
+	db_report_changes(db, NULL, 0);
 
 	return db;
 }
@@ -787,8 +765,7 @@ static void db_migrate(struct lightningd *ld, struct db *db, struct log *log)
 
 struct db *db_setup(const tal_t *ctx, struct lightningd *ld, struct log *log)
 {
-	struct db *db = db_open(ctx, DB_FILE);
-
+	struct db *db = db_open(ctx, ld->wallet_dsn);
 	db_migrate(ld, db, log);
 	return db;
 }
diff --git a/wallet/db_common.h b/wallet/db_common.h
index 74b21b3ed..7b570a7ce 100644
--- a/wallet/db_common.h
+++ b/wallet/db_common.h
@@ -15,7 +15,6 @@
 struct db {
 	char *filename;
 	const char *in_transaction;
-	sqlite3 *sql;
 
 	/* DB-specific context */
 	void *conn;
diff --git a/wallet/db_sqlite3.c b/wallet/db_sqlite3.c
index 1dd606460..d6523aeac 100644
--- a/wallet/db_sqlite3.c
+++ b/wallet/db_sqlite3.c
@@ -24,8 +24,25 @@ static const char *db_sqlite3_fmt_error(struct db_stmt *stmt)
 
 static bool db_sqlite3_setup(struct db *db)
 {
+	char *filename;
 	sqlite3_stmt *stmt;
-	int err;
+	sqlite3 *sql;
+	int err, flags = SQLITE_OPEN_READWRITE | SQLITE_OPEN_CREATE;
+
+	if (!strstarts(db->filename, "sqlite3://") || strlen(db->filename) < 10)
+		db_fatal("Could not parse the wallet DSN: %s", db->filename);
+
+	/* Strip the scheme from the dsn. */
+	filename = db->filename + strlen("sqlite3://");
+
+	err = sqlite3_open_v2(filename, &sql, flags, NULL);
+
+	if (err != SQLITE_OK) {
+		db_fatal("failed to open database %s: %s", filename,
+			 sqlite3_errstr(err));
+	}
+	db->conn = sql;
+
 	sqlite3_prepare_v2(db->conn, "PRAGMA foreign_keys = ON;", -1, &stmt, NULL);
 	err = sqlite3_step(stmt);
 	sqlite3_finalize(stmt);
@@ -197,7 +214,8 @@ static size_t db_sqlite3_count_changes(struct db_stmt *stmt)
 
 static void db_sqlite3_close(struct db *db)
 {
-	sqlite3_close(db->sql);
+	sqlite3_close(db->conn);
+	db->conn = NULL;
 }
 
 static u64 db_sqlite3_last_insert_id(struct db_stmt *stmt)
diff --git a/wallet/test/run-db.c b/wallet/test/run-db.c
index 1e444eff8..80a2b8815 100644
--- a/wallet/test/run-db.c
+++ b/wallet/test/run-db.c
@@ -49,14 +49,16 @@ void plugin_hook_db_sync(struct db *db UNNEEDED, const char **changes UNNEEDED,
 static struct db *create_test_db(void)
 {
 	struct db *db;
-	char filename[] = "/tmp/ldb-XXXXXX";
+	char *dsn, filename[] = "/tmp/ldb-XXXXXX";
 
 	int fd = mkstemp(filename);
 	if (fd == -1)
 		return NULL;
 	close(fd);
 
-	db = db_open(NULL, filename);
+	dsn = tal_fmt(NULL, "sqlite3://%s", filename);
+	db = db_open(NULL, dsn);
+	tal_free(dsn);
 	return db;
 }
 
diff --git a/wallet/test/run-wallet.c b/wallet/test/run-wallet.c
index 5406e669a..05b3c8b9d 100644
--- a/wallet/test/run-wallet.c
+++ b/wallet/test/run-wallet.c
@@ -727,14 +727,16 @@ static void cleanup_test_wallet(struct wallet *w, char *filename)
 
 static struct wallet *create_test_wallet(struct lightningd *ld, const tal_t *ctx)
 {
-	char *filename = tal_fmt(ctx, "/tmp/ldb-XXXXXX");
+	char *dsn, *filename = tal_fmt(ctx, "/tmp/ldb-XXXXXX");
 	int fd = mkstemp(filename);
 	struct wallet *w = tal(ctx, struct wallet);
 	static unsigned char badseed[BIP32_ENTROPY_LEN_128];
 	CHECK_MSG(fd != -1, "Unable to generate temp filename");
 	close(fd);
 
-	w->db = db_open(w, filename);
+	dsn = tal_fmt(NULL, "sqlite3://%s", filename);
+	w->db = db_open(w, dsn);
+	tal_free(dsn);
 	tal_add_destructor2(w, cleanup_test_wallet, filename);
 
 	list_head_init(&w->unstored_payments);