diff --git a/models/tracker/src/migration.ts b/models/tracker/src/migration.ts
index 26cd3caaf5..ee7fb977a4 100644
--- a/models/tracker/src/migration.ts
+++ b/models/tracker/src/migration.ts
@@ -21,7 +21,6 @@ import core, {
   DocumentUpdate,
   Ref,
   SortingOrder,
-  StatusCategory,
   TxCreateDoc,
   TxOperations,
   TxResult,
@@ -41,6 +40,7 @@ import {
   Project,
   TimeReportDayType,
   calcRank,
+  createStatuses,
   genRanks
 } from '@hcengineering/tracker'
 import { DOMAIN_TRACKER } from '.'
@@ -54,14 +54,6 @@ enum DeprecatedIssueStatus {
   Canceled
 }
 
-interface CreateProjectIssueStatusesArgs {
-  tx: TxOperations
-  projectId: Ref<Project>
-  categories: StatusCategory[]
-  defaultStatusId?: Ref<IssueStatus>
-  defaultCategoryId?: Ref<StatusCategory>
-}
-
 const categoryByDeprecatedIssueStatus = {
   [DeprecatedIssueStatus.Backlog]: tracker.issueStatusCategory.Backlog,
   [DeprecatedIssueStatus.Todo]: tracker.issueStatusCategory.Unstarted,
@@ -70,30 +62,6 @@ const categoryByDeprecatedIssueStatus = {
   [DeprecatedIssueStatus.Canceled]: tracker.issueStatusCategory.Canceled
 } as const
 
-async function createProjectIssueStatuses ({
-  tx,
-  projectId: attachedTo,
-  categories,
-  defaultStatusId,
-  defaultCategoryId = tracker.issueStatusCategory.Backlog
-}: CreateProjectIssueStatusesArgs): Promise<void> {
-  const issueStatusRanks = [...genRanks(categories.length)]
-
-  for (const [i, statusCategory] of categories.entries()) {
-    const { _id: category, defaultStatusName } = statusCategory
-    const rank = issueStatusRanks[i]
-
-    if (defaultStatusName !== undefined) {
-      await tx.createDoc(
-        tracker.class.IssueStatus,
-        attachedTo,
-        { ofAttribute: tracker.attribute.IssueStatus, name: defaultStatusName, category, rank },
-        category === defaultCategoryId ? defaultStatusId : undefined
-      )
-    }
-  }
-}
-
 async function createDefaultProject (tx: TxOperations): Promise<void> {
   const current = await tx.findOne(tracker.class.Project, {
     _id: tracker.project.DefaultProject
@@ -106,7 +74,6 @@ async function createDefaultProject (tx: TxOperations): Promise<void> {
   // Create new if not deleted by customers.
   if (current === undefined && currentDeleted === undefined) {
     const defaultStatusId: Ref<IssueStatus> = generateId()
-    const categories = await tx.findAll(core.class.StatusCategory, {}, { sort: { order: SortingOrder.Ascending } })
 
     await tx.createDoc<Project>(
       tracker.class.Project,
@@ -126,14 +93,20 @@ async function createDefaultProject (tx: TxOperations): Promise<void> {
       },
       tracker.project.DefaultProject
     )
-    await createProjectIssueStatuses({ tx, projectId: tracker.project.DefaultProject, categories, defaultStatusId })
+    await createStatuses(
+      tx,
+      tracker.project.DefaultProject,
+      tracker.class.IssueStatus,
+      tracker.attribute.IssueStatus,
+      defaultStatusId
+    )
   }
 }
 
 async function fixProjectIssueStatusesOrder (tx: TxOperations, project: Project): Promise<TxResult> {
   const statuses = await tx.findAll(
     tracker.class.IssueStatus,
-    { attachedTo: project._id },
+    { space: project._id },
     { lookup: { category: core.class.StatusCategory } }
   )
   statuses.sort((a, b) => (a.$lookup?.category?.order ?? 0) - (b.$lookup?.category?.order ?? 0))
@@ -167,13 +140,11 @@ async function upgradeProjectIssueStatuses (tx: TxOperations): Promise<void> {
   const projects = await tx.findAll(tracker.class.Project, { issueStatuses: undefined })
 
