diff --git a/admin_frontend/package.json b/admin_frontend/package.json
index a87ffa3..90184df 100644
--- a/admin_frontend/package.json
+++ b/admin_frontend/package.json
@@ -1,6 +1,6 @@
 {
   "name": "admin_frontend",
-  "version": "1.2.9",
+  "version": "1.3.0",
   "private": true,
   "dependencies": {
     "@emotion/react": "11.11.3",
diff --git a/backend/package.json b/backend/package.json
index b7e6c1d..a56129e 100644
--- a/backend/package.json
+++ b/backend/package.json
@@ -1,6 +1,6 @@
 {
   "name": "arka",
-  "version": "1.2.9",
+  "version": "1.3.0",
   "description": "ARKA - (Albanian for Cashier's case) is the first open source Paymaster as a service software",
   "type": "module",
   "directories": {
diff --git a/backend/src/constants/ErrorMessage.ts b/backend/src/constants/ErrorMessage.ts
index 92f9c29..3f8226a 100644
--- a/backend/src/constants/ErrorMessage.ts
+++ b/backend/src/constants/ErrorMessage.ts
@@ -3,6 +3,7 @@ export default {
     INVALID_SPONSORSHIP_POLICY: 'Invalid sponsorship policy data',
     INVALID_SPONSORSHIP_POLICY_ID: 'Invalid sponsorship policy id',
     INVALID_API_KEY: 'Invalid Api Key',
+    API_KEY_NOT_CONFIGURED_IN_DATABASE: 'Api Key not configured in database',
     UNSUPPORTED_NETWORK: 'Unsupported network',
     UNSUPPORTED_NETWORK_TOKEN: 'Unsupported network/token',
     EMPTY_BODY: 'Empty Body received',
diff --git a/backend/src/routes/paymaster-routes.ts b/backend/src/routes/paymaster-routes.ts
index 5667ffc..564ea15 100644
--- a/backend/src/routes/paymaster-routes.ts
+++ b/backend/src/routes/paymaster-routes.ts
@@ -128,8 +128,8 @@ const paymasterRoutes: FastifyPluginAsync = async (server) => {
           const apiKeyEntity = await server.apiKeyRepository.findOneByApiKey(api_key);
 
           if (!apiKeyEntity) {
-            server.log.error("Invalid Api Key provided")
-            return reply.code(ReturnCode.FAILURE).send({ error: ErrorMessage.INVALID_API_KEY })
+            server.log.error("APIKey not configured in database")
+            return reply.code(ReturnCode.FAILURE).send({ error: ErrorMessage.API_KEY_NOT_CONFIGURED_IN_DATABASE })
           }
 
           if (apiKeyEntity.erc20Paymasters) {
@@ -197,7 +197,7 @@ const paymasterRoutes: FastifyPluginAsync = async (server) => {
 
             // get wallet_address from api_key
             const apiKeyData = await server.apiKeyRepository.findOneByApiKey(api_key);
-            if (!apiKeyData) return reply.code(ReturnCode.FAILURE).send({ error: ErrorMessage.INVALID_API_KEY });
+            if (!apiKeyData) return reply.code(ReturnCode.FAILURE).send({ error: ErrorMessage.API_KEY_NOT_CONFIGURED_IN_DATABASE });
 
             // get sponsorshipPolicy for the user from walletAddress and entrypoint version
             const sponsorshipPolicy: SponsorshipPolicy | null = await server.sponsorshipPolicyRepository.findOneByWalletAddressAndSupportedEPVersion(apiKeyData?.walletAddress, getEPVersion(epVersion));
@@ -215,9 +215,6 @@ const paymasterRoutes: FastifyPluginAsync = async (server) => {
             const supportedNetworks: number[] | undefined | null = sponsorshipPolicy.enabledChains;
             if (!supportedNetworks || !supportedNetworks.includes(chainId.chainId)) return reply.code(ReturnCode.FAILURE).send({ error: ErrorMessage.UNSUPPORTED_NETWORK });
 
