diff --git a/web3.js/src/connection.js b/web3.js/src/connection.js
index c52802f525..3788e2ce0b 100644
--- a/web3.js/src/connection.js
+++ b/web3.js/src/connection.js
@@ -19,6 +19,8 @@ import type {FeeCalculator} from './fee-calculator';
 import type {Account} from './account';
 import type {TransactionSignature} from './transaction';
 
+export const BLOCKHASH_CACHE_TIMEOUT_MS = 30 * 1000;
+
 type RpcRequest = (methodName: string, args: Array<any>) => any;
 
 /**
@@ -975,7 +977,7 @@ export class Connection {
   _commitment: ?Commitment;
   _blockhashInfo: {
     recentBlockhash: Blockhash | null,
-    seconds: number,
+    lastFetch: Date,
     transactionSignatures: Array<string>,
   };
   _disableBlockhashCaching: boolean = false;
@@ -1011,7 +1013,7 @@ export class Connection {
     this._commitment = commitment;
     this._blockhashInfo = {
       recentBlockhash: null,
-      seconds: -1,
+      lastFetch: new Date(0),
       transactionSignatures: [],
     };
 
@@ -1731,10 +1733,10 @@ export class Connection {
     } else {
       for (;;) {
         // Attempt to use a recent blockhash for up to 30 seconds
-        const seconds = new Date().getSeconds();
         if (
           this._blockhashInfo.recentBlockhash != null &&
-          this._blockhashInfo.seconds < seconds + 30
+          Date.now() - this._blockhashInfo.lastFetch <
+            BLOCKHASH_CACHE_TIMEOUT_MS
         ) {
           transaction.recentBlockhash = this._blockhashInfo.recentBlockhash;
           transaction.sign(...signers);
@@ -1748,7 +1750,7 @@ export class Connection {
           if (!this._blockhashInfo.transactionSignatures.includes(signature)) {
             this._blockhashInfo.transactionSignatures.push(signature);
             if (this._disableBlockhashCaching) {
-              this._blockhashInfo.seconds = -1;
+              this._blockhashInfo.lastFetch = new Date(0);
             }
             break;
           }
@@ -1763,7 +1765,7 @@ export class Connection {
           if (this._blockhashInfo.recentBlockhash != blockhash) {
             this._blockhashInfo = {
               recentBlockhash: blockhash,
-              seconds: new Date().getSeconds(),
+              lastFetch: new Date(),
               transactionSignatures: [],
             };
             break;
diff --git a/web3.js/test/connection.test.js b/web3.js/test/connection.test.js
index 79274797e5..2613fea710 100644
--- a/web3.js/test/connection.test.js
+++ b/web3.js/test/connection.test.js
@@ -14,12 +14,11 @@ import {mockRpc, mockRpcEnabled} from './__mocks__/node-fetch';
 import {mockGetRecentBlockhash} from './mockrpc/get-recent-blockhash';
 import {url} from './url';
 import {sleep} from '../src/util/sleep';
+import {BLOCKHASH_CACHE_TIMEOUT_MS} from '../src/connection';
 import type {SignatureStatus, TransactionError} from '../src/connection';
 
-if (!mockRpcEnabled) {
-  // Testing max commitment level takes around 20s to complete
-  jest.setTimeout(30000);
-}
+// Testing blockhash cache takes around 30s to complete
+jest.setTimeout(40000);
 
 const errorMessage = 'Invalid';
 const errorResponse = {
@@ -46,7 +45,7 @@ const verifySignatureStatus = (
 
