diff --git a/spring-cloud-sleuth-autoconfigure/src/main/java/org/springframework/cloud/sleuth/autoconfig/instrument/reactor/SleuthReactorProperties.java b/spring-cloud-sleuth-autoconfigure/src/main/java/org/springframework/cloud/sleuth/autoconfig/instrument/reactor/SleuthReactorProperties.java
index 881f0530f..0c22d1eaf 100644
--- a/spring-cloud-sleuth-autoconfigure/src/main/java/org/springframework/cloud/sleuth/autoconfig/instrument/reactor/SleuthReactorProperties.java
+++ b/spring-cloud-sleuth-autoconfigure/src/main/java/org/springframework/cloud/sleuth/autoconfig/instrument/reactor/SleuthReactorProperties.java
@@ -89,9 +89,7 @@ public class SleuthReactorProperties {
 		/**
 		 * Decorates on each operator, will be less performing, but logging will always
 		 * contain the tracing entries in each operator.
-		 * @deprecated to be removed in Sleuth 4.0.0
 		 */
-		@Deprecated
 		DECORATE_ON_EACH,
 
 		/**
diff --git a/spring-cloud-sleuth-autoconfigure/src/main/java/org/springframework/cloud/sleuth/autoconfig/instrument/reactor/TraceReactorAutoConfiguration.java b/spring-cloud-sleuth-autoconfigure/src/main/java/org/springframework/cloud/sleuth/autoconfig/instrument/reactor/TraceReactorAutoConfiguration.java
index e54d09928..e81b12d70 100644
--- a/spring-cloud-sleuth-autoconfigure/src/main/java/org/springframework/cloud/sleuth/autoconfig/instrument/reactor/TraceReactorAutoConfiguration.java
+++ b/spring-cloud-sleuth-autoconfigure/src/main/java/org/springframework/cloud/sleuth/autoconfig/instrument/reactor/TraceReactorAutoConfiguration.java
@@ -48,7 +48,9 @@ import org.springframework.context.annotation.Bean;
 import org.springframework.context.annotation.Configuration;
 import org.springframework.core.env.ConfigurableEnvironment;
 
+import static org.springframework.cloud.sleuth.autoconfig.instrument.reactor.TraceReactorAutoConfiguration.SLEUTH_REACTOR_EXECUTOR_SERVICE_KEY;
 import static org.springframework.cloud.sleuth.autoconfig.instrument.reactor.TraceReactorAutoConfiguration.TraceReactorConfiguration.SLEUTH_TRACE_REACTOR_KEY;
+import static org.springframework.cloud.sleuth.instrument.reactor.ReactorSleuth.onLastOperatorForOnEachInstrumentation;
 
 /**
  * {@link org.springframework.boot.autoconfigure.EnableAutoConfiguration
@@ -125,12 +127,18 @@ class HooksRefresher implements ApplicationListener<RefreshScopeRefreshedEvent>
 		}
 		Hooks.resetOnEachOperator(SLEUTH_TRACE_REACTOR_KEY);
 		Hooks.resetOnLastOperator(SLEUTH_TRACE_REACTOR_KEY);
+		Hooks.resetOnLastOperator(SLEUTH_REACTOR_EXECUTOR_SERVICE_KEY);
 		switch (this.reactorProperties.getInstrumentationType()) {
 		case DECORATE_ON_EACH:
 			if (log.isTraceEnabled()) {
 				log.trace("Decorating onEach operator instrumentation");
 			}
-			Hooks.onEachOperator(SLEUTH_TRACE_REACTOR_KEY, ReactorSleuth.scopePassingSpanOperator(this.context));
+			Hooks.onEachOperator(SLEUTH_TRACE_REACTOR_KEY,
+					ReactorSleuth.onEachOperatorForOnEachInstrumentation(this.context));
+			Hooks.onLastOperator(SLEUTH_TRACE_REACTOR_KEY,
+					ReactorSleuth.onLastOperatorForOnEachInstrumentation(this.context));
+			Schedulers.onScheduleHook(TraceReactorAutoConfiguration.SLEUTH_REACTOR_EXECUTOR_SERVICE_KEY,
+					ReactorSleuth.scopePassingOnScheduleHook(this.context));
 			break;
 		case DECORATE_ON_LAST:
 			if (log.isTraceEnabled()) {
@@ -178,15 +186,23 @@ class HookRegisteringBeanDefinitionRegistryPostProcessor implements BeanDefiniti
 		}
 		else if (property == SleuthReactorProperties.InstrumentationType.DECORATE_ON_EACH) {
 			decorateOnEach(springContext);
+			decorateOnLast(onLastOperatorForOnEachInstrumentation(springContext));
+			decorateScheduler(springContext);
 		}
 		else if (property == SleuthReactorProperties.InstrumentationType.DECORATE_ON_LAST) {
 			decorateOnLast(ReactorSleuth.scopePassingSpanOperator(springContext));
+			decorateScheduler(springContext);
 		}
 		else if (property == SleuthReactorProperties.InstrumentationType.MANUAL) {
 			decorateOnLast(ReactorSleuth.springContextSpanOperator(springContext));
 		}
 	}
 
+	private static void decorateScheduler(ConfigurableApplicationContext springContext) {
+		Schedulers.onScheduleHook(TraceReactorAutoConfiguration.SLEUTH_REACTOR_EXECUTOR_SERVICE_KEY,
+				ReactorSleuth.scopePassingOnScheduleHook(springContext));
+	}
+
 	private static void decorateOnLast(Function<? super Publisher<Object>, ? extends Publisher<Object>> function) {
 		if (log.isTraceEnabled()) {
 			log.trace("Decorating onLast operator instrumentation");
@@ -198,7 +214,8 @@ class HookRegisteringBeanDefinitionRegistryPostProcessor implements BeanDefiniti
 		if (log.isTraceEnabled()) {
 			log.trace("Decorating onEach operator instrumentation");
 		}
-		Hooks.onEachOperator(SLEUTH_TRACE_REACTOR_KEY, ReactorSleuth.scopePassingSpanOperator(springContext));
+		Hooks.onEachOperator(SLEUTH_TRACE_REACTOR_KEY,
+				ReactorSleuth.onEachOperatorForOnEachInstrumentation(springContext));
 	}
 
 	@Override
@@ -208,7 +225,7 @@ class HookRegisteringBeanDefinitionRegistryPostProcessor implements BeanDefiniti
 		}
 		Hooks.resetOnEachOperator(SLEUTH_TRACE_REACTOR_KEY);
 		Hooks.resetOnLastOperator(SLEUTH_TRACE_REACTOR_KEY);
-		Schedulers.removeExecutorServiceDecorator(TraceReactorAutoConfiguration.SLEUTH_REACTOR_EXECUTOR_SERVICE_KEY);
+		Schedulers.resetOnScheduleHook(TraceReactorAutoConfiguration.SLEUTH_REACTOR_EXECUTOR_SERVICE_KEY);
 	}
 
 }
diff --git a/spring-cloud-sleuth-autoconfigure/src/main/java/org/springframework/cloud/sleuth/autoconfig/instrument/reactor/TraceReactorAutoConfigurationAccessorConfiguration.java b/spring-cloud-sleuth-autoconfigure/src/main/java/org/springframework/cloud/sleuth/autoconfig/instrument/reactor/TraceReactorAutoConfigurationAccessorConfiguration.java
index 64faaea9d..eea405a1a 100644
--- a/spring-cloud-sleuth-autoconfigure/src/main/java/org/springframework/cloud/sleuth/autoconfig/instrument/reactor/TraceReactorAutoConfigurationAccessorConfiguration.java
+++ b/spring-cloud-sleuth-autoconfigure/src/main/java/org/springframework/cloud/sleuth/autoconfig/instrument/reactor/TraceReactorAutoConfigurationAccessorConfiguration.java
@@ -43,7 +43,7 @@ public final class TraceReactorAutoConfigurationAccessorConfiguration {
 		}
 		Hooks.resetOnEachOperator(SLEUTH_TRACE_REACTOR_KEY);
 		Hooks.resetOnLastOperator(SLEUTH_TRACE_REACTOR_KEY);
-		Schedulers.removeExecutorServiceDecorator(SLEUTH_REACTOR_EXECUTOR_SERVICE_KEY);
+		Schedulers.resetOnScheduleHook(SLEUTH_REACTOR_EXECUTOR_SERVICE_KEY);
 	}
 
 	public static void setup(ConfigurableApplicationContext context) {
diff --git a/spring-cloud-sleuth-autoconfigure/src/main/java/org/springframework/cloud/sleuth/autoconfig/instrument/web/TraceWebFluxConfiguration.java b/spring-cloud-sleuth-autoconfigure/src/main/java/org/springframework/cloud/sleuth/autoconfig/instrument/web/TraceWebFluxConfiguration.java
index 0b64a2435..65a2fd9ec 100644
--- a/spring-cloud-sleuth-autoconfigure/src/main/java/org/springframework/cloud/sleuth/autoconfig/instrument/web/TraceWebFluxConfiguration.java
+++ b/spring-cloud-sleuth-autoconfigure/src/main/java/org/springframework/cloud/sleuth/autoconfig/instrument/web/TraceWebFluxConfiguration.java
@@ -18,6 +18,7 @@ package org.springframework.cloud.sleuth.autoconfig.instrument.web;
 
 import org.springframework.boot.autoconfigure.condition.ConditionalOnProperty;
 import org.springframework.boot.autoconfigure.condition.ConditionalOnWebApplication;
+import org.springframework.cloud.sleuth.CurrentTraceContext;
 import org.springframework.cloud.sleuth.Tracer;
 import org.springframework.cloud.sleuth.http.HttpServerHandler;
 import org.springframework.cloud.sleuth.instrument.web.TraceWebFilter;
@@ -38,8 +39,8 @@ class TraceWebFluxConfiguration {
 
