diff --git a/osu.Game.Tests/Visual/Navigation/TestSceneOsuGame.cs b/osu.Game.Tests/Visual/Navigation/TestSceneOsuGame.cs
index e4871f611e..c8ea692bb2 100644
--- a/osu.Game.Tests/Visual/Navigation/TestSceneOsuGame.cs
+++ b/osu.Game.Tests/Visual/Navigation/TestSceneOsuGame.cs
@@ -40,7 +40,7 @@ namespace osu.Game.Tests.Visual.Navigation
             typeof(DashboardOverlay),
             typeof(NewsOverlay),
             typeof(ChannelManager),
-            typeof(ChatOverlay),
+            typeof(ChatOverlayV2),
             typeof(SettingsOverlay),
             typeof(UserProfileOverlay),
             typeof(BeatmapSetOverlay),
diff --git a/osu.Game.Tests/Visual/Online/TestSceneChatOverlayV2.cs b/osu.Game.Tests/Visual/Online/TestSceneChatOverlayV2.cs
index e27db00003..7268dd31f6 100644
--- a/osu.Game.Tests/Visual/Online/TestSceneChatOverlayV2.cs
+++ b/osu.Game.Tests/Visual/Online/TestSceneChatOverlayV2.cs
@@ -63,7 +63,7 @@ namespace osu.Game.Tests.Visual.Online
                 Children = new Drawable[]
                 {
                     channelManager,
-                    chatOverlay = new TestChatOverlayV2 { RelativeSizeAxes = Axes.Both },
+                    chatOverlay = new TestChatOverlayV2(),
                 },
             };
         });
diff --git a/osu.Game/Configuration/OsuConfigManager.cs b/osu.Game/Configuration/OsuConfigManager.cs
index 20d555c16c..69e7dee1a5 100644
--- a/osu.Game/Configuration/OsuConfigManager.cs
+++ b/osu.Game/Configuration/OsuConfigManager.cs
@@ -46,7 +46,7 @@ namespace osu.Game.Configuration
 
             SetDefault(OsuSetting.RandomSelectAlgorithm, RandomSelectAlgorithm.RandomPermutation);
 
-            SetDefault(OsuSetting.ChatDisplayHeight, ChatOverlay.DEFAULT_HEIGHT, 0.2f, 1f);
+            SetDefault(OsuSetting.ChatDisplayHeight, ChatOverlayV2.DEFAULT_HEIGHT, 0.2f, 1f);
 
             SetDefault(OsuSetting.BeatmapListingCardSize, BeatmapCardSize.Normal);
 
diff --git a/osu.Game/OsuGame.cs b/osu.Game/OsuGame.cs
index 785881d97a..402bd94f31 100644
--- a/osu.Game/OsuGame.cs
+++ b/osu.Game/OsuGame.cs
@@ -75,7 +75,7 @@ namespace osu.Game
 
         public Toolbar Toolbar;
 
-        private ChatOverlay chatOverlay;
+        private ChatOverlayV2 chatOverlay;
 
         private ChannelManager channelManager;
 
@@ -848,7 +848,7 @@ namespace osu.Game
             loadComponentSingleFile(news = new NewsOverlay(), overlayContent.Add, true);
             var rankingsOverlay = loadComponentSingleFile(new RankingsOverlay(), overlayContent.Add, true);
             loadComponentSingleFile(channelManager = new ChannelManager(), AddInternal, true);
-            loadComponentSingleFile(chatOverlay = new ChatOverlay(), overlayContent.Add, true);
+            loadComponentSingleFile(chatOverlay = new ChatOverlayV2(), overlayContent.Add, true);
             loadComponentSingleFile(new MessageNotifier(), AddInternal, true);
             loadComponentSingleFile(Settings = new SettingsOverlay(), leftFloatingOverlayContent.Add, true);
             loadComponentSingleFile(changelogOverlay = new ChangelogOverlay(), overlayContent.Add, true);
diff --git a/osu.Game/Overlays/ChatOverlayV2.cs b/osu.Game/Overlays/ChatOverlayV2.cs
index ef479ea21b..441042432a 100644
--- a/osu.Game/Overlays/ChatOverlayV2.cs
+++ b/osu.Game/Overlays/ChatOverlayV2.cs
@@ -47,8 +47,9 @@ namespace osu.Game.Overlays
         private bool isDraggingTopBar;
         private float dragStartChatHeight;
 
+        public const float DEFAULT_HEIGHT = 0.4f;
+
         private const int transition_length = 500;
-        private const float default_chat_height = 0.4f;
         private const float top_bar_height = 40;
         private const float side_bar_width = 190;
         private const float chat_bar_height = 60;
@@ -70,7 +71,7 @@ namespace osu.Game.Overlays
 
         public ChatOverlayV2()
         {
-            Height = default_chat_height;
+            Height = DEFAULT_HEIGHT;
 
             Masking = true;
 
@@ -82,6 +83,7 @@ namespace osu.Game.Overlays
             Margin = new MarginPadding { Bottom = -corner_radius };
             Padding = new MarginPadding { Bottom = corner_radius };
 
+            RelativeSizeAxes = Axes.Both;
             Anchor = Anchor.BottomCentre;
             Origin = Anchor.BottomCentre;
         }
@@ -294,6 +296,10 @@ namespace osu.Game.Overlays
                     });
                 }
             }
+
+            // Mark channel as read when channel switched
+            if (newChannel.Messages.Any())
+                channelManager.MarkChannelAsRead(newChannel);
         }
 
         protected virtual ChatOverlayDrawableChannel CreateDrawableChannel(Channel newChannel) => new ChatOverlayDrawableChannel(newChannel);
diff --git a/osu.Game/Overlays/Profile/Header/Components/MessageUserButton.cs b/osu.Game/Overlays/Profile/Header/Components/MessageUserButton.cs
index e3dc5f818a..eafb453f75 100644
--- a/osu.Game/Overlays/Profile/Header/Components/MessageUserButton.cs
+++ b/osu.Game/Overlays/Profile/Header/Components/MessageUserButton.cs
@@ -27,7 +27,7 @@ namespace osu.Game.Overlays.Profile.Header.Components
         private UserProfileOverlay userOverlay { get; set; }
 
         [Resolved(CanBeNull = true)]
-        private ChatOverlay chatOverlay { get; set; }
+        private ChatOverlayV2 chatOverlay { get; set; }
 
         [Resolved]
         private IAPIProvider apiProvider { get; set; }
diff --git a/osu.Game/Overlays/Toolbar/ToolbarChatButton.cs b/osu.Game/Overlays/Toolbar/ToolbarChatButton.cs
index 2d3b33e9bc..20f405aae2 100644
--- a/osu.Game/Overlays/Toolbar/ToolbarChatButton.cs
+++ b/osu.Game/Overlays/Toolbar/ToolbarChatButton.cs
@@ -17,7 +17,7 @@ namespace osu.Game.Overlays.Toolbar
         }
 
         [BackgroundDependencyLoader(true)]
-        private void load(ChatOverlay chat)
+        private void load(ChatOverlayV2 chat)
         {
             StateContainer = chat;
         }