diff --git a/configure.ac b/configure.ac
index bada465987..dc44824677 100644
--- a/configure.ac
+++ b/configure.ac
@@ -1,7 +1,7 @@
 dnl require autoconf 2.60 (AS_ECHO/AS_ECHO_N)
 AC_PREREQ([2.60])
 define(_CLIENT_VERSION_MAJOR, 3)
-define(_CLIENT_VERSION_MINOR, 0)
+define(_CLIENT_VERSION_MINOR, 1)
 define(_CLIENT_VERSION_REVISION, 1)
 define(_CLIENT_VERSION_BUILD, 0)
 define(_CLIENT_VERSION_RC, 0)
diff --git a/src/version.h b/src/version.h
index cd22063ced..b265a2e1fe 100644
--- a/src/version.h
+++ b/src/version.h
@@ -9,7 +9,7 @@
  * network protocol versioning
  */
 
-static const int PROTOCOL_VERSION = 70034;
+static const int PROTOCOL_VERSION = 70035;
 
 //! initial proto version, to be increased after version/verack negotiation
 static const int INIT_PROTO_VERSION = 209;