diff --git a/src/libs/util.ts b/src/libs/util.ts
index dda77a70..d6418c05 100644
--- a/src/libs/util.ts
+++ b/src/libs/util.ts
@@ -656,7 +656,8 @@ export async function saveNewIdentity(
     ];
     await platformService.dbExec(sql, params);
 
-    await platformService.updateDefaultSettings({ activeDid: identity.did });
+    // Update active identity in the active_identity table instead of settings
+    await platformService.updateActiveDid(identity.did);
 
     await platformService.insertNewDidIntoSettings(identity.did);
   } catch (error) {
@@ -715,7 +716,8 @@ export const registerSaveAndActivatePasskey = async (
 ): Promise<Account> => {
   const account = await registerAndSavePasskey(keyName);
   const platformService = await getPlatformService();
-  await platformService.updateDefaultSettings({ activeDid: account.did });
+  // Update active identity in the active_identity table instead of settings
+  await platformService.updateActiveDid(account.did);
   await platformService.updateDidSpecificSettings(account.did, {
     isRegistered: false,
   });
diff --git a/vite.config.common.mts b/vite.config.common.mts
index 1736e288..2783adf0 100644
--- a/vite.config.common.mts
+++ b/vite.config.common.mts
@@ -19,6 +19,12 @@ export async function createBuildConfig(platform: string): Promise<UserConfig> {
 
   // Set platform - PWA is always enabled for web platforms
   process.env.VITE_PLATFORM = platform;
+  
+  // Set development API servers for local development
+  if (process.env.NODE_ENV === 'development') {
+    process.env.VITE_DEFAULT_ENDORSER_API_SERVER = 'http://localhost:3000';
+    process.env.VITE_DEFAULT_PARTNER_API_SERVER = 'http://localhost:3000';
+  }
 
   return {
     base: "/",