diff --git a/db/migrations.go b/db/migrations.go
index b7e366f1..70713252 100644
--- a/db/migrations.go
+++ b/db/migrations.go
@@ -13,6 +13,15 @@ const (
 	//
 	// NOTE: This MUST be updated when a new migration is added.
 	LatestMigrationVersion = 5
+
+	// LatestDevMigrationVersion is the latest dev migration version of the
+	// database. This is used to implement downgrade protection for the
+	// daemon. This represents the latest number used in the migrations_dev
+	// directory.
+	//
+	// NOTE: This MUST be updated when a migration is added or removed, from
+	// the migrations_dev directory.
+	LatestDevMigrationVersion = 1
 )
 
 // MakeTestMigrationStreams creates the migration streams for the unit test
@@ -40,5 +49,24 @@ func MakeTestMigrationStreams() []sqldb.MigrationStream {
 		},
 	}
 
-	return []sqldb.MigrationStream{migStream}
+	migStreamDev := sqldb.MigrationStream{
+		TrackingTableName: pgx.DefaultMigrationsTable + "_dev",
+		SQLFileDirectory:  "sqlc/migrations_dev",
+		SQLFiles:          SqlSchemas,
+
+		// LatestMigrationVersion is the latest migration version of the
+		// dev migrations database. This is used to implement downgrade
+		// protection for the daemon.
+		//
+		// NOTE: This MUST be updated when a new dev migration is added.
+		LatestMigrationVersion: LatestDevMigrationVersion,
+
+		MakeProgrammaticMigrations: func(db *sqldb.BaseDB) (
+			map[uint]migrate.ProgrammaticMigrEntry, error) {
+
+			return make(map[uint]migrate.ProgrammaticMigrEntry), nil
+		},
+	}
+
+	return []sqldb.MigrationStream{migStream, migStreamDev}
 }
diff --git a/db/migstreams/sql_migrations.go b/db/migstreams/sql_migrations.go
index 256c3826..4364fb30 100644
--- a/db/migstreams/sql_migrations.go
+++ b/db/migstreams/sql_migrations.go
@@ -1,3 +1,5 @@
+//go:build !dev
+
 package migstreams
 
 import (
diff --git a/db/migstreams/sql_migrations_dev.go b/db/migstreams/sql_migrations_dev.go
new file mode 100644
index 00000000..516864e8
--- /dev/null
+++ b/db/migstreams/sql_migrations_dev.go
@@ -0,0 +1,53 @@
+//go:build dev
+
+package migstreams
+
+import (
+	"github.com/golang-migrate/migrate/v4"
+	"github.com/golang-migrate/migrate/v4/database/pgx/v5"
+	"github.com/lightninglabs/lightning-terminal/db"
+	"github.com/lightningnetwork/lnd/sqldb/v2"
+)
+
+var (
+	// Create the prod migration stream.
+	migStream = sqldb.MigrationStream{
+		TrackingTableName: pgx.DefaultMigrationsTable,
+		SQLFileDirectory:  "sqlc/migrations",
+		SQLFiles:          db.SqlSchemas,
+
+		// LatestMigrationVersion is the latest migration version of the
+		// database.  This is used to implement downgrade protection for
+		// the daemon.
+		//
+		// NOTE: This MUST be updated when a new migration is added.
+		LatestMigrationVersion: db.LatestMigrationVersion,
+
+		MakeProgrammaticMigrations: func(db *sqldb.BaseDB) (
+			map[uint]migrate.ProgrammaticMigrEntry, error) {
+
+			return make(map[uint]migrate.ProgrammaticMigrEntry), nil
+		},
+	}
+
+	// Create the dev migration stream.
+	migStreamDev = sqldb.MigrationStream{
+		TrackingTableName: pgx.DefaultMigrationsTable + "_dev",
+		SQLFileDirectory:  "sqlc/migrations_dev",
+		SQLFiles:          db.SqlSchemas,
+
+		// LatestMigrationVersion is the latest migration version of the
+		// dev migrations database. This is used to implement downgrade
+		// protection for the daemon.
+		//
+		// NOTE: This MUST be updated when a new dev migration is added.
+		LatestMigrationVersion: db.LatestDevMigrationVersion,
+
+		MakeProgrammaticMigrations: func(db *sqldb.BaseDB) (
+			map[uint]migrate.ProgrammaticMigrEntry, error) {
+
+			return make(map[uint]migrate.ProgrammaticMigrEntry), nil
+		},
+	}
+	LitdMigrationStreams = []sqldb.MigrationStream{migStream, migStreamDev}
+)
diff --git a/db/schemas.go b/db/schemas.go
index dce7fa84..565fb561 100644
--- a/db/schemas.go
+++ b/db/schemas.go
@@ -5,5 +5,5 @@ import (
 	_ "embed"
 )
 
-//go:embed sqlc/migrations/*.*.sql
+//go:embed sqlc/migration*/*.*.sql
 var SqlSchemas embed.FS
diff --git a/db/sqlc/migrations_dev/000001_dev_test_migration.down.sql b/db/sqlc/migrations_dev/000001_dev_test_migration.down.sql
new file mode 100644
index 00000000..0d246b2d
--- /dev/null
+++ b/db/sqlc/migrations_dev/000001_dev_test_migration.down.sql
@@ -0,0 +1 @@
+-- Comment to ensure the file created and picked up in the migration stream.
\ No newline at end of file
diff --git a/db/sqlc/migrations_dev/000001_dev_test_migration.up.sql b/db/sqlc/migrations_dev/000001_dev_test_migration.up.sql
new file mode 100644
index 00000000..0d246b2d
--- /dev/null
+++ b/db/sqlc/migrations_dev/000001_dev_test_migration.up.sql
@@ -0,0 +1 @@
+-- Comment to ensure the file created and picked up in the migration stream.
\ No newline at end of file
diff --git a/scripts/gen_sqlc_docker.sh b/scripts/gen_sqlc_docker.sh
index 16db97f2..3d93f37f 100755
--- a/scripts/gen_sqlc_docker.sh
+++ b/scripts/gen_sqlc_docker.sh
@@ -5,7 +5,7 @@ set -e
 # restore_files is a function to restore original schema files.
 restore_files() {
 	echo "Restoring SQLite bigint patch..."
-	for file in db/sqlc/migrations/*.up.sql.bak; do
+	for file in db/sqlc/{migrations,migrations_dev}/*.up.sql.bak; do
 		mv "$file" "${file%.bak}"
 	done
 }
@@ -30,7 +30,7 @@ GOMODCACHE=$(go env GOMODCACHE)
 # source schema SQL files to use "BIGINT PRIMARY KEY" instead of "INTEGER
 # PRIMARY KEY".
 echo "Applying SQLite bigint patch..."
-for file in db/sqlc/migrations/*.up.sql; do
+for file in db/sqlc/{migrations,migrations_dev}/*.up.sql; do
 	echo "Patching $file"
 	sed -i.bak -E 's/INTEGER PRIMARY KEY/BIGINT PRIMARY KEY/g' "$file"
 done