   if (projects.length > 0) {
-    const categories = await tx.findAll(core.class.StatusCategory, {}, { sort: { order: SortingOrder.Ascending } })
-
     for (const project of projects) {
       const defaultStatusId: Ref<IssueStatus> = generateId()
 
       await tx.update(project, { issueStatuses: 0, defaultIssueStatus: defaultStatusId })
-      await createProjectIssueStatuses({ tx, projectId: project._id, categories, defaultStatusId })
+      await createStatuses(tx, project._id, tracker.class.IssueStatus, tracker.attribute.IssueStatus, defaultStatusId)
     }
   }
 }
diff --git a/packages/core/src/status.ts b/packages/core/src/status.ts
index f7b271839d..7d263ccfbc 100644
--- a/packages/core/src/status.ts
+++ b/packages/core/src/status.ts
@@ -26,7 +26,7 @@ export interface StatusCategory extends Doc {
   icon: Asset
   label: IntlString
   color: number
-  defaultStatusName?: string
+  defaultStatusName: string
   order: number // category order
 }
 /**
diff --git a/plugins/tracker-resources/src/components/issues/StatusEditor.svelte b/plugins/tracker-resources/src/components/issues/StatusEditor.svelte
index 621271dba8..3b14812eec 100644
--- a/plugins/tracker-resources/src/components/issues/StatusEditor.svelte
+++ b/plugins/tracker-resources/src/components/issues/StatusEditor.svelte
@@ -67,7 +67,7 @@
 
     showPopup(
       SelectPopup,
-      { value: statusesInfo, placeholder: tracker.string.SetStatus, searchable: true },
+      { value: statusesInfo, placeholder: tracker.string.SetStatus },
       eventToHTMLElement(event),
       changeStatus
     )
diff --git a/plugins/tracker-resources/src/components/projects/CreateProject.svelte b/plugins/tracker-resources/src/components/projects/CreateProject.svelte
index 78bb3dc26c..a62997be94 100644
--- a/plugins/tracker-resources/src/components/projects/CreateProject.svelte
+++ b/plugins/tracker-resources/src/components/projects/CreateProject.svelte
@@ -15,19 +15,11 @@
 <script lang="ts">
   import { Employee } from '@hcengineering/contact'
   import { AccountArrayEditor, AssigneeBox } from '@hcengineering/contact-resources'
-  import core, {
-    Account,
-    ApplyOperations,
-    DocumentUpdate,
-    Ref,
-    SortingOrder,
-    generateId,
-    getCurrentAccount
-  } from '@hcengineering/core'
+  import core, { Account, DocumentUpdate, Ref, generateId, getCurrentAccount } from '@hcengineering/core'
   import { Asset } from '@hcengineering/platform'
   import presentation, { Card, createQuery, getClient } from '@hcengineering/presentation'
   import { StyledTextBox } from '@hcengineering/text-editor'
-  import { IssueStatus, Project, TimeReportDayType, genRanks } from '@hcengineering/tracker'
+  import { IssueStatus, Project, TimeReportDayType, createStatuses } from '@hcengineering/tracker'
   import {
     Button,
     EditBox,
@@ -159,7 +151,7 @@
 
     isSaving = true
     await ops.createDoc(tracker.class.Project, core.space.Space, projectData, projectId)
-    await createProjectIssueStatuses(ops, projectId, defaultStatusId)
+    await createStatuses(ops, projectId, tracker.class.IssueStatus, tracker.attribute.IssueStatus, defaultStatusId)
     const succeeded = await ops.commit()
     isSaving = false
 