 	@Bean
 	TraceWebFilter traceFilter(Tracer tracer, HttpServerHandler httpServerHandler,
-			SleuthWebProperties sleuthWebProperties) {
-		TraceWebFilter traceWebFilter = new TraceWebFilter(tracer, httpServerHandler);
+			CurrentTraceContext currentTraceContext, SleuthWebProperties sleuthWebProperties) {
+		TraceWebFilter traceWebFilter = new TraceWebFilter(tracer, httpServerHandler, currentTraceContext);
 		traceWebFilter.setOrder(sleuthWebProperties.getFilterOrder());
 		return traceWebFilter;
 	}
diff --git a/spring-cloud-sleuth-instrumentation/pom.xml b/spring-cloud-sleuth-instrumentation/pom.xml
index 6e6b84cf4..91118b215 100644
--- a/spring-cloud-sleuth-instrumentation/pom.xml
+++ b/spring-cloud-sleuth-instrumentation/pom.xml
@@ -166,6 +166,11 @@
 			<artifactId>archunit-junit5</artifactId>
 			<scope>test</scope>
 		</dependency>
+		<dependency>
+			<groupId>io.projectreactor</groupId>
+			<artifactId>reactor-test</artifactId>
+			<scope>test</scope>
+		</dependency>
 	</dependencies>
 
 	<profiles>
diff --git a/spring-cloud-sleuth-instrumentation/src/main/java/org/springframework/cloud/sleuth/instrument/annotation/ReactorSleuthMethodInvocationProcessor.java b/spring-cloud-sleuth-instrumentation/src/main/java/org/springframework/cloud/sleuth/instrument/annotation/ReactorSleuthMethodInvocationProcessor.java
index fcaeee33a..76c0a34d5 100644
--- a/spring-cloud-sleuth-instrumentation/src/main/java/org/springframework/cloud/sleuth/instrument/annotation/ReactorSleuthMethodInvocationProcessor.java
+++ b/spring-cloud-sleuth-instrumentation/src/main/java/org/springframework/cloud/sleuth/instrument/annotation/ReactorSleuthMethodInvocationProcessor.java
@@ -36,6 +36,7 @@ import org.springframework.cloud.sleuth.TraceContext;
 import org.springframework.cloud.sleuth.Tracer;
 import org.springframework.cloud.sleuth.annotation.ContinueSpan;
 import org.springframework.cloud.sleuth.annotation.NewSpan;
+import org.springframework.cloud.sleuth.instrument.reactor.TraceContextPropagator;
 import org.springframework.util.StringUtils;
 
 /**
@@ -146,7 +147,7 @@ public class ReactorSleuthMethodInvocationProcessor extends AbstractSleuthMethod
 
 	}
 
-	private static final class MonoSpan extends MonoOperator<Object, Object> {
+	private static final class MonoSpan extends MonoOperator<Object, Object> implements TraceContextPropagator {
 
 		final Span span;
 
@@ -189,6 +190,14 @@ public class ReactorSleuthMethodInvocationProcessor extends AbstractSleuthMethod
 			}
 		}
 
+		@Override
+		public Object scanUnsafe(Attr key) {
+			if (key == Attr.RUN_STYLE) {
+				return Attr.RunStyle.SYNC;
+			}
+			return super.scanUnsafe(key);
+		}
+
 	}
 
