diff --git a/executor.go b/executor.go
index 1707342..3d91748 100644
--- a/executor.go
+++ b/executor.go
@@ -148,7 +148,7 @@ func (s *executor) run(mainCtx context.Context,
 			go func() {
 				defer s.wg.Done()
 
-				err := newSwap.execute(mainCtx, &executeConfig{
+				err := newSwap.execute(mainCtx, &s.wg, &executeConfig{
 					statusChan:         statusChan,
 					sweeper:            s.sweeper,
 					blockEpochChan:     queue.ChanOut(),
diff --git a/loopin.go b/loopin.go
index 2bd2c32..c925702 100644
--- a/loopin.go
+++ b/loopin.go
@@ -69,8 +69,6 @@ type loopInSwap struct {
 	htlcTxHash *chainhash.Hash
 
 	timeoutAddr btcutil.Address
-
-	wg sync.WaitGroup
 }
 
 // loopInInitResult contains information about a just-initiated loop in swap.
@@ -487,9 +485,7 @@ func (s *loopInSwap) sendUpdate(ctx context.Context) error {
 // execute starts/resumes the swap. It is a thin wrapper around executeSwap to
 // conveniently handle the error case.
 func (s *loopInSwap) execute(mainCtx context.Context,
-	cfg *executeConfig, height int32) error {
-
-	defer s.wg.Wait()
+	wg *sync.WaitGroup, cfg *executeConfig, height int32) error {
 
 	s.executeConfig = *cfg
 	s.height = height
@@ -497,14 +493,17 @@ func (s *loopInSwap) execute(mainCtx context.Context,
 	// Create context for our state subscription which we will cancel once
 	// swap execution has completed, ensuring that we kill the subscribe
 	// goroutine.
-	subCtx, cancel := context.WithCancel(mainCtx)
-	defer cancel()
+	swapCtx, swapCancel := context.WithCancel(mainCtx)
 
-	s.wg.Add(1)
+	wg.Add(1)
 	go func() {
-		defer s.wg.Done()
+		defer wg.Done()
+
+		logCtx, logCancel := context.WithCancel(swapCtx)
+		defer logCancel()
+
 		subscribeAndLogUpdates(
-			subCtx, s.hash, s.log, s.server.SubscribeLoopInUpdates,
+			logCtx, s.hash, s.log, s.server.SubscribeLoopInUpdates,
 		)
 	}()
 
@@ -516,11 +515,13 @@ func (s *loopInSwap) execute(mainCtx context.Context,
 
 	// Execute the swap until it either reaches a final state or a temporary
 	// error occurs.
-	err = s.executeSwap(mainCtx)
+	err = s.executeSwap(swapCtx, swapCancel, wg)
 
 	// Sanity check. If there is no error, the swap must be in a final
-	// state.
-	if err == nil && s.state.Type() == loopdb.StateTypePending {
+	// state. A settled invoice for a loop-in is considered a final state.
+	if err == nil && s.state.Type() == loopdb.StateTypePending &&
+		s.state != loopdb.StateInvoiceSettled {
+
 		err = fmt.Errorf("swap in non-final state %v", s.state)
 	}
 
@@ -550,8 +551,17 @@ func (s *loopInSwap) execute(mainCtx context.Context,
 }
 
 // executeSwap executes the swap.
-func (s *loopInSwap) executeSwap(globalCtx context.Context) error {
+func (s *loopInSwap) executeSwap(swapCtx context.Context,
+	swapCancel context.CancelFunc, wg *sync.WaitGroup) error {
+
 	var err error
+	shouldCancel := true
+
+	defer func() {
+		if shouldCancel {
+			swapCancel()
+		}
+	}()
 
 	// For loop in, the client takes the first step by publishing the
 	// on-chain htlc. Only do this if we haven't already done so in a
@@ -562,12 +572,12 @@ func (s *loopInSwap) executeSwap(globalCtx context.Context) error {
 			// HtlcPublished state directly and wait for
 			// confirmation.
 			s.setState(loopdb.StateHtlcPublished)
-			err = s.persistAndAnnounceState(globalCtx)
+			err = s.persistAndAnnounceState(swapCtx)
 			if err != nil {
 				return err
 			}
 		} else {
-			published, err := s.publishOnChainHtlc(globalCtx)
+			published, err := s.publishOnChainHtlc(swapCtx)
 			if err != nil {
 				return err
 			}
@@ -579,7 +589,7 @@ func (s *loopInSwap) executeSwap(globalCtx context.Context) error {
 
