diff --git a/packages/askar/src/wallet/AskarWallet.ts b/packages/askar/src/wallet/AskarWallet.ts
index 06d927ec38..89f429bee4 100644
--- a/packages/askar/src/wallet/AskarWallet.ts
+++ b/packages/askar/src/wallet/AskarWallet.ts
@@ -240,7 +240,11 @@ export class AskarWallet implements Wallet {
 
       this.walletConfig = walletConfig
     } catch (error) {
-      if (isAskarError(error) && error.code === AskarErrorCode.NotFound) {
+      if (
+        isAskarError(error) &&
+        (error.code === AskarErrorCode.NotFound ||
+          (error.code === AskarErrorCode.Backend && walletConfig.storage?.inMemory))
+      ) {
         const errorMessage = `Wallet '${walletConfig.id}' not found`
         this.logger.debug(errorMessage)
 
diff --git a/packages/askar/tests/askar-inmemory.e2e.test.ts b/packages/askar/tests/askar-inmemory.e2e.test.ts
new file mode 100644
index 0000000000..2261fa7efb
--- /dev/null
+++ b/packages/askar/tests/askar-inmemory.e2e.test.ts
@@ -0,0 +1,66 @@
+/* eslint-disable @typescript-eslint/no-non-null-assertion */
+import type { SubjectMessage } from '../../../tests/transport/SubjectInboundTransport'
+
+import { Agent } from '@aries-framework/core'
+import { Subject } from 'rxjs'
+
+import { describeRunInNodeVersion } from '../../../tests/runInVersion'
+import { SubjectInboundTransport } from '../../../tests/transport/SubjectInboundTransport'
+import { SubjectOutboundTransport } from '../../../tests/transport/SubjectOutboundTransport'
+
+import { e2eTest, getSqliteAgentOptions } from './helpers'
+
+const aliceInMemoryAgentOptions = getSqliteAgentOptions(
+  'AgentsAlice',
+  {
+    endpoints: ['rxjs:alice'],
+  },
+  true
+)
+const bobInMemoryAgentOptions = getSqliteAgentOptions(
+  'AgentsBob',
+  {
+    endpoints: ['rxjs:bob'],
+  },
+  true
+)
+
+// FIXME: Re-include in tests when Askar NodeJS wrapper performance is improved
+describeRunInNodeVersion([18], 'Askar In Memory agents', () => {
+  let aliceAgent: Agent
+  let bobAgent: Agent
+
+  afterAll(async () => {
+    if (bobAgent) {
+      await bobAgent.shutdown()
+      await bobAgent.wallet.delete()
+    }
+
+    if (aliceAgent) {
+      await aliceAgent.shutdown()
+      await aliceAgent.wallet.delete()
+    }
+  })
+
+  test('In memory Askar wallets E2E test', async () => {
+    const aliceMessages = new Subject<SubjectMessage>()
+    const bobMessages = new Subject<SubjectMessage>()
+
+    const subjectMap = {
+      'rxjs:alice': aliceMessages,
+      'rxjs:bob': bobMessages,
+    }
+
+    aliceAgent = new Agent(aliceInMemoryAgentOptions)
+    aliceAgent.registerInboundTransport(new SubjectInboundTransport(aliceMessages))
+    aliceAgent.registerOutboundTransport(new SubjectOutboundTransport(subjectMap))
+    await aliceAgent.initialize()
+
+    bobAgent = new Agent(bobInMemoryAgentOptions)
+    bobAgent.registerInboundTransport(new SubjectInboundTransport(bobMessages))
+    bobAgent.registerOutboundTransport(new SubjectOutboundTransport(subjectMap))
+    await bobAgent.initialize()
+
+    await e2eTest(aliceAgent, bobAgent)
+  })
+})
diff --git a/packages/askar/tests/askar-postgres.e2e.test.ts b/packages/askar/tests/askar-postgres.e2e.test.ts
index c25f6d16c3..14219b6515 100644
--- a/packages/askar/tests/askar-postgres.e2e.test.ts
+++ b/packages/askar/tests/askar-postgres.e2e.test.ts
@@ -1,17 +1,15 @@
 /* eslint-disable @typescript-eslint/no-non-null-assertion */
 import type { SubjectMessage } from '../../../tests/transport/SubjectInboundTransport'
 import type { AskarWalletPostgresStorageConfig } from '../src/wallet'
-import type { ConnectionRecord } from '@aries-framework/core'
 
-import { Agent, HandshakeProtocol } from '@aries-framework/core'
+import { Agent } from '@aries-framework/core'
 import { Subject } from 'rxjs'
 
 import { describeRunInNodeVersion } from '../../../tests/runInVersion'
 import { SubjectInboundTransport } from '../../../tests/transport/SubjectInboundTransport'
 import { SubjectOutboundTransport } from '../../../tests/transport/SubjectOutboundTransport'
-import { waitForBasicMessage } from '../../core/tests/helpers'
 
-import { getPostgresAgentOptions } from './helpers'
+import { e2eTest, getPostgresAgentOptions } from './helpers'
 
 const storageConfig: AskarWalletPostgresStorageConfig = {
   type: 'postgres',
@@ -35,8 +33,6 @@ const bobPostgresAgentOptions = getPostgresAgentOptions('AgentsBob', storageConf
 describeRunInNodeVersion([18], 'Askar Postgres agents', () => {
   let aliceAgent: Agent
   let bobAgent: Agent
-  let aliceConnection: ConnectionRecord
-  let bobConnection: ConnectionRecord
 
   afterAll(async () => {
     if (bobAgent) {
@@ -50,7 +46,7 @@ describeRunInNodeVersion([18], 'Askar Postgres agents', () => {
     }
   })
 
