diff --git a/packages/safe-chain/src/registryProxy/mitmRequestHandler.js b/packages/safe-chain/src/registryProxy/mitmRequestHandler.js
index 82685594..9d3388d1 100644
--- a/packages/safe-chain/src/registryProxy/mitmRequestHandler.js
+++ b/packages/safe-chain/src/registryProxy/mitmRequestHandler.js
@@ -67,21 +67,29 @@ function createHttpsServer(hostname, port, interceptor) {
       return;
     }
 
-    const pathAndQuery = getRequestPathAndQuery(req.url);
-    const targetUrl = `https://${hostname}${pathAndQuery}`;
-
-    const requestInterceptor = await interceptor.handleRequest(targetUrl);
-    const blockResponse = requestInterceptor.blockResponse;
+    try {
+      const pathAndQuery = getRequestPathAndQuery(req.url);
+      const targetUrl = `https://${hostname}${pathAndQuery}`;
+
+      const requestInterceptor = await interceptor.handleRequest(targetUrl);
+      const blockResponse = requestInterceptor.blockResponse;
+
+      if (blockResponse) {
+        ui.writeVerbose(`Safe-chain: Blocking request to ${targetUrl}`);
+        res.writeHead(blockResponse.statusCode, blockResponse.message);
+        res.end(blockResponse.message);
+        return;
+      }
 
-    if (blockResponse) {
-      ui.writeVerbose(`Safe-chain: Blocking request to ${targetUrl}`);
-      res.writeHead(blockResponse.statusCode, blockResponse.message);
-      res.end(blockResponse.message);
-      return;
+      // Collect request body
+      forwardRequest(req, hostname, port, res, requestInterceptor);
+    } catch (/** @type {any} */ error) {
+      ui.writeError(
+        `Safe-chain: Error handling request for ${req.url}: ${error.message}`
+      );
+      res.writeHead(502, "Bad Gateway");
+      res.end("Bad Gateway: Error handling request");
     }
-
-    // Collect request body
-    forwardRequest(req, hostname, port, res, requestInterceptor);
   }
 
   const server = https.createServer(
diff --git a/packages/safe-chain/src/registryProxy/tunnelRequestHandler.js b/packages/safe-chain/src/registryProxy/tunnelRequestHandler.js
index 5eac3816..c64de509 100644
--- a/packages/safe-chain/src/registryProxy/tunnelRequestHandler.js
+++ b/packages/safe-chain/src/registryProxy/tunnelRequestHandler.js
@@ -14,22 +14,28 @@ let timedoutImdsEndpoints = [];
  * @returns {void}
  */
 export function tunnelRequest(req, clientSocket, head) {
-  const httpsProxy = process.env.HTTPS_PROXY || process.env.https_proxy;
-
-  if (httpsProxy) {
-    // If an HTTPS proxy is set, tunnel the request via the proxy
-    // This is the system proxy, not the safe-chain proxy
-    // The package manager will run via the safe-chain proxy
-    // The safe-chain proxy will then send the request to the system proxy
-    // Typical flow: package manager -> safe-chain proxy -> system proxy -> destination
-
-    // There are 2 processes involved in this:
-    // 1. Safe-chain process: has HTTPS_PROXY set to system proxy
-    // 2. Package manager process: has HTTPS_PROXY set to safe-chain proxy
-
-    tunnelRequestViaProxy(req, clientSocket, head, httpsProxy);
-  } else {
-    tunnelRequestToDestination(req, clientSocket, head);
+  try {
+    const httpsProxy = process.env.HTTPS_PROXY || process.env.https_proxy;
+
+    if (httpsProxy) {
+      // If an HTTPS proxy is set, tunnel the request via the proxy
+      // This is the system proxy, not the safe-chain proxy
+      // The package manager will run via the safe-chain proxy
+      // The safe-chain proxy will then send the request to the system proxy
+      // Typical flow: package manager -> safe-chain proxy -> system proxy -> destination
+
+      // There are 2 processes involved in this:
+      // 1. Safe-chain process: has HTTPS_PROXY set to system proxy
+      // 2. Package manager process: has HTTPS_PROXY set to safe-chain proxy
+
+      tunnelRequestViaProxy(req, clientSocket, head, httpsProxy);
+    } else {
+      tunnelRequestToDestination(req, clientSocket, head);
+    }
+  } catch (/** @type {any} */ err) {
+    ui.writeError(
+      `Safe-chain: tunnel request failed for ${req.url} : ${err.message}`
+    );
   }
 }
 
diff --git a/test/e2e/dns-failure-resilience.e2e.spec.js b/test/e2e/dns-failure-resilience.e2e.spec.js
new file mode 100644
index 00000000..5504f1d8
--- /dev/null
+++ b/test/e2e/dns-failure-resilience.e2e.spec.js
@@ -0,0 +1,54 @@
+import { describe, it, before, beforeEach, afterEach } from "node:test";
+import { DockerTestContainer } from "./DockerTestContainer.js";
+import assert from "node:assert";
+
+describe("E2E: DNS failure resilience", () => {
+  let container;
+
+  before(async () => {
+    DockerTestContainer.buildImage();
+  });
+
+  beforeEach(async () => {
+    container = new DockerTestContainer();
+    await container.start();
+
+    const installationShell = await container.openShell("zsh");
+    await installationShell.runCommand("safe-chain setup");
+  });
+
+  afterEach(async () => {
+    if (container) {
+      await container.stop();
+      container = null;
+    }
+  });
+
+  it("should not crash when the npm registry is unreachable", async () => {
+    const shell = await container.openShell("zsh");
+
+    // Make the npm registry domain unreachable.
+    // `npm install lodash` talks to https://registry.npmjs.org/ for both metadata and tarballs.
+    await shell.runCommand(
+      'echo "127.0.0.1 registry.npmjs.org" >> /etc/hosts'
+    );
+
+    const result = await shell.runCommand(
+      // Fail fast so the shell runner doesn't time out.
+      // Also disable extra network calls that could introduce noise.
+      "npm install lodash --no-audit --no-fund --fetch-retries=0 --fetch-timeout=2000 --safe-chain-logging=verbose"
+    );
+
+    assert.ok(
+      result.output.includes("registry.npmjs.org"),
+      `Output did not reference the npm registry host; /etc/hosts override may not have applied. Output was:\n${result.output}`
+    );
+
+    // Ensure it did NOT crash with Unhandled Promise Rejection
+    assert.strictEqual(
+      result.output.includes("Unhandled promise rejection"),
+      false,
+      `Output indicates process crash (Unhandled promise rejection). Output was:\n${result.output}`
+    );
+  });
+});