diff --git a/Userland/Libraries/LibCompress/CMakeLists.txt b/Userland/Libraries/LibCompress/CMakeLists.txt
index c30ffd0397..805c60fb24 100644
--- a/Userland/Libraries/LibCompress/CMakeLists.txt
+++ b/Userland/Libraries/LibCompress/CMakeLists.txt
@@ -3,6 +3,7 @@ set(SOURCES
     BrotliDictionary.cpp
     Deflate.cpp
     Lzma.cpp
+    Lzma2.cpp
     Zlib.cpp
     Gzip.cpp
 )
diff --git a/Userland/Libraries/LibCompress/Lzma2.cpp b/Userland/Libraries/LibCompress/Lzma2.cpp
new file mode 100644
index 0000000000..3d31c8cab0
--- /dev/null
+++ b/Userland/Libraries/LibCompress/Lzma2.cpp
@@ -0,0 +1,185 @@
+/*
+ * Copyright (c) 2023, Tim Schumacher <timschumi@gmx.de>
+ *
+ * SPDX-License-Identifier: BSD-2-Clause
+ */
+
+#include <AK/ConstrainedStream.h>
+#include <AK/Endian.h>
+#include <LibCompress/Lzma2.h>
+
+namespace Compress {
+
+ErrorOr<NonnullOwnPtr<Lzma2Decompressor>> Lzma2Decompressor::create_from_raw_stream(MaybeOwned<Stream> stream, u32 dictionary_size)
+{
+    auto dictionary = TRY(CircularBuffer::create_empty(dictionary_size));
+    auto decompressor = TRY(adopt_nonnull_own_or_enomem(new (nothrow) Lzma2Decompressor(move(stream), move(dictionary))));
+    return decompressor;
+}
+
+Lzma2Decompressor::Lzma2Decompressor(MaybeOwned<Stream> stream, CircularBuffer dictionary)
+    : m_stream(move(stream))
+    , m_dictionary(move(dictionary))
+{
+}
+
+ErrorOr<Bytes> Lzma2Decompressor::read_some(Bytes bytes)
+{
+    if (!m_current_chunk_stream.has_value() || (*m_current_chunk_stream)->is_eof()) {
+        // "LZMA2 data consists of packets starting with a control byte, with the following values:"
+        auto const control_byte = TRY(m_stream->read_value<u8>());
+
+        if (control_byte == 0) {
+            // " - 0 denotes the end of the file"
+            m_found_end_of_stream = true;
+            return bytes.trim(0);
+        }
+
+        if (control_byte == 1) {
+            // " - 1 denotes a dictionary reset followed by an uncompressed chunk"
+            m_dictionary.clear();
+            m_dictionary_initialized = true;
+        }
+
+        if (control_byte == 1 || control_byte == 2) {
+            // " - 2 denotes an uncompressed chunk without a dictionary reset"
+
+            if (!m_dictionary_initialized)
+                return Error::from_string_literal("LZMA2 stream uses dictionary without ever resetting it");
+
+            // "Uncompressed chunks consist of:
+            //   - A 16-bit big-endian value encoding the data size minus one
+            //   - The data to be copied verbatim into the dictionary and the output"
+            u16 data_size = TRY(m_stream->read_value<BigEndian<u16>>()) + 1;
+
+            // The test files denote an LZMA chunk without its own settings following an uncompressed chunk as invalid.
+            m_last_lzma_options = {};
+
+            m_in_uncompressed_chunk = true;
+            m_current_chunk_stream = TRY(try_make<ConstrainedStream>(MaybeOwned { *m_stream }, data_size));
+        }
+
+        if (3 <= control_byte && control_byte <= 0x7f) {
+            // " - 3-0x7f are invalid values"
+            return Error::from_string_literal("Invalid control byte in LZMA2 stream");
+        }
+
+        if (0x80 <= control_byte) {
+            // " - 0x80-0xff denotes an LZMA chunk, where the lowest 5 bits are used as bit 16-20
+            //     of the uncompressed size minus one, and bit 5-6 indicates what should be reset."
+            auto encoded_uncompressed_size_high = control_byte & 0b11111;
+            auto reset_indicator = (control_byte & 0b1100000) >> 5;
+
+            // "LZMA chunks consist of:
+            //   - A 16-bit big-endian value encoding the low 16-bits of the uncompressed size minus one
+            //   - A 16-bit big-endian value encoding the compressed size minus one
+            //   - A properties/lclppb byte if bit 6 in the control byte is set
+            //   - The LZMA compressed data, starting with the 5 bytes (of which the first is ignored)
+            //     used to initialize the range coder (which are included in the compressed size)"
+            u16 encoded_uncompressed_size_low = TRY(m_stream->read_value<BigEndian<u16>>());
+            u16 encoded_compressed_size = TRY(m_stream->read_value<BigEndian<u16>>());
+
+            u64 uncompressed_size = ((encoded_uncompressed_size_high << 16) | encoded_uncompressed_size_low) + 1;
+            u32 compressed_size = encoded_compressed_size + 1;
+
+            m_current_chunk_stream = TRY(try_make<ConstrainedStream>(MaybeOwned { *m_stream }, compressed_size));
+
+            // "Bits 5-6 for LZMA chunks can be:"
+            switch (reset_indicator) {
+            case 3: {
+                // " - 3: state reset, properties reset using properties byte, dictionary reset"
+                m_dictionary.clear();
+                m_dictionary_initialized = true;
+                [[fallthrough]];
+            }
+            case 2: {
+                // " - 2: state reset, properties reset using properties byte"
+
+                // Update the stored LZMA options with the new settings, the stream will be recreated later.