 	private static final class SpanSubscriber implements CoreSubscriber<Object>, Subscription, Scannable {
diff --git a/spring-cloud-sleuth-instrumentation/src/main/java/org/springframework/cloud/sleuth/instrument/reactor/ReactorHooksHelper.java b/spring-cloud-sleuth-instrumentation/src/main/java/org/springframework/cloud/sleuth/instrument/reactor/ReactorHooksHelper.java
new file mode 100644
index 000000000..b50dc152b
--- /dev/null
+++ b/spring-cloud-sleuth-instrumentation/src/main/java/org/springframework/cloud/sleuth/instrument/reactor/ReactorHooksHelper.java
@@ -0,0 +1,476 @@
+/*
+ * Copyright 2013-2021 the original author or authors.
+ *
+ * Licensed under the Apache License, Version 2.0 (the "License");
+ * you may not use this file except in compliance with the License.
+ * You may obtain a copy of the License at
+ *
+ *      https://www.apache.org/licenses/LICENSE-2.0
+ *
+ * Unless required by applicable law or agreed to in writing, software
+ * distributed under the License is distributed on an "AS IS" BASIS,
+ * WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+ * See the License for the specific language governing permissions and
+ * limitations under the License.
+ */
+
+package org.springframework.cloud.sleuth.instrument.reactor;
+
+import java.util.Objects;
+import java.util.function.BiFunction;
+import java.util.function.Consumer;
+import java.util.function.Function;
+import java.util.function.Predicate;
+
+import org.reactivestreams.Processor;
+import org.reactivestreams.Publisher;
+import reactor.core.CoreSubscriber;
+import reactor.core.Disposable;
+import reactor.core.Fuseable;
+import reactor.core.Scannable;
+import reactor.core.publisher.ConnectableFlux;
+import reactor.core.publisher.Flux;
+import reactor.core.publisher.FluxOperator;
+import reactor.core.publisher.GroupedFlux;
+import reactor.core.publisher.Mono;
+import reactor.core.publisher.MonoOperator;
+import reactor.core.publisher.Operators;
+import reactor.core.publisher.ParallelFlux;
+import reactor.util.annotation.Nullable;
+
+import org.springframework.util.Assert;
+
+/**
+ * Helper class for reactor ON_EACH instrumentation. Reduces number of sleuth operators
+ * time in the reactive chain during Assembly by using {@code Scannable.Attr.RUN_STYLE}.
+ * Below is the example of what it does <pre>{@code
+ *	Mono.just(0) // (-)
+ * 	.map(it -> 1) // (-)
+ * 	.flatMap(it ->
+ * 		Mono.just(it) // (-)
+ * 	) // (-)
+ * 	.flatMapMany(it ->
+ * 		asyncPublisher(it) // (+)(*)
+ * 	) // (-)
+ * 	.filter(it -> true) // (-)
+ * 	.publishOn(Schedulers.single()) //(+)
+ * 	.map(it -> it) // (-)
+ * 	.map(it -> it * 10) // (-)
+ * 	.filter(it -> true) // (-)
+ * 	.scan((l, r) -> l + r) // (-)
+ * 	.doOnNext(it -> { // (-)
+ * 		//log
+ * 	})
+ * 	.doFirst(() -> { // (-)
+ * 		//log
+ * 	})
+ * 	.doFinally(signalType -> { // (-)
+ * 		//log
+ * 	})
+ * 	.subscribeOn(Schedulers.parallel()) //(+)
+ * 	.subscribe();//(*)
+ * 	(*) - captures tracing context if it differs from what was captured before at subscription and propagates it.
+ *  As far as check is performed on Subscriber Context it allocates Publisher to access it.
+ * 	(+) - is ASYNC need to decorate Publisher
+ * 	(-) - is SYNC no need to decorate Publisher
+ *}</pre> So it creates 13 (out of 16) less Publisher (+ Subscriber and all their stuff)
+ * on assembly time comparing to the original logic (decorate every Publisher and checking
+ * only at subscription time).
+ * <p/>
+ * It also handles the case when onEachHook was not applied for some operator in the chain
+ * (It could be possible if custom operators or Processor are used) by checkin source
+ * source Publisher. <pre>{@code
+ * 	processor/customOperator // (?) is async and hook is not applied
+ * 	.map(it -> ...) // (+) is SYNC but should add hook as previous Processor/operator does not use hooks
+ * 	.doOnNext(it -> { // (-) is SYNC no need to wrap
+ * 		//log
+ * 	})
+ * 	.subscribe();
+ *}</pre>
+ */
+final class ReactorHooksHelper {
+
+	// need a way to determine SYNC sources to not add redundant scope passing decorator
+	// most of reactor-core SYNC sources are marked with SourceProducer interface
+	static final Class<?> sourceProducerClass;
+	static {
+		Class<?> c;
+		try {
+			c = Class.forName("reactor.core.publisher.SourceProducer");
+		}
+		catch (ClassNotFoundException e) {
+			c = Void.class;
+		}
+		sourceProducerClass = c;
+	}
+
+	private ReactorHooksHelper() {
+	}
+
+	/**
+	 * Determines whether to decorate input publisher with
+	 * {@code ScopePassingSpanOperator}.
+	 * @param p publisher to check
+	 * @return returns true if input publisher or one of its source publishers is not
+	 * {@code RunStyle.SYNC} and there is no {@link TraceContextPropagator} between input
+	 * publisher and not SYNC publisher.
+	 */
+	public static boolean shouldDecorate(Publisher<?> p) {
+		Assert.notNull(p, "source Publisher is null");
+		Publisher<?> current = p;
+		while (true) {
+			if (current == null) {
+				// is start of the chain, Publisher without source or foreign Publisher
+				return true;
+			}
+			if (current instanceof Fuseable.ScalarCallable) {
+				return false;
+			}
+			if (isTraceContextPropagator(current)) {
+				return false;
+			}
+			if (!isLifter(current)) {
+				if (!isSync(current)) {
+					return true;
+				}
+
+				if (isSourceProducer(current)) {
+					return false;
+				}
+			}
+
+			current = getParent(current);
+		}
+	}
+
+	private static boolean isTraceContextPropagator(Publisher<?> current) {
+		return current instanceof TraceContextPropagator;
+	}
+
+	private static boolean isSourceProducer(Publisher<?> p) {
+		return sourceProducerClass.isInstance(p);
+	}
+
+	private static boolean isSync(Publisher<?> p) {
+		return !(p instanceof Processor)
+				&& Scannable.Attr.RunStyle.SYNC == Scannable.from(p).scan(Scannable.Attr.RUN_STYLE);
+	}
+
+	@Nullable
+	private static Publisher<?> getParent(Publisher<?> publisher) {
+		Object parent = Scannable.from(publisher).scanUnsafe(Scannable.Attr.PARENT);
+		if (parent instanceof Publisher) {
+			return (Publisher<?>) parent;
+		}
+		return null;
+	}
+
+	private static boolean isReactorCorePublisher(String pubClassName) {
+		return pubClassName != null && pubClassName.startsWith("reactor.core.publisher");
+	}
+
+	private static boolean isLifter(Publisher<?> current) {
+		if (current == null) {
+			return false;
+		}
+		String name = current.getClass().getName();
+		return isReactorCorePublisher(name) && ((name.endsWith("Lift") || name.endsWith("LiftFuseable")));
+	}
+
+	/**
+	 * Decorates {@link Publisher} with {@link TraceContextPropagator} {@code Publisher}.
+	 * Mostly it is a copy of reactor-core logic from
+	 * {@code reactor.core.publisher.Operators#liftPublisher()}.
+	 * @param filter the Predicate that the raw Publisher must pass for the transformation
+	 * to occur
+	 * @param lifter the {@link BiFunction} taking the raw {@link Publisher} and
+	 * {@link CoreSubscriber}. The function must return a receiving {@link CoreSubscriber}
+	 * that will immediately subscribe to the {@link Publisher}.
+	 * @param <O> the input and output type.
+	 * @return a new {@link Function}.
+	 */
+	public static <O> Function<? super Publisher<O>, ? extends Publisher<O>> liftPublisher(Predicate<Publisher> filter,
+			BiFunction<Publisher, ? super CoreSubscriber<? super O>, ? extends CoreSubscriber<? super O>> lifter) {
+		Assert.notNull(lifter, "lifter is null");
+		return publisher -> {
+			if (filter != null && !filter.test(publisher)) {
+				return (Publisher<O>) publisher;
+			}
+
+			if (publisher instanceof Mono) {
+				return new SleuthMonoLift<>(publisher, lifter);
+			}
+			if (publisher instanceof ParallelFlux) {
+				return new SleuthParallelLift<>((ParallelFlux<O>) publisher, lifter);
+			}
+			if (publisher instanceof ConnectableFlux) {
+				return new SleuthConnectableLift<>((ConnectableFlux<O>) publisher, lifter);
+			}
+			if (publisher instanceof GroupedFlux) {
+				return new SleuthGroupedLift<>((GroupedFlux<?, O>) publisher, lifter);
+			}
+			return new SleuthFluxLift<>(publisher, lifter);
+		};
+	}
+
+}
+
+/**
+ * Copy of {@code reactor.core.publisher.MonoLift} which implements
+ * {@link TraceContextPropagator}.
+ */
+final class SleuthMonoLift<I, O> extends MonoOperator<I, O> implements TraceContextPropagator {
+
+	final BiFunction<Publisher, ? super CoreSubscriber<? super O>, ? extends CoreSubscriber<? super I>> lifter;
+
+	SleuthMonoLift(Publisher<I> p,
+			BiFunction<Publisher, ? super CoreSubscriber<? super O>, ? extends CoreSubscriber<? super I>> lifter) {
+		super(Mono.from(p));
+		this.lifter = lifter;
+	}
+
+	@Override
+	public void subscribe(CoreSubscriber<? super O> actual) {
+		CoreSubscriber input = actual;
+		try {
+			input = Objects.requireNonNull(lifter.apply(source, actual), "Lifted subscriber MUST NOT be null");
+
+			source.subscribe(input);
+		}
+		catch (Throwable e) {
+			Operators.reportThrowInSubscribe(input, e);
+			return;
+		}
+	}
+
+	@Override
+	public Object scanUnsafe(Attr key) {
+		if (key == Attr.RUN_STYLE) {
+			return Attr.RunStyle.SYNC;
+		}
+		return super.scanUnsafe(key);
+	}
+
+}
+
+/**
+ * Copy of {@code reactor.core.publisher.FluxLift} which implements
+ * {@link TraceContextPropagator}.
+ */
+final class SleuthFluxLift<I, O> extends FluxOperator<I, O> implements TraceContextPropagator {
+
+	final BiFunction<Publisher, ? super CoreSubscriber<? super O>, ? extends CoreSubscriber<? super I>> lifter;
+
+	SleuthFluxLift(Publisher<I> p,
+			BiFunction<Publisher, ? super CoreSubscriber<? super O>, ? extends CoreSubscriber<? super I>> lifter) {
+		super(Flux.from(p));
+		this.lifter = lifter;
+	}
+
+	@Override
+	public void subscribe(CoreSubscriber<? super O> actual) {
+		CoreSubscriber input = actual;
+		try {
+			input = Objects.requireNonNull(lifter.apply(source, actual), "Lifted subscriber MUST NOT be null");
+
+			source.subscribe(input);
+		}
+		catch (Throwable e) {
+			Operators.reportThrowInSubscribe(input, e);
+			return;
+		}
+	}
+
+	@Override
+	public Object scanUnsafe(Attr key) {
+		if (key == Attr.RUN_STYLE) {
+			return Attr.RunStyle.SYNC;
+		}
+		return super.scanUnsafe(key);
+	}
+
+}
+
+/**
+ * Copy of {@code reactor.core.publisher.ConnectableLift} which implements
+ * {@link TraceContextPropagator}.
+ */
+final class SleuthConnectableLift<I, O> extends ConnectableFlux<O> implements Scannable, TraceContextPropagator {
+
+	final ConnectableFlux<I> source;
+
+	final BiFunction<Publisher, ? super CoreSubscriber<? super O>, ? extends CoreSubscriber<? super I>> lifter;
+
+	SleuthConnectableLift(ConnectableFlux<I> p,
+			BiFunction<Publisher, ? super CoreSubscriber<? super O>, ? extends CoreSubscriber<? super I>> lifter) {
+		this.source = Objects.requireNonNull(p, "source");
+		this.lifter = lifter;
+	}
+
+	@Override
+	public int getPrefetch() {
+		return source.getPrefetch();
+	}
+
+	@Override
+	public void connect(Consumer<? super Disposable> cancelSupport) {
+		this.source.connect(cancelSupport);
+	}
+
+	@Override
+	@Nullable
+	public Object scanUnsafe(Attr key) {
+		if (key == Attr.PREFETCH) {
+			return source.getPrefetch();
+		}
+		if (key == Attr.PARENT) {
+			return source;
+		}
+		if (key == Attr.RUN_STYLE) {
+			return Attr.RunStyle.SYNC;
+		}
+		return null;
+	}
+
+	@Override
+	public void subscribe(CoreSubscriber<? super O> actual) {
+		CoreSubscriber input = actual;
+		try {
+			input = Objects.requireNonNull(lifter.apply(source, actual), "Lifted subscriber MUST NOT be null");
+
+			source.subscribe(input);
+		}
+		catch (Throwable e) {
+			Operators.reportThrowInSubscribe(input, e);
+			return;
+		}
+	}
+
+}
+
+/**
+ * Copy of {@code reactor.core.publisher.GroupedLift} which implements
+ * {@link TraceContextPropagator}.
+ */
+final class SleuthGroupedLift<K, I, O> extends GroupedFlux<K, O> implements Scannable, TraceContextPropagator {
+
+	final BiFunction<Publisher, ? super CoreSubscriber<? super O>, ? extends CoreSubscriber<? super I>> lifter;
+
+	final GroupedFlux<K, I> source;
+
+	SleuthGroupedLift(GroupedFlux<K, I> p,
+			BiFunction<Publisher, ? super CoreSubscriber<? super O>, ? extends CoreSubscriber<? super I>> lifter) {
+		this.source = Objects.requireNonNull(p, "source");
+		this.lifter = lifter;
+	}
+
+	@Override
+	public int getPrefetch() {
+		return source.getPrefetch();
+	}
+
+	@Override
+	public K key() {
+		return source.key();
+	}
+
+	@Override
+	@Nullable
+	public Object scanUnsafe(Attr key) {
+		if (key == Attr.PARENT) {
+			return source;
+		}
+		if (key == Attr.PREFETCH) {
+			return getPrefetch();
+		}
+		if (key == Attr.RUN_STYLE) {
+			return Attr.RunStyle.SYNC;
+		}
+
+		return null;
+	}
+
+	@Override
+	public String stepName() {
+		if (source instanceof Scannable) {
+			return Scannable.from(source).stepName();
+		}
+		return Scannable.super.stepName();
+	}
+
+	@Override
+	public void subscribe(CoreSubscriber<? super O> actual) {
+		CoreSubscriber<? super I> input = lifter.apply(source, actual);
+
+		Objects.requireNonNull(input, "Lifted subscriber MUST NOT be null");
+
+		source.subscribe(input);
+	}
+
+}
+
+/**
+ * Copy of {@code reactor.core.publisher.ParallelLift} which implements
+ * {@link TraceContextPropagator}.
+ */
+final class SleuthParallelLift<I, O> extends ParallelFlux<O> implements Scannable, TraceContextPropagator {
+
+	final BiFunction<Publisher, ? super CoreSubscriber<? super O>, ? extends CoreSubscriber<? super I>> lifter;
+
+	final ParallelFlux<I> source;
+
+	SleuthParallelLift(ParallelFlux<I> p,
+			BiFunction<Publisher, ? super CoreSubscriber<? super O>, ? extends CoreSubscriber<? super I>> lifter) {
+		this.source = Objects.requireNonNull(p, "source");
+		this.lifter = lifter;
+	}
+
+	@Override
+	public int getPrefetch() {
+		return source.getPrefetch();
+	}
+
+	@Override
+	public int parallelism() {
+		return source.parallelism();
+	}
+
+	@Override
+	@Nullable
+	public Object scanUnsafe(Attr key) {
+		if (key == Attr.PARENT) {
+			return source;
+		}
+		if (key == Attr.PREFETCH) {
+			return getPrefetch();
+		}
+		if (key == Attr.RUN_STYLE) {
+			return Attr.RunStyle.SYNC;
+		}
+
+		return null;
+	}
+
+	@Override
+	public String stepName() {
+		if (source instanceof Scannable) {
+			return Scannable.from(source).stepName();
+		}
+		return Scannable.super.stepName();
+	}
+
+	@Override
+	public void subscribe(CoreSubscriber<? super O>[] s) {
+		@SuppressWarnings("unchecked")
+		CoreSubscriber<? super I>[] subscribers = new CoreSubscriber[parallelism()];
+
+		int i = 0;
+		while (i < subscribers.length) {
+			subscribers[i] = Objects.requireNonNull(lifter.apply(source, s[i]), "Lifted subscriber MUST NOT be null");
+			i++;
+		}
+
+		source.subscribe(subscribers);
+	}
+
+}
diff --git a/spring-cloud-sleuth-instrumentation/src/main/java/org/springframework/cloud/sleuth/instrument/reactor/ReactorSleuth.java b/spring-cloud-sleuth-instrumentation/src/main/java/org/springframework/cloud/sleuth/instrument/reactor/ReactorSleuth.java
index a3b0987a1..d9b72fbab 100644
--- a/spring-cloud-sleuth-instrumentation/src/main/java/org/springframework/cloud/sleuth/instrument/reactor/ReactorSleuth.java
+++ b/spring-cloud-sleuth-instrumentation/src/main/java/org/springframework/cloud/sleuth/instrument/reactor/ReactorSleuth.java
@@ -16,7 +16,9 @@
 