 	// Wait for the htlc to confirm. After a restart, this will pick up a
 	// previously published tx.
-	conf, err := s.waitForHtlcConf(globalCtx)
+	conf, err := s.waitForHtlcConf(swapCtx)
 	if err != nil {
 		return err
 	}
@@ -596,24 +606,53 @@ func (s *loopInSwap) executeSwap(globalCtx context.Context) error {
 	// amount. Otherwise, fail the swap immediately.
 	if htlcValue != s.LoopInContract.AmountRequested {
 		s.setState(loopdb.StateFailIncorrectHtlcAmt)
-		return s.persistAndAnnounceState(globalCtx)
+
+		return s.persistAndAnnounceState(swapCtx)
 	}
 
 	// The server is expected to see the htlc on-chain and know that it can
 	// sweep that htlc with the preimage, it should pay our swap invoice,
-	// receive the preimage and sweep the htlc. We are waiting for this to
-	// happen and simultaneously watch the htlc expiry height. When the htlc
+	// receive the preimage and sweep the htlc. We won't wait for the htlc
+	// sweep to occur but instead consider the swap successful if the
+	// invoice is settled or cancelled. Therefor we monitor the invoice
+	// settlement and htlc process in a separate goroutine. If the invoice
+	// is settled or cancelled we notify the main goroutine on the
+	// invFinalizedChan to continue processing the next swap. The separate
+	// goroutine will continue to watch out for a htlc spend while
+	// simultaneously watching the htlc's expiry height. When the htlc
 	// expires, we will publish a timeout tx to reclaim the funds.
-	err = s.waitForSwapComplete(globalCtx, htlcOutpoint, htlcValue)
-	if err != nil {
-		return err
-	}
+	var (
+		invFinalizedChan = make(chan bool)
+		errChan          = make(chan error)
+	)
+	wg.Add(1)
+	go func() {
+		defer wg.Done()
+		defer swapCancel()
 
-	// Persist swap outcome.
-	if err := s.persistAndAnnounceState(globalCtx); err != nil {
+		err = s.waitForSwapComplete(
+			swapCtx, invFinalizedChan, htlcOutpoint, htlcValue,
+		)
+		if err != nil {
+			errChan <- err
+		}
+	}()
+
+	select {
+	// If the swap invoice is cancelled or settled we continue with the
+	// execution of the next swap.
+	case <-invFinalizedChan:
+
+	case err := <-errChan:
 		return err
+
+	case <-swapCtx.Done():
+		return swapCtx.Err()
+
 	}
 
+	shouldCancel = false
+
 	return nil
 }
 
@@ -793,13 +832,16 @@ func getTxFee(tx *wire.MsgTx, fee chainfee.SatPerKVByte) btcutil.Amount {
 // waitForSwapComplete waits until a spending tx of the htlc gets confirmed and
 // the swap invoice is either settled or canceled. If the htlc times out, the
 // timeout tx will be published.
-func (s *loopInSwap) waitForSwapComplete(ctx context.Context,
-	htlcOutpoint *wire.OutPoint, htlcValue btcutil.Amount) error {
+func (s *loopInSwap) waitForSwapComplete(swapCtx context.Context,
+	invFinalizedChan chan<- bool, htlcOutpoint *wire.OutPoint,
+	htlcValue btcutil.Amount) error {
 
 	// Register the htlc spend notification.
-	rpcCtx, cancel := context.WithCancel(ctx)
+	rpcCtx, cancel := context.WithCancel(swapCtx)
 	defer cancel()
-	spendChan, spendErr, err := s.lnd.ChainNotifier.RegisterSpendNtfn(
+
+	notifier := s.lnd.ChainNotifier
+	spendChan, spendErr, err := notifier.RegisterSpendNtfn(
 		rpcCtx, htlcOutpoint, s.htlc.PkScript, s.InitiationHeight,
 	)
 	if err != nil {
@@ -807,10 +849,11 @@ func (s *loopInSwap) waitForSwapComplete(ctx context.Context,
 	}
 
