diff --git a/packages/federation-sdk/src/index.ts b/packages/federation-sdk/src/index.ts
index fa5ac504..fa335fb5 100644
--- a/packages/federation-sdk/src/index.ts
+++ b/packages/federation-sdk/src/index.ts
@@ -144,7 +144,6 @@ export async function init({
 	emitter?: Emitter<HomeserverEventSignatures>;
 	dbConfig: {
 		uri: string;
-		name: string;
 		poolSize: number;
 	};
 }) {
diff --git a/packages/federation-sdk/src/services/database-connection.service.ts b/packages/federation-sdk/src/services/database-connection.service.ts
index 17a4cc0e..b0e905c3 100644
--- a/packages/federation-sdk/src/services/database-connection.service.ts
+++ b/packages/federation-sdk/src/services/database-connection.service.ts
@@ -7,9 +7,7 @@ export class DatabaseConnectionService {
 	private connectionPromise: Promise<void> | null = null;
 	private readonly logger = createLogger('DatabaseConnectionService');
 
-	constructor(
-		private readonly config: { uri: string; name: string; poolSize: number },
-	) {
+	constructor(private readonly config: { uri: string; poolSize: number }) {
 		this.connect().catch((err) =>
 			this.logger.error({ msg: 'Initial database connection failed', err }),
 		);
@@ -47,8 +45,15 @@ export class DatabaseConnectionService {
 				this.client = new MongoClient(dbConfig.uri, options);
 				this.client.connect();
 
-				this.db = this.client.db(dbConfig.name);
-				this.logger.info(`Connected to MongoDB database: ${dbConfig.name}`);
+				const dbName = this.client.options.dbName;
+				if (!dbName) {
+					throw new Error(
+						"Can't get database name from MongoDB connection string",
+					);
+				}
+
+				this.db = this.client.db(dbName);
+				this.logger.info(`Connected to MongoDB database: ${dbName}`);
 
 				resolve();
 			} catch (error: unknown) {
diff --git a/packages/homeserver/src/homeserver.module.ts b/packages/homeserver/src/homeserver.module.ts
index 179ab50c..51f93d53 100644
--- a/packages/homeserver/src/homeserver.module.ts
+++ b/packages/homeserver/src/homeserver.module.ts
@@ -39,8 +39,7 @@ export async function setup() {
 
 	await init({
 		dbConfig: {
-			uri: process.env.MONGODB_URI || 'mongodb://localhost:27017/matrix',
-			name: process.env.DATABASE_NAME || 'matrix',
+			uri: process.env.MONGO_URL || 'mongodb://localhost:27017/matrix',
 			poolSize: Number.parseInt(process.env.DATABASE_POOL_SIZE || '10', 10),
 		},
 	});