diff --git a/src/lib.rs b/src/lib.rs
index ea17ffb661..4c39170999 100644
--- a/src/lib.rs
+++ b/src/lib.rs
@@ -651,6 +651,7 @@ impl Node {
 				// First tick fires immediately; consume it so we don't run at t=0.
 				pending_htlc_interval.tick().await;
 				expiry_check_interval.tick().await;
+				let lm = liquidity_handler.liquidity_manager();
 				loop {
 					tokio::select! {
 						_ = stop_liquidity_handler.changed() => {
@@ -666,7 +667,9 @@ impl Node {
 						_ = expiry_check_interval.tick() => {
 							liquidity_handler.handle_expired_htlcs().await;
 						}
-						_ = liquidity_handler.handle_next_event() => {}
+						event = lm.next_event_async() => {
+							liquidity_handler.handle_event(event).await;
+						}
 					}
 				}
 			});
diff --git a/src/liquidity.rs b/src/liquidity.rs
index 986cca1bbc..83a0e70558 100644
--- a/src/liquidity.rs
+++ b/src/liquidity.rs
@@ -519,8 +519,12 @@ where
 		}
 	}
 
-	pub(crate) async fn handle_next_event(&self) {
-		match self.liquidity_manager.next_event_async().await {
+	/// Handles a single liquidity event. Must be called from a context that
+	/// guarantees the future runs to completion (e.g. a `select!` handler block),
+	/// since event processing includes `.await` points that are not
+	/// cancellation-safe.
+	pub(crate) async fn handle_event(&self, event: LiquidityEvent) {
+		match event {
 			LiquidityEvent::LSPS1Client(LSPS1ClientEvent::SupportedOptionsReady {
 				request_id,
 				counterparty_node_id,