diff --git a/protocol/app/upgrades.go b/protocol/app/upgrades.go
index b71b0bb5b1..41d69b8577 100644
--- a/protocol/app/upgrades.go
+++ b/protocol/app/upgrades.go
@@ -29,6 +29,7 @@ func (app *App) setupUpgradeHandlers() {
 		v4_0_0.CreateUpgradeHandler(
 			app.ModuleManager,
 			app.configurator,
+			app.RatelimitKeeper,
 		),
 	)
 }
diff --git a/protocol/app/upgrades/v4.0.0/upgrade.go b/protocol/app/upgrades/v4.0.0/upgrade.go
index 5342e146b7..5e6e368826 100644
--- a/protocol/app/upgrades/v4.0.0/upgrade.go
+++ b/protocol/app/upgrades/v4.0.0/upgrade.go
@@ -7,17 +7,26 @@ import (
 	upgradetypes "cosmossdk.io/x/upgrade/types"
 	sdk "github.com/cosmos/cosmos-sdk/types"
 	"github.com/cosmos/cosmos-sdk/types/module"
+
+	ratelimitkeeper "github.com/dydxprotocol/v4-chain/protocol/x/ratelimit/keeper"
+	ratelimittypes "github.com/dydxprotocol/v4-chain/protocol/x/ratelimit/types"
 )
 
 func CreateUpgradeHandler(
 	mm *module.Manager,
 	configurator module.Configurator,
+	rateLimitKeepr ratelimitkeeper.Keeper,
 ) upgradetypes.UpgradeHandler {
 	return func(ctx context.Context, plan upgradetypes.Plan, vm module.VersionMap) (module.VersionMap, error) {
 		sdkCtx := sdk.UnwrapSDKContext(ctx)
 		sdkCtx.Logger().Info(fmt.Sprintf("Running %s Upgrade...", UpgradeName))
 
-		// TODO(CORE-824): Initialize ratelimit module params to desired state.
+		if err := rateLimitKeepr.SetLimitParams(
+			sdkCtx,
+			ratelimittypes.DefaultUsdcRateLimitParams(),
+		); err != nil {
+			panic(fmt.Sprintf("failed to set default x/ratelimit params: %s", err))
+		}
 
 		return mm.RunMigrations(ctx, configurator, vm)
 	}