diff --git a/drivers/s390/net/ism_drv.c b/drivers/s390/net/ism_drv.c
index 43778b088ffac..e36e3ea165d3b 100644
--- a/drivers/s390/net/ism_drv.c
+++ b/drivers/s390/net/ism_drv.c
@@ -745,7 +745,7 @@ static int smcd_query_rgid(struct smcd_dev *smcd, struct smcd_gid *rgid,
 }
 
 static int smcd_register_dmb(struct smcd_dev *smcd, struct smcd_dmb *dmb,
-			     struct ism_client *client)
+			     void *client)
 {
 	return ism_register_dmb(smcd->priv, (struct ism_dmb *)dmb, client);
 }
diff --git a/include/net/smc.h b/include/net/smc.h
index 10684d0a33df3..db84e4e35080f 100644
--- a/include/net/smc.h
+++ b/include/net/smc.h
@@ -47,7 +47,6 @@ struct smcd_dmb {
 #define ISM_ERROR	0xFFFF
 
 struct smcd_dev;
-struct ism_client;
 
 struct smcd_gid {
 	u64	gid;
@@ -58,14 +57,8 @@ struct smcd_ops {
 	int (*query_remote_gid)(struct smcd_dev *dev, struct smcd_gid *rgid,
 				u32 vid_valid, u32 vid);
 	int (*register_dmb)(struct smcd_dev *dev, struct smcd_dmb *dmb,
-			    struct ism_client *client);
+			    void *client);
 	int (*unregister_dmb)(struct smcd_dev *dev, struct smcd_dmb *dmb);
-	int (*add_vlan_id)(struct smcd_dev *dev, u64 vlan_id);
-	int (*del_vlan_id)(struct smcd_dev *dev, u64 vlan_id);
-	int (*set_vlan_required)(struct smcd_dev *dev);
-	int (*reset_vlan_required)(struct smcd_dev *dev);
-	int (*signal_event)(struct smcd_dev *dev, struct smcd_gid *rgid,
-			    u32 trigger_irq, u32 event_code, u64 info);
 	int (*move_data)(struct smcd_dev *dev, u64 dmb_tok, unsigned int idx,
 			 bool sf, unsigned int offset, void *data,
 			 unsigned int size);
@@ -73,11 +66,23 @@ struct smcd_ops {
 	void (*get_local_gid)(struct smcd_dev *dev, struct smcd_gid *gid);
 	u16 (*get_chid)(struct smcd_dev *dev);
 	struct device* (*get_dev)(struct smcd_dev *dev);
+
+	/* optional operations */
+	int (*add_vlan_id)(struct smcd_dev *dev, u64 vlan_id);
+	int (*del_vlan_id)(struct smcd_dev *dev, u64 vlan_id);
+	int (*set_vlan_required)(struct smcd_dev *dev);
+	int (*reset_vlan_required)(struct smcd_dev *dev);
+	int (*signal_event)(struct smcd_dev *dev, struct smcd_gid *rgid,
+			    u32 trigger_irq, u32 event_code, u64 info);
+	int (*support_dmb_nocopy)(struct smcd_dev *dev);
+	int (*attach_dmb)(struct smcd_dev *dev, struct smcd_dmb *dmb);
+	int (*detach_dmb)(struct smcd_dev *dev, u64 token);
 };
 
 struct smcd_dev {
 	const struct smcd_ops *ops;
 	void *priv;
+	void *client;
 	struct list_head list;
 	spinlock_t lock;
 	struct smc_connection **conn;
diff --git a/net/smc/Kconfig b/net/smc/Kconfig
index 746be39967683..ba5e6a2dd2fd7 100644
--- a/net/smc/Kconfig
+++ b/net/smc/Kconfig
@@ -20,3 +20,16 @@ config SMC_DIAG
 	  smcss.
 
 	  if unsure, say Y.
+
+config SMC_LO
+	bool "SMC intra-OS shortcut with loopback-ism"
+	depends on SMC
+	default n
+	help
+	  SMC_LO enables the creation of an Emulated-ISM device named
+	  loopback-ism in SMC and makes use of it for transferring data
+	  when communication occurs within the same OS. This helps in
+	  convenient testing of SMC-D since loopback-ism is independent
+	  of architecture or hardware.
+
+	  if unsure, say N.
diff --git a/net/smc/Makefile b/net/smc/Makefile
index 875efcd126a2d..2c510d5430589 100644
--- a/net/smc/Makefile
+++ b/net/smc/Makefile
@@ -6,3 +6,4 @@ smc-y := af_smc.o smc_pnet.o smc_ib.o smc_clc.o smc_core.o smc_wr.o smc_llc.o
 smc-y += smc_cdc.o smc_tx.o smc_rx.o smc_close.o smc_ism.o smc_netlink.o smc_stats.o
 smc-y += smc_tracepoint.o
 smc-$(CONFIG_SYSCTL) += smc_sysctl.o
+smc-$(CONFIG_SMC_LO) += smc_loopback.o
diff --git a/net/smc/af_smc.c b/net/smc/af_smc.c
index e8dcd28a554ce..9389f0cfa374a 100644
--- a/net/smc/af_smc.c
+++ b/net/smc/af_smc.c
@@ -53,6 +53,7 @@
 #include "smc_stats.h"
 #include "smc_tracepoint.h"
 #include "smc_sysctl.h"
+#include "smc_loopback.h"
 
 static DEFINE_MUTEX(smc_server_lgr_pending);	/* serialize link group
 						 * creation on server
@@ -1435,6 +1436,14 @@ static int smc_connect_ism(struct smc_sock *smc,
 	}
 