 package org.springframework.cloud.sleuth.instrument.reactor;
 
+import java.util.function.BiFunction;
 import java.util.function.Function;
+import java.util.function.Predicate;
 
 import org.apache.commons.logging.Log;
 import org.apache.commons.logging.LogFactory;
@@ -26,7 +28,9 @@ import org.reactivestreams.Subscription;
 import reactor.core.CoreSubscriber;
 import reactor.core.Fuseable;
 import reactor.core.Scannable;
+import reactor.core.publisher.Hooks;
 import reactor.core.publisher.Operators;
+import reactor.util.annotation.Nullable;
 import reactor.util.context.Context;
 
 import org.springframework.cloud.sleuth.CurrentTraceContext;
@@ -78,13 +82,38 @@ public abstract class ReactorSleuth {
 		LazyBean<CurrentTraceContext> lazyCurrentTraceContext = LazyBean.create(springContext,
 				CurrentTraceContext.class);
 
-		return Operators.liftPublisher((p, sub) -> {
-			// We don't scope scalar results as they happen in an instant. This prevents
-			// excessive overhead when using Flux/Mono #just, #empty, #error, etc.
-			if (p instanceof Fuseable.ScalarCallable) {
-				return sub;
-			}
+		return Operators.liftPublisher(p -> !(p instanceof Fuseable.ScalarCallable),
+				(BiFunction) liftFunction(springContext, lazyCurrentTraceContext));
+	}
 
+	/**
+	 * Creates scope passing span operator which applies only to not
+	 * {@code Scannable.Attr.RunStyle.SYNC} {@code Publisher}s. Used by
+	 * {@code InstrumentationType#DECORATE_ON_EACH}
+	 * @param springContext the Spring context.
+	 * @param <T> an arbitrary type that is left unchanged by the span operator.
+	 * @return operator to apply to {@link Hooks#onEachOperator(Function)}.
+	 */
+	public static <T> Function<? super Publisher<T>, ? extends Publisher<T>> onEachOperatorForOnEachInstrumentation(
+			ConfigurableApplicationContext springContext) {
+		if (log.isTraceEnabled()) {
+			log.trace("Scope passing operator [" + springContext + "]");
+		}
+
+		// keep a reference outside the lambda so that any caching will be visible to
+		// all publishers
+		LazyBean<CurrentTraceContext> lazyCurrentTraceContext = LazyBean.create(springContext,
+				CurrentTraceContext.class);
+
+		Predicate<Publisher> publisherPredicate = ReactorHooksHelper::shouldDecorate;
+		BiFunction lifter = liftFunction(springContext, lazyCurrentTraceContext);
+
+		return ReactorHooksHelper.liftPublisher(publisherPredicate, lifter);
+	}
+
+	static <O> BiFunction<Publisher, ? super CoreSubscriber<? super O>, ? extends CoreSubscriber<? super O>> liftFunction(
+			ConfigurableApplicationContext springContext, LazyBean<CurrentTraceContext> lazyCurrentTraceContext) {
+		return (p, sub) -> {
 			if (!springContext.isActive()) {
 				if (log.isTraceEnabled()) {
 					String message = "Spring Context [" + springContext
@@ -114,7 +143,7 @@ public abstract class ReactorSleuth {
 				return sub;
 			}
 
-			context = contextWithBeans(context, springContext, sub);
+			context = contextWithBeans(context, springContext);
 			if (log.isTraceEnabled()) {
 				log.trace("Spring context [" + springContext + "], Reactor context [" + context + "], name ["
 						+ name(sub) + "]");
@@ -129,15 +158,12 @@ public abstract class ReactorSleuth {
 				log.trace("Creating a scope passing span subscriber with Reactor Context " + "[" + context
 						+ "] and name [" + name(sub) + "]");
 			}
-			// if (runStyle == Scannable.Attr.RunStyle.SYNC) {
-			// return sub;
-			// }
+
 			return new ScopePassingSpanSubscriber<>(sub, context, currentTraceContext, parent);
-		});
+		};
 	}
 
-	private static <T> Context contextWithBeans(Context context, ConfigurableApplicationContext springContext,
-			CoreSubscriber<? super T> sub) {
+	private static <T> Context contextWithBeans(Context context, ConfigurableApplicationContext springContext) {
 		if (!context.hasKey(Tracer.class)) {
 			context = context.put(Tracer.class, springContext.getBean(Tracer.class));
 		}
@@ -158,20 +184,57 @@ public abstract class ReactorSleuth {
 		if (log.isTraceEnabled()) {
 			log.trace("Spring Context passing operator [" + springContext + "]");
 		}
-		return Operators.liftPublisher((p, sub) -> {
+		return Operators.liftPublisher(p -> {
 			// We don't scope scalar results as they happen in an instant. This prevents
 			// excessive overhead when using Flux/Mono #just, #empty, #error, etc.
-			if (p instanceof Fuseable.ScalarCallable) {
+			return !(p instanceof Fuseable.ScalarCallable) && springContext.isActive();
+		}, (p, sub) -> {
+			Context ctxBefore = context(sub);
+			Context context = contextWithBeans(ctxBefore, springContext);
+			if (context == ctxBefore) {
 				return sub;
 			}
-			if (!springContext.isActive()) {
-				return sub;
-			}
-			final Context context = contextWithBeans(context(sub), springContext, sub);
 			return new SleuthContextOperator<>(context, sub);
 		});
 	}
 
+	/**
+	 * Creates tracing context capturing reactor operator. Used by
+	 * {@code InstrumentationType#DECORATE_ON_EACH}.
+	 * @param springContext the Spring context.
+	 * @param <T> an arbitrary type that is left unchanged by the span operator.
+	 * @return operator to apply to {@link Hooks#onLastOperator(Function)} for
+	 * {@code InstrumentationType#DECORATE_ON_EACH}
+	 */
+	public static <T> Function<? super Publisher<T>, ? extends Publisher<T>> onLastOperatorForOnEachInstrumentation(
+			ConfigurableApplicationContext springContext) {
+		LazyBean<CurrentTraceContext> lazyCurrentTraceContext = LazyBean.create(springContext,
+				CurrentTraceContext.class);
+
+		BiFunction<Publisher, ? super CoreSubscriber<? super T>, ? extends CoreSubscriber<? super T>> scopePassingSpanSubscriber = liftFunction(
+				springContext, lazyCurrentTraceContext);
+		BiFunction<Publisher, ? super CoreSubscriber<? super T>, ? extends CoreSubscriber<? super T>> skipIfNoTraceCtx = (
+				pub, sub) -> {
+			// lazyCurrentTraceContext.get() is not null here. see predicate bellow
+			TraceContext traceContext = lazyCurrentTraceContext.get().context();
+			if (context(sub).getOrDefault(TraceContext.class, null) == traceContext) {
+				return sub;
+			}
+			return scopePassingSpanSubscriber.apply(pub, sub);
+		};
+
+		return ReactorHooksHelper.liftPublisher(p -> {
+			boolean addContext = !(p instanceof Fuseable.ScalarCallable) && springContext.isActive();
+			if (addContext) {
+				CurrentTraceContext currentTraceContext = lazyCurrentTraceContext.get();
+				if (currentTraceContext != null) {
+					addContext = currentTraceContext.context() != null;
+				}
+			}
+			return addContext;
+		}, skipIfNoTraceCtx);
+	}
+
 	private static <T> Context context(CoreSubscriber<? super T> sub) {
 		try {
 			return sub.currentContext();
@@ -199,9 +262,30 @@ public abstract class ReactorSleuth {
 		return fallback.context();
 	}
 
