diff --git a/tests/contract_test.rs b/tests/contract_test.rs
index 988ecf0..88013b6 100644
--- a/tests/contract_test.rs
+++ b/tests/contract_test.rs
@@ -2746,3 +2746,74 @@ fn remove_asset_emits_asset_removed_event() {
         (Event::AssetRemoved(asset), ledger),
     );
 }
+
+// ---------------------------------------------------------------------------
+// Issue #135 — StatusUpdated event emitted on status transitions
+// ---------------------------------------------------------------------------
+
+#[test]
+fn test_mark_processing_emits_status_updated() {
+    let env = Env::default();
+    let (admin, contract_id, client) = setup(&env);
+    let relayer = Address::generate(&env);
+    client.grant_relayer(&admin, &relayer);
+    client.add_asset(&admin, &usd(&env));
+
+    let tx_id = client.register_deposit(
+        &relayer,
+        &SorobanString::from_str(&env, "su-mark-processing"),
+        &Address::generate(&env),
+        &50_000_000,
+        &usd(&env),
+        &None,
+        &None,
+        &None,
+    );
+    client.mark_processing(&relayer, &tx_id);
+
+    let topics: soroban_sdk::Vec<Val> = (symbol_short!("synapse"),).into_val(&env);
+    let found = env.events().all().iter().any(|(contract, evt_topics, raw)| {
+        contract == contract_id
+            && evt_topics == topics
+            && matches!(
+                <(Event, u32)>::try_from_val(&env, &raw),
+                Ok((Event::StatusUpdated(ref id, ref s), _))
+                    if id == &tx_id && s == &synapse_contract::types::TransactionStatus::Processing
+            )
+    });
+    assert!(found, "Expected StatusUpdated(tx_id, Processing) event");
+}
+
+#[test]
+fn test_mark_completed_emits_status_updated() {
+    let env = Env::default();
+    let (admin, contract_id, client) = setup(&env);
+    let relayer = Address::generate(&env);
+    client.grant_relayer(&admin, &relayer);
+    client.add_asset(&admin, &usd(&env));
+
+    let tx_id = client.register_deposit(
+        &relayer,
+        &SorobanString::from_str(&env, "su-mark-completed"),
+        &Address::generate(&env),
+        &50_000_000,
+        &usd(&env),
+        &None,
+        &None,
+        &None,
+    );
+    client.mark_processing(&relayer, &tx_id);
+    client.mark_completed(&relayer, &tx_id);
+
+    let topics: soroban_sdk::Vec<Val> = (symbol_short!("synapse"),).into_val(&env);
+    let found = env.events().all().iter().any(|(contract, evt_topics, raw)| {
+        contract == contract_id
+            && evt_topics == topics
+            && matches!(
+                <(Event, u32)>::try_from_val(&env, &raw),
+                Ok((Event::StatusUpdated(ref id, ref s), _))
+                    if id == &tx_id && s == &synapse_contract::types::TransactionStatus::Completed
+            )
+    });
+    assert!(found, "Expected StatusUpdated(tx_id, Completed) event");
+}