 	// Register for swap invoice updates.
-	rpcCtx, cancel = context.WithCancel(ctx)
+	rpcCtx, cancel = context.WithCancel(swapCtx)
 	defer cancel()
 	s.log.Infof("Subscribing to swap invoice %v", s.hash)
-	swapInvoiceChan, swapInvoiceErr, err := s.lnd.Invoices.SubscribeSingleInvoice(
+	invoices := s.lnd.Invoices
+	swapInvoiceChan, swapInvoiceErr, err := invoices.SubscribeSingleInvoice(
 		rpcCtx, s.hash,
 	)
 	if err != nil {
@@ -821,7 +864,9 @@ func (s *loopInSwap) waitForSwapComplete(ctx context.Context,
 	// expired.
 	publishTxOnTimeout := func() (btcutil.Amount, error) {
 		if s.height >= s.LoopInContract.CltvExpiry {
-			return s.publishTimeoutTx(ctx, htlcOutpoint, htlcValue)
+			return s.publishTimeoutTx(
+				swapCtx, htlcOutpoint, htlcValue,
+			)
 		}
 
 		return 0, nil
@@ -829,20 +874,21 @@ func (s *loopInSwap) waitForSwapComplete(ctx context.Context,
 
 	// Check timeout at current height. After a restart we may want to
 	// publish the tx immediately.
-	var sweepFee btcutil.Amount
-	sweepFee, err = publishTxOnTimeout()
+	sweepFee, err := publishTxOnTimeout()
 	if err != nil {
-		return err
+		return fmt.Errorf("publishing timeout tx error: %v", err)
 	}
 
-	htlcSpend := false
-	invoiceFinalized := false
-	htlcKeyRevealed := false
-	for !htlcSpend || !invoiceFinalized {
+	var (
+		htlcSpent        = false
+		invoiceFinalized = false
+		htlcKeyRevealed  = false
+	)
+	for !htlcSpent || !invoiceFinalized {
 		select {
 		// Spend notification error.
-		case err := <-spendErr:
-			return err
+		case spendError := <-spendErr:
+			s.log.Errorf("spend error: %v", spendError)
 
 		// Receive block epochs and start publishing the timeout tx
 		// whenever possible.
@@ -851,27 +897,33 @@ func (s *loopInSwap) waitForSwapComplete(ctx context.Context,
 
 			sweepFee, err = publishTxOnTimeout()
 			if err != nil {
-				return err
+				s.log.Errorf("publishing timout tx error: %v",
+					err)
 			}
 
 			if invoiceFinalized && !htlcKeyRevealed {
-				htlcKeyRevealed = s.tryPushHtlcKey(ctx)
+				htlcKeyRevealed = s.tryPushHtlcKey(swapCtx)
 			}
 
 		// The htlc spend is confirmed. Inspect the spending tx to
 		// determine the final swap state.
 		case spendDetails := <-spendChan:
-			s.log.Infof("Htlc spend by tx: %v",
+			s.log.Errorf("htlc spend by tx: %v",
 				spendDetails.SpenderTxHash)
 
 			err := s.processHtlcSpend(
-				ctx, spendDetails, htlcValue, sweepFee,
+				swapCtx, spendDetails, htlcValue, sweepFee,
 			)
 			if err != nil {
-				return err
+				s.log.Errorf("process spend error: %v", err)
 			}
 
-			htlcSpend = true
+			err = s.persistAndAnnounceState(swapCtx)
+			if err != nil {
+				s.log.Errorf("announce spend error: %v", err)
+			}
+
+			htlcSpent = true
 
