diff --git a/account-kit/react/src/components/auth/card/loading/oauth.tsx b/account-kit/react/src/components/auth/card/loading/oauth.tsx
index 6a1ceef5fb..b243af8a36 100644
--- a/account-kit/react/src/components/auth/card/loading/oauth.tsx
+++ b/account-kit/react/src/components/auth/card/loading/oauth.tsx
@@ -1,3 +1,4 @@
+import { OauthCancelledError } from "@account-kit/signer";
 import { useEffect } from "react";
 import { useSignerStatus } from "../../../../hooks/useSignerStatus.js";
 import { ContinueWithOAuth } from "../../../../icons/oauth.js";
@@ -5,7 +6,6 @@ import { capitalize } from "../../../../utils.js";
 import { useAuthContext } from "../../context.js";
 import { useOAuthVerify } from "../../hooks/useOAuthVerify.js";
 import { ConnectionError } from "../error/connection-error.js";
-import { OauthCancelledError } from "@account-kit/signer";
 
 export const CompletingOAuth = () => {
   const { isConnected } = useSignerStatus();
@@ -15,11 +15,7 @@ export const CompletingOAuth = () => {
 
   useEffect(() => {
     if (isConnected) {
-      if (authStep.createPasskeyAfter) {
-        setAuthStep({ type: "passkey_create" });
-      } else {
-        setAuthStep({ type: "complete" });
-      }
+      setAuthStep({ type: "complete" });
     } else if (oauthWasCancelled) {
       setAuthStep({ type: "initial" });
     }
diff --git a/account-kit/react/src/components/auth/modal.tsx b/account-kit/react/src/components/auth/modal.tsx
index 6da25f4acb..04317b7bb1 100644
--- a/account-kit/react/src/components/auth/modal.tsx
+++ b/account-kit/react/src/components/auth/modal.tsx
@@ -1,8 +1,8 @@
 import { useCallback } from "react";
 import { useNewUserSignup } from "../../hooks/internal/useNewUserSignup.js";
 import { useAuthModal } from "../../hooks/useAuthModal.js";
-import { useSignerStatus } from "../../hooks/useSignerStatus.js";
 import { useUiConfig } from "../../hooks/useUiConfig.js";
+import { useSignerStatus } from "../../index.js";
 import { Dialog } from "../dialog/dialog.js";
 import { AuthCardContent } from "./card/index.js";
 import { useAuthContext } from "./context.js";
@@ -16,19 +16,19 @@ export const AuthModal = () => {
     })
   );
 
-  const { setAuthStep } = useAuthContext();
+  const { setAuthStep, authStep } = useAuthContext();
   const { isOpen, closeAuthModal, openAuthModal } = useAuthModal();
 
   const handleSignup = useCallback(() => {
-    if (addPasskeyOnSignup && !isOpen) {
+    if (addPasskeyOnSignup) {
       openAuthModal();
       setAuthStep({
         type: "passkey_create",
       });
     }
-  }, [addPasskeyOnSignup, isOpen, openAuthModal, setAuthStep]);
+  }, [addPasskeyOnSignup, openAuthModal, setAuthStep]);
 
-  useNewUserSignup(handleSignup, isConnected);
+  useNewUserSignup(handleSignup, isConnected && authStep.type === "complete");
 
   return (
     <Dialog isOpen={isOpen} onClose={closeAuthModal}>
diff --git a/account-kit/react/src/hooks/useAuthModal.ts b/account-kit/react/src/hooks/useAuthModal.ts
index 17fc83185a..06d4fcc6a7 100644
--- a/account-kit/react/src/hooks/useAuthModal.ts
+++ b/account-kit/react/src/hooks/useAuthModal.ts
@@ -33,7 +33,9 @@ export const useAuthModal = () => {
   );
 
   const openAuthModal = useCallback(() => setModalOpen(true), [setModalOpen]);
-  const closeAuthModal = useCallback(() => setModalOpen(false), [setModalOpen]);
+  const closeAuthModal = useCallback(() => {
+    setModalOpen(false);
+  }, [setModalOpen]);
 
   return {
     isOpen,
diff --git a/account-kit/signer/src/base.ts b/account-kit/signer/src/base.ts
index ecd2a973ae..b07cbc107b 100644
--- a/account-kit/signer/src/base.ts
+++ b/account-kit/signer/src/base.ts
@@ -843,6 +843,11 @@ export abstract class BaseAlchemySigner<TClient extends BaseSignerClient>
         }
       })();
 
+      // trigger new user event on signer from client
+      this.inner.on("newUserSignup", () => {
+        this.emitNewUserEvent(true);
+      });
+
       this.store.setState({
         status,
         error: null,
diff --git a/account-kit/signer/src/client/index.ts b/account-kit/signer/src/client/index.ts
index f7d4409be7..87fccdc50f 100644
--- a/account-kit/signer/src/client/index.ts
+++ b/account-kit/signer/src/client/index.ts
@@ -463,6 +463,7 @@ export class AlchemySignerWebClient extends BaseSignerClient<ExportWalletParams>
       "_blank",
       "popup,width=500,height=600"
     );
+    const eventEmitter = this.eventEmitter;
     return new Promise((resolve, reject) => {
       const handleMessage = (event: MessageEvent) => {
         if (!event.data) {
@@ -472,6 +473,7 @@ export class AlchemySignerWebClient extends BaseSignerClient<ExportWalletParams>
           alchemyBundle: bundle,
           alchemyOrgId: orgId,
           alchemyIdToken: idToken,
+          alchemyIsSignup: isSignup,
           alchemyError,
         } = event.data;
         if (bundle && orgId && idToken) {
@@ -483,7 +485,13 @@ export class AlchemySignerWebClient extends BaseSignerClient<ExportWalletParams>
             connectedEventName: "connectedOauth",
             idToken,
             authenticatingType: "oauth",
-          }).then(resolve, reject);
+          }).then((user) => {
+            if (isSignup) {
+              eventEmitter.emit("newUserSignup");
+            }
+
+            resolve(user);
+          }, reject);
         } else if (alchemyError) {
           cleanup();
           popup?.close();
diff --git a/account-kit/signer/src/client/types.ts b/account-kit/signer/src/client/types.ts
index c0c980e3d6..152c611f98 100644
--- a/account-kit/signer/src/client/types.ts
+++ b/account-kit/signer/src/client/types.ts
@@ -142,6 +142,7 @@ export type AuthenticatingEventMetadata = {
 
 export type AlchemySignerClientEvents = {
   connected(user: User): void;
+  newUserSignup(): void;
   authenticating(data: AuthenticatingEventMetadata): void;
   connectedEmail(user: User, bundle: string): void;
   connectedPasskey(user: User): void;
diff --git a/examples/embedded-accounts-quickstart b/examples/embedded-accounts-quickstart
index e4d61eb57c..63d936ebe9 160000
--- a/examples/embedded-accounts-quickstart
+++ b/examples/embedded-accounts-quickstart
@@ -1 +1 @@
-Subproject commit e4d61eb57c094b0c566dfe8570fe04e11365e260
+Subproject commit 63d936ebe94c65e5a12e41805bee1a5e9a29ed96