diff --git a/src/db-sql/migration.ts b/src/db-sql/migration.ts
index 6ed1c1e2..246e96df 100644
--- a/src/db-sql/migration.ts
+++ b/src/db-sql/migration.ts
@@ -157,15 +157,32 @@ const MIGRATIONS = [
       SELECT 1, NULL, datetime('now') 
       WHERE NOT EXISTS (SELECT 1 FROM active_identity WHERE id = 1);
       
-      -- Add hasBackedUpSeed field to settings (consolidated from 003b)
-      -- This may fail if column already exists from master branch migration
-      -- The error handling will catch this and mark migration as applied
-      ALTER TABLE settings ADD COLUMN hasBackedUpSeed BOOLEAN DEFAULT FALSE;
+      -- MIGRATE EXISTING DATA: Copy activeDid from settings to active_identity
+      -- This prevents data loss when migration runs on existing databases
+      UPDATE active_identity 
+      SET activeDid = (SELECT activeDid FROM settings WHERE id = 1), 
+          lastUpdated = datetime('now')
+      WHERE id = 1 
+      AND EXISTS (SELECT 1 FROM settings WHERE id = 1 AND activeDid IS NOT NULL AND activeDid != '');
+      
+      -- Debug: Log the migration result
+      SELECT 'DEBUG: ActiveDid migration result' as debug_message, 
+             (SELECT activeDid FROM active_identity WHERE id = 1) as migrated_activeDid,
+             (SELECT activeDid FROM settings WHERE id = 1) as original_activeDid;
       
       -- Debug: Verify the row was inserted
       SELECT 'DEBUG: Row count after insertion' as debug_message, COUNT(*) as row_count FROM active_identity;
     `,
   },
+  {
+    name: "003b_add_hasBackedUpSeed_to_settings",
+    sql: `
+      -- Add hasBackedUpSeed field to settings
+      -- This may fail if column already exists from master branch migration
+      -- The error handling will catch this and mark migration as applied
+      ALTER TABLE settings ADD COLUMN hasBackedUpSeed BOOLEAN DEFAULT FALSE;
+    `,
+  },
 ];
 
 /**