diff --git a/Cargo.toml b/Cargo.toml
index 9fafb8b7..e818d899 100644
--- a/Cargo.toml
+++ b/Cargo.toml
@@ -7,6 +7,7 @@ members = [
     "crates/esplora",
     "example-crates/example_cli",
     "example-crates/example_electrum",
+    "example-crates/example_esplora",
     "example-crates/wallet_electrum",
     "example-crates/wallet_esplora_blocking",
     "example-crates/wallet_esplora_async",
diff --git a/crates/chain/src/tx_graph.rs b/crates/chain/src/tx_graph.rs
index 40406875..7f58f203 100644
--- a/crates/chain/src/tx_graph.rs
+++ b/crates/chain/src/tx_graph.rs
@@ -1066,6 +1066,45 @@ impl<A> ChangeSet<A> {
             })
             .chain(self.txouts.iter().map(|(op, txout)| (*op, txout)))
     }
+
+    /// Iterates over the heights of that the new transaction anchors in this changeset.
+    ///
+    /// This is useful if you want to find which heights you need to fetch data about in order to
+    /// confirm or exclude these anchors.
+    ///
+    /// See also: [`TxGraph::missing_heights`]
+    pub fn anchor_heights(&self) -> impl Iterator<Item = u32> + '_
+    where
+        A: Anchor,
+    {
+        let mut dedup = None;
+        self.anchors
+            .iter()
+            .map(|(a, _)| a.anchor_block().height)
+            .filter(move |height| {
+                let duplicate = dedup == Some(*height);
+                dedup = Some(*height);
+                !duplicate
+            })
+    }
+
+    /// Returns an iterator for the [`anchor_heights`] in this changeset that are not included in
+    /// `local_chain`. This tells you which heights you need to include in `local_chain` in order
+    /// for it to conclusively act as a [`ChainOracle`] for the transaction anchors this changeset
+    /// will add.
+    ///
+    /// [`ChainOracle`]: crate::ChainOracle
+    /// [`anchor_heights`]: Self::anchor_heights
+    pub fn missing_heights_from<'a>(
+        &'a self,
+        local_chain: &'a LocalChain,
+    ) -> impl Iterator<Item = u32> + 'a
+    where
+        A: Anchor,
+    {
+        self.anchor_heights()
+            .filter(move |height| !local_chain.blocks().contains_key(height))
+    }
 }
 
 impl<A: Ord> Append for ChangeSet<A> {
diff --git a/example-crates/example_esplora/Cargo.toml b/example-crates/example_esplora/Cargo.toml
new file mode 100644
index 00000000..ccad862e
--- /dev/null
+++ b/example-crates/example_esplora/Cargo.toml
@@ -0,0 +1,12 @@
+[package]
+name = "example_esplora"
+version = "0.1.0"
+edition = "2021"
+
+# See more keys and their definitions at https://doc.rust-lang.org/cargo/reference/manifest.html
+
+[dependencies]
+bdk_chain = { path = "../../crates/chain", features = ["serde"] }
+bdk_esplora = { path = "../../crates/esplora", features = ["blocking"] }
+example_cli = { path = "../example_cli" }
+
diff --git a/example-crates/example_esplora/src/main.rs b/example-crates/example_esplora/src/main.rs
new file mode 100644
index 00000000..56ea42d5
--- /dev/null
+++ b/example-crates/example_esplora/src/main.rs
@@ -0,0 +1,324 @@
+use std::{
+    collections::{BTreeMap, BTreeSet},
+    io::{self, Write},
+    sync::Mutex,
+};
+
+use bdk_chain::{
+    bitcoin::{Address, Network, OutPoint, ScriptBuf, Txid},
+    indexed_tx_graph::IndexedTxGraph,
+    keychain::WalletChangeSet,
+    local_chain::{CheckPoint, LocalChain},
+    Append, ConfirmationTimeAnchor,
+};
+
+use bdk_esplora::{esplora_client, EsploraExt};
+
+use example_cli::{
+    anyhow::{self, Context},
+    clap::{self, Parser, Subcommand},
+    Keychain,
+};
+
+const DB_MAGIC: &[u8] = b"bdk_example_esplora";
+const DB_PATH: &str = ".bdk_esplora_example.db";
+
+#[derive(Subcommand, Debug, Clone)]
+enum EsploraCommands {
+    /// Scans the addresses in the wallet using the esplora API.
