diff --git a/oracle/update.go b/oracle/update.go
index afd388b08..d645f58a5 100644
--- a/oracle/update.go
+++ b/oracle/update.go
@@ -19,14 +19,19 @@ func (o *OracleImpl) UpdateMarketMap(marketMap mmtypes.MarketMap) error {
 	o.mut.Lock()
 	defer o.mut.Unlock()
 
-	if err := marketMap.ValidateBasic(); err != nil {
+	validSubset, err := marketMap.GetValidSubset()
+	if err != nil {
 		o.logger.Error("failed to validate market map", zap.Error(err))
 		return err
 	}
 
+	if len(validSubset.Markets) == 0 {
+		o.logger.Warn("market map update produced no valid markets to fetch")
+	}
+
 	// Iterate over all existing price providers and update their market maps.
 	for name, state := range o.priceProviders {
-		providerTickers, err := types.ProviderTickersFromMarketMap(name, marketMap)
+		providerTickers, err := types.ProviderTickersFromMarketMap(name, validSubset)
 		if err != nil {
 			o.logger.Error("failed to create provider market map", zap.String("provider", name), zap.Error(err))
 			return err
@@ -42,7 +47,7 @@ func (o *OracleImpl) UpdateMarketMap(marketMap mmtypes.MarketMap) error {
 		o.priceProviders[name] = updatedState
 	}
 
-	o.marketMap = marketMap
+	o.marketMap = validSubset
 	if o.aggregator != nil {
 		o.aggregator.UpdateMarketMap(o.marketMap)
 	}
diff --git a/oracle/update_test.go b/oracle/update_test.go
index 351fd3993..d9aa7d137 100644
--- a/oracle/update_test.go
+++ b/oracle/update_test.go
@@ -18,7 +18,7 @@ import (
 )
 
 func TestUpdateWithMarketMap(t *testing.T) {
-	t.Run("bad market map is rejected", func(t *testing.T) {
+	t.Run("bad market map is not rejected", func(t *testing.T) {
 		orc, err := oracle.New(
 			oracleCfg,
 			noOpPriceAggregator{},
@@ -35,7 +35,7 @@ func TestUpdateWithMarketMap(t *testing.T) {
 				"bad": {},
 			},
 		})
-		require.Error(t, err)
+		require.NoError(t, err)
 
 		o.Stop()
 	})
@@ -626,4 +626,60 @@ func TestUpdateProviderState(t *testing.T) {
 			500*time.Millisecond,
 		)
 	})
+
+	t.Run("can update the market map with partial failure on NormalizeBy", func(t *testing.T) {
+		orc, err := oracle.New(
+			oracleCfg,
+			noOpPriceAggregator{},
+			oracle.WithLogger(logger),
+			oracle.WithPriceAPIQueryHandlerFactory(oraclefactory.APIQueryHandlerFactory),
+			oracle.WithPriceWebSocketQueryHandlerFactory(oraclefactory.WebSocketQueryHandlerFactory),
+		)
+		require.NoError(t, err)
+		o := orc.(*oracle.OracleImpl)
+		require.NoError(t, o.Init(context.TODO()))
+
+		providers := o.GetProviderState()
+		require.Len(t, providers, 3)
+
+		// Update the oracle's market map.
+		require.NoError(t, o.UpdateMarketMap(partialInvalidMarketMap))
+
+		providers = o.GetProviderState()
+
+		cbTickers, err := types.ProviderTickersFromMarketMap(coinbase.Name, validMarketMapSubset)
+		require.NoError(t, err)
+
+		// Check the state after the update.
+		coinbaseState, ok := providers[coinbase.Name]
+		require.True(t, ok)
+		checkProviderState(
+			t,
+			cbTickers,
+			coinbase.Name,
+			providertypes.API,
+			false,
+			coinbaseState,
+		)
+
+		okxTickers, err := types.ProviderTickersFromMarketMap(okx.Name, validMarketMapSubset)
+		require.NoError(t, err)
+
+		okxState, ok := providers[okx.Name]
+		require.True(t, ok)
+		checkProviderState(
+			t,
+			okxTickers,
+			okx.Name,
+			providertypes.WebSockets,
+			false,
+			okxState,
+		)
+
+		binanceState, ok := providers[binance.Name]
+		require.True(t, ok)
+		checkProviderState(t, nil, binance.Name, providertypes.API, false, binanceState)
+
+		o.Stop()
+	})
 }