 	smc_conn_save_peer_info(smc, aclc);
+
+	if (smc_ism_support_dmb_nocopy(smc->conn.lgr->smcd)) {
+		rc = smcd_buf_attach(smc);
+		if (rc) {
+			rc = SMC_CLC_DECL_MEM;	/* try to fallback */
+			goto connect_abort;
+		}
+	}
 	smc_close_init(smc);
 	smc_rx_init(smc);
 	smc_tx_init(smc);
@@ -2539,6 +2548,14 @@ static void smc_listen_work(struct work_struct *work)
 		mutex_unlock(&smc_server_lgr_pending);
 	}
 	smc_conn_save_peer_info(new_smc, cclc);
+
+	if (ini->is_smcd &&
+	    smc_ism_support_dmb_nocopy(new_smc->conn.lgr->smcd)) {
+		rc = smcd_buf_attach(new_smc);
+		if (rc)
+			goto out_decl;
+	}
+
 	smc_listen_out_connected(new_smc);
 	SMC_STAT_SERV_SUCC_INC(sock_net(newclcsock->sk), ini);
 	goto out_free;
@@ -3555,15 +3572,23 @@ static int __init smc_init(void)
 		goto out_sock;
 	}
 
+	rc = smc_loopback_init();
+	if (rc) {
+		pr_err("%s: smc_loopback_init fails with %d\n", __func__, rc);
+		goto out_ib;
+	}
+
 	rc = tcp_register_ulp(&smc_ulp_ops);
 	if (rc) {
 		pr_err("%s: tcp_ulp_register fails with %d\n", __func__, rc);
-		goto out_ib;
+		goto out_lo;
 	}
 
 	static_branch_enable(&tcp_have_smc);
 	return 0;
 
+out_lo:
+	smc_loopback_exit();
 out_ib:
 	smc_ib_unregister_client();
 out_sock:
@@ -3601,6 +3626,7 @@ static void __exit smc_exit(void)
 	tcp_unregister_ulp(&smc_ulp_ops);
 	sock_unregister(PF_SMC);
 	smc_core_exit();
+	smc_loopback_exit();
 	smc_ib_unregister_client();
 	smc_ism_exit();
 	destroy_workqueue(smc_close_wq);
diff --git a/net/smc/smc_cdc.c b/net/smc/smc_cdc.c
index 3c06625ceb200..619b3bab38248 100644
--- a/net/smc/smc_cdc.c
+++ b/net/smc/smc_cdc.c
@@ -18,6 +18,7 @@
 #include "smc_tx.h"
 #include "smc_rx.h"
 #include "smc_close.h"
+#include "smc_ism.h"
 
 /********************************** send *************************************/
 
@@ -255,6 +256,14 @@ int smcd_cdc_msg_send(struct smc_connection *conn)
 		return rc;
 	smc_curs_copy(&conn->rx_curs_confirmed, &curs, conn);
 	conn->local_rx_ctrl.prod_flags.cons_curs_upd_req = 0;
+
+	if (smc_ism_support_dmb_nocopy(conn->lgr->smcd))
+		/* if local sndbuf shares the same memory region with
+		 * peer DMB, then don't update the tx_curs_fin
+		 * and sndbuf_space until peer has consumed the data.
+		 */
+		return 0;
+
 	/* Calculate transmitted data and increment free send buffer space */
 	diff = smc_curs_diff(conn->sndbuf_desc->len, &conn->tx_curs_fin,
 			     &conn->tx_curs_sent);
@@ -266,7 +275,7 @@ int smcd_cdc_msg_send(struct smc_connection *conn)
 	smc_curs_copy(&conn->tx_curs_fin, &conn->tx_curs_sent, conn);
 
 	smc_tx_sndbuf_nonfull(smc);
-	return rc;
+	return 0;
 }
 
 /********************************* receive ***********************************/
@@ -323,7 +332,7 @@ static void smc_cdc_msg_recv_action(struct smc_sock *smc,
 {
 	union smc_host_cursor cons_old, prod_old;
 	struct smc_connection *conn = &smc->conn;
-	int diff_cons, diff_prod;
+	int diff_cons, diff_prod, diff_tx;
 
 	smc_curs_copy(&prod_old, &conn->local_rx_ctrl.prod, conn);
 	smc_curs_copy(&cons_old, &conn->local_rx_ctrl.cons, conn);
@@ -339,6 +348,29 @@ static void smc_cdc_msg_recv_action(struct smc_sock *smc,
 		atomic_add(diff_cons, &conn->peer_rmbe_space);
 		/* guarantee 0 <= peer_rmbe_space <= peer_rmbe_size */
 		smp_mb__after_atomic();
+
+		/* if local sndbuf shares the same memory region with
+		 * peer RMB, then update tx_curs_fin and sndbuf_space
+		 * here since peer has already consumed the data.
+		 */
+		if (conn->lgr->is_smcd &&
+		    smc_ism_support_dmb_nocopy(conn->lgr->smcd)) {
+			/* Calculate consumed data and
+			 * increment free send buffer space.
+			 */
+			diff_tx = smc_curs_diff(conn->sndbuf_desc->len,
+						&conn->tx_curs_fin,
+						&conn->local_rx_ctrl.cons);
+			/* increase local sndbuf space and fin_curs */
+			smp_mb__before_atomic();
+			atomic_add(diff_tx, &conn->sndbuf_space);
+			/* guarantee 0 <= sndbuf_space <= sndbuf_desc->len */
+			smp_mb__after_atomic();
+			smc_curs_copy(&conn->tx_curs_fin,
+				      &conn->local_rx_ctrl.cons, conn);
+
+			smc_tx_sndbuf_nonfull(smc);
+		}
 	}
 
 	diff_prod = smc_curs_diff(conn->rmb_desc->len, &prod_old,
diff --git a/net/smc/smc_core.c b/net/smc/smc_core.c
index 9b84d5897aa58..fafdb97adfad9 100644
--- a/net/smc/smc_core.c
+++ b/net/smc/smc_core.c
@@ -1149,6 +1149,20 @@ static void smcr_buf_unuse(struct smc_buf_desc *buf_desc, bool is_rmb,
 	}
 }
 
