diff --git a/src/NATS.Client.KeyValueStore/NatsKVConfig.cs b/src/NATS.Client.KeyValueStore/NatsKVConfig.cs
index 5e6ba8c34..dad8b7086 100644
--- a/src/NATS.Client.KeyValueStore/NatsKVConfig.cs
+++ b/src/NATS.Client.KeyValueStore/NatsKVConfig.cs
@@ -56,6 +56,11 @@ public record NatsKVConfig
     /// </summary>
     public NatsKVRepublish? Republish { get; init; }
 
+    /// <summary>
+    /// Use compressed storage.
+    /// </summary>
+    public bool Compression { get; init; }
+
     // TODO: Bucket mirror configuration.
     // pub mirror: Option<Source>,
     // Bucket sources configuration.
diff --git a/src/NATS.Client.KeyValueStore/NatsKVContext.cs b/src/NATS.Client.KeyValueStore/NatsKVContext.cs
index 57c1e2fd9..9081d648f 100644
--- a/src/NATS.Client.KeyValueStore/NatsKVContext.cs
+++ b/src/NATS.Client.KeyValueStore/NatsKVContext.cs
@@ -94,6 +94,7 @@ public async ValueTask<INatsKVStore> CreateStoreAsync(NatsKVConfig config, Cance
             MaxBytes = config.MaxBytes,
             MaxAge = config.MaxAge.ToNanos(),
             MaxMsgSize = config.MaxValueSize,
+            Compression = config.Compression ? StreamConfigurationCompression.s2 : StreamConfigurationCompression.none,
             Storage = storage,
             Republish = republish!,
             AllowRollupHdrs = true,
diff --git a/src/NATS.Client.KeyValueStore/NatsKVStore.cs b/src/NATS.Client.KeyValueStore/NatsKVStore.cs
index 5362ec983..04c71ca1e 100644
--- a/src/NATS.Client.KeyValueStore/NatsKVStore.cs
+++ b/src/NATS.Client.KeyValueStore/NatsKVStore.cs
@@ -354,7 +354,8 @@ public async IAsyncEnumerable<NatsKVEntry<T>> HistoryAsync<T>(string key, INatsD
     public async ValueTask<NatsKVStatus> GetStatusAsync(CancellationToken cancellationToken = default)
     {
         await _stream.RefreshAsync(cancellationToken);
-        return new NatsKVStatus(Bucket, _stream.Info);
+        var isCompressed = _stream.Info.Config.Compression != StreamConfigurationCompression.none;
+        return new NatsKVStatus(Bucket, isCompressed, _stream.Info);
     }
 
     /// <summary>
@@ -457,4 +458,4 @@ internal async ValueTask<NatsKVWatcher<T>> WatchInternalAsync<T>(string key, INa
     }
 }
 
-public record NatsKVStatus(string Bucket, StreamInfo Info);
+public record NatsKVStatus(string Bucket, bool IsCompressed, StreamInfo Info);
diff --git a/src/NATS.Client.ObjectStore/NatsObjConfig.cs b/src/NATS.Client.ObjectStore/NatsObjConfig.cs
index 30e3ae8d2..9df981fbb 100644
--- a/src/NATS.Client.ObjectStore/NatsObjConfig.cs
+++ b/src/NATS.Client.ObjectStore/NatsObjConfig.cs
@@ -44,4 +44,9 @@ public record NatsObjConfig(string Bucket)
     /// Additional metadata for the bucket.
     /// </summary>
     public Dictionary<string, string>? Metadata { get; init; }
+
+    /// <summary>
+    /// Use compressed storage.
+    /// </summary>
+    public bool Compression { get; init; }
 }
diff --git a/src/NATS.Client.ObjectStore/NatsObjContext.cs b/src/NATS.Client.ObjectStore/NatsObjContext.cs
index 978b0b5f7..02141e703 100644
--- a/src/NATS.Client.ObjectStore/NatsObjContext.cs
+++ b/src/NATS.Client.ObjectStore/NatsObjContext.cs
@@ -58,7 +58,7 @@ public async ValueTask<INatsObjStore> CreateObjectStore(NatsObjConfig config, Ca
             AllowDirect = true,
             Metadata = config.Metadata!,
             Retention = StreamConfigurationRetention.limits,
-            Compression = StreamConfigurationCompression.none,
+            Compression = config.Compression ? StreamConfigurationCompression.s2 : StreamConfigurationCompression.none,
         };
 
