diff --git a/src/app/(sidebar)/transaction/submit/page.tsx b/src/app/(sidebar)/transaction/submit/page.tsx
index b94c80d4..51f8bf88 100644
--- a/src/app/(sidebar)/transaction/submit/page.tsx
+++ b/src/app/(sidebar)/transaction/submit/page.tsx
@@ -67,6 +67,47 @@ const SUBMIT_OPTIONS = [
   },
 ];
 
+// Define operation types for better type safety
+interface DecodedOperationBody {
+  extend_footprint_ttl?: { ext: string };
+  restore_footprint?: { ext: string };
+  invoke_host_function?: { ext: string };
+}
+
+interface DecodedOperation {
+  body: DecodedOperationBody;
+}
+
+// Move function outside component to prevent recreation
+const isSorobanXdr = (jsonString: string): boolean => {
+  try {
+    const parsedXdr = JSON.parse(jsonString);
+    const operations = parsedXdr?.tx?.tx?.operations;
+
+    if (!Array.isArray(operations)) {
+      return false;
+    }
+
+    return operations.some((op: DecodedOperation) => {
+      const body = op?.body;
+      if (!body) {
+        return false;
+      }
+
+      const sorobanOps = [
+        body.extend_footprint_ttl,
+        body.restore_footprint,
+        body.invoke_host_function,
+      ];
+
+      return sorobanOps.some((op) => op?.ext === "v0");
+    });
+  } catch (e) {
+    console.debug("Error parsing XDR:", e);
+    return false;
+  }
+};
+
 export default function SubmitTransaction() {
   const { network, xdr, transaction } = useStore();
   const { blob, updateXdrBlob } = xdr;
@@ -80,6 +121,7 @@ export default function SubmitTransaction() {
   const [isSaveTxnModalVisible, setIsSaveTxnModalVisible] = useState(false);
   const [isDropdownActive, setIsDropdownActive] = useState(false);
   const [isDropdownVisible, setIsDropdownVisible] = useState(false);
+  const [isSorobanTx, setIsSorobanTx] = useState(false);
   const [submitMethod, setSubmitMethod] = useState<"horizon" | "rpc" | string>(
     "",
   );
@@ -129,7 +171,9 @@ export default function SubmitTransaction() {
   useEffect(() => {
     const localStorageMethod = localStorageSettings.get(SETTINGS_SUBMIT_METHOD);
 
-    if (localStorageMethod) {
+    if (isSorobanTx && isRpcAvailable) {
+      setSubmitMethod("rpc");
+    } else if (localStorageMethod) {
       setSubmitMethod(localStorageMethod);
     } else {
       setSubmitMethod(isRpcAvailable ? "rpc" : "horizon");
@@ -138,7 +182,7 @@ export default function SubmitTransaction() {
     resetSubmitState();
     // Not including resetSubmitState
     // eslint-disable-next-line react-hooks/exhaustive-deps
-  }, [isRpcAvailable]);
+  }, [isRpcAvailable, isSorobanTx]);
 
   // Scroll to response
   useScrollIntoView(isSuccess, responseSuccessEl);
@@ -497,6 +541,13 @@ export default function SubmitTransaction() {
     return null;
   };
 
+  useEffect(() => {
+    if (xdrJson?.jsonString) {
+      const hasSorobanOp = isSorobanXdr(xdrJson.jsonString);
+      setIsSorobanTx(hasSorobanOp);
+    }
+  }, [xdrJson?.jsonString]);
+
   return (
     <Box gap="md" data-testid="submit-tx-xdr">
       <PageCard heading="Submit Transaction">
diff --git a/tests/submitTransactionPage.test.ts b/tests/submitTransactionPage.test.ts
index afcb2c65..73a3245c 100644
--- a/tests/submitTransactionPage.test.ts
+++ b/tests/submitTransactionPage.test.ts
@@ -416,6 +416,25 @@ test.describe("Submit Transaction Page", () => {
       // Omitting the API end result because the test gives inconsistenet results
     });
   });
+
+  test.describe("Update default submit method to RPC when it is a Soroban XDR", () => {
+    test("Submit Soroban", async ({ page }) => {
+      const xdrInput = page.getByLabel(
+        "Input a base-64 encoded TransactionEnvelope",
+      );
+      const submitMethodsBtn = page
+        .locator(".SubmitTx__buttons")
+        .getByRole("button", { name: /via/i });
+
+      await expect(submitMethodsBtn).toBeVisible();
+
+      // Input the Soroban XDR
+      await xdrInput.fill(MOCK_VALID_SOROBAN_TX_XDR.XDR);
+
+      // Check if the submit method button shows RPC as default
+      await expect(submitMethodsBtn).toHaveText("via RPC");
+    });
+  });
 });
 
 const testSuccessHashAndJson = async ({
@@ -538,6 +557,12 @@ const MOCK_VALID_SUCCESS_TX_XDR_RPC = {
   hash: "00cb774dce521a93438236d49f8154ede32729a595c797d51c1a72c364056fd0",
 };
 
+const MOCK_VALID_SOROBAN_TX_XDR = {
+  XDR: "AAAAAgAAAAB+TL0HLiAjanMRnyeqyhb8Iu+4d1g2dl1cwPi1UZAigwAAtwUABiLjAAAAGQAAAAEAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAEAAAAAAAAAGQAAAAAAAHUwAAAAAQAAAAAAAAABAAAABgAAAAEg/u86MzPrVcpNrsFUa84T82Kss8DLAE9ZMxLqhM22HwAAABAAAAABAAAAAgAAAA8AAAAHQ291bnRlcgAAAAASAAAAAAAAAAB+TL0HLiAjanMRnyeqyhb8Iu+4d1g2dl1cwPi1UZAigwAAAAEAAAAAAAAAAAAAAAAAAAAAAAAAAAAAtqEAAAABUZAigwAAAEADYbntiznotYPblvJQ35DiGEpMTQU9jCYANxV18VVGV6zDFSjB+qK++dF656Pr4oMTpyBVvE15YSo6ITxR5DoE",
+  JSON: `{"tx":{"tx":{"source_account":"GB7EZPIHFYQCG2TTCGPSPKWKC36CF35YO5MDM5S5LTAPRNKRSARIHWGG","fee":46853,"seq_num":1727208213184537,"cond":{"time":{"min_time":0,"max_time":0}},"memo":"none","operations":[{"source_account":null,"body":{"extend_footprint_ttl":{"ext":"v0","extend_to":30000}}}],"ext":{"v1":{"ext":"v0","resources":{"footprint":{"read_only":[{"contract_data":{"contract":"CAQP53Z2GMZ6WVOKJWXMCVDLZYJ7GYVMWPAMWACPLEZRF2UEZW3B636S","key":{"vec":[{"symbol":"Counter"},{"address":"GB7EZPIHFYQCG2TTCGPSPKWKC36CF35YO5MDM5S5LTAPRNKRSARIHWGG"}]},"durability":"persistent"}}],"read_write":[]},"instructions":0,"read_bytes":0,"write_bytes":0},"resource_fee":46753}}},"signatures":[{"hint":"51902283","signature":"0361b9ed8b39e8b583db96f250df90e2184a4c4d053d8c2600371575f1554657acc31528c1faa2bef9d17ae7a3ebe28313a72055bc4d79612a3a213c51e43a04"}]}}`,
+  hash: "0571508f487a343006d231d11f201a855f67973e0e019da6164b32b992dab46f",
+};
+
 const MOCK_VALID_TX_SUCCESS_HORIZON_RESPONSE = {
   _links: {
     self: {