+    Scan {
+        /// When a gap this large has been found for a keychain, it will stop.
+        #[clap(long, default_value = "5")]
+        stop_gap: usize,
+        #[clap(flatten)]
+        scan_options: ScanOptions,
+    },
+    /// Scan for particular addresses and unconfirmed transactions using the esplora API.
+    Sync {
+        /// Scan all the unused addresses.
+        #[clap(long)]
+        unused_spks: bool,
+        /// Scan every address that you have derived.
+        #[clap(long)]
+        all_spks: bool,
+        /// Scan unspent outpoints for spends or changes to confirmation status of residing tx.
+        #[clap(long)]
+        utxos: bool,
+        /// Scan unconfirmed transactions for updates.
+        #[clap(long)]
+        unconfirmed: bool,
+        #[clap(flatten)]
+        scan_options: ScanOptions,
+    },
+}
+
+#[derive(Parser, Debug, Clone, PartialEq)]
+pub struct ScanOptions {
+    /// Max number of concurrent esplora server requests.
+    #[clap(long, default_value = "1")]
+    pub parallel_requests: usize,
+}
+
+fn main() -> anyhow::Result<()> {
+    let (args, keymap, index, db, init_changeset) = example_cli::init::<
+        EsploraCommands,
+        WalletChangeSet<Keychain, ConfirmationTimeAnchor>,
+    >(DB_MAGIC, DB_PATH)?;
+
+    // Contruct `IndexedTxGraph` and `LocalChain` with our initial changeset. They are wrapped in
+    // `Mutex` to display how they can be used in a multithreaded context. Technically the mutexes
+    // aren't strictly needed here.
+    let graph = Mutex::new({
+        let mut graph = IndexedTxGraph::new(index);
+        graph.apply_changeset(init_changeset.index_tx_graph);
+        graph
+    });
+    let chain = Mutex::new({
+        let mut chain = LocalChain::default();
+        chain.apply_changeset(&init_changeset.chain);
+        chain
+    });
+
+    let esplora_url = match args.network {
+        Network::Bitcoin => "https://blockstream.info/api",
+        Network::Testnet => "https://blockstream.info/testnet/api",
+        Network::Regtest => "http://localhost:3002",
+        Network::Signet => "https://mempool.space/signet/api",
+        _ => panic!("unsupported network"),
+    };
+
+    let client = esplora_client::Builder::new(esplora_url).build_blocking()?;
+
+    let esplora_cmd = match &args.command {
+        // These are commands that are handled by this example (sync, scan).
+        example_cli::Commands::ChainSpecific(esplora_cmd) => esplora_cmd,
+        // These are general commands handled by example_cli. Execute the cmd and return.
+        general_cmd => {
+            let res = example_cli::handle_commands(
+                &graph,
+                &db,
+                &chain,
+                &keymap,
+                args.network,
+                |tx| {
+                    client
+                        .broadcast(tx)
+                        .map(|_| ())
+                        .map_err(anyhow::Error::from)
+                },
+                general_cmd.clone(),
+            );
+
+            db.lock().unwrap().commit()?;
+            return res;
+        }
+    };
+
+    // Prepare the `IndexedTxGraph` update based on whether we are scanning or syncing.
+    // Scanning: We are iterating through spks of all keychains and scanning for transactions for
+    //   each spk. We start with the lowest derivation index spk and stop scanning after `stop_gap`
+    //   number of consecutive spks have no transaction history. A Scan is done in situations of
+    //   wallet restoration. It is a special case. Applications should use "sync" style updates
+    //   after an initial scan.
