diff --git a/docs/how/updating-datahub.md b/docs/how/updating-datahub.md
index 430537bf684f6..cd28cc1b20f31 100644
--- a/docs/how/updating-datahub.md
+++ b/docs/how/updating-datahub.md
@@ -36,6 +36,7 @@ This file documents any backwards-incompatible changes in DataHub and assists pe
 
 - #9601 - The Unity Catalog(UC) ingestion source config `include_hive_metastore` is now enabled by default. This requires config `warehouse_id` to be set. You can disable `include_hive_metastore` by setting it to `False` to avoid ingesting legacy hive metastore catalog in Databricks.
 - #9904 - The default Redshift `table_lineage_mode` is now MIXED, instead of `STL_SCAN_BASED`. Improved lineage generation is also available by enabling `use_lineaege_v2`. This v2 implementation will become the default in a future release.
+- #9934 - The stateful_ingestion is now enabled by default, if datahub-rest sink is used or if a `datahub_api` is specified
 
 ### Potential Downtime
 
diff --git a/metadata-ingestion/src/datahub/ingestion/source/state/stateful_ingestion_base.py b/metadata-ingestion/src/datahub/ingestion/source/state/stateful_ingestion_base.py
index c8bf6c2fd0d5b..521f8f5ee07d8 100644
--- a/metadata-ingestion/src/datahub/ingestion/source/state/stateful_ingestion_base.py
+++ b/metadata-ingestion/src/datahub/ingestion/source/state/stateful_ingestion_base.py
@@ -52,7 +52,8 @@ class StatefulIngestionConfig(ConfigModel):
 
     enabled: bool = Field(
         default=False,
-        description="The type of the ingestion state provider registered with datahub.",
+        description="Whether or not to enable stateful ingest. "
+        "Default: True if datahub-rest sink is used or if a `datahub_api` is specified, otherwise False",
     )
     max_checkpoint_state_size: pydantic.PositiveInt = Field(
         default=2**24,  # 16 MB
@@ -231,6 +232,16 @@ def _initialize_checkpointing_state_provider(self) -> None:
         self.ingestion_checkpointing_state_provider: Optional[
             IngestionCheckpointingProviderBase
         ] = None
+
+        if self.stateful_ingestion_config is None and self.ctx.graph:
+            logger.info(
+                "Stateful ingestion got enabled by default, as datahub-rest sink is used or `datahub_api` is specified"
+            )
+            self.stateful_ingestion_config = StatefulIngestionConfig(
+                enabled=True,
+                state_provider=DynamicTypedStateProviderConfig(type="datahub"),
+            )
+
         if (
             self.stateful_ingestion_config is not None
             and self.stateful_ingestion_config.state_provider is not None
diff --git a/metadata-ingestion/tests/unit/stateful_ingestion/provider/test_provider.py b/metadata-ingestion/tests/unit/stateful_ingestion/provider/test_provider.py
index 4387e5a17790f..d097c75ebd952 100644
--- a/metadata-ingestion/tests/unit/stateful_ingestion/provider/test_provider.py
+++ b/metadata-ingestion/tests/unit/stateful_ingestion/provider/test_provider.py
@@ -17,6 +17,10 @@
 from datahub.ingestion.source.state.sql_common_state import (
     BaseSQLAlchemyCheckpointState,
 )
+from datahub.ingestion.source.state.stateful_ingestion_base import (
+    StatefulIngestionConfig,
+    StateProviderWrapper,
+)
 from datahub.ingestion.source.state.usage_common_state import (
     BaseTimeWindowCheckpointState,
 )
@@ -181,3 +185,34 @@ def test_providers(self):
                 state_class=type(job2_state_obj),
             )
             self.assertEqual(job2_last_checkpoint, job2_checkpoint)
+
+    def test_state_provider_wrapper_with_config_provided(self):
+        # stateful_ingestion_config.enabled as true
+        ctx = PipelineContext(run_id=self.run_id, pipeline_name=self.pipeline_name)
+        ctx.graph = self.mock_graph
+        state_provider = StateProviderWrapper(
+            StatefulIngestionConfig(enabled=True), ctx
+        )
+        assert state_provider.stateful_ingestion_config
+        assert state_provider.ingestion_checkpointing_state_provider
+        # stateful_ingestion_config.enabled as false
+        ctx = PipelineContext(run_id=self.run_id, pipeline_name=self.pipeline_name)
+        ctx.graph = self.mock_graph
+        state_provider = StateProviderWrapper(
+            StatefulIngestionConfig(enabled=False), ctx
+        )
+        assert state_provider.stateful_ingestion_config
+        assert not state_provider.ingestion_checkpointing_state_provider
+
+    def test_state_provider_wrapper_with_config_not_provided(self):
+        # graph object is present
+        ctx = PipelineContext(run_id=self.run_id, pipeline_name=self.pipeline_name)
+        ctx.graph = self.mock_graph
+        state_provider = StateProviderWrapper(None, ctx)
+        assert state_provider.stateful_ingestion_config
+        assert state_provider.ingestion_checkpointing_state_provider
+        # graph object is none
+        ctx = PipelineContext(run_id=self.run_id, pipeline_name=self.pipeline_name)
+        state_provider = StateProviderWrapper(None, ctx)
+        assert not state_provider.stateful_ingestion_config
+        assert not state_provider.ingestion_checkpointing_state_provider
diff --git a/metadata-ingestion/tests/unit/test_dbt_source.py b/metadata-ingestion/tests/unit/test_dbt_source.py
index 6e8c08d5bdf35..c38ae0db28f3e 100644
--- a/metadata-ingestion/tests/unit/test_dbt_source.py
+++ b/metadata-ingestion/tests/unit/test_dbt_source.py
@@ -34,7 +34,7 @@ def create_owners_list_from_urn_list(
 
 
 def create_mocked_dbt_source() -> DBTCoreSource:
-    ctx = PipelineContext("test-run-id")
+    ctx = PipelineContext(run_id="test-run-id", pipeline_name="dbt-source")
     graph = mock.MagicMock()
     graph.get_ownership.return_value = mce_builder.make_ownership_aspect_from_urn_list(
         ["urn:li:corpuser:test_user"], "AUDIT"