   const confirmations = status.confirmations;
   if (typeof confirmations === 'number') {
-    expect(confirmations).toBeGreaterThan(0);
+    expect(confirmations).toBeGreaterThanOrEqual(0);
   } else {
     expect(confirmations).toBeNull();
   }
@@ -1630,6 +1629,33 @@ test('transaction', async () => {
         '0WE5w4B7v59x6qjyC4FbG2FEKYKQfvsJwqSxNVmtMjT8TQ31hsZieDHcSgqzxiAoTL56n2w5TncjqEKjLhtF4Vk',
     },
   ]);
+  mockRpc.push([
+    url,
+    {
+      method: 'getSignatureStatuses',
+      params: [
+        [
+          '0WE5w4B7v59x6qjyC4FbG2FEKYKQfvsJwqSxNVmtMjT8TQ31hsZieDHcSgqzxiAoTL56n2w5TncjqEKjLhtF4Vk',
+        ],
+      ],
+    },
+    {
+      error: null,
+      result: {
+        context: {
+          slot: 11,
+        },
+        value: [
+          {
+            slot: 0,
+            confirmations: 0,
+            status: {Ok: null},
+            err: null,
+          },
+        ],
+      },
+    },
+  ]);
   mockRpc.push([
     url,
     {
@@ -1646,10 +1672,11 @@ test('transaction', async () => {
       },
     },
   ]);
-  await connection.requestAirdrop(
+  const airdropFromSig = await connection.requestAirdrop(
     accountFrom.publicKey,
     minimumAmount + 100010,
   );
+  await connection.confirmTransaction(airdropFromSig, 0);
   expect(await connection.getBalance(accountFrom.publicKey)).toBe(
     minimumAmount + 100010,
   );
@@ -1658,7 +1685,7 @@ test('transaction', async () => {
     url,
     {
       method: 'requestAirdrop',
-      params: [accountTo.publicKey.toBase58(), minimumAmount + 21],
+      params: [accountTo.publicKey.toBase58(), minimumAmount],
     },
     {
       error: null,
@@ -1666,6 +1693,33 @@ test('transaction', async () => {
         '8WE5w4B7v59x6qjyC4FbG2FEKYKQfvsJwqSxNVmtMjT8TQ31hsZieDHcSgqzxiAoTL56n2w5TncjqEKjLhtF4Vk',
     },
   ]);
+  mockRpc.push([
+    url,
+    {
+      method: 'getSignatureStatuses',
+      params: [
+        [
+          '8WE5w4B7v59x6qjyC4FbG2FEKYKQfvsJwqSxNVmtMjT8TQ31hsZieDHcSgqzxiAoTL56n2w5TncjqEKjLhtF4Vk',
+        ],
+      ],
+    },
+    {
+      error: null,
+      result: {
+        context: {
+          slot: 11,
+        },
+        value: [
+          {
+            slot: 0,
+            confirmations: 0,
+            status: {Ok: null},
+            err: null,
+          },
+        ],
+      },
+    },
+  ]);
   mockRpc.push([
     url,
     {
@@ -1678,14 +1732,16 @@ test('transaction', async () => {
         context: {
           slot: 11,
         },
-        value: minimumAmount + 21,
+        value: minimumAmount,
       },
     },
   ]);
-  await connection.requestAirdrop(accountTo.publicKey, minimumAmount + 21);
-  expect(await connection.getBalance(accountTo.publicKey)).toBe(
-    minimumAmount + 21,
+  const airdropToSig = await connection.requestAirdrop(
+    accountTo.publicKey,
+    minimumAmount,
   );
+  await connection.confirmTransaction(airdropToSig, 0);
+  expect(await connection.getBalance(accountTo.publicKey)).toBe(minimumAmount);
 
   mockGetRecentBlockhash('max');
   mockRpc.push([
@@ -1696,7 +1752,7 @@ test('transaction', async () => {
     {
       error: null,
       result:
-        '3WE5w4B7v59x6qjyC4FbG2FEKYKQfvsJwqSxNVmtMjT8TQ31hsZieDHcSgqzxiAoTL56n2w5TncjqEKjLhtF4Vk',
+        '1WE5w4B7v59x6qjyC4FbG2FEKYKQfvsJwqSxNVmtMjT8TQ31hsZieDHcSgqzxiAoTL56n2w5TncjqEKjLhtF4Vk',
     },
   ]);
 