+static void smcd_buf_detach(struct smc_connection *conn)
+{
+	struct smcd_dev *smcd = conn->lgr->smcd;
+	u64 peer_token = conn->peer_token;
+
+	if (!conn->sndbuf_desc)
+		return;
+
+	smc_ism_detach_dmb(smcd, peer_token);
+
+	kfree(conn->sndbuf_desc);
+	conn->sndbuf_desc = NULL;
+}
+
 static void smc_buf_unuse(struct smc_connection *conn,
 			  struct smc_link_group *lgr)
 {
@@ -1192,6 +1206,8 @@ void smc_conn_free(struct smc_connection *conn)
 	if (lgr->is_smcd) {
 		if (!list_empty(&lgr->list))
 			smc_ism_unset_conn(conn);
+		if (smc_ism_support_dmb_nocopy(lgr->smcd))
+			smcd_buf_detach(conn);
 		tasklet_kill(&conn->rx_tsklet);
 	} else {
 		smc_cdc_wait_pend_tx_wr(conn);
@@ -1445,6 +1461,8 @@ static void smc_conn_kill(struct smc_connection *conn, bool soft)
 	smc_sk_wake_ups(smc);
 	if (conn->lgr->is_smcd) {
 		smc_ism_unset_conn(conn);
+		if (smc_ism_support_dmb_nocopy(conn->lgr->smcd))
+			smcd_buf_detach(conn);
 		if (soft)
 			tasklet_kill(&conn->rx_tsklet);
 		else
@@ -2464,12 +2482,18 @@ int smc_buf_create(struct smc_sock *smc, bool is_smcd)
 	int rc;
 
 	/* create send buffer */
+	if (is_smcd &&
+	    smc_ism_support_dmb_nocopy(smc->conn.lgr->smcd))
+		goto create_rmb;
+
 	rc = __smc_buf_create(smc, is_smcd, false);
 	if (rc)
 		return rc;
+
+create_rmb:
 	/* create rmb */
 	rc = __smc_buf_create(smc, is_smcd, true);
-	if (rc) {
+	if (rc && smc->conn.sndbuf_desc) {
 		down_write(&smc->conn.lgr->sndbufs_lock);
 		list_del(&smc->conn.sndbuf_desc->list);
 		up_write(&smc->conn.lgr->sndbufs_lock);
@@ -2479,6 +2503,41 @@ int smc_buf_create(struct smc_sock *smc, bool is_smcd)
 	return rc;
 }
 
+int smcd_buf_attach(struct smc_sock *smc)
+{
+	struct smc_connection *conn = &smc->conn;
+	struct smcd_dev *smcd = conn->lgr->smcd;
+	u64 peer_token = conn->peer_token;
+	struct smc_buf_desc *buf_desc;
+	int rc;
+
+	buf_desc = kzalloc(sizeof(*buf_desc), GFP_KERNEL);
+	if (!buf_desc)
+		return -ENOMEM;
+
+	/* The ghost sndbuf_desc describes the same memory region as
+	 * peer RMB. Its lifecycle is consistent with the connection's
+	 * and it will be freed with the connections instead of the
+	 * link group.
+	 */
+	rc = smc_ism_attach_dmb(smcd, peer_token, buf_desc);
+	if (rc)
+		goto free;
+
+	smc->sk.sk_sndbuf = buf_desc->len;
+	buf_desc->cpu_addr =
+		(u8 *)buf_desc->cpu_addr + sizeof(struct smcd_cdc_msg);
+	buf_desc->len -= sizeof(struct smcd_cdc_msg);
+	conn->sndbuf_desc = buf_desc;
+	conn->sndbuf_desc->used = 1;
+	atomic_set(&conn->sndbuf_space, conn->sndbuf_desc->len);
+	return 0;
+
+free:
+	kfree(buf_desc);
+	return rc;
+}
+
 static inline int smc_rmb_reserve_rtoken_idx(struct smc_link_group *lgr)
 {
 	int i;
diff --git a/net/smc/smc_core.h b/net/smc/smc_core.h
index 1f175376037b1..d93cf51dbd7ce 100644
--- a/net/smc/smc_core.h
+++ b/net/smc/smc_core.h
@@ -557,6 +557,7 @@ void smc_smcd_terminate(struct smcd_dev *dev, struct smcd_gid *peer_gid,
 void smc_smcd_terminate_all(struct smcd_dev *dev);
 void smc_smcr_terminate_all(struct smc_ib_device *smcibdev);
 int smc_buf_create(struct smc_sock *smc, bool is_smcd);
+int smcd_buf_attach(struct smc_sock *smc);
 int smc_uncompress_bufsize(u8 compressed);
 int smc_rmb_rtoken_handling(struct smc_connection *conn, struct smc_link *link,
 			    struct smc_clc_msg_accept_confirm *clc);
diff --git a/net/smc/smc_ism.c b/net/smc/smc_ism.c
index ac88de2a06a01..84f98e18c7dba 100644
--- a/net/smc/smc_ism.c
+++ b/net/smc/smc_ism.c
@@ -91,6 +91,11 @@ bool smc_ism_is_v2_capable(void)
 	return smc_ism_v2_capable;
 }
 