@@ -170,39 +162,6 @@
     }
   }
 
-  async function createProjectIssueStatuses (
-    ops: ApplyOperations,
-    projectId: Ref<Project>,
-    defaultStatusId: Ref<IssueStatus>,
-    defaultCategoryId = tracker.issueStatusCategory.Backlog
-  ): Promise<void> {
-    const categories = await ops.findAll(
-      core.class.StatusCategory,
-      { ofAttribute: tracker.attribute.IssueStatus },
-      { sort: { order: SortingOrder.Ascending } }
-    )
-    const issueStatusRanks = [...genRanks(categories.length)]
-
-    for (const [i, statusCategory] of categories.entries()) {
-      const { _id: category, defaultStatusName } = statusCategory
-      const rank = issueStatusRanks[i]
-
-      if (defaultStatusName !== undefined) {
-        await ops.createDoc(
-          tracker.class.IssueStatus,
-          projectId,
-          {
-            ofAttribute: tracker.attribute.IssueStatus,
-            name: defaultStatusName,
-            category,
-            rank
-          },
-          category === defaultCategoryId ? defaultStatusId : undefined
-        )
-      }
-    }
-  }
-
   function chooseIcon (ev: MouseEvent) {
     showPopup(ProjectIconChooser, { icon, color }, 'top', (result) => {
       if (result !== undefined && result !== null) {
diff --git a/plugins/tracker-resources/src/components/workflow/Statuses.svelte b/plugins/tracker-resources/src/components/workflow/Statuses.svelte
index 0f38becba5..0aec62e2a3 100644
--- a/plugins/tracker-resources/src/components/workflow/Statuses.svelte
+++ b/plugins/tracker-resources/src/components/workflow/Statuses.svelte
@@ -68,9 +68,7 @@
 
   async function addStatus () {
     if (editingStatus?.name && editingStatus?.category) {
-      const categoryStatuses = $statusStore.statuses.filter((s) => s.category === editingStatus!.category)
-      const prevStatus = categoryStatuses[categoryStatuses.length - 1]
-      const nextStatus = $statusStore.statuses[$statusStore.statuses.findIndex(({ _id }) => _id === prevStatus._id) + 1]
+      const [prevStatus, nextStatus] = getSiblingsForNewStatus(editingStatus.category)
 
       isSaving = true
       await client.createDoc(tracker.class.IssueStatus, projectId, {
@@ -152,8 +150,8 @@
             await client.removeDoc(status._class, status.space, status._id)
 
             if (project.defaultIssueStatus === status._id) {
-              const newDefaultStatus = $statusStore.statuses.find(
-                (s) => s._id !== status._id && s.category === status.category && s.space === status.space
+              const newDefaultStatus = projectStatuses.find(
+                (s) => s._id !== status._id && s.category === status.category
               )
               if (newDefaultStatus?._id) {
                 await updateProjectDefaultStatus(newDefaultStatus._id)
@@ -188,8 +186,8 @@
       const fromIndex = getStatusIndex(draggingStatus)
       const toIndex = getStatusIndex(toItem)
       const [prev, next] = [
-        $statusStore.statuses[fromIndex < toIndex ? toIndex : toIndex - 1],
-        $statusStore.statuses[fromIndex < toIndex ? toIndex + 1 : toIndex]
+        projectStatuses[fromIndex < toIndex ? toIndex : toIndex - 1],
+        projectStatuses[fromIndex < toIndex ? toIndex + 1 : toIndex]
       ]
 