+	public static Function<Runnable, Runnable> scopePassingOnScheduleHook(
+			ConfigurableApplicationContext springContext) {
+		LazyBean<CurrentTraceContext> lazyCurrentTraceContext = LazyBean.create(springContext,
+				CurrentTraceContext.class);
+		return delegate -> {
+			if (springContext.isActive()) {
+				final CurrentTraceContext currentTraceContext = lazyCurrentTraceContext.get();
+				if (currentTraceContext == null) {
+					return delegate;
+				}
+				final TraceContext traceContext = currentTraceContext.context();
+				return () -> {
+					try (CurrentTraceContext.Scope scope = currentTraceContext.maybeScope(traceContext)) {
+						delegate.run();
+					}
+				};
+			}
+			return delegate;
+		};
+	}
+
 }
 
-class SleuthContextOperator<T> implements Subscription, CoreSubscriber<T> {
+class SleuthContextOperator<T> implements Subscription, CoreSubscriber<T>, Scannable {
 
 	private final Context context;
 
@@ -250,4 +334,13 @@ class SleuthContextOperator<T> implements Subscription, CoreSubscriber<T> {
 		return this.context;
 	}
 
+	@Nullable
+	@Override
+	public Object scanUnsafe(Attr key) {
+		if (key == Attr.RUN_STYLE) {
+			return Attr.RunStyle.SYNC;
+		}
+		return null;
+	}
+
 }
diff --git a/spring-cloud-sleuth-instrumentation/src/main/java/org/springframework/cloud/sleuth/instrument/reactor/ScopePassingSpanSubscriber.java b/spring-cloud-sleuth-instrumentation/src/main/java/org/springframework/cloud/sleuth/instrument/reactor/ScopePassingSpanSubscriber.java
index a0d8bcf61..64a6e19f5 100644
--- a/spring-cloud-sleuth-instrumentation/src/main/java/org/springframework/cloud/sleuth/instrument/reactor/ScopePassingSpanSubscriber.java
+++ b/spring-cloud-sleuth-instrumentation/src/main/java/org/springframework/cloud/sleuth/instrument/reactor/ScopePassingSpanSubscriber.java
@@ -44,7 +44,7 @@ final class ScopePassingSpanSubscriber<T> implements SpanSubscription<T>, Scanna
 
 	private final CurrentTraceContext currentTraceContext;
 
-	private final TraceContext parent;
+	final TraceContext parent;
 
 	private Subscription s;
 
@@ -108,11 +108,15 @@ final class ScopePassingSpanSubscriber<T> implements SpanSubscription<T>, Scanna
 		return this.context;
 	}
 
+	@reactor.util.annotation.Nullable
 	@Override
 	public Object scanUnsafe(Attr key) {
 		if (key == Attr.PARENT) {
 			return this.s;
 		}
+		else if (key == Attr.RUN_STYLE) {
+			return Attr.RunStyle.SYNC;
+		}
 		else {
 			return key == Attr.ACTUAL ? this.subscriber : null;
 		}
diff --git a/spring-cloud-sleuth-instrumentation/src/main/java/org/springframework/cloud/sleuth/instrument/reactor/TraceContextPropagator.java b/spring-cloud-sleuth-instrumentation/src/main/java/org/springframework/cloud/sleuth/instrument/reactor/TraceContextPropagator.java
new file mode 100644
index 000000000..8afbd8b9e
--- /dev/null
+++ b/spring-cloud-sleuth-instrumentation/src/main/java/org/springframework/cloud/sleuth/instrument/reactor/TraceContextPropagator.java
@@ -0,0 +1,25 @@
+/*
+ * Copyright 2013-2020 the original author or authors.
+ *
+ * Licensed under the Apache License, Version 2.0 (the "License");
+ * you may not use this file except in compliance with the License.
+ * You may obtain a copy of the License at
+ *
+ *      https://www.apache.org/licenses/LICENSE-2.0
+ *
+ * Unless required by applicable law or agreed to in writing, software
+ * distributed under the License is distributed on an "AS IS" BASIS,
+ * WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+ * See the License for the specific language governing permissions and
+ * limitations under the License.
+ */
+
+package org.springframework.cloud.sleuth.instrument.reactor;
+
+/**
+ * Only for internal use. Marker interface for Publisher and Subscriber that propagate
+ * Tracing context into execution Thread.
+ */
+public interface TraceContextPropagator {
+
+}
diff --git a/spring-cloud-sleuth-instrumentation/src/main/java/org/springframework/cloud/sleuth/instrument/web/TraceWebFilter.java b/spring-cloud-sleuth-instrumentation/src/main/java/org/springframework/cloud/sleuth/instrument/web/TraceWebFilter.java
index 434f4aa54..4bcf69080 100644
--- a/spring-cloud-sleuth-instrumentation/src/main/java/org/springframework/cloud/sleuth/instrument/web/TraceWebFilter.java
+++ b/spring-cloud-sleuth-instrumentation/src/main/java/org/springframework/cloud/sleuth/instrument/web/TraceWebFilter.java
@@ -28,12 +28,14 @@ import reactor.core.publisher.MonoOperator;
 import reactor.util.annotation.Nullable;
 import reactor.util.context.Context;
 
+import org.springframework.cloud.sleuth.CurrentTraceContext;
 import org.springframework.cloud.sleuth.Span;
 import org.springframework.cloud.sleuth.TraceContext;
 import org.springframework.cloud.sleuth.Tracer;
 import org.springframework.cloud.sleuth.http.HttpServerHandler;
 import org.springframework.cloud.sleuth.http.HttpServerRequest;
 import org.springframework.cloud.sleuth.http.HttpServerResponse;
+import org.springframework.cloud.sleuth.instrument.reactor.TraceContextPropagator;
 import org.springframework.core.Ordered;
 import org.springframework.http.HttpStatus;
 import org.springframework.http.server.reactive.ServerHttpRequest;
@@ -69,11 +71,14 @@ public class TraceWebFilter implements WebFilter, Ordered {
 
 	private final HttpServerHandler handler;
 
+	private final CurrentTraceContext currentTraceContext;
+
 	private int order;
 
-	public TraceWebFilter(Tracer tracer, HttpServerHandler handler) {
+	public TraceWebFilter(Tracer tracer, HttpServerHandler handler, CurrentTraceContext currentTraceContext) {
 		this.tracer = tracer;
 		this.handler = handler;
+		this.currentTraceContext = currentTraceContext;
 	}
 
 	@Override
@@ -105,7 +110,7 @@ public class TraceWebFilter implements WebFilter, Ordered {
 		this.order = order;
 	}
 
-	private static class MonoWebFilterTrace extends MonoOperator<Void, Void> {
+	private static class MonoWebFilterTrace extends MonoOperator<Void, Void> implements TraceContextPropagator {
 
 		final ServerWebExchange exchange;
 
@@ -119,11 +124,14 @@ public class TraceWebFilter implements WebFilter, Ordered {
 
 		final boolean initialTracePresent;
 
+		final CurrentTraceContext currentTraceContext;
+
 		MonoWebFilterTrace(Mono<? extends Void> source, ServerWebExchange exchange, boolean initialTracePresent,
 				TraceWebFilter parent) {
 			super(source);
 			this.tracer = parent.tracer;
 			this.handler = parent.handler;
+			this.currentTraceContext = parent.currentTraceContext;
 			this.exchange = exchange;
 			this.span = exchange.getAttribute(TRACE_REQUEST_ATTR);
 			this.initialTracePresent = initialTracePresent;
@@ -132,7 +140,18 @@ public class TraceWebFilter implements WebFilter, Ordered {
 		@Override
 		public void subscribe(CoreSubscriber<? super Void> subscriber) {
 			Context context = contextWithoutInitialSpan(subscriber.currentContext());
-			this.source.subscribe(new WebFilterTraceSubscriber(subscriber, context, findOrCreateSpan(context), this));
+			Span span = findOrCreateSpan(context);
+			try (CurrentTraceContext.Scope scope = this.currentTraceContext.maybeScope(span.context())) {
+				this.source.subscribe(new WebFilterTraceSubscriber(subscriber, context, span, this));
+			}
+		}
+
+		@Override
+		public Object scanUnsafe(Attr key) {
+			if (key == Attr.RUN_STYLE) {
+				return Attr.RunStyle.SYNC;
+			}
+			return super.scanUnsafe(key);
 		}
 
 		private Context contextWithoutInitialSpan(Context context) {
diff --git a/spring-cloud-sleuth-instrumentation/src/main/java/org/springframework/cloud/sleuth/instrument/web/client/TraceWebClientBeanPostProcessor.java b/spring-cloud-sleuth-instrumentation/src/main/java/org/springframework/cloud/sleuth/instrument/web/client/TraceWebClientBeanPostProcessor.java
index f12eafc2a..8a858586f 100644
--- a/spring-cloud-sleuth-instrumentation/src/main/java/org/springframework/cloud/sleuth/instrument/web/client/TraceWebClientBeanPostProcessor.java
+++ b/spring-cloud-sleuth-instrumentation/src/main/java/org/springframework/cloud/sleuth/instrument/web/client/TraceWebClientBeanPostProcessor.java
@@ -26,6 +26,7 @@ import org.apache.commons.logging.Log;
 import org.apache.commons.logging.LogFactory;
 import org.reactivestreams.Subscription;
 import reactor.core.CoreSubscriber;
+import reactor.core.Scannable;
 import reactor.core.publisher.Mono;
 import reactor.util.annotation.Nullable;
 import reactor.util.context.Context;
@@ -37,6 +38,7 @@ import org.springframework.cloud.sleuth.TraceContext;
 import org.springframework.cloud.sleuth.http.HttpClientHandler;
 import org.springframework.cloud.sleuth.http.HttpClientRequest;
 import org.springframework.cloud.sleuth.http.HttpClientResponse;
+import org.springframework.cloud.sleuth.instrument.reactor.TraceContextPropagator;
 import org.springframework.context.ConfigurableApplicationContext;
 import org.springframework.web.reactive.function.client.ClientRequest;
 import org.springframework.web.reactive.function.client.ClientResponse;
@@ -139,7 +141,8 @@ final class TraceExchangeFilterFunction implements ExchangeFilterFunction {
 		return this.handler;
 	}
 
