diff --git a/README.md b/README.md
index 7f72586c..bce6fad6 100644
--- a/README.md
+++ b/README.md
@@ -339,3 +339,4 @@ These environment variables will be useful if there was ever a snag hit:
 
 - `NEAR_RPC_TIMEOUT_SECS`: The default is 10 seconds, but this is the amount of time beforing timing out waiting for a RPC service when talking to the sandbox or any other network such as testnet.
 - `NEAR_SANDBOX_BIN_PATH`: Set this to our own prebuilt `neard-sandbox` bin path if we want to use a non-default version of the sandbox or configure nearcore with our own custom features that we want to test in workspaces.
+- `NEAR_SANDBOX_MAX_PAYLOAD_SIZE`: Sets the max payload size for sending transaction commits to sandbox. The default is 1gb and is necessary for patching large states.
diff --git a/workspaces/Cargo.toml b/workspaces/Cargo.toml
index 1fc636c6..a65378ad 100644
--- a/workspaces/Cargo.toml
+++ b/workspaces/Cargo.toml
@@ -24,6 +24,7 @@ rand = "0.8.4"
 reqwest = { version = "0.11", features = ["json"] }
 serde = "1.0"
 serde_json = "1.0"
+json-patch = "0.2"
 thiserror = "1.0"
 tokio = { version = "1", features = ["full"] }
 tokio-retry = "0.3"
diff --git a/workspaces/src/network/config.rs b/workspaces/src/network/config.rs
new file mode 100644
index 00000000..86d5e72e
--- /dev/null
+++ b/workspaces/src/network/config.rs
@@ -0,0 +1,68 @@
+//! Network specific configurations used to modify behavior inside a chain.
+//! This is so far only useable with sandbox networks since it would require
+//! direct access to a node to change the config. Each network like mainnet
+//! and testnet already have pre-configured settings; meanwhile sandbox can
+//! have additional settings on top of them to facilitate custom behavior
+//! such as sending large requests to the sandbox network.
+//
+// NOTE: nearcore has many, many configs which can easily change in the future
+// so this config.rs file just purely modifies the data and does not try to
+// replicate all the structs from nearcore side; which can be a huge maintenance
+// churn if we were to.
+
+use std::fs::File;
+use std::io::BufReader;
+use std::path::Path;
+
+use serde_json::Value;
+
+use crate::error::ErrorKind;
+use crate::Result;
+
+/// Overwrite the $home_dir/config.json file over a set of entries. `value` will be used per (key, value) pair
+/// where value can also be another dict. This recursively sets all entry in `value` dict to the config
+/// dict, and saves back into `home_dir` at the end of the day.
+fn overwrite(home_dir: &Path, value: Value) -> Result<()> {
+    let config_file =
+        File::open(home_dir.join("config.json")).map_err(|err| ErrorKind::Io.custom(err))?;
+    let config = BufReader::new(config_file);
+    let mut config: Value =
+        serde_json::from_reader(config).map_err(|err| ErrorKind::DataConversion.custom(err))?;
+
+    json_patch::merge(&mut config, &value);
+    let config_file =
+        File::create(home_dir.join("config.json")).map_err(|err| ErrorKind::Io.custom(err))?;
+    serde_json::to_writer(config_file, &config).map_err(|err| ErrorKind::Io.custom(err))?;
+
+    Ok(())
+}
+
+/// Limit how much nearcore/sandbox can receive per payload. The default set by nearcore is not
+/// enough for certain sandbox operations like patching contract state in the case of contracts
+/// larger than 10mb.
+fn max_sandbox_json_payload_size() -> Result<u64> {
+    let max_files = match std::env::var("NEAR_SANDBOX_MAX_PAYLOAD_SIZE") {
+        Ok(val) => val
+            .parse::<u64>()
+            .map_err(|err| ErrorKind::DataConversion.custom(err))?,
+
+        // Default is 1GB which should suit most contract sizes.
+        Err(_err) => 1024 * 1024 * 1024,
+    };
+
+    Ok(max_files)
+}
+
+/// Set extra configs for the sandbox defined by workspaces.
+pub(crate) fn set_sandbox_configs(home_dir: &Path) -> Result<()> {
+    overwrite(
+        home_dir,
+        serde_json::json!({
+            "rpc": {
+                "limits_config": {
+                    "json_payload_max_size": max_sandbox_json_payload_size()?,
+                },
+            },
+        }),
+    )
+}
diff --git a/workspaces/src/network/mod.rs b/workspaces/src/network/mod.rs
index 98868398..eee289eb 100644
--- a/workspaces/src/network/mod.rs
+++ b/workspaces/src/network/mod.rs
@@ -3,11 +3,13 @@
 //! Currently the builtin network types are [`Mainnet`], [`Testnet`], and [`Sandbox`].
 
 mod betanet;
+mod config;
 mod info;
 mod mainnet;
 mod sandbox;
 mod server;
 mod testnet;
+
 pub(crate) mod variants;
 
 pub(crate) use variants::DEV_ACCOUNT_SEED;
diff --git a/workspaces/src/network/server.rs b/workspaces/src/network/server.rs
index 85393d09..68813727 100644
--- a/workspaces/src/network/server.rs
+++ b/workspaces/src/network/server.rs
@@ -43,6 +43,10 @@ impl SandboxServer {
             .map_err(|e| SandboxErrorCode::InitFailure.custom(e))?;
         info!(target: "workspaces", "sandbox init: {:?}", output);
 
+        // Configure `$home_dir/config.json` to our liking. Sandbox requires extra settings
+        // for the best user experience, and being able to offer patching large state payloads.
+        crate::network::config::set_sandbox_configs(&home_dir)?;
+
         let child = sandbox::run(&home_dir, self.rpc_port, self.net_port)
             .map_err(|e| SandboxErrorCode::RunFailure.custom(e))?;