diff --git a/src/crypto/ecies.ts b/src/crypto/ecies.ts
index 73fed0e9..056d325a 100644
--- a/src/crypto/ecies.ts
+++ b/src/crypto/ecies.ts
@@ -88,7 +88,7 @@ function getAes(
 const aesCbcEncrypt = getAes('encrypt')
 const aesCbcDecrypt = getAes('decrypt')
 
-async function hmacSha256Sign(key: Buffer, msg: Buffer) {
+export async function hmacSha256Sign(key: Buffer, msg: Buffer) {
   const newKey = await subtle.importKey(
     'raw',
     key,
diff --git a/src/crypto/encryption.ts b/src/crypto/encryption.ts
index 0e9460ac..6c0fd67e 100644
--- a/src/crypto/encryption.ts
+++ b/src/crypto/encryption.ts
@@ -71,7 +71,11 @@ function aesGcmParams(
 
 // Derive AES-256-GCM key from a shared secret and salt.
 // Returns crypto.CryptoKey suitable for the encrypt/decrypt API
-async function hkdf(secret: Uint8Array, salt: Uint8Array): Promise<CryptoKey> {
+export async function hkdf(
+  secret: Uint8Array,
+  salt: Uint8Array,
+  extractable = false
+): Promise<CryptoKey> {
   const key = await crypto.subtle.importKey('raw', secret, 'HKDF', false, [
     'deriveKey',
   ])
@@ -79,7 +83,7 @@ async function hkdf(secret: Uint8Array, salt: Uint8Array): Promise<CryptoKey> {
     { name: 'HKDF', hash: 'SHA-256', salt, info: hkdfNoInfo },
     key,
     { name: 'AES-GCM', length: 256 },
-    false,
+    extractable,
     ['encrypt', 'decrypt']
   )
 }
diff --git a/src/keystore/InMemoryKeystore.ts b/src/keystore/InMemoryKeystore.ts
index 15663705..fd59a28b 100644
--- a/src/keystore/InMemoryKeystore.ts
+++ b/src/keystore/InMemoryKeystore.ts
@@ -23,10 +23,14 @@ import {
   getKeyMaterial,
   topicDataToConversationReference,
 } from './utils'
-import { nsToDate } from '../utils'
+import { nsToDate, buildDirectMessageTopicV2 } from '../utils'
 import InviteStore from './InviteStore'
 import { Persistence } from './persistence'
 import LocalAuthenticator from '../authn/LocalAuthenticator'
+import { sha256 } from 'ethers/lib/utils'
+import { hmacSha256Sign } from '../crypto/ecies'
+import { KDFSaltSize } from '../crypto/Ciphertext'
+import { hkdf, crypto } from '../crypto/encryption'
 const { ErrorCode } = keystore
 
 export default class InMemoryKeystore implements Keystore {
@@ -248,9 +252,43 @@ export default class InMemoryKeystore implements Keystore {
           'missing recipient'
         )
       }
-      const invitation = InvitationV1.createRandom(req.context)
+      // const invitation = InvitationV1.createRandom(req.context)
       const created = nsToDate(req.createdNs)
       const recipient = toSignedPublicKeyBundle(req.recipient)
+
+      const secret = await this.v2Keys.sharedSecret(
+        recipient,
+        this.v2Keys.getCurrentPreKey().publicKey,
+        false
+      )
+
+      const msg = new TextEncoder().encode(
+        JSON.stringify({
+          conversationId: req.context?.conversationId || '',
+          participants: [
+            this.accountAddress,
+            await recipient.walletSignatureAddress(),
+          ].sort(),
+        })
+      )
+
+      const topic = sha256(
+        await hmacSha256Sign(Buffer.from(secret), Buffer.from(msg))
+      )
+
+      const salt = getRandomValues(new Uint8Array(KDFSaltSize))
+      const derivedKey = await hkdf(secret, salt, true)
+
+      const keyMaterial = new Uint8Array(
+        await crypto.subtle.exportKey('raw', derivedKey)
+      )
+
+      const invitation = new InvitationV1({
+        topic: buildDirectMessageTopicV2(topic),
+        aes256GcmHkdfSha256: { keyMaterial },
+        context: req.context,
+      })
+
       const sealed = await SealedInvitation.createV1({
         sender: this.v2Keys,
         recipient,
diff --git a/test/keystore/InMemoryKeystore.test.ts b/test/keystore/InMemoryKeystore.test.ts
index 777edcae..6ba0f38a 100644
--- a/test/keystore/InMemoryKeystore.test.ts
+++ b/test/keystore/InMemoryKeystore.test.ts
@@ -457,7 +457,13 @@ describe('InMemoryKeystore', () => {
       const shuffled = [...timestamps].sort(() => Math.random() - 0.5)
 
       await Promise.all(
-        shuffled.map((createdAt) => {
+        shuffled.map(async (createdAt) => {
+          let keys = await PrivateKeyBundleV1.generate(newWallet())
+
+          const recipient = SignedPublicKeyBundle.fromLegacyBundle(
+            keys.getPublicKeyBundle()
+          )
+
           return aliceKeystore.createInvite({
             recipient,
             createdNs: dateToNs(createdAt),