         var stream = await _context.CreateStreamAsync(streamConfiguration, cancellationToken);
diff --git a/src/NATS.Client.ObjectStore/NatsObjStore.cs b/src/NATS.Client.ObjectStore/NatsObjStore.cs
index 8af3c8d1b..9fb6faaf7 100644
--- a/src/NATS.Client.ObjectStore/NatsObjStore.cs
+++ b/src/NATS.Client.ObjectStore/NatsObjStore.cs
@@ -533,7 +533,8 @@ public IAsyncEnumerable<ObjectMetadata> ListAsync(NatsObjListOpts? opts = defaul
     public async ValueTask<NatsObjStatus> GetStatusAsync(CancellationToken cancellationToken = default)
     {
         await _stream.RefreshAsync(cancellationToken);
-        return new NatsObjStatus(Bucket, _stream.Info);
+        var isCompressed = _stream.Info.Config.Compression != StreamConfigurationCompression.none;
+        return new NatsObjStatus(Bucket, isCompressed, _stream.Info);
     }
 
     /// <summary>
@@ -678,4 +679,4 @@ public record NatsObjListOpts
     public bool ShowDeleted { get; init; }
 }
 
-public record NatsObjStatus(string Bucket, StreamInfo Info);
+public record NatsObjStatus(string Bucket, bool IsCompressed, StreamInfo Info);
diff --git a/tests/NATS.Client.KeyValueStore.Tests/KeyValueStoreTest.cs b/tests/NATS.Client.KeyValueStore.Tests/KeyValueStoreTest.cs
index 7ae697012..c4521bfc8 100644
--- a/tests/NATS.Client.KeyValueStore.Tests/KeyValueStoreTest.cs
+++ b/tests/NATS.Client.KeyValueStore.Tests/KeyValueStoreTest.cs
@@ -522,4 +522,33 @@ public async Task Status()
         Assert.Equal("KV_kv1", status.Info.Config.Name);
         Assert.Equal(10, status.Info.Config.MaxMsgsPerSubject);
     }
+
+    [SkipIfNatsServer(versionEarlierThan: "2.10")]
+    public async Task Compressed_storage()
+    {
+        await using var server = NatsServer.StartJS();
+        await using var nats = server.CreateClientConnection();
+
+        var js = new NatsJSContext(nats);
+        var kv = new NatsKVContext(js);
+
+        var cts = new CancellationTokenSource(TimeSpan.FromSeconds(10));
+        var cancellationToken = cts.Token;
+
+        var store1 = await kv.CreateStoreAsync(new NatsKVConfig("kv1") { Compression = false }, cancellationToken: cancellationToken);
+        var store2 = await kv.CreateStoreAsync(new NatsKVConfig("kv2") { Compression = true }, cancellationToken: cancellationToken);
+
+        Assert.Equal("kv1", store1.Bucket);
+        Assert.Equal("kv2", store2.Bucket);
+
+        var status1 = await store1.GetStatusAsync(cancellationToken);
+        Assert.Equal("kv1", status1.Bucket);
+        Assert.Equal("KV_kv1", status1.Info.Config.Name);
+        Assert.Equal(StreamConfigurationCompression.none, status1.Info.Config.Compression);
+
+        var status2 = await store2.GetStatusAsync(cancellationToken);
+        Assert.Equal("kv2", status2.Bucket);
+        Assert.Equal("KV_kv2", status2.Info.Config.Name);
+        Assert.Equal(StreamConfigurationCompression.s2, status2.Info.Config.Compression);
+    }
 }
diff --git a/tests/NATS.Client.ObjectStore.Tests/ObjectStoreTest.cs b/tests/NATS.Client.ObjectStore.Tests/ObjectStoreTest.cs
index 37f394ddc..421ae91b2 100644
--- a/tests/NATS.Client.ObjectStore.Tests/ObjectStoreTest.cs
+++ b/tests/NATS.Client.ObjectStore.Tests/ObjectStoreTest.cs
@@ -1,7 +1,7 @@
-using System.IO.IsolatedStorage;
 using System.Security.Cryptography;
 using System.Text;
 using NATS.Client.Core.Tests;
+using NATS.Client.JetStream.Models;
 using NATS.Client.ObjectStore.Internal;
 using NATS.Client.ObjectStore.Models;
 
