diff --git a/dp/inc/cdp_txrx_cmn_struct.h b/dp/inc/cdp_txrx_cmn_struct.h
index d05ceb5cfa05..baf220620369 100644
--- a/dp/inc/cdp_txrx_cmn_struct.h
+++ b/dp/inc/cdp_txrx_cmn_struct.h
@@ -600,6 +600,7 @@ enum cdp_pdev_param_type {
  * @CDP_UPDATE_TDLS_FLAGS: tdls link flags
  * @CDP_ENABLE_AP_BRIDGE: set ap_bridging enable/disable
  * @CDP_ENABLE_CIPHER : set cipher type based on security
+ * @CDP_ENABLE_QWRAP_ISOLATION: qwrap isolation mode
  */
 enum cdp_vdev_param_type {
 	CDP_ENABLE_NAWDS,
@@ -609,7 +610,8 @@ enum cdp_vdev_param_type {
 	CDP_UPDATE_TDLS_FLAGS,
 	CDP_CFG_WDS_AGING_TIMER,
 	CDP_ENABLE_AP_BRIDGE,
-	CDP_ENABLE_CIPHER
+	CDP_ENABLE_CIPHER,
+	CDP_ENABLE_QWRAP_ISOLATION
 };
 
 #define TXRX_FW_STATS_TXSTATS                     1
diff --git a/dp/wifi3.0/dp_main.c b/dp/wifi3.0/dp_main.c
index 82cf7e26d065..f2c2747bfa8a 100644
--- a/dp/wifi3.0/dp_main.c
+++ b/dp/wifi3.0/dp_main.c
@@ -5089,6 +5089,9 @@ static void dp_set_vdev_param(struct cdp_vdev *vdev_handle,
 	case CDP_ENABLE_CIPHER:
 		vdev->sec_type = val;
 		break;
+	case CDP_ENABLE_QWRAP_ISOLATION:
+		vdev->isolation_vdev = val;
+		break;
 	default:
 		break;
 	}
diff --git a/dp/wifi3.0/dp_rx.h b/dp/wifi3.0/dp_rx.h
index 00f6b3a3653f..0987b42b2796 100644
--- a/dp/wifi3.0/dp_rx.h
+++ b/dp/wifi3.0/dp_rx.h
@@ -613,6 +613,50 @@ static inline QDF_STATUS dp_rx_ast_set_active(struct dp_soc *soc, uint16_t sa_id
 }
 #endif
 
+/*
+ * check_qwrap_multicast_loopback() - Check if rx packet is a loopback packet.
+ *					In qwrap mode, packets originated from
+ *					any vdev should not loopback and
+ *					should be dropped.
+ * @vdev: vdev on which rx packet is received
+ * @nbuf: rx pkt
+ *
+ */
+#if ATH_SUPPORT_WRAP
+static inline bool check_qwrap_multicast_loopback(struct dp_vdev *vdev,
+						qdf_nbuf_t nbuf)
+{
+	struct dp_vdev *psta_vdev;
+	struct dp_pdev *pdev = vdev->pdev;
+	uint8_t *data = qdf_nbuf_data(nbuf);
+
+	if (qdf_unlikely(vdev->proxysta_vdev)) {
+		/* In qwrap isolation mode, allow loopback packets as all
+		 * packets go to RootAP and Loopback on the mpsta.
+		 */
+		if (vdev->isolation_vdev)
+			return false;
+		TAILQ_FOREACH(psta_vdev, &pdev->vdev_list, vdev_list_elem) {
+			if (qdf_unlikely(psta_vdev->proxysta_vdev &&
+				!qdf_mem_cmp(psta_vdev->mac_addr.raw,
+				&data[DP_MAC_ADDR_LEN], DP_MAC_ADDR_LEN))) {
+				/* Drop packet if source address is equal to
+				 * any of the vdev addresses.
+				 */
+				return true;
+			}
+		}
+	}
+	return false;
+}
+#else
+static inline bool check_qwrap_multicast_loopback(struct dp_vdev *vdev,
+						qdf_nbuf_t nbuf)
+{
+	return false;
+}
+#endif
+
 /*
  * dp_rx_buffers_replenish() - replenish rxdma ring with rx nbufs
  *			       called during dp rx initialization
diff --git a/dp/wifi3.0/dp_rx_err.c b/dp/wifi3.0/dp_rx_err.c
index 75bc9beda87b..dc5cfd279722 100644
--- a/dp/wifi3.0/dp_rx_err.c
+++ b/dp/wifi3.0/dp_rx_err.c
@@ -485,6 +485,16 @@ dp_rx_null_q_desc_handle(struct dp_soc *soc,
 		qdf_nbuf_free(nbuf);
 		return;
 	}
+	/*
+	 * In qwrap mode if the received packet matches with any of the vdev
+	 * mac addresses, drop it. Donot receive multicast packets originated
+	 * from any proxysta.
+	 */
+	if (check_qwrap_multicast_loopback(vdev, nbuf)) {
+		qdf_nbuf_free(nbuf);
+		return;
+	}
+
 
 	if (qdf_unlikely((peer->nawds_enabled == true) &&
 			hal_rx_msdu_end_da_is_mcbc_get(rx_tlv_hdr))) {
diff --git a/dp/wifi3.0/dp_types.h b/dp/wifi3.0/dp_types.h
index b49ee24cb7aa..5b55699f3e49 100644
--- a/dp/wifi3.0/dp_types.h
+++ b/dp/wifi3.0/dp_types.h
@@ -1227,6 +1227,8 @@ struct dp_vdev {
 
 	/* Is this a proxySTA VAP */
 	bool proxysta_vdev;
+	/* Is isolation mode enabled */
+	bool isolation_vdev;
 
 	/* Address search flags to be configured in HAL descriptor */
 	uint8_t hal_desc_addr_search_flags;