diff --git a/sentry/src/main/java/io/sentry/Baggage.java b/sentry/src/main/java/io/sentry/Baggage.java
index 4d7e76b170..6ede0a88df 100644
--- a/sentry/src/main/java/io/sentry/Baggage.java
+++ b/sentry/src/main/java/io/sentry/Baggage.java
@@ -221,21 +221,23 @@ public Baggage(final @NotNull Baggage baggage) {
 
   @ApiStatus.Internal
   static @NotNull Baggage copyWithOverrides(
-      final @NotNull Baggage baggage,
+      final @Nullable Baggage baggage,
       final @NotNull SentryId traceId,
       final @Nullable Double sampleRand) {
+    final @NotNull Baggage source =
+        baggage == null ? new Baggage(NoOpLogger.getInstance()) : baggage;
     final @NotNull ConcurrentHashMap<String, String> keyValues =
-        new ConcurrentHashMap<>(baggage.keyValues);
+        new ConcurrentHashMap<>(source.keyValues);
     keyValues.put(DSCKeys.TRACE_ID, traceId.toString());
 
     return new Baggage(
         keyValues,
-        baggage.sampleRate,
+        source.sampleRate,
         sampleRand,
-        baggage.thirdPartyHeader,
-        true,
-        false,
-        baggage.logger);
+        source.thirdPartyHeader,
+        source.mutable,
+        source.shouldFreeze,
+        source.logger);
   }
 
   @ApiStatus.Internal
diff --git a/sentry/src/main/java/io/sentry/TransactionContext.java b/sentry/src/main/java/io/sentry/TransactionContext.java
index 470e8f1975..c424750e69 100644
--- a/sentry/src/main/java/io/sentry/TransactionContext.java
+++ b/sentry/src/main/java/io/sentry/TransactionContext.java
@@ -44,7 +44,7 @@ public static TransactionContext fromPropagationContext(
       final @NotNull TransactionContext transactionContext) {
     final @NotNull Baggage baggage =
         Baggage.copyWithOverrides(
-            propagationContext.getBaggage(),
+            transactionContext.getBaggage(),
             propagationContext.getTraceId(),
             propagationContext.getSampleRand());
 
diff --git a/sentry/src/test/java/io/sentry/BaggageTest.kt b/sentry/src/test/java/io/sentry/BaggageTest.kt
index 950577698b..eb7e052a04 100644
--- a/sentry/src/test/java/io/sentry/BaggageTest.kt
+++ b/sentry/src/test/java/io/sentry/BaggageTest.kt
@@ -440,7 +440,7 @@ class BaggageTest {
   }
 
   @Test
-  fun `copy with overrides creates mutable baggage`() {
+  fun `copy with overrides preserves frozen state`() {
     val baggage =
       Baggage.fromHeader(
         "sentry-sample_rand=0.1,sentry-trace_id=75302ac48a024bde9a3b3734a82e36c8",
@@ -450,14 +450,24 @@ class BaggageTest {
 
     val copy = Baggage.copyWithOverrides(baggage, SentryId("aaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaa"), 0.2)
 
-    assertTrue(copy.isMutable)
-    assertFalse(copy.isShouldFreeze)
+    assertFalse(copy.isMutable)
+    assertTrue(copy.isShouldFreeze)
     assertEquals("aaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaa", copy.traceId)
     assertEquals(0.2, copy.sampleRand!!, 0.0001)
     assertEquals("75302ac48a024bde9a3b3734a82e36c8", baggage.traceId)
     assertEquals(0.1, baggage.sampleRand!!, 0.0001)
   }
 
+  @Test
+  fun `copy with overrides creates baggage when source is null`() {
+    val copy = Baggage.copyWithOverrides(null, SentryId("aaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaa"), 0.2)
+
+    assertTrue(copy.isMutable)
+    assertFalse(copy.isShouldFreeze)
+    assertEquals("aaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaa", copy.traceId)
+    assertEquals(0.2, copy.sampleRand!!, 0.0001)
+  }
+
   @Test
   fun `if header contains sentry values baggage is marked as shouldFreeze`() {
     val baggage =
diff --git a/sentry/src/test/java/io/sentry/TransactionContextTest.kt b/sentry/src/test/java/io/sentry/TransactionContextTest.kt
index bba16a581c..bef2f491e6 100644
--- a/sentry/src/test/java/io/sentry/TransactionContextTest.kt
+++ b/sentry/src/test/java/io/sentry/TransactionContextTest.kt
@@ -99,6 +99,7 @@ class TransactionContextTest {
   fun `fromPropagationContextAsRoot copies non trace state`() {
     val propagationBaggage = Baggage(NoOpLogger.getInstance())
     propagationBaggage.sampleRand = 0.42
+    propagationBaggage.publicKey = "propagation-public-key"
     val propagationContext =
       PropagationContext(
         SentryId("75302ac48a024bde9a3b3734a82e36c8"),
@@ -109,6 +110,7 @@ class TransactionContextTest {
       )
     val samplingDecision = TracesSamplingDecision(true, 0.3, true, 0.4)
     val transactionContext = TransactionContext("name", "op", samplingDecision)
+    transactionContext.baggage!!.publicKey = "transaction-public-key"
     transactionContext.transactionNameSource = TransactionNameSource.ROUTE
     transactionContext.description = "description"
     transactionContext.status = SpanStatus.OK
@@ -145,6 +147,7 @@ class TransactionContextTest {
     assertEquals(0.4, context.samplingDecision!!.profileSampleRate)
     assertEquals(0.42, context.baggage!!.sampleRand)
     assertEquals(propagationContext.traceId.toString(), context.baggage!!.traceId)
+    assertEquals("transaction-public-key", context.baggage!!.publicKey)
     assertNull(context.featureFlagBuffer.featureFlags)
   }