diff --git a/cairo/ethereum/cancun/state.cairo b/cairo/ethereum/cancun/state.cairo
index ad447217..e3788e95 100644
--- a/cairo/ethereum/cancun/state.cairo
+++ b/cairo/ethereum/cancun/state.cairo
@@ -943,3 +943,17 @@ func copy_transient_storage_tries_recursive{
         dict_start + AddressTrieBytes32U256DictAccess.SIZE, dict_end
     );
 }
+
+func set_code{poseidon_ptr: PoseidonBuiltin*, state: State}(address: Address, code: Bytes) {
+    // Get the current account
+    let account = get_account(address);
+
+    // Create new account with updated code
+    tempvar new_account = OptionalAccount(
+        new AccountStruct(nonce=account.value.nonce, balance=account.value.balance, code=code)
+    );
+
+    // Set the updated account
+    set_account(address, new_account);
+    return ();
+}
diff --git a/cairo/tests/ethereum/cancun/test_state.py b/cairo/tests/ethereum/cancun/test_state.py
index 8461d97c..abd3f229 100644
--- a/cairo/tests/ethereum/cancun/test_state.py
+++ b/cairo/tests/ethereum/cancun/test_state.py
@@ -23,11 +23,12 @@
     is_account_empty,
     mark_account_created,
     set_account,
+    set_code,
     set_storage,
     set_transient_storage,
 )
 from tests.utils.args_gen import State, TransientStorage
-from tests.utils.strategies import address, bytes32, state, transient_storage
+from tests.utils.strategies import address, bytes32, code, state, transient_storage
 
 
 @composite
@@ -167,6 +168,16 @@ def test_is_account_alive(self, cairo_run, data):
         assert result_cairo == is_account_alive(state, address)
         assert state_cairo == state
 
+    @given(
+        data=state_and_address_and_optional_key(),
+        code=code,
+    )
+    def test_set_code(self, cairo_run, data, code: bytes):
+        state, address = data
+        state_cairo = cairo_run("set_code", state, address, code)
+        set_code(state, address, code)
+        assert state_cairo == state
+
 
 class TestStateStorage:
     @given(state_and_address_and_optional_key(key_strategy=bytes32))