diff --git a/src/wallet/wallet.h b/src/wallet/wallet.h
--- a/src/wallet/wallet.h
+++ b/src/wallet/wallet.h
@@ -1217,11 +1217,11 @@
 
     /**
      * Set the current HD master key (will reset the chain child index counters)
-     * If possibleOldChain is provided, the parameters from the old chain
-     * (version) will be preserved.
+     * Sets the master key's version based on the current wallet version (so the
+     * caller must ensure the current wallet version is correct before calling
+     *  this function).
      */
-    bool SetHDMasterKey(const CPubKey &key,
-                        CHDChain *possibleOldChain = nullptr);
+    bool SetHDMasterKey(const CPubKey &key);
 
     /**
      * Blocks until the wallet state is up-to-date to /at least/ the current
diff --git a/src/wallet/wallet.cpp b/src/wallet/wallet.cpp
--- a/src/wallet/wallet.cpp
+++ b/src/wallet/wallet.cpp
@@ -751,12 +751,7 @@
 
         // If we are using HD, replace the HD master key (seed) with a new one.
         if (IsHDEnabled()) {
-            CKey key;
-            CPubKey masterPubKey = GenerateNewHDMasterKey();
-            // preserve the old chains version to not break backward
-            // compatibility
-            CHDChain oldChain = GetHDChain();
-            if (!SetHDMasterKey(masterPubKey, &oldChain)) {
+            if (!SetHDMasterKey(GenerateNewHDMasterKey())) {
                 return false;
             }
         }
@@ -1545,17 +1540,15 @@
     return pubkey;
 }
 
-bool CWallet::SetHDMasterKey(const CPubKey &pubkey,
-                             CHDChain *possibleOldChain) {
+bool CWallet::SetHDMasterKey(const CPubKey &pubkey) {
     LOCK(cs_wallet);
 
     // Store the keyid (hash160) together with the child index counter in the
     // database as a hdchain object.
     CHDChain newHdChain;
-    if (possibleOldChain) {
-        // preserve the old chains version
-        newHdChain.nVersion = possibleOldChain->nVersion;
-    }
+    newHdChain.nVersion = CanSupportFeature(FEATURE_HD_SPLIT)
+                              ? CHDChain::VERSION_HD_CHAIN_SPLIT
+                              : CHDChain::VERSION_HD_BASE;
     newHdChain.masterKeyID = pubkey.GetID();
     SetHDChain(newHdChain, false);