diff --git a/src/components/nostr/QuotedEvent.tsx b/src/components/nostr/QuotedEvent.tsx
new file mode 100644
index 0000000..1e8b8f0
--- /dev/null
+++ b/src/components/nostr/QuotedEvent.tsx
@@ -0,0 +1,123 @@
+import { useState } from "react";
+import { useNostrEvent } from "@/hooks/useNostrEvent";
+import { KindRenderer } from "./kinds";
+import { UserName } from "./UserName";
+import { ChevronDown, ChevronUp } from "lucide-react";
+import { cn } from "@/lib/utils";
+
+interface QuotedEventProps {
+  /** Event ID string for regular events */
+  eventId?: string;
+  /** AddressPointer for addressable/replaceable events */
+  addressPointer?: { kind: number; pubkey: string; identifier: string };
+  /** Callback when user clicks to open the event in new window */
+  onOpen?: (
+    id: string | { kind: number; pubkey: string; identifier: string },
+  ) => void;
+  /** Depth level for nesting (0 = root, 1 = first quote, 2+ = nested) */
+  depth?: number;
+  /** Optional className for container */
+  className?: string;
+}
+
+/**
+ * QuotedEvent component with depth-aware rendering
+ * - depth 0-1: Show full content inline by default
+ * - depth 2+: Show expandable preview only
+ */
+export function QuotedEvent({
+  eventId,
+  addressPointer,
+  onOpen,
+  depth = 1,
+  className,
+}: QuotedEventProps) {
+  const [isExpanded, setIsExpanded] = useState(depth < 2);
+
+  // Determine pointer to use
+  const pointer = eventId || addressPointer;
+
+  // Load the event
+  const event = useNostrEvent(pointer);
+
+  // Loading state
+  if (!event) {
+    if (onOpen && pointer) {
+      const displayText =
+        typeof eventId === "string"
+          ? `@${eventId.slice(0, 8)}...`
+          : addressPointer
+            ? `@${addressPointer.identifier || addressPointer.kind}`
+            : "@event";
+
+      return (
+        <a
+          href="#"
+          onClick={(e) => {
+            e.preventDefault();
+            onOpen(pointer);
+          }}
+          className="inline-flex items-center gap-1 text-accent underline decoration-dotted break-all"
+        >
+          <span>{displayText}</span>
+        </a>
+      );
+    }
+
+    return (
+      <span className="text-sm text-muted-foreground italic">
+        Loading event...
+      </span>
+    );
+  }
+
+  // For depth 0-1: Show full content inline by default
+  if (depth < 2) {
+    return (
+      <div
+        className={cn("my-2 border-l-2 border-muted pl-3 text-sm", className)}
+      >
+        <KindRenderer event={event} depth={depth + 1} />
+      </div>
+    );
+  }
+
+  // For depth 2+: Show expandable preview
+  const previewText = event.content?.slice(0, 100) || "";
+  const hasMore = event.content?.length > 100;
+
+  return (
+    <div
+      className={cn(
+        "my-2 border border-muted rounded-lg overflow-hidden",
+        className,
+      )}
+    >
+      {/* Preview header - always visible */}
+      <button
+        onClick={() => setIsExpanded(!isExpanded)}
+        className="w-full flex items-center justify-between gap-2 p-2 bg-muted/20 hover:bg-muted/40 transition-colors text-left"
+      >
+        <div className="flex items-center gap-2 min-w-0">
+          <UserName pubkey={event.pubkey} className="text-xs font-medium" />
+          <span className="text-xs text-muted-foreground truncate">
+            {previewText}
+            {hasMore && "..."}
+          </span>
+        </div>
+        {isExpanded ? (
+          <ChevronUp className="size-3 flex-shrink-0" />
+        ) : (
+          <ChevronDown className="size-3 flex-shrink-0" />
+        )}
+      </button>
+
+      {/* Full content - shown when expanded */}
+      {isExpanded && (
+        <div className="p-3 border-t border-muted">
+          <KindRenderer event={event} depth={depth + 1} />
+        </div>
+      )}
+    </div>
+  );
+}
diff --git a/src/components/nostr/RichText.tsx b/src/components/nostr/RichText.tsx
index 22efc49..abe7c84 100644
--- a/src/components/nostr/RichText.tsx
+++ b/src/components/nostr/RichText.tsx
@@ -1,5 +1,6 @@
 import { cn } from "@/lib/utils";
 import { Hooks } from "applesauce-react";
+import { createContext, useContext } from "react";
 import { Text } from "./RichText/Text";
 import { Hashtag } from "./RichText/Hashtag";
 import { Mention } from "./RichText/Mention";
@@ -10,10 +11,18 @@ import type { NostrEvent } from "@/types/nostr";
 
 const { useRenderedContent } = Hooks;
 
+// Context for passing depth through RichText rendering
+const DepthContext = createContext<number>(1);
+
+export function useDepth() {
+  return useContext(DepthContext);
+}
+
 interface RichTextProps {
   event?: NostrEvent;
   content?: string;
   className?: string;
+  depth?: number;
 }
 
