diff --git a/types/mempool/priority_nonce.go b/types/mempool/priority_nonce.go
index e8db75b9f5c8..eba8311b3205 100644
--- a/types/mempool/priority_nonce.go
+++ b/types/mempool/priority_nonce.go
@@ -29,6 +29,7 @@ type priorityNonceMempool struct {
 	senderIndices  map[string]*skiplist.SkipList
 	scores         map[txMeta]txMeta
 	onRead         func(tx sdk.Tx)
+	maxTx          int
 }
 
 type priorityNonceIterator struct {
@@ -84,13 +85,24 @@ func txMetaLess(a, b any) int {
 
 type PriorityNonceMempoolOption func(*priorityNonceMempool)
 
-// WithOnRead sets a callback to be called when a tx is read from the mempool.
-func WithOnRead(onRead func(tx sdk.Tx)) PriorityNonceMempoolOption {
+// PriorityNonceWithOnRead sets a callback to be called when a tx is read from the mempool.
+func PriorityNonceWithOnRead(onRead func(tx sdk.Tx)) PriorityNonceMempoolOption {
 	return func(mp *priorityNonceMempool) {
 		mp.onRead = onRead
 	}
 }
 
+// PriorityNonceWithMaxTx sets the maximum number of transactions allowed in the mempool with the semantics:
+//
+// <0: disabled, `Insert` is a no-op
+// 0: unlimited
+// >0: maximum number of transactions allowed
+func PriorityNonceWithMaxTx(maxTx int) PriorityNonceMempoolOption {
+	return func(mp *priorityNonceMempool) {
+		mp.maxTx = maxTx
+	}
+}
+
 // DefaultPriorityMempool returns a priorityNonceMempool with no options.
 func DefaultPriorityMempool() Mempool {
 	return NewPriorityMempool()
@@ -123,6 +135,12 @@ func NewPriorityMempool(opts ...PriorityNonceMempoolOption) Mempool {
 // Inserting a duplicate tx with a different priority overwrites the existing tx,
 // changing the total order of the mempool.
 func (mp *priorityNonceMempool) Insert(ctx context.Context, tx sdk.Tx) error {
+	if mp.maxTx > 0 && mp.CountTx() >= mp.maxTx {
+		return ErrMempoolTxMaxCapacity
+	} else if mp.maxTx < 0 {
+		return nil
+	}
+
 	sigs, err := tx.(signing.SigVerifiableTx).GetSignaturesV2()
 	if err != nil {
 		return err
diff --git a/types/mempool/priority_nonce_test.go b/types/mempool/priority_nonce_test.go
index f75b59b4a263..d5d76d747b54 100644
--- a/types/mempool/priority_nonce_test.go
+++ b/types/mempool/priority_nonce_test.go
@@ -373,7 +373,7 @@ func validateOrder(mtxs []sdk.Tx) error {
 
 func (s *MempoolTestSuite) TestRandomGeneratedTxs() {
 	s.iterations = 0
-	s.mempool = mempool.NewPriorityMempool(mempool.WithOnRead(func(tx sdk.Tx) {
+	s.mempool = mempool.NewPriorityMempool(mempool.PriorityNonceWithOnRead(func(tx sdk.Tx) {
 		s.iterations++
 	}))
 	t := s.T()
@@ -582,3 +582,60 @@ func TestTxOrderN(t *testing.T) {
 		fmt.Printf("%s, %d, %d\n", tx.address, tx.priority, tx.nonce)
 	}
 }
+
+func TestTxLimit(t *testing.T) {
+	accounts := simtypes.RandomAccounts(rand.New(rand.NewSource(0)), 2)
+	ctx := sdk.NewContext(nil, tmproto.Header{}, false, log.NewNopLogger())
+	sa := accounts[0].Address
+	sb := accounts[1].Address
+
+	txs := []testTx{
+		{priority: 20, nonce: 1, address: sa},
+		{priority: 21, nonce: 1, address: sb},
+		{priority: 15, nonce: 2, address: sa},
+		{priority: 88, nonce: 2, address: sb},
+		{priority: 66, nonce: 3, address: sa},
+		{priority: 15, nonce: 3, address: sb},
+		{priority: 20, nonce: 4, address: sa},
+		{priority: 21, nonce: 4, address: sb},
+		{priority: 88, nonce: 5, address: sa},
+		{priority: 66, nonce: 5, address: sb},
+	}
+
+	// unlimited
+	mp := mempool.NewPriorityMempool(mempool.PriorityNonceWithMaxTx(0))
+	for i, tx := range txs {
+		c := ctx.WithPriority(tx.priority)
+		require.NoError(t, mp.Insert(c, tx))
+		require.Equal(t, i+1, mp.CountTx())
+	}
+	mp = mempool.NewPriorityMempool()
+	for i, tx := range txs {
+		c := ctx.WithPriority(tx.priority)
+		require.NoError(t, mp.Insert(c, tx))
+		require.Equal(t, i+1, mp.CountTx())
+	}
+
+	// limit: 3
+	mp = mempool.NewPriorityMempool(mempool.PriorityNonceWithMaxTx(3))
+	for i, tx := range txs {
+		c := ctx.WithPriority(tx.priority)
+		err := mp.Insert(c, tx)
+		if i < 3 {
+			require.NoError(t, err)
+			require.Equal(t, i+1, mp.CountTx())
+		} else {
+			require.ErrorIs(t, err, mempool.ErrMempoolTxMaxCapacity)
+			require.Equal(t, 3, mp.CountTx())
+		}
+	}
+
+	// disabled
+	mp = mempool.NewPriorityMempool(mempool.PriorityNonceWithMaxTx(-1))
+	for _, tx := range txs {
+		c := ctx.WithPriority(tx.priority)
+		err := mp.Insert(c, tx)
+		require.NoError(t, err)
+		require.Equal(t, 0, mp.CountTx())
+	}
+}