 		// Swap invoice ntfn error.
 		case err, ok := <-swapInvoiceErr:
@@ -910,27 +962,49 @@ func (s *loopInSwap) waitForSwapComplete(ctx context.Context,
 				// in the expected order, move the swap to an
 				// intermediate state that indicates that the
 				// swap is complete from the user point of view,
-				// but still incomplete with regards to
-				// accounting data.
+				// but still incomplete in regard to accounting
+				// data.
 				if s.state == loopdb.StateHtlcPublished {
 					s.setState(loopdb.StateInvoiceSettled)
-					err := s.persistAndAnnounceState(ctx)
+					err := s.persistAndAnnounceState(
+						swapCtx,
+					)
 					if err != nil {
 						return err
 					}
 				}
 
 				invoiceFinalized = true
-				htlcKeyRevealed = s.tryPushHtlcKey(ctx)
+				htlcKeyRevealed = s.tryPushHtlcKey(swapCtx)
+
+				// Notify the main goroutine that the swap
+				// is finalized from the client's perspective. A
+				// new swap can be started while this goroutine
+				// is waiting for processing the on-chain spend.
+				select {
+				case invFinalizedChan <- invoiceFinalized:
+				case <-swapCtx.Done():
+				}
 
 			// Canceled invoice has no effect on server cost
 			// balance.
 			case invpkg.ContractCanceled:
+				// The timeout transaction was published and the
+				// invoice cancelled.
 				invoiceFinalized = true
+
+				// Notify the main goroutine that the swap
+				// is finalized from the client's perspective. A
+				// new swap can be started.
+				select {
+				case invFinalizedChan <- invoiceFinalized:
+				case <-swapCtx.Done():
+				}
 			}
 
-		case <-ctx.Done():
-			return ctx.Err()
+		case <-swapCtx.Done():
+			return swapCtx.Err()
+
 		}
 	}
 
@@ -993,7 +1067,10 @@ func (s *loopInSwap) processHtlcSpend(ctx context.Context,
 		// already settled. This means that the server didn't succeed in
 		// sweeping the htlc after paying the invoice.
 		err := s.lnd.Invoices.CancelInvoice(ctx, s.hash)
-		if err != nil && err != invpkg.ErrInvoiceAlreadySettled {
+		isInvoiceAlreadySettled := errors.Is(
+			err, invpkg.ErrInvoiceAlreadySettled,
+		)
+		if err != nil && !isInvoiceAlreadySettled {
 			return err
 		}
 	}
diff --git a/loopin_test.go b/loopin_test.go
index 52dee18..4f37a6f 100644
--- a/loopin_test.go
+++ b/loopin_test.go
@@ -65,7 +65,9 @@ func testLoopInSuccess(t *testing.T) {
 
 	errChan := make(chan error)
 	go func() {
-		err := inSwap.execute(context.Background(), ctx.cfg, height)
+		err := inSwap.execute(
+			context.Background(), ctx.wg, ctx.cfg, height,
+		)
 		if err != nil {
 			log.Error(err)
 		}
@@ -217,7 +219,9 @@ func testLoopInTimeout(t *testing.T, externalValue int64) {
 
 	errChan := make(chan error)
 	go func() {
-		err := inSwap.execute(context.Background(), ctx.cfg, height)
+		err := inSwap.execute(
+			context.Background(), ctx.wg, ctx.cfg, height,
+		)
 		if err != nil {
 			log.Error(err)
 		}
@@ -470,7 +474,9 @@ func testLoopInResume(t *testing.T, state loopdb.SwapState, expired bool,
 
 	errChan := make(chan error)
 	go func() {
-		err := inSwap.execute(context.Background(), ctx.cfg, height)
+		err := inSwap.execute(
+			context.Background(), ctx.wg, ctx.cfg, height,
+		)
 		if err != nil {
 			log.Error(err)
 		}
diff --git a/loopin_testcontext_test.go b/loopin_testcontext_test.go
index 7d3ffcd..fddd363 100644
--- a/loopin_testcontext_test.go
+++ b/loopin_testcontext_test.go
@@ -1,6 +1,7 @@
 package loop
 
 import (
+	"sync"
 	"testing"
 	"time"
 