+    // Syncing: We only check for specified spks, utxos and txids to update their confirmation
+    //   status or fetch missing transactions.
+    let indexed_tx_graph_changeset = match &esplora_cmd {
+        EsploraCommands::Scan {
+            stop_gap,
+            scan_options,
+        } => {
+            let keychain_spks = graph
+                .lock()
+                .expect("mutex must not be poisoned")
+                .index
+                .spks_of_all_keychains()
+                .into_iter()
+                // This `map` is purely for logging.
+                .map(|(keychain, iter)| {
+                    let mut first = true;
+                    let spk_iter = iter.inspect(move |(i, _)| {
+                        if first {
+                            eprint!("\nscanning {}: ", keychain);
+                            first = false;
+                        }
+                        eprint!("{} ", i);
+                        // Flush early to ensure we print at every iteration.
+                        let _ = io::stderr().flush();
+                    });
+                    (keychain, spk_iter)
+                })
+                .collect::<BTreeMap<_, _>>();
+
+            // The client scans keychain spks for transaction histories, stopping after `stop_gap`
+            // is reached. It returns a `TxGraph` update (`graph_update`) and a structure that
+            // represents the last active spk derivation indices of keychains
+            // (`keychain_indices_update`).
+            let (graph_update, last_active_indices) = client
+                .update_tx_graph(
+                    keychain_spks,
+                    core::iter::empty(),
+                    core::iter::empty(),
+                    *stop_gap,
+                    scan_options.parallel_requests,
+                )
+                .context("scanning for transactions")?;
+
+            let mut graph = graph.lock().expect("mutex must not be poisoned");
+            // Because we did a stop gap based scan we are likely to have some updates to our
+            // deriviation indices. Usually before a scan you are on a fresh wallet with no
+            // addresses derived so we need to derive up to last active addresses the scan found
+            // before adding the transactions.
+            let (_, index_changeset) = graph.index.reveal_to_target_multi(&last_active_indices);
+            let mut indexed_tx_graph_changeset = graph.apply_update(graph_update);
+            indexed_tx_graph_changeset.append(index_changeset.into());
+            indexed_tx_graph_changeset
+        }
+        EsploraCommands::Sync {
+            mut unused_spks,
+            all_spks,
+            mut utxos,
+            mut unconfirmed,
+            scan_options,
+        } => {
+            if !(*all_spks || unused_spks || utxos || unconfirmed) {
+                // If nothing is specifically selected, we select everything (except all spks).
+                unused_spks = true;
+                unconfirmed = true;
+                utxos = true;
+            } else if *all_spks {
+                // If all spks is selected, we don't need to also select unused spks (as unused spks
+                // is a subset of all spks).
+                unused_spks = false;
+            }
+
+            // Spks, outpoints and txids we want updates on will be accumulated here.
+            let mut spks: Box<dyn Iterator<Item = ScriptBuf>> = Box::new(core::iter::empty());
+            let mut outpoints: Box<dyn Iterator<Item = OutPoint>> = Box::new(core::iter::empty());
+            let mut txids: Box<dyn Iterator<Item = Txid>> = Box::new(core::iter::empty());
+
+            // Get a short lock on the structures to get spks, utxos, and txs that we are interested
+            // in.
+            {
+                let graph = graph.lock().unwrap();
+                let chain = chain.lock().unwrap();
+                let chain_tip = chain.tip().map(|cp| cp.block_id()).unwrap_or_default();
+
+                if *all_spks {
+                    let all_spks = graph
+                        .index
+                        .all_spks()
+                        .iter()
+                        .map(|(k, v)| (*k, v.clone()))
+                        .collect::<Vec<_>>();
+                    spks = Box::new(spks.chain(all_spks.into_iter().map(|(index, script)| {
+                        eprintln!("scanning {:?}", index);
+                        // Flush early to ensure we print at every iteration.
+                        let _ = io::stderr().flush();
+                        script
+                    })));
+                }
+                if unused_spks {
+                    let unused_spks = graph
+                        .index
+                        .unused_spks(..)
