diff --git a/evmcore/tx_pool.go b/evmcore/tx_pool.go
index a079c3aa8..fdd716f29 100644
--- a/evmcore/tx_pool.go
+++ b/evmcore/tx_pool.go
@@ -134,6 +134,8 @@ type stateReader interface {
 	MaxGasLimit() uint64
 
 	SubscribeNewBlock(ch chan<- ChainHeadNotify) notify.Subscription
+
+	TxExists(common.Hash) bool
 }
 
 // TxPoolConfig are the configuration parameters of the transaction pool.
@@ -567,6 +569,9 @@ func (pool *TxPool) validateTx(tx *types.Transaction, local bool) error {
 	if pool.chain.MinGasPrice().Cmp(tx.GasPrice()) > 0 {
 		return ErrUnderpriced
 	}
+	if pool.chain.TxExists(tx.Hash()) {
+		return ErrUnderpriced
+	}
 	// Ensure the transaction adheres to nonce ordering
 	if pool.currentState.GetNonce(from) > tx.Nonce() {
 		return ErrNonceTooLow
diff --git a/evmcore/tx_pool_test.go b/evmcore/tx_pool_test.go
index f7375d95b..5f8448dd1 100644
--- a/evmcore/tx_pool_test.go
+++ b/evmcore/tx_pool_test.go
@@ -59,6 +59,10 @@ func (bc *testBlockChain) MaxGasLimit() uint64 {
 	return bc.CurrentBlock().GasLimit
 }
 
+func (bc *testBlockChain) TxExists(common.Hash) bool {
+	return false
+}
+
 func (bc *testBlockChain) CurrentBlock() *EvmBlock {
 	b := &EvmBlock{}
 	b.Number = big.NewInt(0)
diff --git a/gossip/evm_state_reader.go b/gossip/evm_state_reader.go
index e9df3b0a4..ec346ab35 100644
--- a/gossip/evm_state_reader.go
+++ b/gossip/evm_state_reader.go
@@ -138,3 +138,7 @@ func (r *EvmStateReader) getBlock(h hash.Event, n idx.Block, readTxs bool) *evmc
 func (r *EvmStateReader) StateAt(root common.Hash) (*state.StateDB, error) {
 	return r.store.evm.StateDB(hash.Hash(root))
 }
+
+func (r *EvmStateReader) TxExists(txid common.Hash) bool {
+	return r.store.EvmStore().GetTxPosition(txid) != nil
+}
diff --git a/version/version.go b/version/version.go
index 3703e45be..cadf4d9a0 100644
--- a/version/version.go
+++ b/version/version.go
@@ -11,7 +11,7 @@ func init() {
 	params.VersionMajor = 1     // Major version component of the current release
 	params.VersionMinor = 0     // Minor version component of the current release
 	params.VersionPatch = 0     // Patch version component of the current release
-	params.VersionMeta = "rc.1" // Version metadata to append to the version string
+	params.VersionMeta = "rc.2" // Version metadata to append to the version string
 }
 
 func BigToString(b *big.Int) string {