diff --git a/internal/p2p/peermanager.go b/internal/p2p/peermanager.go
index eee4cb28c..450f854df 100644
--- a/internal/p2p/peermanager.go
+++ b/internal/p2p/peermanager.go
@@ -130,6 +130,10 @@ type PeerManagerOptions struct {
 	// retry times, to avoid thundering herds. 0 disables jitter.
 	RetryTimeJitter time.Duration
 
+	// Maximum number of times we will try to dial a peer before
+	// marking it inactive.
+	MaxFailedDialAttempts uint32
+
 	// PeerScores sets fixed scores for specific peers. It is mainly used
 	// for testing. A score of 0 is ignored.
 	PeerScores map[types.NodeID]PeerScore
@@ -542,6 +546,17 @@ func (m *PeerManager) DialFailed(ctx context.Context, address NodeAddress) error
 
 	addressInfo.LastDialFailure = time.Now().UTC()
 	addressInfo.DialFailures++
+
+	var totalDialFailures uint32
+	for _, addr := range peer.AddressInfo {
+		totalDialFailures += addr.DialFailures
+	}
+
+	if m.options.MaxFailedDialAttempts > 0 && totalDialFailures > m.options.MaxFailedDialAttempts {
+		peer.Inactive = true
+		m.metrics.PeersInactivated.Add(1)
+	}
+
 	if err := m.store.Set(peer); err != nil {
 		return err
 	}
diff --git a/node/setup.go b/node/setup.go
index 60f50b4f9..4d1ee503d 100644
--- a/node/setup.go
+++ b/node/setup.go
@@ -230,6 +230,7 @@ func createPeerManager(
 		SelfAddress:            selfAddr,
 		MaxConnected:           maxConns,
 		MaxConnectedUpgrade:    maxUpgradeConns,
+		MaxFailedDialAttempts:  1024,
 		MaxPeers:               maxUpgradeConns + 2*maxConns,
 		MinRetryTime:           250 * time.Millisecond,
 		MaxRetryTime:           30 * time.Minute,