diff --git a/cmd/evm/internal/t8ntool/execution.go b/cmd/evm/internal/t8ntool/execution.go
index bf6b6ef3c7..bc807f7af6 100644
--- a/cmd/evm/internal/t8ntool/execution.go
+++ b/cmd/evm/internal/t8ntool/execution.go
@@ -197,16 +197,12 @@ func (pre *Prestate) Apply(vmConfig vm.Config, chainConfig *params.ChainConfig,
 		core.ProcessBeaconBlockRoot(*beaconRoot, evm, statedb)
 	}
 	if pre.Env.BlockHashes != nil && chainConfig.IsPrague(new(big.Int).SetUint64(pre.Env.Number), pre.Env.Timestamp) {
-		// insert all parent hashes in the contract
-		for i, h := range pre.Env.BlockHashes {
-			n := uint64(i)
-			if n >= pre.Env.Number || pre.Env.Number > (n+params.HistoryServeWindow) {
-				continue
-			}
-			core.ProcessParentBlockHash(statedb, n, h)
-		}
+		var (
+			prevNumber = pre.Env.Number - 1
+			prevHash   = pre.Env.BlockHashes[math.HexOrDecimal64(prevNumber)]
+		)
+		core.ProcessParentBlockHash(statedb, prevHash, prevNumber)
 	}
-
 	for i := 0; txIt.Next(); i++ {
 		tx, err := txIt.Tx()
 		if err != nil {
diff --git a/core/state_processor.go b/core/state_processor.go
index 5bc24c6386..66c10c627c 100644
--- a/core/state_processor.go
+++ b/core/state_processor.go
@@ -82,7 +82,8 @@ func (p *StateProcessor) Process(block *types.Block, statedb *state.StateDB, cfg
 		ProcessBeaconBlockRoot(*beaconRoot, vmenv, statedb)
 	}
 	if p.config.IsPrague(block.Number(), block.Time()) {
-		ProcessBlockHashHistory(statedb, block.Header(), p.config, p.bc)
+		// This should not underflow as genesis block is not processed.
+		ProcessParentBlockHash(statedb, block.ParentHash(), block.NumberU64()-1)
 	}
 	// Iterate over and process the individual transactions
 	for i, tx := range block.Transactions() {
@@ -214,34 +215,9 @@ func ProcessBeaconBlockRoot(beaconRoot common.Hash, vmenv *vm.EVM, statedb *stat
 	statedb.Finalise(true)
 }
 
-// ProcessBlockHashHistory is called at every block to insert the parent block hash
-// in the history storage contract as per EIP-2935. At the EIP-2935 fork block, it
-// populates the whole buffer with block hashes.
-func ProcessBlockHashHistory(statedb *state.StateDB, header *types.Header, chainConfig *params.ChainConfig, chain consensus.ChainHeaderReader) {
-	var (
-		prevHash   = header.ParentHash
-		parent     = chain.GetHeaderByHash(prevHash)
-		number     = header.Number.Uint64()
-		prevNumber = parent.Number.Uint64()
-	)
-	ProcessParentBlockHash(statedb, prevNumber, prevHash)
-	// History already inserted.
-	if chainConfig.IsPrague(parent.Number, parent.Time) || prevNumber == 0 {
-		return
-	}
-	var low uint64
-	if number > params.HistoryServeWindow {
-		low = number - params.HistoryServeWindow
-	}
-	for i := prevNumber; i > low; i-- {
-		ProcessParentBlockHash(statedb, i-1, parent.ParentHash)
-		parent = chain.GetHeader(parent.ParentHash, i-1)
-	}
-}
-
 // ProcessParentBlockHash stores the parent block hash in the history storage contract
 // as per EIP-2935.
-func ProcessParentBlockHash(statedb *state.StateDB, prevNumber uint64, prevHash common.Hash) {
+func ProcessParentBlockHash(statedb *state.StateDB, prevHash common.Hash, prevNumber uint64) {
 	ringIndex := prevNumber % params.HistoryServeWindow
 	var key common.Hash
 	binary.BigEndian.PutUint64(key[24:], ringIndex)
diff --git a/core/state_processor_test.go b/core/state_processor_test.go
index 2caea37ecd..e8da524982 100644
--- a/core/state_processor_test.go
+++ b/core/state_processor_test.go
@@ -552,21 +552,18 @@ func (m *MockChain) GetHeader(hash common.Hash, number uint64) *types.Header {
 	return m.chain[hash]
 }
 
