diff --git a/instrumentation/vertx/vertx-sql-client-4.0/javaagent/src/main/java/io/opentelemetry/javaagent/instrumentation/vertx/v4_0/sql/HandlerWrapper.java b/instrumentation/vertx/vertx-sql-client-4.0/javaagent/src/main/java/io/opentelemetry/javaagent/instrumentation/vertx/v4_0/sql/HandlerWrapper.java
new file mode 100644
index 0000000000..53e4f302c1
--- /dev/null
+++ b/instrumentation/vertx/vertx-sql-client-4.0/javaagent/src/main/java/io/opentelemetry/javaagent/instrumentation/vertx/v4_0/sql/HandlerWrapper.java
@@ -0,0 +1,35 @@
+/*
+ * Copyright The OpenTelemetry Authors
+ * SPDX-License-Identifier: Apache-2.0
+ */
+
+package io.opentelemetry.javaagent.instrumentation.vertx.v4_0.sql;
+
+import io.opentelemetry.context.Context;
+import io.opentelemetry.context.Scope;
+import io.vertx.core.Handler;
+
+public class HandlerWrapper<T> implements Handler<T> {
+  private final Handler<T> delegate;
+  private final Context context;
+
+  private HandlerWrapper(Handler<T> delegate, Context context) {
+    this.delegate = delegate;
+    this.context = context;
+  }
+
+  public static <T> Handler<T> wrap(Handler<T> handler) {
+    Context current = Context.current();
+    if (handler != null && !(handler instanceof HandlerWrapper) && current != Context.root()) {
+      handler = new HandlerWrapper<>(handler, current);
+    }
+    return handler;
+  }
+
+  @Override
+  public void handle(T t) {
+    try (Scope ignore = context.makeCurrent()) {
+      delegate.handle(t);
+    }
+  }
+}
diff --git a/instrumentation/vertx/vertx-sql-client-4.0/javaagent/src/main/java/io/opentelemetry/javaagent/instrumentation/vertx/v4_0/sql/TransactionImplInstrumentation.java b/instrumentation/vertx/vertx-sql-client-4.0/javaagent/src/main/java/io/opentelemetry/javaagent/instrumentation/vertx/v4_0/sql/TransactionImplInstrumentation.java
new file mode 100644
index 0000000000..464479dd63
--- /dev/null
+++ b/instrumentation/vertx/vertx-sql-client-4.0/javaagent/src/main/java/io/opentelemetry/javaagent/instrumentation/vertx/v4_0/sql/TransactionImplInstrumentation.java
@@ -0,0 +1,39 @@
+/*
+ * Copyright The OpenTelemetry Authors
+ * SPDX-License-Identifier: Apache-2.0
+ */
+
+package io.opentelemetry.javaagent.instrumentation.vertx.v4_0.sql;
+
+import static net.bytebuddy.matcher.ElementMatchers.named;
+import static net.bytebuddy.matcher.ElementMatchers.returns;
+
+import io.opentelemetry.javaagent.extension.instrumentation.TypeInstrumentation;
+import io.opentelemetry.javaagent.extension.instrumentation.TypeTransformer;
+import io.vertx.core.Handler;
+import net.bytebuddy.asm.Advice;
+import net.bytebuddy.description.type.TypeDescription;
+import net.bytebuddy.matcher.ElementMatcher;
+
+public class TransactionImplInstrumentation implements TypeInstrumentation {
+
+  @Override
+  public ElementMatcher<TypeDescription> typeMatcher() {
+    return named("io.vertx.sqlclient.impl.TransactionImpl");
+  }
+
+  @Override
+  public void transform(TypeTransformer transformer) {
+    transformer.applyAdviceToMethod(
+        named("wrap").and(returns(named("io.vertx.core.Handler"))),
+        TransactionImplInstrumentation.class.getName() + "$WrapHandlerAdvice");
+  }
+
+  @SuppressWarnings("unused")
+  public static class WrapHandlerAdvice {
+    @Advice.OnMethodExit(suppress = Throwable.class)