       isSaving = true
@@ -203,7 +201,34 @@
   }
 
   function getStatusIndex (status: IssueStatus) {
-    return $statusStore.statuses.findIndex(({ _id }) => _id === status._id) ?? -1
+    return projectStatuses.findIndex(({ _id }) => _id === status._id) ?? -1
+  }
+
+  function getSiblingsForNewStatus (
+    categoryId: StatusCategory['_id']
+  ): readonly [] | readonly [IssueStatus | undefined, IssueStatus | undefined] {
+    const categoryStatuses = projectStatuses.filter((s) => s.category === categoryId)
+    if (categoryStatuses.length > 0) {
+      const prev = categoryStatuses[categoryStatuses.length - 1]
+      const next = projectStatuses[getStatusIndex(prev) + 1]
+
+      return [prev, next]
+    }
+
+    const category = statusCategories?.find(({ _id }) => _id === categoryId)
+    if (!category) {
+      return []
+    }
+
+    const { order } = category
+    const prev = projectStatuses.findLast(
+      (s) => s.$lookup?.category?.order !== undefined && s.$lookup.category.order < order
+    )
+    const next = projectStatuses.find(
+      (s) => s.$lookup?.category?.order !== undefined && s.$lookup.category.order > order
+    )
+
+    return [prev, next]
   }
 
   function resetDrag () {
@@ -213,6 +238,7 @@
 
   $: projectQuery.query(projectClass, { _id: projectId }, (result) => ([project] = result), { limit: 1 })
   $: updateStatusCategories()
+  $: projectStatuses = $statusStore.statuses.filter((status) => status.space === projectId)
 </script>
 
 <Panel isHeader={false} isAside={false} on:fullsize on:close={() => dispatch('close')}>
@@ -232,14 +258,13 @@
     </div>
   </svelte:fragment>
 
-  {#if project === undefined || statusCategories === undefined || $statusStore.statuses.length === 0}
+  {#if project === undefined || statusCategories === undefined || projectStatuses.length === 0}
     <Loading />
   {:else}
     <Scroller>
       <div class="popupPanel-body__main-content py-10 clear-mins flex-no-shrink">
         {#each statusCategories as category}
-          {@const statuses =
-            $statusStore.statuses.filter((s) => s.space === projectId && s.category === category._id) ?? []}
+          {@const statuses = projectStatuses.filter((s) => s.category === category._id) ?? []}
           {@const isSingle = statuses.length === 1}
           <div class="flex-between category-name">
             <Label label={category.label} />
diff --git a/plugins/tracker/src/utils.ts b/plugins/tracker/src/utils.ts
index e56292153c..11de2a0e4a 100644
--- a/plugins/tracker/src/utils.ts
+++ b/plugins/tracker/src/utils.ts
@@ -13,6 +13,7 @@
 // limitations under the License.
 //
 
+import core, { ApplyOperations, SortingOrder, Status, TxOperations, generateId } from '@hcengineering/core'
 import { LexoRank, LexoDecimal, LexoNumeralSystem36 } from 'lexorank'
 import LexoRankBucket from 'lexorank/lib/lexoRank/lexoRankBucket'
 
@@ -44,3 +45,40 @@ export const calcRank = (prev?: { rank: string }, next?: { rank: string }): stri
   }
   return a.between(b).toString()
 }
+
+/**
+ * Generates statuses for provided space.
+ *
+ * @public
+ */
+export async function createStatuses (
+  client: TxOperations | ApplyOperations,
+  spaceId: Status['space'],
+  statusClass: Status['_class'],
+  categoryOfAttribute: Status['ofAttribute'],
+  defaultStatusId: Status['_id']
+): Promise<void> {
+  const categories = await client.findAll(
+    core.class.StatusCategory,
+    { ofAttribute: categoryOfAttribute },
+    { sort: { order: SortingOrder.Ascending } }
+  )
+  const ranks = [...genRanks(categories.length)]
+
+  for (const [i, category] of categories.entries()) {
+    const statusId = i === 0 ? defaultStatusId : generateId<Status>()
+    const rank = ranks[i]
+
+    await client.createDoc(
+      statusClass,
+      spaceId,
+      {
+        ofAttribute: categoryOfAttribute,
+        name: category.defaultStatusName,
+        category: category._id,
+        rank
+      },
+      statusId
+    )
+  }
+}