diff --git a/proof/encoding.go b/proof/encoding.go
index 5337545f1..3d8b5af30 100644
--- a/proof/encoding.go
+++ b/proof/encoding.go
@@ -3,7 +3,9 @@ package proof
 import (
 	"bytes"
 	"io"
+	"math"
 
+	"github.com/btcsuite/btcd/blockchain"
 	"github.com/btcsuite/btcd/wire"
 	"github.com/lightninglabs/taproot-assets/asset"
 	"github.com/lightningnetwork/lnd/tlv"
@@ -17,6 +19,10 @@ func BlockHeaderEncoder(w io.Writer, val any, buf *[8]byte) error {
 }
 
 func BlockHeaderDecoder(r io.Reader, val any, buf *[8]byte, l uint64) error {
+	if l > BlockHeaderSize {
+		return tlv.ErrRecordTooLarge
+	}
+
 	if typ, ok := val.(*wire.BlockHeader); ok {
 		var headerBytes []byte
 		if err := tlv.DVarBytes(r, &headerBytes, buf, l); err != nil {
@@ -41,6 +47,10 @@ func TxEncoder(w io.Writer, val any, buf *[8]byte) error {
 }
 
 func TxDecoder(r io.Reader, val any, buf *[8]byte, l uint64) error {
+	if l > blockchain.MaxBlockWeight {
+		return tlv.ErrRecordTooLarge
+	}
+
 	if typ, ok := val.(*wire.MsgTx); ok {
 		var txBytes []byte
 		if err := tlv.DVarBytes(r, &txBytes, buf, l); err != nil {
@@ -64,6 +74,10 @@ func TxMerkleProofEncoder(w io.Writer, val any, buf *[8]byte) error {
 }
 
 func TxMerkleProofDecoder(r io.Reader, val any, buf *[8]byte, l uint64) error {
+	if l > tlv.MaxRecordSize {
+		return tlv.ErrRecordTooLarge
+	}
+
 	if typ, ok := val.(*TxMerkleProof); ok {
 		var proofBytes []byte
 		if err := tlv.DVarBytes(r, &proofBytes, buf, l); err != nil {
@@ -87,6 +101,10 @@ func TaprootProofEncoder(w io.Writer, val any, buf *[8]byte) error {
 }
 
 func TaprootProofDecoder(r io.Reader, val any, buf *[8]byte, l uint64) error {
+	if l > MaxTaprootProofSize {
+		return tlv.ErrRecordTooLarge
+	}
+
 	if typ, ok := val.(*TaprootProof); ok {
 		var proofBytes []byte
 		if err := tlv.DVarBytes(r, &proofBytes, buf, l); err != nil {
@@ -110,6 +128,10 @@ func SplitRootProofEncoder(w io.Writer, val any, buf *[8]byte) error {
 }
 
 func SplitRootProofDecoder(r io.Reader, val any, buf *[8]byte, l uint64) error {
+	if l > tlv.MaxRecordSize+asset.MaxAssetEncodeSize {
+		return tlv.ErrRecordTooLarge
+	}
+
 	if typ, ok := val.(**TaprootProof); ok {
 		var proofBytes []byte
 		if err := tlv.DVarBytes(r, &proofBytes, buf, l); err != nil {
@@ -154,10 +176,18 @@ func TaprootProofsDecoder(r io.Reader, val any, buf *[8]byte, _ uint64) error {
 		if err != nil {
 			return err
 		}
+
+		// Avoid OOM by limiting the number of taproot proofs we accept.
+		if numProofs > MaxNumTaprootProofs {
+			return ErrProofInvalid
+		}
+
 		proofs := make([]TaprootProof, 0, numProofs)
 		for i := uint64(0); i < numProofs; i++ {
 			var proofBytes []byte
-			err := asset.VarBytesDecoder(r, &proofBytes, buf, 0)
+			err := asset.VarBytesDecoder(
+				r, &proofBytes, buf, MaxTaprootProofSize,
+			)
 			if err != nil {
 				return err
 			}
@@ -198,15 +228,28 @@ func AdditionalInputsEncoder(w io.Writer, val any, buf *[8]byte) error {
 }
 
 func AdditionalInputsDecoder(r io.Reader, val any, buf *[8]byte, l uint64) error {
+	if l > FileMaxSize {
+		return tlv.ErrRecordTooLarge
+	}
+
 	if typ, ok := val.(*[]File); ok {
 		numInputs, err := tlv.ReadVarInt(r, buf)
 		if err != nil {
 			return err
 		}
+
+		// We only allow this many previous witnesses, so there can't
+		// be more additional inputs as witnesses.
+		if numInputs > math.MaxUint16 {
+			return tlv.ErrRecordTooLarge
+		}
+
 		inputFiles := make([]File, 0, numInputs)
 		for i := uint64(0); i < numInputs; i++ {
 			var inputFileBytes []byte
-			err := asset.VarBytesDecoder(r, &inputFileBytes, buf, 0)
+			err := asset.VarBytesDecoder(
+				r, &inputFileBytes, buf, FileMaxSize,
+			)
 			if err != nil {
 				return err
 			}
@@ -231,6 +274,10 @@ func CommitmentProofEncoder(w io.Writer, val any, buf *[8]byte) error {
 }
 