+void smc_ism_set_v2_capable(void)
+{
+	smc_ism_v2_capable = true;
+}
+
 /* Set a connection using this DMBE. */
 void smc_ism_set_conn(struct smc_connection *conn)
 {
@@ -126,6 +131,8 @@ int smc_ism_get_vlan(struct smcd_dev *smcd, unsigned short vlanid)
 
 	if (!vlanid)			/* No valid vlan id */
 		return -EINVAL;
+	if (!smcd->ops->add_vlan_id)
+		return -EOPNOTSUPP;
 
 	/* create new vlan entry, in case we need it */
 	new_vlan = kzalloc(sizeof(*new_vlan), GFP_KERNEL);
@@ -171,6 +178,8 @@ int smc_ism_put_vlan(struct smcd_dev *smcd, unsigned short vlanid)
 
 	if (!vlanid)			/* No valid vlan id */
 		return -EINVAL;
+	if (!smcd->ops->del_vlan_id)
+		return -EOPNOTSUPP;
 
 	spin_lock_irqsave(&smcd->lock, flags);
 	list_for_each_entry(vlan, &smcd->vlan, list) {
@@ -222,7 +231,6 @@ int smc_ism_unregister_dmb(struct smcd_dev *smcd, struct smc_buf_desc *dmb_desc)
 int smc_ism_register_dmb(struct smc_link_group *lgr, int dmb_len,
 			 struct smc_buf_desc *dmb_desc)
 {
-#if IS_ENABLED(CONFIG_ISM)
 	struct smcd_dmb dmb;
 	int rc;
 
@@ -231,7 +239,7 @@ int smc_ism_register_dmb(struct smc_link_group *lgr, int dmb_len,
 	dmb.sba_idx = dmb_desc->sba_idx;
 	dmb.vlan_id = lgr->vlan_id;
 	dmb.rgid = lgr->peer_gid.gid;
-	rc = lgr->smcd->ops->register_dmb(lgr->smcd, &dmb, &smc_ism_client);
+	rc = lgr->smcd->ops->register_dmb(lgr->smcd, &dmb, lgr->smcd->client);
 	if (!rc) {
 		dmb_desc->sba_idx = dmb.sba_idx;
 		dmb_desc->token = dmb.dmb_tok;
@@ -240,9 +248,46 @@ int smc_ism_register_dmb(struct smc_link_group *lgr, int dmb_len,
 		dmb_desc->len = dmb.dmb_len;
 	}
 	return rc;
-#else
-	return 0;
-#endif
+}
+
+bool smc_ism_support_dmb_nocopy(struct smcd_dev *smcd)
+{
+	/* for now only loopback-ism supports
+	 * merging sndbuf with peer DMB to avoid
+	 * data copies between them.
+	 */
+	return (smcd->ops->support_dmb_nocopy &&
+		smcd->ops->support_dmb_nocopy(smcd));
+}
+
+int smc_ism_attach_dmb(struct smcd_dev *dev, u64 token,
+		       struct smc_buf_desc *dmb_desc)
+{
+	struct smcd_dmb dmb;
+	int rc = 0;
+
+	if (!dev->ops->attach_dmb)
+		return -EINVAL;
+
+	memset(&dmb, 0, sizeof(dmb));
+	dmb.dmb_tok = token;
+	rc = dev->ops->attach_dmb(dev, &dmb);
+	if (!rc) {
+		dmb_desc->sba_idx = dmb.sba_idx;
+		dmb_desc->token = dmb.dmb_tok;
+		dmb_desc->cpu_addr = dmb.cpu_addr;
+		dmb_desc->dma_addr = dmb.dma_addr;
+		dmb_desc->len = dmb.dmb_len;
+	}
+	return rc;
+}
+
+int smc_ism_detach_dmb(struct smcd_dev *dev, u64 token)
+{
+	if (!dev->ops->detach_dmb)
+		return -EINVAL;
+
+	return dev->ops->detach_dmb(dev, token);
 }
 
 static int smc_nl_handle_smcd_dev(struct smcd_dev *smcd,
@@ -322,6 +367,8 @@ static void smc_nl_prep_smcd_dev(struct smcd_dev_list *dev_list,
 	list_for_each_entry(smcd, &dev_list->list, list) {
 		if (num < snum)
 			goto next;
+		if (smc_ism_is_loopback(smcd))
+			goto next;
 		if (smc_nl_handle_smcd_dev(smcd, skb, cb))
 			goto errout;
 next:
@@ -372,7 +419,8 @@ static void smcd_handle_sw_event(struct smc_ism_event_work *wrk)
 		smc_smcd_terminate(wrk->smcd, &peer_gid, ev_info.vlan_id);
 		break;
 	case ISM_EVENT_CODE_TESTLINK:	/* Activity timer */
-		if (ev_info.code == ISM_EVENT_REQUEST) {
+		if (ev_info.code == ISM_EVENT_REQUEST &&
+		    wrk->smcd->ops->signal_event) {
 			ev_info.code = ISM_EVENT_RESPONSE;
 			wrk->smcd->ops->signal_event(wrk->smcd,
 						     &peer_gid,
@@ -436,7 +484,7 @@ static struct smcd_dev *smcd_alloc_dev(struct device *parent, const char *name,
 static void smcd_register_dev(struct ism_dev *ism)
 {
 	const struct smcd_ops *ops = ism_get_smcd_ops();
-	struct smcd_dev *smcd;
+	struct smcd_dev *smcd, *fentry;
 
 	if (!ops)
 		return;
@@ -446,20 +494,28 @@ static void smcd_register_dev(struct ism_dev *ism)
 	if (!smcd)
 		return;
 	smcd->priv = ism;
+	smcd->client = &smc_ism_client;
 	ism_set_priv(ism, &smc_ism_client, smcd);
 	if (smc_pnetid_by_dev_port(&ism->pdev->dev, 0, smcd->pnetid))
 		smc_pnetid_by_table_smcd(smcd);
 