@@ -1717,7 +1773,7 @@ test('transaction', async () => {
       method: 'getSignatureStatuses',
       params: [
         [
-          '3WE5w4B7v59x6qjyC4FbG2FEKYKQfvsJwqSxNVmtMjT8TQ31hsZieDHcSgqzxiAoTL56n2w5TncjqEKjLhtF4Vk',
+          '1WE5w4B7v59x6qjyC4FbG2FEKYKQfvsJwqSxNVmtMjT8TQ31hsZieDHcSgqzxiAoTL56n2w5TncjqEKjLhtF4Vk',
         ],
       ],
     },
@@ -1730,7 +1786,7 @@ test('transaction', async () => {
         value: [
           {
             slot: 0,
-            confirmations: 1,
+            confirmations: 0,
             status: {Ok: null},
             err: null,
           },
@@ -1739,96 +1795,91 @@ test('transaction', async () => {
     },
   ]);
 
-  // Wait for one confirmation
-  const confirmResult = (await connection.confirmTransaction(signature, 1))
-    .value;
+  let confirmResult = (await connection.confirmTransaction(signature, 0)).value;
   verifySignatureStatus(confirmResult);
 
+  mockGetRecentBlockhash('max');
   mockRpc.push([
     url,
     {
-      method: 'getSignatureStatuses',
-      params: [
-        [
-          '3WE5w4B7v59x6qjyC4FbG2FEKYKQfvsJwqSxNVmtMjT8TQ31hsZieDHcSgqzxiAoTL56n2w5TncjqEKjLhtF4Vk',
-        ],
-      ],
+      method: 'sendTransaction',
     },
     {
       error: null,
-      result: {
-        context: {
-          slot: 11,
-        },
-        value: [
-          {
-            slot: 0,
-            confirmations: 11,
-            status: {Ok: null},
-            err: null,
-          },
-        ],
-      },
+      result:
+        '2WE5w4B7v59x6qjyC4FbG2FEKYKQfvsJwqSxNVmtMjT8TQ31hsZieDHcSgqzxiAoTL56n2w5TncjqEKjLhtF4Vk',
     },
   ]);
 
-  const response = verifySignatureStatus(
-    (await connection.getSignatureStatus(signature)).value,
+  // Send again and ensure that new blockhash is used
+  const lastFetch = Date.now();
+  const transaction2 = SystemProgram.transfer({
+    fromPubkey: accountFrom.publicKey,
+    toPubkey: accountTo.publicKey,
+    lamports: 10,
+  });
+  const signature2 = await connection.sendTransaction(
+    transaction2,
+    [accountFrom],
+    {skipPreflight: true},
+  );
+  expect(signature).not.toEqual(signature2);
+  expect(transaction.recentBlockhash).not.toEqual(transaction2.recentBlockhash);
+
+  mockRpc.push([
+    url,
+    {
+      method: 'sendTransaction',
+    },
+    {
+      error: null,
+      result:
+        '3WE5w4B7v59x6qjyC4FbG2FEKYKQfvsJwqSxNVmtMjT8TQ31hsZieDHcSgqzxiAoTL56n2w5TncjqEKjLhtF4Vk',
+    },
+  ]);
+
+  // Send new transaction and ensure that same blockhash is used
+  const transaction3 = SystemProgram.transfer({
+    fromPubkey: accountFrom.publicKey,
+    toPubkey: accountTo.publicKey,
+    lamports: 9,
+  });
+  await connection.sendTransaction(transaction3, [accountFrom], {
+    skipPreflight: true,
+  });
+  expect(transaction2.recentBlockhash).toEqual(transaction3.recentBlockhash);
+
+  // Sleep until blockhash cache times out
+  await sleep(
+    Math.max(0, 1000 + BLOCKHASH_CACHE_TIMEOUT_MS - (Date.now() - lastFetch)),
   );
 