-  test('make a connection between postgres agents', async () => {
+  test('Postgres Askar wallets E2E test', async () => {
     const aliceMessages = new Subject<SubjectMessage>()
     const bobMessages = new Subject<SubjectMessage>()
 
@@ -69,35 +65,6 @@ describeRunInNodeVersion([18], 'Askar Postgres agents', () => {
     bobAgent.registerOutboundTransport(new SubjectOutboundTransport(subjectMap))
     await bobAgent.initialize()
 
-    const aliceBobOutOfBandRecord = await aliceAgent.oob.createInvitation({
-      handshakeProtocols: [HandshakeProtocol.Connections],
-    })
-
-    const { connectionRecord: bobConnectionAtBobAlice } = await bobAgent.oob.receiveInvitation(
-      aliceBobOutOfBandRecord.outOfBandInvitation
-    )
-    bobConnection = await bobAgent.connections.returnWhenIsConnected(bobConnectionAtBobAlice!.id)
-
-    const [aliceConnectionAtAliceBob] = await aliceAgent.connections.findAllByOutOfBandId(aliceBobOutOfBandRecord.id)
-    aliceConnection = await aliceAgent.connections.returnWhenIsConnected(aliceConnectionAtAliceBob!.id)
-  })
-
-  test('send a message to connection', async () => {
-    const message = 'hello, world'
-    await aliceAgent.basicMessages.sendMessage(aliceConnection.id, message)
-
-    const basicMessage = await waitForBasicMessage(bobAgent, {
-      content: message,
-    })
-
-    expect(basicMessage.content).toBe(message)
-  })
-
-  test('can shutdown and re-initialize the same postgres agent', async () => {
-    expect(aliceAgent.isInitialized).toBe(true)
-    await aliceAgent.shutdown()
-    expect(aliceAgent.isInitialized).toBe(false)
-    await aliceAgent.initialize()
-    expect(aliceAgent.isInitialized).toBe(true)
+    await e2eTest(aliceAgent, bobAgent)
   })
 })
diff --git a/packages/askar/tests/helpers.ts b/packages/askar/tests/helpers.ts
index 8a71cd9bff..e02e5cd542 100644
--- a/packages/askar/tests/helpers.ts
+++ b/packages/askar/tests/helpers.ts
@@ -1,11 +1,12 @@
 import type { AskarWalletPostgresStorageConfig } from '../src/wallet'
-import type { InitConfig } from '@aries-framework/core'
+import type { Agent, InitConfig } from '@aries-framework/core'
 
-import { ConnectionsModule, LogLevel, utils } from '@aries-framework/core'
+import { ConnectionsModule, HandshakeProtocol, LogLevel, utils } from '@aries-framework/core'
 import { ariesAskar } from '@hyperledger/aries-askar-nodejs'
 import { registerAriesAskar } from '@hyperledger/aries-askar-shared'
 import path from 'path'
 
+import { waitForBasicMessage } from '../../core/tests/helpers'
 import { TestLogger } from '../../core/tests/logger'
 import { agentDependencies } from '../../node/src'
 import { AskarModule } from '../src/AskarModule'
@@ -54,14 +55,14 @@ export function getPostgresAgentOptions(
   } as const
 }
 
-export function getSqliteAgentOptions(name: string, extraConfig: Partial<InitConfig> = {}) {
+export function getSqliteAgentOptions(name: string, extraConfig: Partial<InitConfig> = {}, inMemory?: boolean) {
   const random = utils.uuid().slice(0, 4)
   const config: InitConfig = {
     label: `SQLiteAgent: ${name} - ${random}`,
     walletConfig: {
       id: `SQLiteWallet${name} - ${random}`,
       key: `Key${name}`,
-      storage: { type: 'sqlite' },
+      storage: { type: 'sqlite', inMemory },
     },
     autoUpdateStorageOnStartup: false,
     logger: new TestLogger(LogLevel.off, name),
@@ -78,3 +79,41 @@ export function getSqliteAgentOptions(name: string, extraConfig: Partial<InitCon
     },
   } as const
 }
+
+/**
+ * Basic E2E test: connect two agents, send a basic message and verify it they can be re initialized
+ * @param senderAgent
+ * @param receiverAgent
+ */
+export async function e2eTest(senderAgent: Agent, receiverAgent: Agent) {
+  const senderReceiverOutOfBandRecord = await senderAgent.oob.createInvitation({
+    handshakeProtocols: [HandshakeProtocol.Connections],
+  })
+
+  const { connectionRecord: bobConnectionAtReceiversender } = await receiverAgent.oob.receiveInvitation(
+    senderReceiverOutOfBandRecord.outOfBandInvitation
+  )
+  if (!bobConnectionAtReceiversender) throw new Error('Connection not created')
+
+  await receiverAgent.connections.returnWhenIsConnected(bobConnectionAtReceiversender.id)
+
+  const [senderConnectionAtReceiver] = await senderAgent.connections.findAllByOutOfBandId(
+    senderReceiverOutOfBandRecord.id
+  )
+  const senderConnection = await senderAgent.connections.returnWhenIsConnected(senderConnectionAtReceiver.id)
+
+  const message = 'hello, world'
+  await senderAgent.basicMessages.sendMessage(senderConnection.id, message)
+
+  const basicMessage = await waitForBasicMessage(receiverAgent, {
+    content: message,
+  })
+
+  expect(basicMessage.content).toBe(message)
+
+  expect(senderAgent.isInitialized).toBe(true)
+  await senderAgent.shutdown()
+  expect(senderAgent.isInitialized).toBe(false)
+  await senderAgent.initialize()
+  expect(senderAgent.isInitialized).toBe(true)
+}