+	if (smcd->ops->supports_v2())
+		smc_ism_set_v2_capable();
 	mutex_lock(&smcd_dev_list.mutex);
-	if (list_empty(&smcd_dev_list.list)) {
-		if (smcd->ops->supports_v2())
-			smc_ism_v2_capable = true;
-	}
-	/* sort list: devices without pnetid before devices with pnetid */
-	if (smcd->pnetid[0])
+	/* sort list:
+	 * - devices without pnetid before devices with pnetid;
+	 * - loopback-ism always at the very beginning;
+	 */
+	if (!smcd->pnetid[0]) {
+		fentry = list_first_entry_or_null(&smcd_dev_list.list,
+						  struct smcd_dev, list);
+		if (fentry && smc_ism_is_loopback(fentry))
+			list_add(&smcd->list, &fentry->list);
+		else
+			list_add(&smcd->list, &smcd_dev_list.list);
+	} else {
 		list_add_tail(&smcd->list, &smcd_dev_list.list);
-	else
-		list_add(&smcd->list, &smcd_dev_list.list);
+	}
 	mutex_unlock(&smcd_dev_list.mutex);
 
 	pr_warn_ratelimited("smc: adding smcd device %s with pnetid %.16s%s\n",
@@ -541,6 +597,8 @@ int smc_ism_signal_shutdown(struct smc_link_group *lgr)
 
 	if (lgr->peer_shutdown)
 		return 0;
+	if (!lgr->smcd->ops->signal_event)
+		return 0;
 
 	memcpy(ev_info.uid, lgr->id, SMC_LGR_ID_SIZE);
 	ev_info.vlan_id = lgr->vlan_id;
diff --git a/net/smc/smc_ism.h b/net/smc/smc_ism.h
index 165cd013404bc..6763133dd8d04 100644
--- a/net/smc/smc_ism.h
+++ b/net/smc/smc_ism.h
@@ -48,10 +48,15 @@ int smc_ism_put_vlan(struct smcd_dev *dev, unsigned short vlan_id);
 int smc_ism_register_dmb(struct smc_link_group *lgr, int buf_size,
 			 struct smc_buf_desc *dmb_desc);
 int smc_ism_unregister_dmb(struct smcd_dev *dev, struct smc_buf_desc *dmb_desc);
+bool smc_ism_support_dmb_nocopy(struct smcd_dev *smcd);
+int smc_ism_attach_dmb(struct smcd_dev *dev, u64 token,
+		       struct smc_buf_desc *dmb_desc);
+int smc_ism_detach_dmb(struct smcd_dev *dev, u64 token);
 int smc_ism_signal_shutdown(struct smc_link_group *lgr);
 void smc_ism_get_system_eid(u8 **eid);
 u16 smc_ism_get_chid(struct smcd_dev *dev);
 bool smc_ism_is_v2_capable(void);
+void smc_ism_set_v2_capable(void);
 int smc_ism_init(void);
 void smc_ism_exit(void);
 int smcd_nl_get_device(struct sk_buff *skb, struct netlink_callback *cb);
@@ -84,4 +89,9 @@ static inline bool smc_ism_is_emulated(struct smcd_dev *smcd)
 	return __smc_ism_is_emulated(chid);
 }
 
