diff --git a/service.go b/service.go
index 5c9104d..2ffb6fd 100644
--- a/service.go
+++ b/service.go
@@ -188,7 +188,7 @@ func NewService(options ServiceOptions) *Service {
 	}
 
 	hsdClient := options.HSDClient
-	if hsdClient == nil && strings.TrimSpace(options.HSDURL) != "" {
+	if hsdClient == nil {
 		hsdPassword := options.HSDPassword
 		if hsdPassword == "" {
 			hsdPassword = options.HSDApiKey
diff --git a/service_test.go b/service_test.go
index 5845e30..06f113e 100644
--- a/service_test.go
+++ b/service_test.go
@@ -1675,6 +1675,20 @@ func TestServiceDiscoverAliasesReturnsNilWithoutDiscovererOrHSDClient(t *testing
 	}
 }
 
+func TestServiceCreatesDefaultHSDClientWhenURLNotConfigured(t *testing.T) {
+	service := NewService(ServiceOptions{
+		ChainAliasDiscoverer: func(_ context.Context) ([]string, error) {
+			return []string{"gateway.charon.lthn"}, nil
+		},
+	})
+	if service.hsdClient == nil {
+		t.Fatalf("expected default HSD client to be created when HSDURL is not configured")
+	}
+	if service.hsdClient.baseURL != "http://127.0.0.1:14037" {
+		t.Fatalf("expected default HSD base URL, got %q", service.hsdClient.baseURL)
+	}
+}
+
 func TestServiceServeResolvesAAndAAAARecords(t *testing.T) {
 	service := NewService(ServiceOptions{
 		Records: map[string]NameRecords{