diff --git a/src/avalanche/peermanager.h b/src/avalanche/peermanager.h
--- a/src/avalanche/peermanager.h
+++ b/src/avalanche/peermanager.h
@@ -144,6 +144,7 @@
     REJECTED,
     COOLDOWN_NOT_ELAPSED,
     DANGLING,
+    MISSING_UTXO,
 };
 
 class ProofRegistrationState : public ValidationState<ProofRegistrationResult> {
diff --git a/src/avalanche/peermanager.cpp b/src/avalanche/peermanager.cpp
--- a/src/avalanche/peermanager.cpp
+++ b/src/avalanche/peermanager.cpp
@@ -255,6 +255,12 @@
             return invalidate(ProofRegistrationResult::ORPHAN, "orphan-proof");
         }
 
+        if (validationState.GetResult() ==
+            ProofValidationResult::MISSING_UTXO) {
+            return invalidate(ProofRegistrationResult::MISSING_UTXO,
+                              "utxo-missing-or-spent");
+        }
+
         // Reject invalid proof.
         return invalidate(ProofRegistrationResult::INVALID, "invalid-proof");
     }
diff --git a/src/avalanche/test/peermanager_tests.cpp b/src/avalanche/test/peermanager_tests.cpp
--- a/src/avalanche/test/peermanager_tests.cpp
+++ b/src/avalanche/test/peermanager_tests.cpp
@@ -2039,4 +2039,17 @@
     gArgs.ClearForcedArg("-enableavalancheproofreplacement");
 }
 
+BOOST_AUTO_TEST_CASE(register_proof_missing_utxo) {
+    ChainstateManager &chainman = *Assert(m_node.chainman);
+    avalanche::PeerManager pm(chainman);
+
+    CKey key = CKey::MakeCompressedKey();
+    auto proof =
+        buildProofWithOutpoints(key, {{TxId(GetRandHash()), 0}}, 10 * COIN);
+
+    ProofRegistrationState state;
+    BOOST_CHECK(!pm.registerProof(proof, state));
+    BOOST_CHECK(state.GetResult() == ProofRegistrationResult::MISSING_UTXO);
+}
+
 BOOST_AUTO_TEST_SUITE_END()
diff --git a/src/net_processing.cpp b/src/net_processing.cpp
--- a/src/net_processing.cpp
+++ b/src/net_processing.cpp
@@ -7120,6 +7120,12 @@
         return false;
     }
 
+    if (state.GetResult() == avalanche::ProofRegistrationResult::MISSING_UTXO) {
+        // This is possible that a proof contains a utxo we don't know yet, so
+        // don't ban for this.
+        return false;
+    }
+
     if (!g_avalanche->addProofToReconcile(proof)) {
         LogPrint(BCLog::AVALANCHE,
                  "Not polling the avalanche proof (%s): peer=%d, proofid %s\n",
diff --git a/test/functional/abc_p2p_proof_inventory.py b/test/functional/abc_p2p_proof_inventory.py
--- a/test/functional/abc_p2p_proof_inventory.py
+++ b/test/functional/abc_p2p_proof_inventory.py
@@ -9,7 +9,12 @@
 import time
 
 from test_framework.address import ADDRESS_ECREG_UNSPENDABLE
-from test_framework.avatools import gen_proof, get_proof_ids, wait_for_proof
+from test_framework.avatools import (
+    avalanche_proof_from_hex,
+    gen_proof,
+    get_proof_ids,
+    wait_for_proof,
+)
 from test_framework.messages import (
     MSG_AVA_PROOF,
     MSG_TYPE_MASK,
@@ -129,11 +134,29 @@
         _, bad_proof = self.generate_proof(node)
         bad_proof.stakes = []
 
+        privkey = node.get_deterministic_priv_key().key
+        missing_stake = node.buildavalancheproof(
+            1, 0, privkey, [{
+                'txid': '0' * 64,
+                'vout': 0,
+                'amount': 10000000,
+                'height': 42,
+                'iscoinbase': False,
+                'privatekey': privkey,
+            }]
+        )
+
         self.restart_node(0, ['-enableavalanche=1'])
 
         peer = node.add_p2p_connection(P2PInterface())
-
         msg = msg_avaproof()
+
+        # Sending a proof with a missing utxo doesn't trigger a ban
+        msg.proof = avalanche_proof_from_hex(missing_stake)
+        with node.assert_debug_log(["received: avaproof"], ["Misbehaving"]):
+            peer.send_message(msg)
+            peer.sync_with_ping()
+
         msg.proof = bad_proof
         with node.assert_debug_log([
             'Misbehaving',