+static inline bool smc_ism_is_loopback(struct smcd_dev *smcd)
+{
+	return (smcd->ops->get_chid(smcd) == 0xFFFF);
+}
+
 #endif
diff --git a/net/smc/smc_loopback.c b/net/smc/smc_loopback.c
new file mode 100644
index 0000000000000..3c5f64ca41153
--- /dev/null
+++ b/net/smc/smc_loopback.c
@@ -0,0 +1,427 @@
+// SPDX-License-Identifier: GPL-2.0
+/*
+ *  Shared Memory Communications Direct over loopback-ism device.
+ *
+ *  Functions for loopback-ism device.
+ *
+ *  Copyright (c) 2024, Alibaba Inc.
+ *
+ *  Author: Wen Gu <guwen@linux.alibaba.com>
+ *          Tony Lu <tonylu@linux.alibaba.com>
+ *
+ */
+
+#include <linux/device.h>
+#include <linux/types.h>
+#include <net/smc.h>
+
+#include "smc_cdc.h"
+#include "smc_ism.h"
+#include "smc_loopback.h"
+
+#define SMC_LO_V2_CAPABLE	0x1 /* loopback-ism acts as ISMv2 */
+#define SMC_LO_SUPPORT_NOCOPY	0x1
+#define SMC_DMA_ADDR_INVALID	(~(dma_addr_t)0)
+
+static const char smc_lo_dev_name[] = "loopback-ism";
+static struct smc_lo_dev *lo_dev;
+
+static void smc_lo_generate_ids(struct smc_lo_dev *ldev)
+{
+	struct smcd_gid *lgid = &ldev->local_gid;
+	uuid_t uuid;
+
+	uuid_gen(&uuid);
+	memcpy(&lgid->gid, &uuid, sizeof(lgid->gid));
+	memcpy(&lgid->gid_ext, (u8 *)&uuid + sizeof(lgid->gid),
+	       sizeof(lgid->gid_ext));
+
+	ldev->chid = SMC_LO_RESERVED_CHID;
+}
+
+static int smc_lo_query_rgid(struct smcd_dev *smcd, struct smcd_gid *rgid,
+			     u32 vid_valid, u32 vid)
+{
+	struct smc_lo_dev *ldev = smcd->priv;
+
+	/* rgid should be the same as lgid */
+	if (!ldev || rgid->gid != ldev->local_gid.gid ||
+	    rgid->gid_ext != ldev->local_gid.gid_ext)
+		return -ENETUNREACH;
+	return 0;
+}
+
+static int smc_lo_register_dmb(struct smcd_dev *smcd, struct smcd_dmb *dmb,
+			       void *client_priv)
+{
+	struct smc_lo_dmb_node *dmb_node, *tmp_node;
+	struct smc_lo_dev *ldev = smcd->priv;
+	int sba_idx, rc;
+
+	/* check space for new dmb */
+	for_each_clear_bit(sba_idx, ldev->sba_idx_mask, SMC_LO_MAX_DMBS) {
+		if (!test_and_set_bit(sba_idx, ldev->sba_idx_mask))
+			break;
+	}
+	if (sba_idx == SMC_LO_MAX_DMBS)
+		return -ENOSPC;
+
+	dmb_node = kzalloc(sizeof(*dmb_node), GFP_KERNEL);
+	if (!dmb_node) {
+		rc = -ENOMEM;
+		goto err_bit;
+	}
+
+	dmb_node->sba_idx = sba_idx;
+	dmb_node->len = dmb->dmb_len;
+	dmb_node->cpu_addr = kzalloc(dmb_node->len, GFP_KERNEL |
+				     __GFP_NOWARN | __GFP_NORETRY |
+				     __GFP_NOMEMALLOC);
+	if (!dmb_node->cpu_addr) {
+		rc = -ENOMEM;
+		goto err_node;
+	}
+	dmb_node->dma_addr = SMC_DMA_ADDR_INVALID;
+	refcount_set(&dmb_node->refcnt, 1);
+
+again:
+	/* add new dmb into hash table */
+	get_random_bytes(&dmb_node->token, sizeof(dmb_node->token));
+	write_lock_bh(&ldev->dmb_ht_lock);
+	hash_for_each_possible(ldev->dmb_ht, tmp_node, list, dmb_node->token) {
+		if (tmp_node->token == dmb_node->token) {
+			write_unlock_bh(&ldev->dmb_ht_lock);
+			goto again;
+		}
+	}
+	hash_add(ldev->dmb_ht, &dmb_node->list, dmb_node->token);
+	write_unlock_bh(&ldev->dmb_ht_lock);
+	atomic_inc(&ldev->dmb_cnt);
+
+	dmb->sba_idx = dmb_node->sba_idx;
+	dmb->dmb_tok = dmb_node->token;
+	dmb->cpu_addr = dmb_node->cpu_addr;
+	dmb->dma_addr = dmb_node->dma_addr;
+	dmb->dmb_len = dmb_node->len;
+
+	return 0;
+
+err_node:
+	kfree(dmb_node);
+err_bit:
+	clear_bit(sba_idx, ldev->sba_idx_mask);
+	return rc;
+}
+
+static void __smc_lo_unregister_dmb(struct smc_lo_dev *ldev,
+				    struct smc_lo_dmb_node *dmb_node)
+{
+	/* remove dmb from hash table */
+	write_lock_bh(&ldev->dmb_ht_lock);
+	hash_del(&dmb_node->list);
+	write_unlock_bh(&ldev->dmb_ht_lock);
+
+	clear_bit(dmb_node->sba_idx, ldev->sba_idx_mask);
+	kvfree(dmb_node->cpu_addr);
+	kfree(dmb_node);
+
+	if (atomic_dec_and_test(&ldev->dmb_cnt))
+		wake_up(&ldev->ldev_release);
+}
+
+static int smc_lo_unregister_dmb(struct smcd_dev *smcd, struct smcd_dmb *dmb)
+{
+	struct smc_lo_dmb_node *dmb_node = NULL, *tmp_node;
+	struct smc_lo_dev *ldev = smcd->priv;
+
+	/* find dmb from hash table */
+	read_lock_bh(&ldev->dmb_ht_lock);
+	hash_for_each_possible(ldev->dmb_ht, tmp_node, list, dmb->dmb_tok) {
+		if (tmp_node->token == dmb->dmb_tok) {
+			dmb_node = tmp_node;
