diff --git a/testnet/docker-compose.local.yml b/testnet/docker-compose.local.yml
index 3205da76ee..6acf1355b9 100644
--- a/testnet/docker-compose.local.yml
+++ b/testnet/docker-compose.local.yml
@@ -19,11 +19,11 @@ services:
       dockerfile: ./dockerfiles/enclave.Dockerfile
       args:
         TESTMODE: true
-  #  enclave-debug:
-  #    image: "testnetobscuronet.azurecr.io/obscuronet/enclave_debug:latest"
-  #    build:
-  #      context: $ROOT_PATH
-  #      dockerfile: ./dockerfiles/enclave.debug.Dockerfile
+#  enclave-debug:
+#    image: "testnetobscuronet.azurecr.io/obscuronet/enclave_debug:latest"
+#    build:
+#      context: $ROOT_PATH
+#      dockerfile: ./dockerfiles/enclave.debug.Dockerfile
   ten-scan:
     image: "testnetobscuronet.azurecr.io/obscuronet/tenscan:latest"
     build:
@@ -38,7 +38,7 @@ services:
     image: "testnetobscuronet.azurecr.io/obscuronet/obscuro_gateway:latest"
     build:
       context: $ROOT_PATH
-      dockerfile: ./tools/walletextension/enclave.Dockerfile
+      dockerfile: ./tools/walletextension/Dockerfile
   faucet:
     image: "testnetobscuronet.azurecr.io/obscuronet/faucet:latest"
     build:
diff --git a/testnet/launcher/gateway/docker.go b/testnet/launcher/gateway/docker.go
index 0fe5a85c0e..b9dc38c397 100644
--- a/testnet/launcher/gateway/docker.go
+++ b/testnet/launcher/gateway/docker.go
@@ -24,7 +24,7 @@ func (n *DockerGateway) Start() error {
 	fmt.Printf("Starting gateway with config: \n%s\n\n", litter.Sdump(*n.cfg))
 
 	cmds := []string{
-		"ego", "run", "/home/ten/go-ten/tools/walletextension/main/main",
+		"/home/obscuro/go-obscuro/tools/walletextension/bin/wallet_extension_linux",
 		"--host", "0.0.0.0",
 		"--port", fmt.Sprintf("%d", n.cfg.gatewayHTTPPort),
 		"--portWS", fmt.Sprintf("%d", n.cfg.gatewayWSPort),
diff --git a/testnet/testnet-local-build_images.sh b/testnet/testnet-local-build_images.sh
index 99c404a4fe..1b65be1a6e 100755
--- a/testnet/testnet-local-build_images.sh
+++ b/testnet/testnet-local-build_images.sh
@@ -50,7 +50,7 @@ command docker build -t testnetobscuronet.azurecr.io/obscuronet/enclave:latest -
 #command docker build -t testnetobscuronet.azurecr.io/obscuronet/enclave_debug:latest -f "${root_path}/dockerfiles/enclave.debug.Dockerfile" "${root_path}" &
 command docker build -t testnetobscuronet.azurecr.io/obscuronet/tenscan:latest -f "${tools_path}/tenscan/Dockerfile" "${root_path}" &
 command docker build -t testnetobscuronet.azurecr.io/obscuronet/faucet:latest -f "${tools_path}/faucet/Dockerfile" "${root_path}" &
-#command docker build -t testnetobscuronet.azurecr.io/obscuronet/obscuro_gateway:latest -f "${tools_path}/walletextension/enclave.Dockerfile" "${root_path}" &
+command docker build -t testnetobscuronet.azurecr.io/obscuronet/obscuro_gateway:latest -f "${tools_path}/walletextension/Dockerfile" "${root_path}" &
 
 wait
 
diff --git a/tools/walletextension/Dockerfile b/tools/walletextension/Dockerfile
new file mode 100644
index 0000000000..5a25543b06
--- /dev/null
+++ b/tools/walletextension/Dockerfile
@@ -0,0 +1,51 @@
+## Build Stages:
+# system = prepares the "OS" by downloading required binaries
+# get-dependencies = downloads the go modules using the prepared system
+# build-wallet = copies over the source code and builds the binaries using a compiler cache
+# final = copies over only the executables in an alpine image that doesn't have any additional load.
+
+FROM golang:1.22.1-alpine3.19 as system
+
+# set the base libs to build / run
+RUN apk add build-base bash git
+ENV CGO_ENABLED=1
+ARG TESTNET_TYPE
+
+# Standard build stage that initializes the go dependencies
+FROM system as get-dependencies
+# create the base directory
+# setup container data structure
+RUN mkdir -p /home/obscuro/go-obscuro
+
+
+# Ensures container layer caching when dependencies are not changed
+WORKDIR /home/obscuro/go-obscuro
+COPY go.mod .
+COPY go.sum .
+RUN go mod download
+
+# Build stage that will create a wallet extension executable
+FROM get-dependencies as build-wallet
+# make sure the geth network code is available
+COPY . /home/obscuro/go-obscuro
+
+# build the gateway executable
+WORKDIR /home/obscuro/go-obscuro/tools/walletextension/main
+RUN --mount=type=cache,target=/root/.cache/go-build \
+    go build -o ../bin/wallet_extension_linux
+
+# Lightweight final build stage. Includes bare minimum to start wallet extension
+FROM alpine:3.18
+
+# copy over the gateway executable
+COPY --from=build-wallet /home/obscuro/go-obscuro/tools/walletextension/bin /home/obscuro/go-obscuro/tools/walletextension/bin
+
+# copy over the .sql migration files
+COPY --from=build-wallet /home/obscuro/go-obscuro/tools/walletextension/storage/database /home/obscuro/go-obscuro/tools/walletextension/storage/database
+
+# copy over the entrypoint script
+COPY --from=build-wallet /home/obscuro/go-obscuro/tools/walletextension/entrypoint.sh /entrypoint.sh
+RUN chmod +x /entrypoint.sh
+
+ENTRYPOINT ["/entrypoint.sh"]
+