diff --git a/counterparty-core/counterpartycore/lib/follow.py b/counterparty-core/counterpartycore/lib/follow.py
index ca7ba3cd8..b1a3ced27 100644
--- a/counterparty-core/counterpartycore/lib/follow.py
+++ b/counterparty-core/counterpartycore/lib/follow.py
@@ -1,5 +1,6 @@
 import asyncio
 import logging
+import os
 import struct
 import threading
 import time
@@ -258,9 +259,10 @@ async def handle(self):
                         logger.trace(
                             f"Processing {len(mempool_block)} transaction(s) from the raw mempool..."
                         )
-                        mempool.parse_mempool_transactions(
+                        not_supported_tx_hashes = mempool.parse_mempool_transactions(
                             self.db, mempool_block, timestamps=self.mempool_parser.timestamps
                         )
+                        NotSupportedTransactionsCache().add(not_supported_tx_hashes)
                     else:
                         # sequence topic
                         await self.receive_multipart(self.zmq_sub_socket_sequence, "sequence")
@@ -319,6 +321,8 @@ def get_raw_mempool(db):
     cursor = db.cursor()
     txhash_list = []
     for txid, tx_info in raw_mempool.items():
+        if NotSupportedTransactionsCache().is_not_supported(txid):
+            continue
         existing_tx_in_mempool = cursor.execute(
             "SELECT * FROM mempool WHERE tx_hash = ? LIMIT 1", (txid,)
         ).fetchone()
@@ -362,3 +366,37 @@ def stop(self):
             logger.debug("Stopping RawMempoolParser...")
             self.stop_event.set()
             self.join()
+
+
+class NotSupportedTransactionsCache(metaclass=util.SingletonMeta):
+    def __init__(self):
+        self.not_suppported_txs = []
+        self.cache_path = os.path.join(config.CACHE_DIR, "not_supported_tx_cache.txt")
+        self.restore()
+
+    def restore(self):
+        if os.path.exists(self.cache_path):
+            with open(self.cache_path, "r") as f:
+                self.not_suppported_txs = [line.strip() for line in f]
+            logger.debug(
+                f"Restored {len(self.not_suppported_txs)} not supported transactions from cache"
+            )
+
+    def backup(self):
+        with open(self.cache_path, "w") as f:
+            f.write("\n".join(self.not_suppported_txs[:200000]))  # limit to 200k txs
+        logger.trace(
+            f"Backed up {len(self.not_suppported_txs)} not supported transactions to cache"
+        )
+
+    def clear(self):
+        self.not_suppported_txs = []
+        if os.path.exists(self.cache_path):
+            os.remove(self.cache_path)
+
+    def add(self, more_not_supported_txs):
+        self.not_suppported_txs += more_not_supported_txs
+        self.backup()
+
+    def is_not_supported(self, tx_hash):
+        return tx_hash in self.not_suppported_txs
diff --git a/counterparty-core/counterpartycore/lib/mempool.py b/counterparty-core/counterpartycore/lib/mempool.py
index 2d8f8eb3e..9d10e984d 100644
--- a/counterparty-core/counterpartycore/lib/mempool.py
+++ b/counterparty-core/counterpartycore/lib/mempool.py
@@ -15,6 +15,7 @@ def parse_mempool_transactions(db, raw_tx_list, timestamps=None):
     now = time.time()
     transaction_events = []
     cursor = db.cursor()
+    not_supported_txs = []
     try:
         with db:
             # insert fake block
@@ -46,6 +47,7 @@ def parse_mempool_transactions(db, raw_tx_list, timestamps=None):
             for raw_tx in raw_tx_list:
                 decoded_tx = deserialize.deserialize_tx(raw_tx, use_txid=True)
                 existing_tx = ledger.get_transaction(db, decoded_tx["tx_hash"])
+                not_supported_txs.append(decoded_tx["tx_hash"])
                 if existing_tx:
                     logger.trace(f"Transaction {decoded_tx['tx_hash']} already in the database")
                     continue
@@ -82,6 +84,9 @@ def parse_mempool_transactions(db, raw_tx_list, timestamps=None):
     except exceptions.MempoolError:
         # save events in the mempool table
         for event in transaction_events:
+            if event["tx_hash"] in not_supported_txs:
+                not_supported_txs.remove(event["tx_hash"])
+
             if timestamps:
                 event["timestamp"] = timestamps.get(event["tx_hash"], now)
             else:
@@ -105,6 +110,7 @@ def parse_mempool_transactions(db, raw_tx_list, timestamps=None):
             )
     logger.trace("Mempool transaction parsed successfully.")
     util.PARSING_MEMPOOL = False
+    return not_supported_txs
 
 
 def clean_transaction_events(db, tx_hash):
diff --git a/counterparty-core/counterpartycore/server.py b/counterparty-core/counterpartycore/server.py
index 087c3358f..284b20d84 100755
--- a/counterparty-core/counterpartycore/server.py
+++ b/counterparty-core/counterpartycore/server.py
@@ -193,6 +193,10 @@ def initialise_config(
         os.makedirs(data_dir, mode=0o755)
     config.DATA_DIR = data_dir
 
+    config.CACHE_DIR = appdirs.user_cache_dir(appauthor=config.XCP_NAME, appname=config.APP_NAME)
+    if not os.path.isdir(config.CACHE_DIR):
+        os.makedirs(config.CACHE_DIR, mode=0o755)
+
     # testnet
     if testnet:
         config.TESTNET = testnet
@@ -888,6 +892,7 @@ def rollback(block_index=None):
     try:
         blocks.rollback(ledger_db, block_index=block_index)
         dbbuilder.rollback_state_db(state_db, block_index)
+        follow.NotSupportedTransactionsCache().clear()
     finally:
         database.optimize(ledger_db)
         database.optimize(state_db)
diff --git a/release-notes/release-notes-v10.9.0.md b/release-notes/release-notes-v10.9.0.md
index 3fa0c031e..5bac7bbac 100644
--- a/release-notes/release-notes-v10.9.0.md
+++ b/release-notes/release-notes-v10.9.0.md
@@ -16,6 +16,7 @@
 
 - Refactor raw mempool parsing; Don't block following
 - Add a timeout to parse mempool transaction from ZMQ
+- Add cache for unsupported transactions when parsing raw mempool
 
 ## API