diff --git a/changelog.md b/changelog.md
index ab39e0560f..bee9749eea 100644
--- a/changelog.md
+++ b/changelog.md
@@ -41,6 +41,7 @@
 - [#4295](https://github.com/ignite/cli/pull/4295) Stop scaffolding `pulsar` files
 - [#4317](https://github.com/ignite/cli/pull/4317) Remove xchisel dependency
 - [#4361](https://github.com/ignite/cli/pull/4361) Remove unused `KeyPrefix` method
+- [#4376](https://github.com/ignite/cli/pull/4376) Set different chain-id for in place testnet
 
 ### Fixes
 
diff --git a/ignite/cmd/testnet_inplace.go b/ignite/cmd/testnet_inplace.go
index d5102a9e67..dd9bc6d77b 100644
--- a/ignite/cmd/testnet_inplace.go
+++ b/ignite/cmd/testnet_inplace.go
@@ -1,6 +1,8 @@
 package ignitecmd
 
 import (
+	"fmt"
+
 	"github.com/spf13/cobra"
 
 	sdk "github.com/cosmos/cosmos-sdk/types"
@@ -121,7 +123,7 @@ func testnetInplace(cmd *cobra.Command, session *cliui.Session) error {
 	}
 
 	args := chain.InPlaceArgs{
-		NewChainID:         chainID,
+		NewChainID:         fmt.Sprintf("local%s", chainID),
 		NewOperatorAddress: operatorAddress.String(),
 		AccountsToFund:     accounts,
 	}