diff --git a/changelog.d/fixes/14060-malformed-sqlite-500.md b/changelog.d/fixes/14060-malformed-sqlite-500.md
new file mode 100644
index 000000000000..a8a94213450d
--- /dev/null
+++ b/changelog.d/fixes/14060-malformed-sqlite-500.md
@@ -0,0 +1 @@
+- fix(dashboard): Home degrades to default settings instead of returning 500 when the SQLite key_value table is corrupted; getSettings() keeps failing closed so auth gates still require login (#14060)
diff --git a/src/app/(dashboard)/home/loadHomeSettings.ts b/src/app/(dashboard)/home/loadHomeSettings.ts
new file mode 100644
index 000000000000..d083cb2e0185
--- /dev/null
+++ b/src/app/(dashboard)/home/loadHomeSettings.ts
@@ -0,0 +1,25 @@
+import { getSettings } from "@/lib/db/settings";
+
+export type HomeSettings = { setupComplete?: unknown };
+
+/**
+ * Settings read for the Home Server Component (#14060).
+ *
+ * A corrupted `key_value` table makes getSettings() throw, which used to crash the
+ * whole Home render with a 500. The degradation lives HERE, in the display-only
+ * consumer — never inside getSettings() itself: auth/authz callers such as
+ * isAuthRequired() rely on getSettings() rejecting so they fail CLOSED. Swallowing
+ * the error at the DB layer would hand them password-less defaults and disable
+ * auth for loopback requests.
+ */
+export async function loadHomeSettings(
+  load: () => Promise<HomeSettings> = getSettings
+): Promise<HomeSettings> {
+  try {
+    return await load();
+  } catch (error: unknown) {
+    const message = error instanceof Error ? error.message : String(error);
+    console.warn(`[Home] Failed to load settings; rendering with defaults: ${message}`);
+    return { setupComplete: false };
+  }
+}
diff --git a/src/app/(dashboard)/home/page.tsx b/src/app/(dashboard)/home/page.tsx
index 7580d67c1699..99e4f71a540a 100644
--- a/src/app/(dashboard)/home/page.tsx
+++ b/src/app/(dashboard)/home/page.tsx
@@ -1,5 +1,5 @@
 import { getMachineId } from "@/shared/utils/machine";
-import { getSettings } from "@/lib/db/settings";
+import { loadHomeSettings } from "./loadHomeSettings";
 import HomePageClient from "../dashboard/HomePageClient";
 import BootstrapBanner from "../dashboard/BootstrapBanner";
 import KimiSponsorBanner from "../dashboard/KimiSponsorBanner";
@@ -11,9 +11,8 @@ import FirstRunReadinessCard from "../dashboard/FirstRunReadinessCard";
 export const dynamic = "force-dynamic";
 
 export default async function HomePage() {
-  // Even if getSettings() rejects, getMachineId() runs concurrently, which is acceptable
-  // as both paths fail-fast on error and avoids the waterfall penalty.
-  const [settings, machineId] = await Promise.all([getSettings(), getMachineId()]);
+  // Settings failures degrade to defaults here (display-only) — see loadHomeSettings (#14060).