-	private static final class MonoWebClientTrace extends Mono<ClientResponse> {
+	private static final class MonoWebClientTrace extends Mono<ClientResponse>
+			implements Scannable, TraceContextPropagator {
 
 		final ExchangeFunction next;
 
@@ -175,13 +178,22 @@ final class TraceExchangeFilterFunction implements ExchangeFilterFunction {
 					.subscribe(new TraceWebClientSubscriber(subscriber, context, span, parent, this));
 		}
 
+		@Nullable
+		@Override
+		public Object scanUnsafe(Scannable.Attr key) {
+			if (key == Scannable.Attr.RUN_STYLE) {
+				return Scannable.Attr.RunStyle.SYNC;
+			}
+			return null;
+		}
+
 	}
 
 	/**
 	 * Subscriber for WebClient.
 	 */
 	static final class TraceWebClientSubscriber extends AtomicReference<Span>
-			implements CoreSubscriber<ClientResponse> {
+			implements CoreSubscriber<ClientResponse>, Scannable {
 
 		final CoreSubscriber<? super ClientResponse> actual;
 
@@ -277,6 +289,14 @@ final class TraceExchangeFilterFunction implements ExchangeFilterFunction {
 			return this.context;
 		}
 
+		@Override
+		public Object scanUnsafe(Scannable.Attr key) {
+			if (key == Scannable.Attr.RUN_STYLE) {
+				return Scannable.Attr.RunStyle.SYNC;
+			}
+			return null;
+		}
+
 	}
 
