diff --git a/CHANGELOG.md b/CHANGELOG.md
index b937ec675f9..d9c0639a97a 100644
--- a/CHANGELOG.md
+++ b/CHANGELOG.md
@@ -52,6 +52,8 @@ and this project adheres to [Semantic Versioning](https://semver.org/spec/v2.0.0
 
 ### State Compatible
 
+* [#8398](https://github.com/osmosis-labs/osmosis/pull/8398) Lower JSON unmarshalling overhead in IBC packet logic.
+
 ## v25.0.3
 
 * [#8329](https://github.com/osmosis-labs/osmosis/pull/8329) Overwrite `flush_throttle_timeout` to 80ms instead of 10ms
diff --git a/x/ibc-rate-limit/ibc_module.go b/x/ibc-rate-limit/ibc_module.go
index cdc12880fcd..dd4b9c40470 100644
--- a/x/ibc-rate-limit/ibc_module.go
+++ b/x/ibc-rate-limit/ibc_module.go
@@ -11,7 +11,6 @@ import (
 	sdkerrors "github.com/cosmos/cosmos-sdk/types/errors"
 
 	capabilitytypes "github.com/cosmos/ibc-go/modules/capability/types"
-	transfertypes "github.com/cosmos/ibc-go/v8/modules/apps/transfer/types"
 	clienttypes "github.com/cosmos/ibc-go/v8/modules/core/02-client/types"
 	channeltypes "github.com/cosmos/ibc-go/v8/modules/core/04-channel/types"
 	porttypes "github.com/cosmos/ibc-go/v8/modules/core/05-port/types"
@@ -110,12 +109,17 @@ func (im *IBCModule) OnChanCloseConfirm(
 	return im.app.OnChanCloseConfirm(ctx, portID, channelID)
 }
 
+type receiverParser struct {
+	Receiver string `protobuf:"bytes,4,opt,name=receiver,proto3" json:"receiver,omitempty"`
+}
+
 func ValidateReceiverAddress(packet exported.PacketI) error {
-	var packetData transfertypes.FungibleTokenPacketData
-	if err := json.Unmarshal(packet.GetData(), &packetData); err != nil {
+	var receiverObj receiverParser
+
+	if err := json.Unmarshal(packet.GetData(), &receiverObj); err != nil {
 		return err
 	}
-	if len(packetData.Receiver) >= 4096 {
+	if len(receiverObj.Receiver) >= 4096 {
 		return errorsmod.Wrapf(sdkerrors.ErrInvalidAddress, "IBC Receiver address too long. Max supported length is %d", 4096)
 	}
 	return nil