-            // is chainId exists in supportedNetworks
-            if (!supportedNetworks.includes(chainId.chainId)) return reply.code(ReturnCode.FAILURE).send({ error: ErrorMessage.UNSUPPORTED_NETWORK });
-
             if (txnMode) {
               const signerAddress = await signer.getAddress();
               const IndexerData = await getIndexerData(signerAddress, userOp.sender, date.getMonth(), date.getFullYear(), noOfTxns, indexerEndpoint);
diff --git a/backend/src/routes/sponsorship-policy-routes.ts b/backend/src/routes/sponsorship-policy-routes.ts
index fff733e..356da4c 100644
--- a/backend/src/routes/sponsorship-policy-routes.ts
+++ b/backend/src/routes/sponsorship-policy-routes.ts
@@ -4,7 +4,7 @@ import ErrorMessage, { generateErrorMessage } from "../constants/ErrorMessage.js
 import ReturnCode from "../constants/ReturnCode.js";
 import { SponsorshipPolicyDto, getEPVersion } from "../types/sponsorship-policy-dto.js";
 import { SponsorshipPolicy } from "../models/sponsorship-policy.js";
-import { getChainIdsFromSupportedNetworks } from "../utils/common.js";
+import { getChainIdsFromDefaultSupportedNetworks, getChainIdsFromSupportedNetworks } from "../utils/common.js";
 
 interface RouteParams {
   id?: string;
@@ -262,21 +262,25 @@ const sponsorshipPolicyRoutes: FastifyPluginAsync = async (server) => {
 
       // apiKey has supportedNetworks and validate if the enabledChains array in SponsorshipPolicyDto is a subset of supportedNetworks
       const supportedNetworks = apiKey.supportedNetworks;
-      if (!supportedNetworks) {
+
+      // get supportedNetworks from defaultConfig
+      const supportedChains: number[] = supportedNetworks ? getChainIdsFromSupportedNetworks(supportedNetworks as string) : getChainIdsFromDefaultSupportedNetworks();
+      
+      if (!supportedChains || supportedChains.length === 0) {
         return reply.code(ReturnCode.FAILURE).send({ error: ErrorMessage.UNSUPPORTED_NETWORK });
       }
-      const apiKeySupportedChains: number[] = getChainIdsFromSupportedNetworks(supportedNetworks as string);
+
       const sponsorshipPolicySupportedChains = sponsorshipPolicyDto.enabledChains;
 
-      if (sponsorshipPolicySupportedChains && sponsorshipPolicySupportedChains.length > 0) {
+      if (!sponsorshipPolicyDto.isApplicableToAllNetworks && sponsorshipPolicySupportedChains && sponsorshipPolicySupportedChains.length > 0) {
 
-        if (!sponsorshipPolicySupportedChains.every((chainId: number) => sponsorshipPolicySupportedChains.includes(chainId))) {
+        if (!sponsorshipPolicySupportedChains.every((chainId: number) => supportedChains.includes(chainId))) {
 
           //generate a comma separate string of sponsorshipPolicySupportedChains
           const sponsorshipPolicySupportedChainsCSV: string = sponsorshipPolicySupportedChains.join(',');
 
           //generate a comma separated string of apiKeySupportedChains
-          const apiKeySupportedChainsCSV: string = apiKeySupportedChains.join(',');
+          const apiKeySupportedChainsCSV: string = supportedChains.join(',');
           const errorMessage: string = generateErrorMessage(ErrorMessage.SPONSORSHIP_POLICY_CHAINS_NOT_IN_SUBSET_OF_APIKEY_SUPPORTED_CHAINS, { sponsorshipPolicyChains: sponsorshipPolicySupportedChainsCSV, apiKeyChains: apiKeySupportedChainsCSV });
 
           return reply.code(ReturnCode.FAILURE).send({ error: errorMessage });
diff --git a/backend/src/utils/common.ts b/backend/src/utils/common.ts
index 5a529f9..f1de5eb 100644
--- a/backend/src/utils/common.ts
+++ b/backend/src/utils/common.ts
@@ -18,6 +18,10 @@ export function getNetworkConfig(key: any, supportedNetworks: any, entryPoint: s
     return SupportedNetworks.find((chain) => chain.chainId == key && chain.entryPoint == entryPoint);
 }
 
+export function getChainIdsFromDefaultSupportedNetworks() {
+  return SupportedNetworks.map((chain) => chain.chainId);
+}
+
 export function decodeSupportedNetworks(supportedNetworksForDecode: string) {
   const buffer = Buffer.from(supportedNetworksForDecode, "base64");
   return JSON.parse(buffer.toString());
diff --git a/frontend/package.json b/frontend/package.json
index a91bd06..f1eaa32 100644
--- a/frontend/package.json
+++ b/frontend/package.json
@@ -1,6 +1,6 @@
 {
   "name": "arka_frontend",
-  "version": "1.2.9",
+  "version": "1.3.0",
   "private": true,
   "dependencies": {
     "@babel/plugin-proposal-private-property-in-object": "7.21.11",