 	static class TraceWebClientSubscription implements Subscription {
diff --git a/spring-cloud-sleuth-instrumentation/src/test/java/org/springframework/cloud/sleuth/instrument/reactor/ReactorHooksHelperTests.java b/spring-cloud-sleuth-instrumentation/src/test/java/org/springframework/cloud/sleuth/instrument/reactor/ReactorHooksHelperTests.java
new file mode 100644
index 000000000..82d7bd25f
--- /dev/null
+++ b/spring-cloud-sleuth-instrumentation/src/test/java/org/springframework/cloud/sleuth/instrument/reactor/ReactorHooksHelperTests.java
@@ -0,0 +1,367 @@
+/*
+ * Copyright 2013-2021 the original author or authors.
+ *
+ * Licensed under the Apache License, Version 2.0 (the "License");
+ * you may not use this file except in compliance with the License.
+ * You may obtain a copy of the License at
+ *
+ *      https://www.apache.org/licenses/LICENSE-2.0
+ *
+ * Unless required by applicable law or agreed to in writing, software
+ * distributed under the License is distributed on an "AS IS" BASIS,
+ * WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+ * See the License for the specific language governing permissions and
+ * limitations under the License.
+ */
+
+package org.springframework.cloud.sleuth.instrument.reactor;
+
+import java.time.Duration;
+import java.util.concurrent.atomic.AtomicBoolean;
+import java.util.concurrent.atomic.AtomicReference;
+import java.util.function.BiFunction;
+import java.util.function.Function;
+
+import org.junit.jupiter.api.BeforeEach;
+import org.junit.jupiter.api.Test;
+import org.mockito.Mockito;
+import org.reactivestreams.Publisher;
+import org.reactivestreams.Subscription;
+import reactor.core.CoreSubscriber;
+import reactor.core.Disposable;
+import reactor.core.Scannable;
+import reactor.core.publisher.BaseSubscriber;
+import reactor.core.publisher.ConnectableFlux;
+import reactor.core.publisher.Flux;
+import reactor.core.publisher.GroupedFlux;
+import reactor.core.publisher.Hooks;
+import reactor.core.publisher.Mono;
+import reactor.core.publisher.MonoOperator;
+import reactor.core.publisher.Operators;
+import reactor.core.publisher.ParallelFlux;
+import reactor.core.publisher.Sinks;
+import reactor.core.scheduler.Schedulers;
+import reactor.test.StepVerifier;
+import reactor.util.annotation.Nullable;
+import reactor.util.context.Context;
+
+import static org.assertj.core.api.Assertions.assertThat;
+import static org.assertj.core.api.Assertions.assertThatCode;
+
+class ReactorHooksHelperTests {
+
+	@BeforeEach
+	public void setUp() {
+		Hooks.resetOnEachOperator();
+		Hooks.resetOnLastOperator();
+		Schedulers.resetOnScheduleHooks();
+	}
+
+	@Test
+	public void shouldDecorateWhenSyncSourceThanShouldNotDecorate() {
+		boolean actual = ReactorHooksHelper.shouldDecorate(Mono.just(1).map(Function.identity()));
+		assertThat(actual).isFalse();
+	}
+
+	@Test
+	public void shouldDecorateWhenSyncSourceProducerThanShouldNotDecorate() {
+		// Mono.fromSupplier() is instance of SourceProduced and is not
+		// Fuseable.ScalarCallable like Mono.just()
+		Mono<Integer> syncSource = Mono.fromSupplier(() -> 1);
+		boolean actual = ReactorHooksHelper.shouldDecorate(syncSource.map(Function.identity()));
+		assertThat(actual).isFalse();
+	}
+
+	@Test
+	public void shouldDecorateWhenNotSyncSourceProducerThanShouldDecorate() {
+		Mono<Long> asyncSource = Mono.delay(Duration.ofMillis(10));
+		boolean actual = ReactorHooksHelper.shouldDecorate(asyncSource.map(Function.identity()));
+		assertThat(actual).isTrue();
+	}
+
+	@Test
+	public void shouldDecorateWhenProcessorSourceThanShouldNotDecorate() {
+		Mono<Long> asyncSource = Sinks.<Long>one().asMono();
+		boolean actual = ReactorHooksHelper.shouldDecorate(asyncSource.map(Function.identity()));
+		assertThat(actual).isTrue();
+	}
+
+	@Test
+	public void shouldDecorateWhenAsyncSourceAndLifterThanShouldDecorate() {
+		Mono<?> asyncSourceWithLifter = Mono.delay(Duration.ofMillis(10)).transform(Operators.liftPublisher(
+				new BiFunction<Publisher, CoreSubscriber<? super Object>, CoreSubscriber<? super Long>>() {
+					@Override
+					public CoreSubscriber<? super Long> apply(Publisher pub, CoreSubscriber<? super Object> sub) {
+						return sub;
+					}
+				}));
+		boolean actual = ReactorHooksHelper.shouldDecorate(asyncSourceWithLifter.map(Function.identity()));
+		assertThat(actual).isTrue();
+	}
+
+	@Test
+	public void shouldDecorateWhenSyncSourceAndLifterThanShouldNotDecorate() {
+		Mono<?> syncSourceWithLifter = Mono.fromSupplier(() -> 1L).transform(Operators.liftPublisher(
+				new BiFunction<Publisher, CoreSubscriber<? super Object>, CoreSubscriber<? super Long>>() {
+					@Override
+					public CoreSubscriber<? super Long> apply(Publisher pub, CoreSubscriber<? super Object> sub) {
+						return sub;
+					}
+				}));
+		boolean actual = ReactorHooksHelper.shouldDecorate(syncSourceWithLifter.map(Function.identity()));
+		assertThat(actual).isFalse();
+	}
+
+	@Test
+	public void shouldDecorateWhenAsyncSourceAndTraceContextPropagatorThanShouldNotDecorate() {
+		Function<? super Publisher<Long>, ? extends Publisher<Long>> traceContextPropagator = ReactorHooksHelper
+				.liftPublisher(publisher -> true, (publisher, coreSubscriber) -> coreSubscriber);
+		Mono<?> syncSourceWithLifter = Mono.delay(Duration.ofMillis(10)).transform(traceContextPropagator);
+		boolean actual = ReactorHooksHelper.shouldDecorate(syncSourceWithLifter.map(Function.identity()));
+		assertThat(actual).isFalse();
+	}
+
+	@Test
+	public void shouldDecorateWhenNullSourceProducerThanError() {
+		assertThatCode(() -> ReactorHooksHelper.shouldDecorate(null)).isInstanceOf(IllegalArgumentException.class)
+				.hasMessage("source Publisher is null");
+	}
+
+	@Test
+	public void shouldDecorateWhenOperatorWithoutRunStyleThanShouldDecorate() {
+		Mono<?> source = Mono.just(1).as(CustomMonoWithoutRunStyleOperator::new);
+		boolean actual = ReactorHooksHelper.shouldDecorate(source.map(Function.identity()));
+		assertThat(actual).isTrue();
+	}
+
+	@Test
+	public void liftPublisherWhenFilterDiscardsThenReturnSource() {
+		Mono<Integer> source = Mono.just(1);
+		final Function<? super Publisher<Integer>, ? extends Publisher<Integer>> transformer = ReactorHooksHelper
+				.liftPublisher(p -> false, (p, s) -> s);
+		Mono<Integer> transformed = source.transform(transformer);
+		assertThat(source).isSameAs(transformed);
+	}
+
+	@Test
+	public void liftPublisherWhenFilterIsNullThenDecorate() {
+		Mono<Integer> source = Mono.just(1);
+		final Function<? super Publisher<Integer>, ? extends Publisher<Integer>> transformer = ReactorHooksHelper
+				.liftPublisher(null, (p, s) -> s);
+		Mono<Integer> transformed = source.transform(transformer);
+		assertThat(source).isNotSameAs(transformed);
+		assertThat(transformed).isInstanceOf(SleuthMonoLift.class);
+	}
+
+	@Test
+	public void liftPublisherWhenSourceMonoThenDecorateWithMono() {
+		Mono<Integer> source = Mono.just(1);
+		final Function<? super Publisher<Integer>, ? extends Publisher<Integer>> transformer = ReactorHooksHelper
+				.liftPublisher(p -> true, (p, s) -> new PlusOneSubscriber(s));
+		Mono<Integer> transformed = source.transform(transformer);
+		assertThat(source).isNotSameAs(transformed);
+		assertThat(transformed).isInstanceOf(SleuthMonoLift.class).isInstanceOf(TraceContextPropagator.class);
+
+		StepVerifier.create(transformed).expectSubscription().expectNext(2).expectComplete()
+				.verify(Duration.ofSeconds(5));
+	}
+
+	@Test
+	public void liftPublisherWhenSourceFluxThenDecorateWithFlux() {
+		Flux<Integer> source = Flux.just(1, 2, 3);
+		final Function<? super Publisher<Integer>, ? extends Publisher<Integer>> transformer = ReactorHooksHelper
+				.liftPublisher(p -> true, (p, s) -> new PlusOneSubscriber(s));
+		Flux<Integer> transformed = source.transform(transformer);
+		assertThat(source).isNotSameAs(transformed);
+		assertThat(transformed).isInstanceOf(SleuthFluxLift.class).isInstanceOf(TraceContextPropagator.class);
+
+		StepVerifier.create(transformed).expectSubscription().expectNext(2).expectNext(3).expectNext(4).expectComplete()
+				.verify(Duration.ofSeconds(5));
+	}
+
+	@SuppressWarnings({ "rawtypes", "unchecked" })
+	@Test
+	public void liftPublisherWhenSourceParallelFluxThenDecorateWithParallelFlux() {
+		ParallelFlux<Integer> source = Flux.just(1, 2, 3).parallel();
+
+		Function function = ReactorHooksHelper.liftPublisher(p -> true,
+				(p, s) -> (CoreSubscriber) new PlusOneSubscriber(s));
+
+		ParallelFlux<Integer> transformed = source.transform(function);
+		assertThat(source).isNotSameAs(transformed);
+		assertThat(transformed).isInstanceOf(SleuthParallelLift.class).isInstanceOf(TraceContextPropagator.class);
+		Flux<Integer> sorted = transformed.map(it -> it).sequential().sort();
+		StepVerifier.create(sorted).expectSubscription().expectNext(2).expectNext(3).expectNext(4).expectComplete()
+				.verify(Duration.ofSeconds(5));
+	}
+
+	@SuppressWarnings({ "rawtypes", "unchecked" })
+	@Test
+	public void liftPublisherWhenSourceConnectableFluxThenDecorateWithConnectableFlux() {
+		final AtomicBoolean sourceCanceled = new AtomicBoolean();
+		ConnectableFlux<Integer> source = Flux.just(1, 2, 3).doOnCancel(() -> sourceCanceled.set(true)).replay();
+
+		Function function = ReactorHooksHelper.liftPublisher(p -> true,
+				(p, s) -> (CoreSubscriber) new PlusOneSubscriber(s));
+
+		Flux<Integer> transformed = source.transform(function);
+		assertThat(source).isNotSameAs(transformed);
+		assertThat(transformed).isInstanceOf(SleuthConnectableLift.class).isInstanceOf(TraceContextPropagator.class);
+		final AtomicReference<Disposable> cancelSource = new AtomicReference<>();
+		Flux<Integer> autoConnect = ((ConnectableFlux<Integer>) transformed).autoConnect(1, cancelSource::set);
+
+		StepVerifier.create(autoConnect).expectSubscription().expectNext(2).expectNext(3).expectNext(4).thenCancel()
+				.verify(Duration.ofSeconds(5));
+
+		assertThat(cancelSource.get()).isNotNull();
+		cancelSource.get().dispose();
+		assertThat(sourceCanceled).isTrue();
+	}
+
+	@SuppressWarnings({ "rawtypes", "unchecked" })
+	@Test
+	public void liftPublisherWhenSourceGroupedFluxThenDecorateWithGroupedFlux() {
+		Flux<GroupedFlux<Integer, Integer>> source = Flux.just(1, 2, 3).groupBy(i -> i % 2);
+
+		Function function = ReactorHooksHelper.liftPublisher(p -> true,
+				(p, s) -> (CoreSubscriber) new PlusOneSubscriber(s));
+
+		GroupedFlux<Integer, Integer> grouped = source.filter(it -> it.key() == 1).blockFirst();
+		Flux<Integer> transformed = grouped.transform(function);
+		assertThat(grouped).isNotSameAs(transformed);
+		assertThat(transformed).isInstanceOf(SleuthGroupedLift.class).isInstanceOf(TraceContextPropagator.class);
+
+		assertThat(((GroupedFlux) transformed).key()).isEqualTo(1);
+
+		StepVerifier.create(transformed).expectSubscription().expectNext(2).expectNext(4).expectComplete()
+				.verify(Duration.ofSeconds(5));
+	}
+
+	@SuppressWarnings({ "rawtypes", "unchecked" })
+	@Test
+	public void sleuthMonoLiftWhenScanRunStyleThenSync() {
+		final Mono source = Mockito.mock(Mono.class);
+
+		SleuthMonoLift lifter = new SleuthMonoLift(source, (p, s) -> s);
+
+		assertThat(lifter.scanUnsafe(Scannable.Attr.RUN_STYLE)).isEqualTo(Scannable.Attr.RunStyle.SYNC);
+		assertThat(lifter.scanUnsafe(Scannable.Attr.PARENT)).isEqualTo(source);
+		assertThat(lifter.scanUnsafe(Scannable.Attr.PREFETCH)).isEqualTo(Integer.MAX_VALUE);
+	}
+
+	@SuppressWarnings({ "rawtypes", "unchecked" })
+	@Test
+	public void testSleuthFluxLiftScanUnsafe() {
+		final Flux source = Mockito.mock(Flux.class);
+
+		SleuthFluxLift lifter = new SleuthFluxLift(source, (p, s) -> s);
+
+		assertThat(lifter.scanUnsafe(Scannable.Attr.RUN_STYLE)).isEqualTo(Scannable.Attr.RunStyle.SYNC);
+		assertThat(lifter.scanUnsafe(Scannable.Attr.PARENT)).isEqualTo(source);
+		assertThat(lifter.scanUnsafe(Scannable.Attr.PREFETCH)).isEqualTo(lifter.getPrefetch());
+	}
+
+	@SuppressWarnings({ "rawtypes", "unchecked" })
+	@Test
+	public void testSleuthConnectableLiftScanUnsafe() {
+		final ConnectableFlux source = Mockito.mock(ConnectableFlux.class);
+		int sourcePrefetch = 1;
+		Mockito.when(source.getPrefetch()).thenReturn(sourcePrefetch);
+
+		SleuthConnectableLift lifter = new SleuthConnectableLift(source, (p, s) -> s);
+
+		assertThat(lifter.scanUnsafe(Scannable.Attr.RUN_STYLE)).isEqualTo(Scannable.Attr.RunStyle.SYNC);
+		assertThat(lifter.scanUnsafe(Scannable.Attr.PARENT)).isEqualTo(source);
+		assertThat(lifter.scanUnsafe(Scannable.Attr.PREFETCH)).isEqualTo(sourcePrefetch);
+	}
+
+	@SuppressWarnings({ "rawtypes", "unchecked" })
+	@Test
+	public void testSleuthGroupedLiftFluxScanUnsafe() {
+		final GroupedFlux source = Mockito.mock(GroupedFlux.class);
+		int sourcePrefetch = 1;
+		Mockito.when(source.getPrefetch()).thenReturn(sourcePrefetch);
+
+		SleuthGroupedLift lifter = new SleuthGroupedLift(source, (p, s) -> s);
+
+		assertThat(lifter.scanUnsafe(Scannable.Attr.RUN_STYLE)).isEqualTo(Scannable.Attr.RunStyle.SYNC);
+		assertThat(lifter.scanUnsafe(Scannable.Attr.PARENT)).isEqualTo(source);
+		assertThat(lifter.scanUnsafe(Scannable.Attr.PREFETCH)).isEqualTo(sourcePrefetch);
+	}
+
+	@SuppressWarnings({ "rawtypes", "unchecked" })
+	@Test
+	public void testSleuthParallelLiftScanUnsafe() {
+		final ParallelFlux source = Mockito.mock(ParallelFlux.class);
+		int sourcePrefetch = 1;
+		Mockito.when(source.getPrefetch()).thenReturn(sourcePrefetch);
+
+		SleuthParallelLift lifter = new SleuthParallelLift(source, (p, s) -> s);
+
+		assertThat(lifter.scanUnsafe(Scannable.Attr.RUN_STYLE)).isEqualTo(Scannable.Attr.RunStyle.SYNC);
+		assertThat(lifter.scanUnsafe(Scannable.Attr.PARENT)).isEqualTo(source);
+		assertThat(lifter.scanUnsafe(Scannable.Attr.PREFETCH)).isEqualTo(sourcePrefetch);
+	}
+
+	static class CustomMonoWithoutRunStyleOperator<O> extends MonoOperator<O, O> {
+
+		/**
+		 * Build a {@link MonoOperator} wrapper around the passed parent {@link Publisher}
+		 * @param source the {@link Publisher} to decorate
+		 */
+		protected CustomMonoWithoutRunStyleOperator(Mono<? extends O> source) {
+			super(source);
+		}
+
+		@Override
+		public void subscribe(CoreSubscriber<? super O> actual) {
+			source.subscribe(actual);
+		}
+
+		@Nullable
+		@Override
+		public Object scanUnsafe(Attr key) {
+			if (Attr.RUN_STYLE == key) {
+				return null;
+			}
+			return super.scanUnsafe(key);
+		}
+
+	}
+
+	static class PlusOneSubscriber extends BaseSubscriber<Integer> {
+
+		CoreSubscriber<? super Integer> actual;
+
+		PlusOneSubscriber(CoreSubscriber<? super Integer> actual) {
+			this.actual = actual;
+		}
+
+		@Override
+		public Context currentContext() {
+			return actual.currentContext();
+		}
+
+		@Override
+		protected void hookOnSubscribe(Subscription subscription) {
+			actual.onSubscribe(subscription);
+		}
+
+		@Override
+		protected void hookOnNext(Integer value) {
+			actual.onNext(value + 1);
+		}
+
+		@Override
+		protected void hookOnComplete() {
+			actual.onComplete();
+		}
+
+		@Override
+		protected void hookOnError(Throwable throwable) {
+			actual.onError(throwable);
+		}
+
+	}
+
+}
diff --git a/tests/common/src/main/java/org/springframework/cloud/sleuth/instrument/reactor/FlowsScopePassingSpanSubscriberTests.java b/tests/common/src/main/java/org/springframework/cloud/sleuth/instrument/reactor/FlowsScopePassingSpanSubscriberTests.java
index eb42b4786..23d17a1b5 100644
--- a/tests/common/src/main/java/org/springframework/cloud/sleuth/instrument/reactor/FlowsScopePassingSpanSubscriberTests.java
+++ b/tests/common/src/main/java/org/springframework/cloud/sleuth/instrument/reactor/FlowsScopePassingSpanSubscriberTests.java
@@ -38,7 +38,7 @@ import org.springframework.context.annotation.AnnotationConfigApplicationContext
 
