diff --git a/knip.config.ts b/knip.config.ts
index caa51cc823..e1ad3950d7 100644
--- a/knip.config.ts
+++ b/knip.config.ts
@@ -21,6 +21,10 @@ const config: KnipConfig = {
       // relative path that doesn't resolve inside this monorepo.
       ignoreUnresolved: [/^\.\.\/\.\.\/\.\.\/core\/Engine$/u],
     },
+    'packages/react-data-query': {
+      // Flagged due to knip bug, see https://github.com/webpro-nl/knip/issues/1823
+      ignoreDependencies: ['react-dom', 'react-native'],
+    },
 
     // -- Per-workspace `ignoreDependencies` snapshots --
     //
diff --git a/packages/react-data-query/CHANGELOG.md b/packages/react-data-query/CHANGELOG.md
index 1477d77404..26b8a96fc2 100644
--- a/packages/react-data-query/CHANGELOG.md
+++ b/packages/react-data-query/CHANGELOG.md
@@ -10,6 +10,7 @@ and this project adheres to [Semantic Versioning](https://semver.org/spec/v2.0.0
 ### Changed
 
 - Bump `@metamask/utils` from `^11.9.0` to `^11.11.0` ([#9074](https://github.com/MetaMask/core/pull/9074))
+- Make `react-dom` and `react-native` peer dependencies optional ([#9295](https://github.com/MetaMask/core/pull/9295))
 
 ## [0.2.1]
 
diff --git a/packages/react-data-query/package.json b/packages/react-data-query/package.json
index 541ed93afd..42c0a83c64 100644
--- a/packages/react-data-query/package.json
+++ b/packages/react-data-query/package.json
@@ -73,6 +73,14 @@
     "react-dom": "^16.8.0 || ^17.0.0 || ^18.0.0 || ^19.0.0",
     "react-native": "*"
   },
+  "peerDependenciesMeta": {
+    "react-dom": {
+      "optional": true
+    },
+    "react-native": {
+      "optional": true
+    }
+  },
   "engines": {
     "node": "^18.18 || >=20"
   }
diff --git a/yarn.lock b/yarn.lock
index 780cd82fdd..73e27ee6ca 100644
--- a/yarn.lock
+++ b/yarn.lock
@@ -8181,6 +8181,11 @@ __metadata:
     react: ^16.8.0 || ^17.0.0 || ^18.0.0 || ^19.0.0
     react-dom: ^16.8.0 || ^17.0.0 || ^18.0.0 || ^19.0.0
     react-native: "*"
+  peerDependenciesMeta:
+    react-dom:
+      optional: true
+    react-native:
+      optional: true
   languageName: unknown
   linkType: soft