-  const unprocessedSignature =
-    '8WE5w4B7v59x6qjyC4FbG2FEKYKQfvsJwqSxNVmtMjT8TQ31hsZieDHcSgqzxiAoTL56n2w5TncjqEKjLhtF4Vk';
+  mockGetRecentBlockhash('max');
   mockRpc.push([
     url,
     {
-      method: 'getSignatureStatuses',
-      params: [
-        [
-          '3WE5w4B7v59x6qjyC4FbG2FEKYKQfvsJwqSxNVmtMjT8TQ31hsZieDHcSgqzxiAoTL56n2w5TncjqEKjLhtF4Vk',
-          unprocessedSignature,
-        ],
-      ],
+      method: 'sendTransaction',
     },
     {
       error: null,
-      result: {
-        context: {
-          slot: 11,
-        },
-        value: [
-          {
-            slot: 0,
-            confirmations: 11,
-            status: {Ok: null},
-            err: null,
-          },
-          null,
-        ],
-      },
+      result:
+        '3WE5w4B7v59x6qjyC4FbG2FEKYKQfvsJwqSxNVmtMjT8TQ31hsZieDHcSgqzxiAoTL56n2w5TncjqEKjLhtF4Vk',
     },
   ]);
 
-  const responses = (
-    await connection.getSignatureStatuses([signature, unprocessedSignature])
-  ).value;
-  expect(responses.length).toEqual(2);
-  expect(responses[1]).toBeNull();
+  const transaction4 = SystemProgram.transfer({
+    fromPubkey: accountFrom.publicKey,
+    toPubkey: accountTo.publicKey,
+    lamports: 13,
+  });
 
-  const firstResponse = verifySignatureStatus(responses[0]);
-  expect(firstResponse.slot).toBeGreaterThanOrEqual(response.slot);
-  expect(firstResponse.err).toEqual(response.err);
+  await connection.sendTransaction(transaction4, [accountFrom], {
+    skipPreflight: true,
+  });
 
-  const responseConfirmations = response.confirmations;
-  if (
-    typeof responseConfirmations === 'number' &&
-    typeof firstResponse.confirmations === 'number'
-  ) {
-    expect(firstResponse.confirmations).toBeGreaterThanOrEqual(
-      responseConfirmations,
-    );
-  } else {
-    expect(firstResponse.confirmations).toBeNull();
-  }
+  expect(transaction4.recentBlockhash).not.toEqual(
+    transaction3.recentBlockhash,
+  );
 
   mockRpc.push([
     url,
@@ -1864,12 +1915,12 @@ test('transaction', async () => {
         context: {
           slot: 11,
         },
-        value: minimumAmount + 31,
+        value: minimumAmount + 42,
       },
     },
   ]);
   expect(await connection.getBalance(accountTo.publicKey)).toBe(
-    minimumAmount + 31,
+    minimumAmount + 42,
   );
 });
 
@@ -1883,7 +1934,11 @@ test('multi-instruction transaction', async () => {
   const accountTo = new Account();
   const connection = new Connection(url, 'recent');
 
-  await connection.requestAirdrop(accountFrom.publicKey, LAMPORTS_PER_SOL);
+  let signature = await connection.requestAirdrop(
+    accountFrom.publicKey,
+    LAMPORTS_PER_SOL,
+  );
+  await connection.confirmTransaction(signature, 0);
   expect(await connection.getBalance(accountFrom.publicKey)).toBe(
     LAMPORTS_PER_SOL,
   );
@@ -1893,7 +1948,11 @@ test('multi-instruction transaction', async () => {
     'recent',
   );
 
-  await connection.requestAirdrop(accountTo.publicKey, minimumAmount + 21);
+  signature = await connection.requestAirdrop(
+    accountTo.publicKey,
+    minimumAmount + 21,
+  );
+  await connection.confirmTransaction(signature, 0);
   expect(await connection.getBalance(accountTo.publicKey)).toBe(
     minimumAmount + 21,
   );
@@ -1911,7 +1970,7 @@ test('multi-instruction transaction', async () => {
       lamports: 100,
     }),
   );
-  const signature = await connection.sendTransaction(
+  signature = await connection.sendTransaction(
     transaction,
     [accountFrom, accountTo],
     {skipPreflight: true},