diff --git a/newsfragments/1537.bugfix.rst b/newsfragments/1537.bugfix.rst
new file mode 100644
index 0000000000..faf33c8079
--- /dev/null
+++ b/newsfragments/1537.bugfix.rst
@@ -0,0 +1 @@
+Update eth-utils dependency which contains mypy bugfix.
diff --git a/setup.py b/setup.py
index 81ff676595..0ded52e9f5 100644
--- a/setup.py
+++ b/setup.py
@@ -72,7 +72,7 @@
         "eth-account>=0.4.0,<0.5.0",
         "eth-hash[pycryptodome]>=0.2.0,<1.0.0",
         "eth-typing>=2.0.0,<3.0.0",
-        "eth-utils>=1.8.1,<2.0.0",
+        "eth-utils>=1.8.3,<2.0.0",
         "hexbytes>=0.1.0,<1.0.0",
         "ipfshttpclient>=0.4.12,<1",
         "jsonschema>=3.0.0,<4.0.0",