+                        .map(|(k, v)| (*k, v.to_owned()))
+                        .collect::<Vec<_>>();
+                    spks = Box::new(spks.chain(unused_spks.into_iter().map(|(index, script)| {
+                        eprintln!(
+                            "Checking if address {} {:?} has been used",
+                            Address::from_script(&script, args.network).unwrap(),
+                            index
+                        );
+                        // Flush early to ensure we print at every iteration.
+                        let _ = io::stderr().flush();
+                        script
+                    })));
+                }
+                if utxos {
+                    // We want to search for whether the UTXO is spent, and spent by which
+                    // transaction. We provide the outpoint of the UTXO to
+                    // `EsploraExt::update_tx_graph_without_keychain`.
+                    let init_outpoints = graph.index.outpoints().iter().cloned();
+                    let utxos = graph
+                        .graph()
+                        .filter_chain_unspents(&*chain, chain_tip, init_outpoints)
+                        .map(|(_, utxo)| utxo)
+                        .collect::<Vec<_>>();
+                    outpoints = Box::new(
+                        utxos
+                            .into_iter()
+                            .inspect(|utxo| {
+                                eprintln!(
+                                    "Checking if outpoint {} (value: {}) has been spent",
+                                    utxo.outpoint, utxo.txout.value
+                                );
+                                // Flush early to ensure we print at every iteration.
+                                let _ = io::stderr().flush();
+                            })
+                            .map(|utxo| utxo.outpoint),
+                    );
+                };
+                if unconfirmed {
+                    // We want to search for whether the unconfirmed transaction is now confirmed.
+                    // We provide the unconfirmed txids to
+                    // `EsploraExt::update_tx_graph_without_keychain`.
+                    let unconfirmed_txids = graph
+                        .graph()
+                        .list_chain_txs(&*chain, chain_tip)
+                        .filter(|canonical_tx| !canonical_tx.chain_position.is_confirmed())
+                        .map(|canonical_tx| canonical_tx.tx_node.txid)
+                        .collect::<Vec<Txid>>();
+                    txids = Box::new(unconfirmed_txids.into_iter().inspect(|txid| {
+                        eprintln!("Checking if {} is confirmed yet", txid);
+                        // Flush early to ensure we print at every iteration.
+                        let _ = io::stderr().flush();
+                    }));
+                }
+            }
+
+            let graph_update = client.update_tx_graph_without_keychain(
+                spks,
+                txids,
+                outpoints,
+                scan_options.parallel_requests,
+            )?;
+
+            graph.lock().unwrap().apply_update(graph_update)
+        }
+    };
+
+    println!();
+
+    // Now that we're done updating the `IndexedTxGraph`, it's time to update the `LocalChain`! We
+    // want the `LocalChain` to have data about all the anchors in the `TxGraph` - for this reason,
+    // we want retrieve the blocks at the heights of the newly added anchors that are missing from
+    // our view of the chain.
+    let (missing_block_heights, tip) = {
+        let chain = &*chain.lock().unwrap();
+        let missing_block_heights = indexed_tx_graph_changeset
+            .graph
+            .missing_heights_from(chain)
+            .collect::<BTreeSet<_>>();
+        let tip = chain.tip();
+        (missing_block_heights, tip)
+    };
+
+    println!("prev tip: {}", tip.as_ref().map_or(0, CheckPoint::height));
+    println!("missing block heights: {:?}", missing_block_heights);
+
+    // Here, we actually fetch the missing blocks and create a `local_chain::Update`.
+    let chain_update = client
+        .update_local_chain(tip, missing_block_heights)
+        .context("scanning for blocks")?;
+
+    println!("new tip: {}", chain_update.tip.height());
+
+    // We persist the changes
+    let mut db = db.lock().unwrap();
+    db.stage(WalletChangeSet {
+        chain: chain.lock().unwrap().apply_update(chain_update)?,
+        indexed_tx_graph: indexed_tx_graph_changeset,
+    });
+    db.commit()?;
+    Ok(())
+}