 func CommitmentProofDecoder(r io.Reader, val any, buf *[8]byte, l uint64) error {
+	if l > tlv.MaxRecordSize {
+		return tlv.ErrRecordTooLarge
+	}
+
 	if typ, ok := val.(**CommitmentProof); ok {
 		var proofBytes []byte
 		if err := tlv.DVarBytes(r, &proofBytes, buf, l); err != nil {
@@ -254,6 +301,10 @@ func TapscriptProofEncoder(w io.Writer, val any, buf *[8]byte) error {
 }
 
 func TapscriptProofDecoder(r io.Reader, val any, buf *[8]byte, l uint64) error {
+	if l > tlv.MaxRecordSize*2 {
+		return tlv.ErrRecordTooLarge
+	}
+
 	if typ, ok := val.(**TapscriptProof); ok {
 		var proofBytes []byte
 		if err := tlv.DVarBytes(r, &proofBytes, buf, l); err != nil {
@@ -302,6 +353,10 @@ func MetaRevealEncoder(w io.Writer, val any, buf *[8]byte) error {
 }
 
 func MetaRevealDecoder(r io.Reader, val any, buf *[8]byte, l uint64) error {
+	if l > MetaDataMaxLen {
+		return tlv.ErrRecordTooLarge
+	}
+
 	if typ, ok := val.(**MetaReveal); ok {
 		var revealBytes []byte
 		if err := tlv.DVarBytes(r, &revealBytes, buf, l); err != nil {
diff --git a/proof/file.go b/proof/file.go
index cfc6a7d69..9ff6c7e9c 100644
--- a/proof/file.go
+++ b/proof/file.go
@@ -24,6 +24,10 @@ var (
 	// ErrNoProofAvailable is the error that's returned when a proof is
 	// attempted to be fetched from an empty file.
 	ErrNoProofAvailable = errors.New("no proof available")
+
+	// ErrProofFileInvalid is the error that's returned when a proof file is
+	// invalid.
+	ErrProofFileInvalid = errors.New("proof file is invalid")
 )
 
 // Version denotes the versioning scheme for proof files.
@@ -32,6 +36,27 @@ type Version uint32
 const (
 	// V0 is the first version of the proof file.
 	V0 Version = 0
+
+	// FileMaxNumProofs is the maximum number of proofs we expect/allow to
+	// be encoded within a single proof file. Given that there can only be
+	// one transfer per block, this value would be enough to transfer an
+	// asset every 10 minutes for 1 year straight. This limitation might be
+	// lifted at some point when proofs can be compressed into a single
+	// zero-knowledge proof.
+	FileMaxNumProofs = 52500
+
+	// FileMaxProofSize is the maximum size of a single proof in a proof
+	// file. The maximum size of a meta reveal is 1 MB, so this value would
+	// cap the number of additional inputs within a proof to roughly 16 of
+	// assets with such large meta data.
+	FileMaxProofSize = 16 * 1024 * 1024
+
+	// FileMaxSize is the maximum size of a single proof file. This is not
+	// just FileMaxNumProofs * FileMaxProofSize as only the minting proof
+	// can commit to a large chunk of meta data. The other proofs are much
+	// smaller, assuming they don't all have additional inputs. But we must
+	// cap this value somewhere to avoid OOM attacks.
+	FileMaxSize = 500 * 1024 * 1024
 )
 
 // hashedProof is a struct that contains an encoded proof and its chained
@@ -172,6 +197,13 @@ func (f *File) Decode(r io.Reader) error {
 		return err
 	}
 
+	// Cap the number of proofs there can be within a single file to avoid
+	// OOM attacks. See the comment for FileMaxNumProofs for the reasoning
+	// behind the value chosen.
+	if numProofs > FileMaxNumProofs {
+		return ErrProofFileInvalid
+	}
+
 	var prevHash, currentHash, proofHash [sha256.Size]byte
 	f.proofs = make([]*hashedProof, numProofs)
 	for i := uint64(0); i < numProofs; i++ {
@@ -182,6 +214,13 @@ func (f *File) Decode(r io.Reader) error {
 			return err
 		}
 
+		// We also need to cap the size of an individual proof. See the
+		// comment for FileMaxProofSize for the reasoning behind the
+		// value chosen.
+		if numProofBytes > FileMaxProofSize {
+			return ErrProofFileInvalid
+		}
+
 		// Read all bytes that belong to the proof. We don't decode the
 		// proof itself as we usually only need the last proof anyway.
 		proofBytes := make([]byte, numProofBytes)
diff --git a/proof/proof.go b/proof/proof.go
index 67f9d5b4a..0929c36a3 100644
--- a/proof/proof.go
+++ b/proof/proof.go
@@ -6,8 +6,10 @@ import (
 	"fmt"
 	"io"
 