+  const [settings, machineId] = await Promise.all([loadHomeSettings(), getMachineId()]);
   const isBootstrapped = process.env.OMNIROUTE_BOOTSTRAPPED === "true";
   return (
     <>
diff --git a/tests/unit/settings-14060-getsettings-corrupt-db.test.ts b/tests/unit/settings-14060-getsettings-corrupt-db.test.ts
new file mode 100644
index 000000000000..1e6a5b187b87
--- /dev/null
+++ b/tests/unit/settings-14060-getsettings-corrupt-db.test.ts
@@ -0,0 +1,85 @@
+import test from "node:test";
+import assert from "node:assert/strict";
+import fs from "node:fs";
+import os from "node:os";
+import path from "node:path";
+
+const TEST_DATA_DIR = fs.mkdtempSync(path.join(os.tmpdir(), "omniroute-issue-14060-"));
+process.env.DATA_DIR = TEST_DATA_DIR;
+const ORIGINAL_INITIAL_PASSWORD = process.env.INITIAL_PASSWORD;
+delete process.env.INITIAL_PASSWORD;
+
+const core = await import("../../src/lib/db/core.ts");
+const settingsDb = await import("../../src/lib/db/settings.ts");
+const apiAuth = await import("../../src/shared/utils/apiAuth.ts");
+const { loadHomeSettings } = await import("../../src/app/(dashboard)/home/loadHomeSettings.ts");
+
+test.after(() => {
+  core.resetDbInstance();
+  if (ORIGINAL_INITIAL_PASSWORD === undefined) delete process.env.INITIAL_PASSWORD;
+  else process.env.INITIAL_PASSWORD = ORIGINAL_INITIAL_PASSWORD;
+  fs.rmSync(TEST_DATA_DIR, { recursive: true, force: true, maxRetries: 5, retryDelay: 100 });
+});
+
+/** Overwrite only the key_value table's root page so the boot probe tables stay readable. */
+function corruptKeyValueTable() {
+  const db = core.getDbInstance();
+  const dbPath = (db as { name?: string }).name;
+  assert.ok(typeof dbPath === "string" && dbPath.length > 0, "expected a file-backed db path");
+
+  const pageSize = (db.pragma("page_size") as Array<{ page_size: number }>)[0].page_size;
+  const rootPageRow = db
+    .prepare("SELECT rootpage FROM sqlite_master WHERE type = 'table' AND name = 'key_value'")
+    .get() as { rootpage: number } | undefined;
+  assert.ok(rootPageRow?.rootpage, "expected to find key_value's rootpage in sqlite_master");
+
+  core.resetDbInstance();
+
+  const buf = fs.readFileSync(dbPath as string);
+  const pageStart = (rootPageRow!.rootpage - 1) * pageSize;
+  for (let i = pageStart; i < Math.min(buf.length, pageStart + pageSize); i++) {
+    buf[i] = 0xff;
+  }
+  fs.writeFileSync(dbPath as string, buf);
+
+  const reopened = core.getDbInstance();
+  const bootHealthy = !!reopened
+    .prepare(
+      "SELECT name FROM sqlite_master WHERE type = 'table' AND name = 'provider_connections'"
+    )
+    .get();
+  assert.equal(bootHealthy, true, "expected the boot probe's own tables to remain readable");
+  core.resetDbInstance();
+}
+
+test("#14060: corrupted key_value keeps auth fail-closed and Home degrades without crashing", async () => {
+  corruptKeyValueTable();
+
+  // (a) Auth gate stays fail-closed: a loopback request on a protected path, with no
+  // password configured, must still require auth when settings cannot be read.
+  // Swallowing the error inside getSettings() returned password-less defaults and
+  // made this `false` (auth disabled for loopback).
+  const loopbackRequest = new Request("http://localhost:20128/api/providers");
+  assert.equal(
+    await apiAuth.isAuthRequired(loopbackRequest, { loopback: true }),
+    true,
+    "isAuthRequired() must fail closed when settings are unreadable"
+  );
+  // The first-password bootstrap write must not open up either.
+  const bootstrapWrite = new Request("http://localhost:20128/api/settings/require-login", {
+    method: "POST",
+  });
+  assert.equal(await apiAuth.isAuthRequired(bootstrapWrite, { loopback: true }), true);
+
+  // getSettings() must keep surfacing the read error — its auth callers depend on it.
+  await assert.rejects(() => settingsDb.getSettings());
+
+  // (b) Home degrades to defaults instead of rejecting (the original 500).
+  const homeSettings = await loadHomeSettings();
+  assert.deepEqual(homeSettings, { setupComplete: false });
+});
+
+test("loadHomeSettings passes healthy settings through untouched", async () => {
+  const result = await loadHomeSettings(async () => ({ setupComplete: true }));
+  assert.deepEqual(result, { setupComplete: true });
+});