 import static org.assertj.core.api.Assertions.assertThat;
 import static org.assertj.core.api.BDDAssertions.then;
-import static org.springframework.cloud.sleuth.instrument.reactor.ReactorSleuth.scopePassingSpanOperator;
+import static org.springframework.cloud.sleuth.instrument.reactor.ReactorSleuth.onEachOperatorForOnEachInstrumentation;
 
 /**
  * @author Marcin Grzejszczak
@@ -78,7 +78,7 @@ public abstract class FlowsScopePassingSpanSubscriberTests {
 		springContext.registerBean(CurrentTraceContext.class, this::currentTraceContext);
 		springContext.refresh();
 
-		Function<? super Publisher<Integer>, ? extends Publisher<Integer>> transformer = scopePassingSpanOperator(
+		Function<? super Publisher<Integer>, ? extends Publisher<Integer>> transformer = onEachOperatorForOnEachInstrumentation(
 				this.springContext);
 
 		try (CurrentTraceContext.Scope ws = currentTraceContext().newScope(context())) {
diff --git a/tests/common/src/main/java/org/springframework/cloud/sleuth/instrument/reactor/ScopePassingSpanSubscriberSpringBootTests.java b/tests/common/src/main/java/org/springframework/cloud/sleuth/instrument/reactor/ScopePassingSpanSubscriberSpringBootTests.java
index 0c67be78d..cf2d14c22 100644
--- a/tests/common/src/main/java/org/springframework/cloud/sleuth/instrument/reactor/ScopePassingSpanSubscriberSpringBootTests.java
+++ b/tests/common/src/main/java/org/springframework/cloud/sleuth/instrument/reactor/ScopePassingSpanSubscriberSpringBootTests.java
@@ -20,10 +20,14 @@ import java.time.Duration;
 import java.util.concurrent.atomic.AtomicReference;
 
 import org.awaitility.Awaitility;
+import org.junit.jupiter.api.AfterEach;
+import org.junit.jupiter.api.BeforeEach;
 import org.junit.jupiter.api.Test;
 import org.reactivestreams.Publisher;
 import reactor.core.publisher.Flux;
 import reactor.core.publisher.Mono;
+import reactor.core.publisher.Sinks;
+import reactor.core.scheduler.Scheduler;
 import reactor.core.scheduler.Schedulers;
 
 import org.springframework.beans.factory.annotation.Autowired;
@@ -45,10 +49,26 @@ public abstract class ScopePassingSpanSubscriberSpringBootTests {
 	@Autowired
 	CurrentTraceContext currentTraceContext;
 
+	private Scheduler subscribeScheduler;
+
+	private Scheduler secondScheduler;
+
 	protected abstract TraceContext context();
 
 	protected abstract TraceContext context2();
 
+	@BeforeEach
+	void setUp() {
+		subscribeScheduler = Schedulers.newSingle("subscribeThread2");
+		secondScheduler = Schedulers.newSingle("secondThread");
+	}
+
+	@AfterEach
+	void tearDown() {
+		subscribeScheduler.dispose();
+		secondScheduler.dispose();
+	}
+
 	@Test
 	public void should_pass_tracing_info_when_using_reactor() {
 		final AtomicReference<TraceContext> spanInOperation = new AtomicReference<>();
@@ -88,7 +108,7 @@ public abstract class ScopePassingSpanSubscriberSpringBootTests {
 
 		try (CurrentTraceContext.Scope ws = this.currentTraceContext.newScope(context())) {
 			Flux.just(1, 2, 3).publishOn(Schedulers.single()).log("reactor.1").map(d -> d + 1).map(d -> d + 1)
-					.publishOn(Schedulers.newSingle("secondThread")).log("reactor.2").map((d) -> {
+					.publishOn(secondScheduler).log("reactor.2").map((d) -> {
 						spanInOperation.set(this.currentTraceContext.context());
 						return d + 1;
 					}).map(d -> d + 1).blockLast();
@@ -113,6 +133,71 @@ public abstract class ScopePassingSpanSubscriberSpringBootTests {
 		then(this.currentTraceContext.context()).isNull();
 	}
 
+	@Test
+	public void should_pass_tracing_info_into_sources_when_using_reactor_async() {
+		final AtomicReference<TraceContext> spanInOperation = new AtomicReference<>();
+
+		try (CurrentTraceContext.Scope ws = this.currentTraceContext.newScope(context())) {
+			Mono.fromSupplier(() -> {
+				spanInOperation.set(this.currentTraceContext.context());
+				return 1;
+			}).publishOn(Schedulers.single()).log("reactor.1").map(d -> d + 1).map(d -> d + 1)
+					.publishOn(secondScheduler).log("reactor.2").map((d) -> d + 1).map(d -> d + 1)
+					.subscribeOn(subscribeScheduler).block();
+
+			Awaitility.await().untilAsserted(() -> then(spanInOperation.get()).isEqualTo(context()));
+			then(this.currentTraceContext.context()).isEqualTo(context());
+		}
+
+		then(this.currentTraceContext.context()).isNull();
+
+		try (CurrentTraceContext.Scope ws = this.currentTraceContext.newScope(context2())) {
+			Mono.fromCallable(() -> {
+				spanInOperation.set(this.currentTraceContext.context());
+				return 1;
+			}).log("reactor.").map(d -> d + 1).map(d -> d + 1).map(d -> d + 1).subscribeOn(subscribeScheduler).block();
+
+			then(this.currentTraceContext.context()).isEqualTo(context2());
+			then(spanInOperation.get()).isEqualTo(context2());
+		}
+
+		then(this.currentTraceContext.context()).isNull();
+	}
+
+	@Test
+	public void should_pass_tracing_info_when_using_reactor_async_processor() {
+		final AtomicReference<TraceContext> spanInOperation = new AtomicReference<>();
+
+		Sinks.One<Integer> one = Sinks.one();
+		try (CurrentTraceContext.Scope ws = this.currentTraceContext.newScope(context())) {
+			one.asMono()
+					// hook is not applied for Processors so first operator after it will
+					// not be decorated with brave context
+					.map(d -> d + 1).map((d) -> {
+						spanInOperation.set(this.currentTraceContext.context());
+						return d + 1;
+					}).map(d -> d + 1).doOnSubscribe(subscription -> {
+						final Thread thread = new Thread(() -> {
+							try {
+								Thread.sleep(300);
+							}
+							catch (InterruptedException e) {
+								e.printStackTrace();
+							}
+							one.tryEmitValue(0);
+						});
+						thread.setName("async_processor_source");
+						thread.setDaemon(true);
+						thread.start();
+					}).subscribeOn(Schedulers.boundedElastic()).block();
+
+			Awaitility.await().untilAsserted(() -> then(spanInOperation.get()).isEqualTo(context()));
+			then(this.currentTraceContext.context()).isEqualTo(context());
+		}
+
+		then(this.currentTraceContext.context()).isNull();
+	}
+
 	@Test
 	public void onlyConsidersContextDuringSubscribe() {
 		Mono<TraceContext> fromMono = Mono.fromCallable(this.currentTraceContext::context);
diff --git a/tests/common/src/main/java/org/springframework/cloud/sleuth/instrument/reactor/ScopePassingSpanSubscriberTests.java b/tests/common/src/main/java/org/springframework/cloud/sleuth/instrument/reactor/ScopePassingSpanSubscriberTests.java
index 75a29a486..7df4424ec 100644
--- a/tests/common/src/main/java/org/springframework/cloud/sleuth/instrument/reactor/ScopePassingSpanSubscriberTests.java
+++ b/tests/common/src/main/java/org/springframework/cloud/sleuth/instrument/reactor/ScopePassingSpanSubscriberTests.java
@@ -143,7 +143,7 @@ public abstract class ScopePassingSpanSubscriberTests {
 				"org.springframework.cloud.sleuth.autoconfig.instrument.reactor.TraceReactorAutoConfiguration.TraceReactorConfiguration");
 		Hooks.resetOnLastOperator(
 				"org.springframework.cloud.sleuth.autoconfig.instrument.reactor.TraceReactorAutoConfiguration.TraceReactorConfiguration");
-		Schedulers.removeExecutorServiceDecorator("s;euth");
+		Schedulers.resetOnScheduleHook("sleuth");
 	}
 
 	@AfterEach