@@ -23,6 +24,7 @@ type loopInTestContext struct {
 	cfg            *executeConfig
 	statusChan     chan SwapInfo
 	blockEpochChan chan interface{}
+	wg             *sync.WaitGroup
 
 	swapInvoiceSubscription *test.SingleInvoiceSubscription
 }
@@ -58,6 +60,7 @@ func newLoopInTestContext(t *testing.T) *loopInTestContext {
 		cfg:            &cfg,
 		statusChan:     statusChan,
 		blockEpochChan: blockEpochChan,
+		wg:             &sync.WaitGroup{},
 	}
 }
 
diff --git a/loopout.go b/loopout.go
index f9f372a..82c9356 100644
--- a/loopout.go
+++ b/loopout.go
@@ -346,7 +346,7 @@ func (s *loopOutSwap) sendUpdate(ctx context.Context) error {
 
 // execute starts/resumes the swap. It is a thin wrapper around
 // executeAndFinalize to conveniently handle the error case.
-func (s *loopOutSwap) execute(mainCtx context.Context,
+func (s *loopOutSwap) execute(mainCtx context.Context, _ *sync.WaitGroup,
 	cfg *executeConfig, height int32) error {
 
 	defer s.wg.Wait()
diff --git a/loopout_test.go b/loopout_test.go
index 31a3ed5..103582e 100644
--- a/loopout_test.go
+++ b/loopout_test.go
@@ -84,7 +84,7 @@ func testLoopOutPaymentParameters(t *testing.T) {
 	swapCtx, cancel := context.WithCancel(context.Background())
 
 	go func() {
-		err := swap.execute(swapCtx, &executeConfig{
+		err := swap.execute(swapCtx, nil, &executeConfig{
 			statusChan:       statusChan,
 			sweeper:          sweeper,
 			blockEpochChan:   blockEpochChan,
@@ -194,7 +194,7 @@ func testLateHtlcPublish(t *testing.T) {
 
 	errChan := make(chan error)
 	go func() {
-		err := swap.execute(context.Background(), &executeConfig{
+		err := swap.execute(context.Background(), nil, &executeConfig{
 			statusChan:       statusChan,
 			sweeper:          sweeper,
 			blockEpochChan:   blockEpochChan,
@@ -295,7 +295,7 @@ func testCustomSweepConfTarget(t *testing.T) {
 
 	errChan := make(chan error)
 	go func() {
-		err := swap.execute(context.Background(), &executeConfig{
+		err := swap.execute(context.Background(), nil, &executeConfig{
 			statusChan:       statusChan,
 			blockEpochChan:   blockEpochChan,
 			timerFactory:     timerFactory,
@@ -513,7 +513,7 @@ func testPreimagePush(t *testing.T) {
 
 	errChan := make(chan error)
 	go func() {
-		err := swap.execute(context.Background(), &executeConfig{
+		err := swap.execute(context.Background(), nil, &executeConfig{
 			statusChan:       statusChan,
 			blockEpochChan:   blockEpochChan,
 			timerFactory:     timerFactory,
@@ -749,7 +749,9 @@ func testFailedOffChainCancelation(t *testing.T) {
 			verifySchnorrSig: mockVerifySchnorrSigFail,
 		}
 
-		err := swap.execute(context.Background(), cfg, ctx.Lnd.Height)
+		err := swap.execute(
+			context.Background(), nil, cfg, ctx.Lnd.Height,
+		)
 		errChan <- err
 	}()
 
@@ -903,7 +905,7 @@ func TestLoopOutMuSig2Sweep(t *testing.T) {
 	}
 
 	go func() {
-		err := swap.execute(context.Background(), &executeConfig{
+		err := swap.execute(context.Background(), nil, &executeConfig{
 			statusChan:       statusChan,
 			blockEpochChan:   blockEpochChan,
 			timerFactory:     timerFactory,
diff --git a/swap.go b/swap.go
index 61db839..b0ab69c 100644
--- a/swap.go
+++ b/swap.go
@@ -2,6 +2,7 @@ package loop
 
 import (
 	"context"
+	"sync"
 	"time"
 
 	"github.com/btcsuite/btcd/chaincfg"
@@ -121,7 +122,7 @@ func (s *swapKit) swapInfo() *SwapInfo {
 }
 
 type genericSwap interface {
-	execute(mainCtx context.Context, cfg *executeConfig,
+	execute(mainCtx context.Context, wg *sync.WaitGroup, cfg *executeConfig,
 		height int32) error
 }