+			break;
+		}
+	}
+	if (!dmb_node) {
+		read_unlock_bh(&ldev->dmb_ht_lock);
+		return -EINVAL;
+	}
+	read_unlock_bh(&ldev->dmb_ht_lock);
+
+	if (refcount_dec_and_test(&dmb_node->refcnt))
+		__smc_lo_unregister_dmb(ldev, dmb_node);
+	return 0;
+}
+
+static int smc_lo_support_dmb_nocopy(struct smcd_dev *smcd)
+{
+	return SMC_LO_SUPPORT_NOCOPY;
+}
+
+static int smc_lo_attach_dmb(struct smcd_dev *smcd, struct smcd_dmb *dmb)
+{
+	struct smc_lo_dmb_node *dmb_node = NULL, *tmp_node;
+	struct smc_lo_dev *ldev = smcd->priv;
+
+	/* find dmb_node according to dmb->dmb_tok */
+	read_lock_bh(&ldev->dmb_ht_lock);
+	hash_for_each_possible(ldev->dmb_ht, tmp_node, list, dmb->dmb_tok) {
+		if (tmp_node->token == dmb->dmb_tok) {
+			dmb_node = tmp_node;
+			break;
+		}
+	}
+	if (!dmb_node) {
+		read_unlock_bh(&ldev->dmb_ht_lock);
+		return -EINVAL;
+	}
+	read_unlock_bh(&ldev->dmb_ht_lock);
+
+	if (!refcount_inc_not_zero(&dmb_node->refcnt))
+		/* the dmb is being unregistered, but has
+		 * not been removed from the hash table.
+		 */
+		return -EINVAL;
+
+	/* provide dmb information */
+	dmb->sba_idx = dmb_node->sba_idx;
+	dmb->dmb_tok = dmb_node->token;
+	dmb->cpu_addr = dmb_node->cpu_addr;
+	dmb->dma_addr = dmb_node->dma_addr;
+	dmb->dmb_len = dmb_node->len;
+	return 0;
+}
+
+static int smc_lo_detach_dmb(struct smcd_dev *smcd, u64 token)
+{
+	struct smc_lo_dmb_node *dmb_node = NULL, *tmp_node;
+	struct smc_lo_dev *ldev = smcd->priv;
+
+	/* find dmb_node according to dmb->dmb_tok */
+	read_lock_bh(&ldev->dmb_ht_lock);
+	hash_for_each_possible(ldev->dmb_ht, tmp_node, list, token) {
+		if (tmp_node->token == token) {
+			dmb_node = tmp_node;
+			break;
+		}
+	}
+	if (!dmb_node) {
+		read_unlock_bh(&ldev->dmb_ht_lock);
+		return -EINVAL;
+	}
+	read_unlock_bh(&ldev->dmb_ht_lock);
+
+	if (refcount_dec_and_test(&dmb_node->refcnt))
+		__smc_lo_unregister_dmb(ldev, dmb_node);
+	return 0;
+}
+
+static int smc_lo_move_data(struct smcd_dev *smcd, u64 dmb_tok,
+			    unsigned int idx, bool sf, unsigned int offset,
+			    void *data, unsigned int size)
+{
+	struct smc_lo_dmb_node *rmb_node = NULL, *tmp_node;
+	struct smc_lo_dev *ldev = smcd->priv;
+	struct smc_connection *conn;
+
+	if (!sf)
+		/* since sndbuf is merged with peer DMB, there is
+		 * no need to copy data from sndbuf to peer DMB.
+		 */
+		return 0;
+
+	read_lock_bh(&ldev->dmb_ht_lock);
+	hash_for_each_possible(ldev->dmb_ht, tmp_node, list, dmb_tok) {
+		if (tmp_node->token == dmb_tok) {
+			rmb_node = tmp_node;
+			break;
+		}
+	}
+	if (!rmb_node) {
+		read_unlock_bh(&ldev->dmb_ht_lock);
+		return -EINVAL;
+	}
+	memcpy((char *)rmb_node->cpu_addr + offset, data, size);
+	read_unlock_bh(&ldev->dmb_ht_lock);
+
+	conn = smcd->conn[rmb_node->sba_idx];
+	if (!conn || conn->killed)
+		return -EPIPE;
+	tasklet_schedule(&conn->rx_tsklet);
+	return 0;
+}
+
+static int smc_lo_supports_v2(void)
+{
+	return SMC_LO_V2_CAPABLE;
+}
+
+static void smc_lo_get_local_gid(struct smcd_dev *smcd,
+				 struct smcd_gid *smcd_gid)
+{
+	struct smc_lo_dev *ldev = smcd->priv;
+
+	smcd_gid->gid = ldev->local_gid.gid;
+	smcd_gid->gid_ext = ldev->local_gid.gid_ext;
+}
+
+static u16 smc_lo_get_chid(struct smcd_dev *smcd)
+{
+	return ((struct smc_lo_dev *)smcd->priv)->chid;
+}
+
+static struct device *smc_lo_get_dev(struct smcd_dev *smcd)
+{
+	return &((struct smc_lo_dev *)smcd->priv)->dev;
+}
+
+static const struct smcd_ops lo_ops = {
+	.query_remote_gid = smc_lo_query_rgid,
+	.register_dmb = smc_lo_register_dmb,
+	.unregister_dmb = smc_lo_unregister_dmb,
+	.support_dmb_nocopy = smc_lo_support_dmb_nocopy,
+	.attach_dmb = smc_lo_attach_dmb,
+	.detach_dmb = smc_lo_detach_dmb,
+	.add_vlan_id		= NULL,
+	.del_vlan_id		= NULL,
+	.set_vlan_required	= NULL,
+	.reset_vlan_required	= NULL,
+	.signal_event		= NULL,
+	.move_data = smc_lo_move_data,
+	.supports_v2 = smc_lo_supports_v2,
+	.get_local_gid = smc_lo_get_local_gid,
+	.get_chid = smc_lo_get_chid,
+	.get_dev = smc_lo_get_dev,
+};
+
+static struct smcd_dev *smcd_lo_alloc_dev(const struct smcd_ops *ops,
+					  int max_dmbs)
+{
+	struct smcd_dev *smcd;
+
+	smcd = kzalloc(sizeof(*smcd), GFP_KERNEL);
