diff --git a/flagsmith-core.ts b/flagsmith-core.ts
index 706710f..a551c54 100644
--- a/flagsmith-core.ts
+++ b/flagsmith-core.ts
@@ -454,9 +454,7 @@ const Flagsmith = class {
                                     }
                                     if (setState) {
                                         cachePopulated = true;
-                                        traitsChanged = getChanges(this.evaluationContext.identity?.traits, json.evaluationContext?.identity?.traits)
                                         flagsChanged = getChanges(this.flags, json.flags)
-                                        // When populating state from cache, we merge traits passed in flagsmith.init
                                         this.setState({
                                             ...json,
                                             evaluationContext: toEvaluationContext({
@@ -464,7 +462,7 @@ const Flagsmith = class {
                                                 identity: json.evaluationContext?.identity ? {
                                                     ...json.evaluationContext?.identity,
                                                     traits: {
-                                                        ...json.evaluationContext?.identity?.traits || {},
+                                                        // Traits passed in flagsmith.init will overwrite server values
                                                         ...traits || {},
                                                     }
                                                 } : undefined,
diff --git a/test/cache.test.ts b/test/cache.test.ts
index 46998f3..26f9a77 100644
--- a/test/cache.test.ts
+++ b/test/cache.test.ts
@@ -334,63 +334,4 @@ describe('Cache', () => {
             },
         );
     });
-    test('should merge any newly passed traits with cache', async () => {
-        const onChange = jest.fn();
-        const { flagsmith, initConfig, AsyncStorage } = getFlagsmith({
-            onChange,
-            cacheFlags: true,
-            preventFetch: true,
-        });
-        const storage = new SyncStorageMock();
-        await storage.setItem(FLAGSMITH_KEY, JSON.stringify({
-            ...identityState,
-        }));
-        const ts = Date.now();
-        await flagsmith.init({
-            ...initConfig,
-            traits: { ts },
-            AsyncStorage: storage,
-        });
-        expect(flagsmith.getAllTraits()).toEqual({
-            //@ts-ignore
-            ...identityState.traits,
-            ts,
-        });
-    });
-    test('should cache transient traits correctly', async () => {
-        const onChange = jest.fn();
-        const testIdentityWithTransientTraits = 'test_identity_with_transient_traits'
-        const { flagsmith, initConfig, AsyncStorage, mockFetch } = getFlagsmith({
-            cacheFlags: true,
-            identity: testIdentityWithTransientTraits,
-            traits: {
-                transient_trait: {
-                    value: 'Example',
-                    transient: true,
-                }
-            },
-            onChange,
-        });
-        mockFetch.mockResolvedValueOnce({status: 200, text: () => fs.readFile(`./test/data/identities_${testIdentityWithTransientTraits}.json`, 'utf8')})
-        await flagsmith.init(initConfig);
-        expect(onChange).toHaveBeenCalledTimes(1);
-        expect(mockFetch).toHaveBeenCalledTimes(1);
-        expect(getStateToCheck(flagsmith.getState())).toEqual({
-            ...identityState,
-            evaluationContext: {
-                ...identityState.evaluationContext,
-                identity: {
-                    ...identityState.evaluationContext.identity,
-                    identifier: testIdentityWithTransientTraits,
-                    traits: {
-                        ...identityState.evaluationContext.identity.traits,
-                        transient_trait: {
-                            transient: true,
-                            value: 'Example',
-                        },
-                    },
-                },
-            },
-        })
-    });
 });
diff --git a/test/init.test.ts b/test/init.test.ts
index e4f2948..8aecfb6 100644
--- a/test/init.test.ts
+++ b/test/init.test.ts
@@ -241,7 +241,16 @@ describe('Flagsmith.init', () => {
         await AsyncStorage.setItem(FLAGSMITH_KEY, JSON.stringify(identityState));
         await flagsmith.init(initConfig);
 
-        expect(getStateToCheck(flagsmith.getState())).toEqual(identityState);
+        expect(getStateToCheck(flagsmith.getState())).toEqual({
+            ...identityState,
+            evaluationContext: {
+                ...identityState.evaluationContext,
+                identity: {
+                    ...identityState.evaluationContext.identity,
+                    traits: {},
+                },
+            },
+        });
 
         await waitFor(() => {
             expect(onError).toHaveBeenCalledTimes(1);