+                auto encoded_properties = TRY(m_stream->read_value<u8>());
+                auto properties = TRY(LzmaHeader::decode_model_properties(encoded_properties));
+                auto dictionary_size = m_dictionary.capacity();
+                VERIFY(dictionary_size <= NumericLimits<u32>::max());
+                m_last_lzma_options = LzmaDecompressorOptions {
+                    .literal_context_bits = properties.literal_context_bits,
+                    .literal_position_bits = properties.literal_position_bits,
+                    .position_bits = properties.position_bits,
+                    .dictionary_size = static_cast<u32>(dictionary_size),
+                    .uncompressed_size = uncompressed_size,
+                };
+                [[fallthrough]];
+            }
+            case 1: {
+                // " - 1: state reset"
+                if (!m_last_lzma_options.has_value())
+                    return Error::from_string_literal("LZMA2 stream contains LZMA chunk without settings");
+
+                if (!m_dictionary_initialized)
+                    return Error::from_string_literal("LZMA2 stream uses dictionary without ever resetting it");
+
+                m_last_lzma_options->uncompressed_size = uncompressed_size;
+                m_last_lzma_stream = TRY(LzmaDecompressor::create_from_raw_stream(m_current_chunk_stream.release_value(), *m_last_lzma_options, MaybeOwned<CircularBuffer> { m_dictionary }));
+
+                break;
+            }
+            case 0: {
+                // " - 0: nothing reset"
+                if (!m_last_lzma_stream.has_value())
+                    return Error::from_string_literal("LZMA2 stream contains no-reset LZMA chunk without previous state");
+
+                if (!m_dictionary_initialized)
+                    return Error::from_string_literal("LZMA2 stream uses dictionary without ever resetting it");
+
+                TRY((*m_last_lzma_stream)->append_input_stream(m_current_chunk_stream.release_value(), uncompressed_size));
+                break;
+            }
+            }
+
+            m_in_uncompressed_chunk = false;
+            m_current_chunk_stream = MaybeOwned<Stream> { **m_last_lzma_stream };
+        }
+    }
+
+    auto result = TRY((*m_current_chunk_stream)->read_some(bytes));
+
+    // For an uncompressed block we are reading directly from the input stream,
+    // so we need to capture the 'uncompressed' data into the dictionary manually.
+    // Since we only care about having the correct value in the seekback buffer,
+    // we can also immediately discard the written data and only ever have to write
+    // the last <dictionary size> bytes into it.
+    if (m_in_uncompressed_chunk) {
+        VERIFY(m_dictionary.used_space() == 0);
+
+        auto relevant_data = result;
+        if (relevant_data.size() > m_dictionary.capacity())
+            relevant_data = relevant_data.slice(relevant_data.size() - m_dictionary.capacity(), relevant_data.size());
+
+        auto written_bytes = m_dictionary.write(relevant_data);
+        VERIFY(written_bytes == relevant_data.size());
+
+        MUST(m_dictionary.discard(written_bytes));
+    }
+
+    return result;
+}
+
+ErrorOr<size_t> Lzma2Decompressor::write_some(ReadonlyBytes)
+{
+    return Error::from_errno(EBADF);
+}
+
+bool Lzma2Decompressor::is_eof() const
+{
+    return m_found_end_of_stream;
+}
+
+bool Lzma2Decompressor::is_open() const
+{
+    return true;
+}
+
+void Lzma2Decompressor::close()
+{
+}
+
+}
diff --git a/Userland/Libraries/LibCompress/Lzma2.h b/Userland/Libraries/LibCompress/Lzma2.h
new file mode 100644
index 0000000000..67b6bec6d4
--- /dev/null
+++ b/Userland/Libraries/LibCompress/Lzma2.h
@@ -0,0 +1,46 @@
+/*
+ * Copyright (c) 2023, Tim Schumacher <timschumi@gmx.de>
+ *
+ * SPDX-License-Identifier: BSD-2-Clause
+ */
+
+#pragma once
+
+#include <AK/CircularBuffer.h>
+#include <AK/MaybeOwned.h>
+#include <AK/Stream.h>
+#include <LibCompress/Lzma.h>
+
+namespace Compress {
+
+// This is based on the human-language description of the LZMA2 format on the English Wikipedia.
+// https://en.wikipedia.org/wiki/Lempel%E2%80%93Ziv%E2%80%93Markov_chain_algorithm#LZMA2_format
+
+class Lzma2Decompressor : public Stream {
+public:
+    /// Creates a decompressor that does not require the leading byte indicating the dictionary size.
+    static ErrorOr<NonnullOwnPtr<Lzma2Decompressor>> create_from_raw_stream(MaybeOwned<Stream>, u32 dictionary_size);
+
+    virtual ErrorOr<Bytes> read_some(Bytes) override;
+    virtual ErrorOr<size_t> write_some(ReadonlyBytes) override;
+    virtual bool is_eof() const override;
+    virtual bool is_open() const override;
+    virtual void close() override;
+
+private:
+    Lzma2Decompressor(MaybeOwned<Stream>, CircularBuffer dictionary);
+
+    MaybeOwned<Stream> m_stream;
+    CircularBuffer m_dictionary;
+    // Our dictionary is always initialized, but LZMA2 requires that the first chunk resets the dictionary.
+    bool m_dictionary_initialized { false };
+    bool m_found_end_of_stream { false };
+
+    Optional<MaybeOwned<Stream>> m_current_chunk_stream;
+    bool m_in_uncompressed_chunk { false };
+
+    Optional<NonnullOwnPtr<LzmaDecompressor>> m_last_lzma_stream;
+    Optional<LzmaDecompressorOptions> m_last_lzma_options;
+};
+
+}