diff --git a/config/rootfiles/core/120/update.sh b/config/rootfiles/core/120/update.sh
index 459262c86..0744f3a7f 100644
--- a/config/rootfiles/core/120/update.sh
+++ b/config/rootfiles/core/120/update.sh
@@ -74,6 +74,12 @@ fi
 # Remove deprecated SSH configuration option
 sed -e "/UsePrivilegeSeparation/d" -i /etc/ssh/sshd_config
 
+# Remove any pakfire keys stored in /
+rm -rfv /.gnupg
+
+# Move old pakfire keystore into new place
+mv -v /root/.gnupg /opt/pakfire/etc/.gnupg
+
 # Import new Pakfire key
 /etc/init.d/pakfire start
 
diff --git a/src/initscripts/system/pakfire b/src/initscripts/system/pakfire
index 43befc796..d59daabce 100644
--- a/src/initscripts/system/pakfire
+++ b/src/initscripts/system/pakfire
@@ -9,6 +9,8 @@
 . /etc/sysconfig/rc
 . ${rc_functions}
 
+export GNUPGHOME="/opt/pakfire/etc/.gnupg"
+
 case "${1}" in
 	start)
 		boot_mesg "Setting up Pakfire Package Manager..."
diff --git a/src/pakfire/pakfire b/src/pakfire/pakfire
index 202c1e5a1..dfba91556 100644
--- a/src/pakfire/pakfire
+++ b/src/pakfire/pakfire
@@ -24,6 +24,9 @@
 	delete @ENV{qw(IFS CDPATH ENV BASH_ENV PATH)};
 	$< = $>;
 
+	# Store keys here
+	$ENV{"GNUPGHOME"} = "/opt/pakfire/etc/.gnupg";
+
 	require "/opt/pakfire/lib/functions.pl";
 	
 	my $interactive = 1;