+	if (!smcd)
+		return NULL;
+
+	smcd->conn = kcalloc(max_dmbs, sizeof(struct smc_connection *),
+			     GFP_KERNEL);
+	if (!smcd->conn)
+		goto out_smcd;
+
+	smcd->ops = ops;
+
+	spin_lock_init(&smcd->lock);
+	spin_lock_init(&smcd->lgr_lock);
+	INIT_LIST_HEAD(&smcd->vlan);
+	INIT_LIST_HEAD(&smcd->lgr_list);
+	init_waitqueue_head(&smcd->lgrs_deleted);
+	return smcd;
+
+out_smcd:
+	kfree(smcd);
+	return NULL;
+}
+
+static int smcd_lo_register_dev(struct smc_lo_dev *ldev)
+{
+	struct smcd_dev *smcd;
+
+	smcd = smcd_lo_alloc_dev(&lo_ops, SMC_LO_MAX_DMBS);
+	if (!smcd)
+		return -ENOMEM;
+	ldev->smcd = smcd;
+	smcd->priv = ldev;
+	smc_ism_set_v2_capable();
+	mutex_lock(&smcd_dev_list.mutex);
+	list_add(&smcd->list, &smcd_dev_list.list);
+	mutex_unlock(&smcd_dev_list.mutex);
+	pr_warn_ratelimited("smc: adding smcd device %s\n",
+			    dev_name(&ldev->dev));
+	return 0;
+}
+
+static void smcd_lo_unregister_dev(struct smc_lo_dev *ldev)
+{
+	struct smcd_dev *smcd = ldev->smcd;
+
+	pr_warn_ratelimited("smc: removing smcd device %s\n",
+			    dev_name(&ldev->dev));
+	smcd->going_away = 1;
+	smc_smcd_terminate_all(smcd);
+	mutex_lock(&smcd_dev_list.mutex);
+	list_del_init(&smcd->list);
+	mutex_unlock(&smcd_dev_list.mutex);
+	kfree(smcd->conn);
+	kfree(smcd);
+}
+
+static int smc_lo_dev_init(struct smc_lo_dev *ldev)
+{
+	smc_lo_generate_ids(ldev);
+	rwlock_init(&ldev->dmb_ht_lock);
+	hash_init(ldev->dmb_ht);
+	atomic_set(&ldev->dmb_cnt, 0);
+	init_waitqueue_head(&ldev->ldev_release);
+
+	return smcd_lo_register_dev(ldev);
+}
+
+static void smc_lo_dev_exit(struct smc_lo_dev *ldev)
+{
+	smcd_lo_unregister_dev(ldev);
+	if (atomic_read(&ldev->dmb_cnt))
+		wait_event(ldev->ldev_release, !atomic_read(&ldev->dmb_cnt));
+}
+
+static void smc_lo_dev_release(struct device *dev)
+{
+	struct smc_lo_dev *ldev =
+		container_of(dev, struct smc_lo_dev, dev);
+
+	kfree(ldev);
+}
+
+static int smc_lo_dev_probe(void)
+{
+	struct smc_lo_dev *ldev;
+	int ret;
+
+	ldev = kzalloc(sizeof(*ldev), GFP_KERNEL);
+	if (!ldev)
+		return -ENOMEM;
+
+	ldev->dev.parent = NULL;
+	ldev->dev.release = smc_lo_dev_release;
+	device_initialize(&ldev->dev);
+	dev_set_name(&ldev->dev, smc_lo_dev_name);
+
+	ret = smc_lo_dev_init(ldev);
+	if (ret)
+		goto free_dev;
+
+	lo_dev = ldev; /* global loopback device */
+	return 0;
+
+free_dev:
+	put_device(&ldev->dev);
+	return ret;
+}
+
+static void smc_lo_dev_remove(void)
+{
+	if (!lo_dev)
+		return;
+
+	smc_lo_dev_exit(lo_dev);
+	put_device(&lo_dev->dev); /* device_initialize in smc_lo_dev_probe */
+}
+
+int smc_loopback_init(void)
+{
+	return smc_lo_dev_probe();
+}
+
+void smc_loopback_exit(void)
+{
+	smc_lo_dev_remove();
+}
diff --git a/net/smc/smc_loopback.h b/net/smc/smc_loopback.h
new file mode 100644
index 0000000000000..6dd4292dae564
--- /dev/null
+++ b/net/smc/smc_loopback.h
@@ -0,0 +1,61 @@
+/* SPDX-License-Identifier: GPL-2.0 */
+/*
+ *  Shared Memory Communications Direct over loopback-ism device.
+ *
+ *  SMC-D loopback-ism device structure definitions.
+ *
+ *  Copyright (c) 2024, Alibaba Inc.
+ *
+ *  Author: Wen Gu <guwen@linux.alibaba.com>
+ *          Tony Lu <tonylu@linux.alibaba.com>
+ *
+ */
+
+#ifndef _SMC_LOOPBACK_H
+#define _SMC_LOOPBACK_H
+
+#include <linux/device.h>
+#include <linux/err.h>
+#include <net/smc.h>
+
+#if IS_ENABLED(CONFIG_SMC_LO)
+#define SMC_LO_MAX_DMBS		5000
+#define SMC_LO_DMBS_HASH_BITS	12
+#define SMC_LO_RESERVED_CHID	0xFFFF
+
+struct smc_lo_dmb_node {
+	struct hlist_node list;
+	u64 token;
+	u32 len;
+	u32 sba_idx;
+	void *cpu_addr;
+	dma_addr_t dma_addr;
+	refcount_t refcnt;
+};
+
+struct smc_lo_dev {
+	struct smcd_dev *smcd;
+	struct device dev;
+	u16 chid;
+	struct smcd_gid local_gid;
+	atomic_t dmb_cnt;
+	rwlock_t dmb_ht_lock;
+	DECLARE_BITMAP(sba_idx_mask, SMC_LO_MAX_DMBS);
+	DECLARE_HASHTABLE(dmb_ht, SMC_LO_DMBS_HASH_BITS);
+	wait_queue_head_t ldev_release;
+};
+
+int smc_loopback_init(void);
+void smc_loopback_exit(void);
+#else
+static inline int smc_loopback_init(void)
+{
+	return 0;
+}
+
+static inline void smc_loopback_exit(void)
+{
+}
+#endif
+
+#endif /* _SMC_LOOPBACK_H */