diff --git a/src/proto_alpha/lib_protocol/bootstrap_storage.ml b/src/proto_alpha/lib_protocol/bootstrap_storage.ml
index ef3d318ab579597fd5c6de7637a1181757e721bd..2fa101d4d61b64090a3b92e91643b8b06de019b4 100644
--- a/src/proto_alpha/lib_protocol/bootstrap_storage.ml
+++ b/src/proto_alpha/lib_protocol/bootstrap_storage.ml
@@ -90,7 +90,13 @@ let init_account (ctxt, balance_updates)
             ctxt
             (`Contract contract)
             (`Frozen_deposits public_key_hash)
-            amount_to_freeze)
+            amount_to_freeze
+          >>=? fun (ctxt, balance_updates) ->
+          Staking_pseudotokens_storage
+          .init_frozen_deposits_pseudotokens_from_frozen_deposits_balance
+            ctxt
+            contract
+          >|=? fun ctxt -> (ctxt, balance_updates))
   | None ->
       fail_when
         (Option.is_some delegate_to)
diff --git a/src/proto_alpha/lib_protocol/init_storage.ml b/src/proto_alpha/lib_protocol/init_storage.ml
index fbbee67e3ac05b96a054e677fd6ee15f029f5171..8e97b0ceef4ef9f4af34f719b20ff0fd5c1aa912 100644
--- a/src/proto_alpha/lib_protocol/init_storage.ml
+++ b/src/proto_alpha/lib_protocol/init_storage.ml
@@ -151,6 +151,20 @@ let initialize_total_supply_for_o ctxt =
     ctxt
     (Tez_repr.of_mutez_exn 940_000_000_000_000L)
 
+(** Initializes frozen deposits pseudotokens for all existing delegates. *)
+let init_delegates_frozen_deposits_pseudotokens_for_o ctxt =
+  Delegate_storage.fold
+    ctxt
+    ~order:`Undefined
+    ~init:(ok ctxt)
+    ~f:(fun delegate ctxt ->
+      let open Lwt_result_syntax in
+      let*? ctxt in
+      Staking_pseudotokens_storage
+      .init_frozen_deposits_pseudotokens_from_frozen_deposits_balance
+        ctxt
+        (Contract_repr.Implicit delegate))
+
 (** Migration of the context field storing the Liquidity Baking
     EMA. The key of the field is renamed from
     "liquidity_baking_escape_ema" to "liquidity_baking_toggle_ema" and
@@ -273,7 +287,9 @@ let prepare_first_block _chain_id ctxt ~typecheck_smart_contract
       Remove_zero_amount_ticket_migration_for_o.remove_zero_ticket_entries ctxt
       >>= fun ctxt ->
       migrate_liquidity_baking_ema ctxt >>=? fun ctxt ->
-      Adaptive_inflation_storage.init_ema ctxt >>=? fun ctxt -> return (ctxt, []))
+      Adaptive_inflation_storage.init_ema ctxt >>=? fun ctxt ->
+      init_delegates_frozen_deposits_pseudotokens_for_o ctxt >>=? fun ctxt ->
+      return (ctxt, []))
   >>=? fun (ctxt, balance_updates) ->
   List.fold_left_es patch_script ctxt Legacy_script_patches.addresses_to_patch
   >>=? fun ctxt ->
diff --git a/src/proto_alpha/lib_protocol/staking_pseudotokens_storage.ml b/src/proto_alpha/lib_protocol/staking_pseudotokens_storage.ml
index bc7cf45c70fed02e1a85312f3d72e2448d6ef63b..7439e943ce1abbd33657812ae50f12464980e9c0 100644
--- a/src/proto_alpha/lib_protocol/staking_pseudotokens_storage.ml
+++ b/src/proto_alpha/lib_protocol/staking_pseudotokens_storage.ml
@@ -23,6 +23,35 @@
 (*                                                                           *)
 (*****************************************************************************)
 
+let init_frozen_deposits_pseudotokens_from_frozen_deposits_tez ctxt contract
+    ~frozen_deposits_tez =
+  let open Lwt_result_syntax in
+  let initial_pseudotokens =
+    Staking_pseudotoken_repr.of_int64_exn
+      (Tez_repr.to_mutez frozen_deposits_tez)
+  in
+  let+ ctxt =
+    Storage.Contract.Frozen_deposits_pseudotokens.init
+      ctxt
+      contract
+      initial_pseudotokens
+  in
+  (ctxt, initial_pseudotokens)
+
+let init_frozen_deposits_pseudotokens_from_frozen_deposits_balance ctxt contract
+    =
+  let open Lwt_result_syntax in
+  let* {current_amount = frozen_deposits_tez; initial_amount = _} =
+    Frozen_deposits_storage.get ctxt contract
+  in
+  let+ ctxt, _pseudotokens =
+    init_frozen_deposits_pseudotokens_from_frozen_deposits_tez
+      ctxt
+      contract
+      ~frozen_deposits_tez
+  in
+  ctxt
+
 (** Avoids a stitching.
     Initializes contract's pseudotokens so that 1 pseudotoken = 1 mutez. *)
 let get_or_init_frozen_deposits_pseudotokens ctxt contract ~frozen_deposits_tez
@@ -33,17 +62,10 @@ let get_or_init_frozen_deposits_pseudotokens ctxt contract ~frozen_deposits_tez
   in
   match frozen_deposits_pseudotokens_opt with
   | None ->
-      let initial_pseudotokens =
-        Staking_pseudotoken_repr.of_int64_exn
-          (Tez_repr.to_mutez frozen_deposits_tez)
-      in
-      let+ ctxt =
-        Storage.Contract.Frozen_deposits_pseudotokens.init
-          ctxt
-          contract
-          initial_pseudotokens
-      in
-      (ctxt, initial_pseudotokens)
+      init_frozen_deposits_pseudotokens_from_frozen_deposits_tez
+        ctxt
+        contract
+        ~frozen_deposits_tez
   | Some frozen_deposits_pseudotokens ->
       return (ctxt, frozen_deposits_pseudotokens)
 
diff --git a/src/proto_alpha/lib_protocol/staking_pseudotokens_storage.mli b/src/proto_alpha/lib_protocol/staking_pseudotokens_storage.mli
index 2f8523e46d0a6af78a1d73d32859504745af61f3..d272ba9b10c7ced1c84562dec23442469e45bb06 100644
--- a/src/proto_alpha/lib_protocol/staking_pseudotokens_storage.mli
+++ b/src/proto_alpha/lib_protocol/staking_pseudotokens_storage.mli
@@ -27,6 +27,14 @@
     {!Storage.Contract.Frozen_deposits_pseudotokens} and
     {!Storage.Contract.Costaking_pseudotokens} tables. *)
 
+(** [init_frozen_deposits_pseudotokens_from_frozen_deposits_balance ctxt contract]
+    initializes [contract]'s frozen deposits pseudotokens usings [contract]'s
+    current frozen deposits tez.
+    This function must be called whenever a contract's frozen deposits tez are
+    initialized. *)
+val init_frozen_deposits_pseudotokens_from_frozen_deposits_balance :
+  Raw_context.t -> Contract_repr.t -> Raw_context.t tzresult Lwt.t
+
 (** [frozen_deposits_pseudotokens_for_tez_amount ctxt delegate tez_amount]
     returns the amount of [delegate]'s stake pseudotokens the [tez_amount] is
     currently worth.