@@ -367,4 +367,32 @@ public async Task List()
             Assert.True(infos[3].Deleted);
         }
     }
+
+    [SkipIfNatsServer(versionEarlierThan: "2.10")]
+    public async Task Compressed_storage()
+    {
+        await using var server = NatsServer.StartJS();
+        await using var nats = server.CreateClientConnection();
+        var js = new NatsJSContext(nats);
+        var obj = new NatsObjContext(js);
+
+        var cts = new CancellationTokenSource(TimeSpan.FromSeconds(10));
+        var cancellationToken = cts.Token;
+
+        var store1 = await obj.CreateObjectStore(new NatsObjConfig("b1") { Compression = false }, cancellationToken);
+        var store2 = await obj.CreateObjectStore(new NatsObjConfig("b2") { Compression = true }, cancellationToken);
+
+        Assert.Equal("b1", store1.Bucket);
+        Assert.Equal("b2", store2.Bucket);
+
+        var status1 = await store1.GetStatusAsync(cancellationToken);
+        Assert.Equal("b1", status1.Bucket);
+        Assert.Equal("OBJ_b1", status1.Info.Config.Name);
+        Assert.Equal(StreamConfigurationCompression.none, status1.Info.Config.Compression);
+
+        var status2 = await store2.GetStatusAsync(cancellationToken);
+        Assert.Equal("b2", status2.Bucket);
+        Assert.Equal("OBJ_b2", status2.Info.Config.Name);
+        Assert.Equal(StreamConfigurationCompression.s2, status2.Info.Config.Compression);
+    }
 }
diff --git a/tests/NATS.Client.TestUtilities/NatsServer.cs b/tests/NATS.Client.TestUtilities/NatsServer.cs
index 8347b10cc..73802cc4d 100644
--- a/tests/NATS.Client.TestUtilities/NatsServer.cs
+++ b/tests/NATS.Client.TestUtilities/NatsServer.cs
@@ -22,9 +22,10 @@ public static class ServerVersions
 
 public class NatsServer : IAsyncDisposable
 {
+    public static readonly Version Version;
+
     private static readonly string Ext = RuntimeInformation.IsOSPlatform(OSPlatform.Windows) ? ".exe" : string.Empty;
     private static readonly string NatsServerPath = $"nats-server{Ext}";
-    private static readonly Version Version;
 
     private readonly string? _jetStreamStoreDir;
     private readonly ITestOutputHelper _outputHelper;
@@ -550,11 +551,16 @@ public sealed class SkipIfNatsServer : FactAttribute
 
     static SkipIfNatsServer() => SupportsTlsFirst = NatsServer.SupportsTlsFirst();
 
-    public SkipIfNatsServer(bool doesNotSupportTlsFirst = false)
+    public SkipIfNatsServer(bool doesNotSupportTlsFirst = false, string? versionEarlierThan = default)
     {
         if (doesNotSupportTlsFirst && !SupportsTlsFirst)
         {
             Skip = "NATS server doesn't support TLS first";
         }
+
+        if (versionEarlierThan != null && new Version(versionEarlierThan) > NatsServer.Version)
+        {
+            Skip = $"NATS server version ({NatsServer.Version}) is earlier than {versionEarlierThan}";
+        }
     }
 }