diff --git a/rust-toolchain.toml b/rust-toolchain.toml
index 6b9ac7bc20..4ed821da19 100644
--- a/rust-toolchain.toml
+++ b/rust-toolchain.toml
@@ -1,3 +1,3 @@
 [toolchain]
-channel = "1.73.0"
+channel = "1.74.0"
 targets = ["wasm32-unknown-unknown"]
diff --git a/src/internet_identity/src/storage/tests.rs b/src/internet_identity/src/storage/tests.rs
index a54f220e0f..a1631b0c99 100644
--- a/src/internet_identity/src/storage/tests.rs
+++ b/src/internet_identity/src/storage/tests.rs
@@ -349,7 +349,7 @@ fn should_overwrite_persistent_state_with_next_anchor() {
 fn should_read_previously_stored_persistent_state() {
     const NUM_ANCHORS: u64 = 3;
     const EXPECTED_ADDRESS: u64 = RESERVED_HEADER_BYTES + NUM_ANCHORS * 4096;
-    let persistent_state_bytes = candid::encode_one(&sample_persistent_state()).unwrap();
+    let persistent_state_bytes = candid::encode_one(sample_persistent_state()).unwrap();
     let memory = VectorMemory::default();
     // allocate space for the writes
     memory.grow(3);