+    public static void wrapHandler(@Advice.Return(readOnly = false) Handler<?> handler) {
+      handler = HandlerWrapper.wrap(handler);
+    }
+  }
+}
diff --git a/instrumentation/vertx/vertx-sql-client-4.0/javaagent/src/main/java/io/opentelemetry/javaagent/instrumentation/vertx/v4_0/sql/VertxSqlClientInstrumentationModule.java b/instrumentation/vertx/vertx-sql-client-4.0/javaagent/src/main/java/io/opentelemetry/javaagent/instrumentation/vertx/v4_0/sql/VertxSqlClientInstrumentationModule.java
index 7f71cf586b..b4ccf21011 100644
--- a/instrumentation/vertx/vertx-sql-client-4.0/javaagent/src/main/java/io/opentelemetry/javaagent/instrumentation/vertx/v4_0/sql/VertxSqlClientInstrumentationModule.java
+++ b/instrumentation/vertx/vertx-sql-client-4.0/javaagent/src/main/java/io/opentelemetry/javaagent/instrumentation/vertx/v4_0/sql/VertxSqlClientInstrumentationModule.java
@@ -30,6 +30,7 @@ public class VertxSqlClientInstrumentationModule extends InstrumentationModule {
         new PoolInstrumentation(),
         new SqlClientBaseInstrumentation(),
         new QueryExecutorInstrumentation(),
-        new QueryResultBuilderInstrumentation());
+        new QueryResultBuilderInstrumentation(),
+        new TransactionImplInstrumentation());
   }
 }
diff --git a/instrumentation/vertx/vertx-sql-client-4.0/javaagent/src/test/java/io/opentelemetry/javaagent/instrumentation/vertx/v4_0/sql/VertxSqlClientTest.java b/instrumentation/vertx/vertx-sql-client-4.0/javaagent/src/test/java/io/opentelemetry/javaagent/instrumentation/vertx/v4_0/sql/VertxSqlClientTest.java
index 088bb42c77..80a94702f5 100644
--- a/instrumentation/vertx/vertx-sql-client-4.0/javaagent/src/test/java/io/opentelemetry/javaagent/instrumentation/vertx/v4_0/sql/VertxSqlClientTest.java
+++ b/instrumentation/vertx/vertx-sql-client-4.0/javaagent/src/test/java/io/opentelemetry/javaagent/instrumentation/vertx/v4_0/sql/VertxSqlClientTest.java
@@ -203,6 +203,10 @@ class VertxSqlClientTest {
         .toCompletableFuture()
         .get(30, TimeUnit.SECONDS);
 
+    assertPreparedSelect();
+  }
+
+  private static void assertPreparedSelect() {
     testing.waitAndAssertTraces(
         trace ->
             trace.hasSpansSatisfyingExactly(
@@ -250,4 +254,38 @@ class VertxSqlClientTest {
                             equalTo(NET_PEER_NAME, "localhost"),
                             equalTo(NET_PEER_PORT, port))));
   }
+
+  @Test
+  void testWithTransaction() throws Exception {
+    testing
+        .runWithSpan(
+            "parent",
+            () ->
+                pool.withTransaction(
+                    conn ->
+                        conn.preparedQuery("select * from test where id = $1")
+                            .execute(Tuple.of(1))))
+        .toCompletionStage()
+        .toCompletableFuture()
+        .get(30, TimeUnit.SECONDS);
+
+    assertPreparedSelect();
+  }
+
+  @Test
+  void testWithConnection() throws Exception {
+    testing
+        .runWithSpan(
+            "parent",
+            () ->
+                pool.withConnection(
+                    conn ->
+                        conn.preparedQuery("select * from test where id = $1")
+                            .execute(Tuple.of(1))))
+        .toCompletionStage()
+        .toCompletableFuture()
+        .get(30, TimeUnit.SECONDS);
+
+    assertPreparedSelect();
+  }
 }