-func TestProcessBlockHashHistory(t *testing.T) {
-	hashA := common.Hash{0x01}
-	hashB := common.Hash{0x02}
-	statedb, _ := state.New(types.EmptyRootHash, state.NewDatabase(rawdb.NewDatabase(memorydb.New())), nil)
-	header := &types.Header{ParentHash: hashA, Number: big.NewInt(2)}
-	parent := &types.Header{ParentHash: hashB, Number: big.NewInt(1)}
-	parentParent := &types.Header{ParentHash: common.Hash{}, Number: big.NewInt(0)}
-	chainConfig := params.AllDevChainProtocolChanges
-	chainConfig.PragueTime = nil
-	chain := new(MockChain)
-	chain.chain = make(map[common.Hash]*types.Header)
-	chain.chain[hashA] = parent
-	chain.chain[hashB] = parentParent
+func TestProcessParentBlockHash(t *testing.T) {
+	var (
+		statedb, _ = state.New(types.EmptyRootHash, state.NewDatabase(rawdb.NewDatabase(memorydb.New())), nil)
+		hashA      = common.Hash{0x01}
+		hashB      = common.Hash{0x02}
+		header     = &types.Header{ParentHash: hashA, Number: big.NewInt(2)}
+		parent     = &types.Header{ParentHash: hashB, Number: big.NewInt(1)}
+		genesis    = &types.Header{ParentHash: common.Hash{}, Number: big.NewInt(0)}
+	)
 
-	ProcessBlockHashHistory(statedb, header, chainConfig, chain)
+	ProcessParentBlockHash(statedb, header.ParentHash, parent.Number.Uint64())
+	ProcessParentBlockHash(statedb, parent.ParentHash, genesis.Number.Uint64())
 
 	// make sure that the state is correct
 	if have := getParentBlockHash(statedb, 1); have != hashA {
diff --git a/core/vm/instructions.go b/core/vm/instructions.go
index fb82dc1509..9330c5f2e5 100644
--- a/core/vm/instructions.go
+++ b/core/vm/instructions.go
@@ -17,7 +17,6 @@
 package vm
 
 import (
-	"encoding/binary"
 	"math"
 
 	"github.com/ethereum/go-ethereum/common"
@@ -435,27 +434,15 @@ func opBlockhash(pc *uint64, interpreter *EVMInterpreter, scope *ScopeContext) (
 		num.Clear()
 		return nil, nil
 	}
-	historySize := uint64(256)
-	isPrague := interpreter.evm.ChainConfig().IsPrague(interpreter.evm.Context.BlockNumber, interpreter.evm.Context.Time)
-	// EIP-2935 extends the observable history window.
-	if isPrague {
-		historySize = params.HistoryServeWindow
-	}
 	var upper, lower uint64
 	upper = interpreter.evm.Context.BlockNumber.Uint64()
-	if upper < historySize+1 {
+	if upper < 257 {
 		lower = 0
 	} else {
-		lower = upper - historySize
+		lower = upper - 256
 	}
 	if num64 >= lower && num64 < upper {
-		if isPrague {
-			var key common.Hash
-			binary.BigEndian.PutUint64(key[24:], num64 % params.HistoryServeWindow)
-			num.SetBytes(interpreter.evm.StateDB.GetState(params.HistoryStorageAddress, key).Bytes())
-		} else {
-			num.SetBytes(interpreter.evm.Context.GetHash(num64).Bytes())
-		}
+		num.SetBytes(interpreter.evm.Context.GetHash(num64).Bytes())
 	} else {
 		num.Clear()
 	}
diff --git a/miner/worker.go b/miner/worker.go
index 91c4836e53..da72685422 100644
--- a/miner/worker.go
+++ b/miner/worker.go
@@ -201,7 +201,7 @@ func (miner *Miner) prepareWork(genParams *generateParams) (*environment, error)
 		core.ProcessBeaconBlockRoot(*header.ParentBeaconRoot, vmenv, env.state)
 	}
 	if miner.chainConfig.IsPrague(header.Number, header.Time) {
-		core.ProcessBlockHashHistory(env.state, header, miner.chainConfig, miner.chain)
+		core.ProcessParentBlockHash(env.state, header.ParentHash, header.Number.Uint64()-1)
 	}
 	return env, nil
 }
diff --git a/tests/testdata b/tests/testdata
index fa51c5c164..faf33b4714 160000
--- a/tests/testdata
+++ b/tests/testdata
@@ -1 +1 @@
-Subproject commit fa51c5c164f79140730ccb8fe26a46c3d3994338
+Subproject commit faf33b471465d3c6cdc3d04fbd690895f78d33f2