+	"github.com/btcsuite/btcd/blockchain"
 	"github.com/btcsuite/btcd/wire"
 	"github.com/lightninglabs/taproot-assets/asset"
+	"github.com/lightningnetwork/lnd/input"
 	"github.com/lightningnetwork/lnd/tlv"
 )
 
@@ -39,6 +41,10 @@ var (
 	// reveal.
 	ErrMetaRevealRequired = errors.New("meta reveal required")
 
+	// ErrProofInvalid is the error that's returned when a proof file is
+	// invalid.
+	ErrProofInvalid = errors.New("proof is invalid")
+
 	// RegtestTestVectorName is the name of the test vector file that is
 	// generated/updated by an actual integration test run on regtest. It is
 	// exported here, so we can use it in the integration tests.
@@ -64,6 +70,21 @@ const (
 	// PrefixMagicBytesLength is the length of the magic bytes that are
 	// prefixed to individual proofs or proof files.
 	PrefixMagicBytesLength = 4
+
+	// MaxNumTaprootProofs is the maximum number of Taproot proofs there can
+	// be in a proof. This limit represents the maximum block size in vBytes
+	// divided by the size of a single P2TR output and is therefore only a
+	// theoretical limit that can never be reached in practice.
+	MaxNumTaprootProofs = blockchain.MaxBlockBaseSize / input.P2TRSize
+
+	// MaxTaprootProofSize is the maximum size of a single Taproot proof.
+	// A Taproot proof can contain a commitment proof which at maximum can
+	// contain two MS-SMT proofs that max out at around 10k bytes each (in
+	// the worst case).
+	MaxTaprootProofSize = tlv.MaxRecordSize
+
+	// BlockHeaderSize is the size of a Bitcoin block header in bytes.
+	BlockHeaderSize = 80
 )
 
 var (
@@ -294,5 +315,9 @@ func (p *Proof) Decode(r io.Reader) error {
 	if err != nil {
 		return err
 	}
+
+	// Note, we can't use the DecodeP2P method here, because the additional
+	// inputs records might be larger than 64k each. Instead, we add
+	// individual limits to each record.
 	return stream.Decode(r)
 }
diff --git a/proof/records.go b/proof/records.go
index 5087b168d..5fba4832c 100644
--- a/proof/records.go
+++ b/proof/records.go
@@ -2,6 +2,7 @@ package proof
 
 import (
 	"bytes"
+	"io"
 
 	"github.com/btcsuite/btcd/btcec/v2"
 	"github.com/btcsuite/btcd/wire"
@@ -284,5 +285,29 @@ func MetaRevealTypeRecord(metaType *MetaType) tlv.Record {
 }
 
 func MetaRevealDataRecord(data *[]byte) tlv.Record {
-	return tlv.MakePrimitiveRecord(MetaRevealDataType, data)
+	sizeFunc := func() uint64 {
+		if data == nil {
+			return 0
+		}
+		return uint64(len(*data))
+	}
+	return tlv.MakeDynamicRecord(
+		MetaRevealDataType, data, sizeFunc, tlv.EVarBytes,
+		DVarBytesWithLimit(MetaDataMaxLen),
+	)
+}
+
+func DVarBytesWithLimit(limit uint64) tlv.Decoder {
+	return func(r io.Reader, val interface{}, _ *[8]byte, l uint64) error {
+		if l > limit {
+			return tlv.ErrRecordTooLarge
+		}
+
+		if b, ok := val.(*[]byte); ok {
+			*b = make([]byte, l)
+			_, err := io.ReadFull(r, *b)
+			return err
+		}
+		return tlv.NewTypeForDecodingErr(val, "[]byte", l, l)
+	}
 }
diff --git a/proof/taproot.go b/proof/taproot.go
index 5c79da316..6ce6ab7a5 100644
--- a/proof/taproot.go
+++ b/proof/taproot.go
@@ -202,7 +202,7 @@ func (p *TaprootProof) Decode(r io.Reader) error {
 	if err != nil {
 		return err
 	}
-	return stream.Decode(r)
+	return stream.DecodeP2P(r)
 }
 
 // deriveTaprootKey derives the taproot key backing a Taproot Asset commitment.
diff --git a/proof/tx.go b/proof/tx.go
index f2010ebc7..cd268e113 100644
--- a/proof/tx.go
+++ b/proof/tx.go
@@ -3,6 +3,7 @@ package proof
 import (
 	"errors"
 	"io"
+	"math"
 
 	"github.com/btcsuite/btcd/blockchain"
 	"github.com/btcsuite/btcd/btcutil"
@@ -141,6 +142,11 @@ func (p *TxMerkleProof) Decode(r io.Reader) error {
 	if err != nil {
 		return err
 	}
+
+	if numNodes > math.MaxUint8 {
+		return tlv.ErrRecordTooLarge
+	}
+
 	p.Nodes = make([]chainhash.Hash, 0, numNodes)
 	for i := uint64(0); i < numNodes; i++ {
 		var hash [chainhash.HashSize]byte