 // Content node component types for rendering
@@ -31,7 +40,12 @@ const contentComponents = {
  * Supports mentions, hashtags, links, emojis, and galleries
  * Can also render plain text without requiring a full event
  */
-export function RichText({ event, content, className = "" }: RichTextProps) {
+export function RichText({
+  event,
+  content,
+  className = "",
+  depth = 1,
+}: RichTextProps) {
   // If plain content is provided, just render it
   if (content && !event) {
     const lines = content.trim().split("\n");
@@ -54,9 +68,11 @@ export function RichText({ event, content, className = "" }: RichTextProps) {
     };
     const renderedContent = useRenderedContent(trimmedEvent, contentComponents);
     return (
-      <div className={cn("leading-relaxed break-words", className)}>
-        {renderedContent}
-      </div>
+      <DepthContext.Provider value={depth}>
+        <div className={cn("leading-relaxed break-words", className)}>
+          {renderedContent}
+        </div>
+      </DepthContext.Provider>
     );
   }
 
diff --git a/src/components/nostr/RichText/EventEmbed.tsx b/src/components/nostr/RichText/EventEmbed.tsx
index 4b5fa28..1742b5d 100644
--- a/src/components/nostr/RichText/EventEmbed.tsx
+++ b/src/components/nostr/RichText/EventEmbed.tsx
@@ -1,58 +1,27 @@
-import { useState } from "react";
 import { EventPointer, AddressPointer } from "nostr-tools/nip19";
-import { Plus, Minus } from "lucide-react";
-import { EmbeddedEvent } from "../EmbeddedEvent";
+import { QuotedEvent } from "../QuotedEvent";
 
 interface EventEmbedNodeProps {
   node: {
     pointer: EventPointer | AddressPointer;
   };
+  depth?: number;
 }
 
-function isEventPointer(
-  pointer: EventPointer | AddressPointer,
-): pointer is EventPointer {
-  return "id" in pointer;
-}
-
-export function EventEmbed({ node }: EventEmbedNodeProps) {
-  const [isExpanded, setIsExpanded] = useState(false);
+/**
+ * EventEmbed component for rendering quoted/embedded Nostr events
+ * Uses QuotedEvent with depth tracking for smart expand/collapse behavior
+ */
+export function EventEmbed({ node, depth = 1 }: EventEmbedNodeProps) {
   const { pointer } = node;
 
-  // Determine the type label and short identifier
-  const isEvent = isEventPointer(pointer);
-  const label = isEvent ? "nevent" : "naddr";
-  const identifier = isEvent
-    ? pointer.id.slice(0, 8)
-    : pointer.identifier || pointer.pubkey.slice(0, 8);
-
   return (
-    <div className="flex flex-col w-full">
-      <button onClick={() => setIsExpanded(!isExpanded)}>
-        <div
-          className="flex flex-row items-center gap-1 w-full
-            text-muted-foreground hover:text-foreground
-            cursor-crosshair"
-        >
-          {isExpanded ? (
-            <Minus className="h-3 w-3" />
-          ) : (
-            <Plus className="h-3 w-3" />
-          )}
-          <span className="">
-            [{label}: {identifier}...]
-          </span>
-        </div>
-      </button>
-
-      {isExpanded && (
-        <EmbeddedEvent
-          eventId={"id" in pointer ? pointer.id : undefined}
-          addressPointer={
-            "kind" in pointer && "pubkey" in pointer ? pointer : undefined
-          }
-        />
-      )}
-    </div>
+    <QuotedEvent
+      eventId={"id" in pointer ? pointer.id : undefined}
+      addressPointer={
+        "kind" in pointer && "pubkey" in pointer ? pointer : undefined
+      }
+      depth={depth}
+    />
   );
 }
diff --git a/src/components/nostr/RichText/Mention.tsx b/src/components/nostr/RichText/Mention.tsx
index fc98c80..17fedcd 100644
--- a/src/components/nostr/RichText/Mention.tsx
+++ b/src/components/nostr/RichText/Mention.tsx
@@ -2,6 +2,7 @@ import { kinds } from "nostr-tools";
 import { UserName } from "../UserName";
 import { EventEmbed } from "./EventEmbed";
 import { EventPointer, AddressPointer } from "nostr-tools/nip19";
+import { useDepth } from "../RichText";
 
 interface MentionNodeProps {
   node: {
@@ -14,6 +15,8 @@ interface MentionNodeProps {
 }
 
 export function Mention({ node }: MentionNodeProps) {
+  const depth = useDepth();
+
   if (node.decoded?.type === "npub") {
     const pubkey = node.decoded.data;
     return (
@@ -43,17 +46,17 @@ export function Mention({ node }: MentionNodeProps) {
       kind: kinds.ShortTextNote,
       relays: [],
     };
-    return <EventEmbed node={{ pointer }} />;
+    return <EventEmbed node={{ pointer }} depth={depth} />;
   }
 
   if (node.decoded?.type === "nevent") {
     const pointer: EventPointer = node.decoded.data;
-    return <EventEmbed node={{ pointer }} />;
+    return <EventEmbed node={{ pointer }} depth={depth} />;
   }
 
   if (node.decoded?.type === "naddr") {
     const pointer: AddressPointer = node.decoded.data;
-    return <EventEmbed node={{ pointer }} />;
+    return <EventEmbed node={{ pointer }} depth={depth} />;
   }
 
   return null;
diff --git a/src/components/nostr/kinds/BaseEventRenderer.tsx b/src/components/nostr/kinds/BaseEventRenderer.tsx
index bbba9c1..ffd2478 100644
--- a/src/components/nostr/kinds/BaseEventRenderer.tsx
+++ b/src/components/nostr/kinds/BaseEventRenderer.tsx
@@ -20,6 +20,7 @@ import { JsonViewer } from "@/components/JsonViewer";
 export interface BaseEventProps {
   event: NostrEvent;
   showTimestamp?: boolean;
+  depth?: number;
 }
 
 /**
diff --git a/src/components/nostr/kinds/Kind1Renderer.tsx b/src/components/nostr/kinds/Kind1Renderer.tsx
index b33e364..cce4711 100644
--- a/src/components/nostr/kinds/Kind1Renderer.tsx
+++ b/src/components/nostr/kinds/Kind1Renderer.tsx
@@ -9,7 +9,11 @@ import { useGrimoire } from "@/core/state";
 /**
  * Renderer for Kind 1 - Short Text Note
  */
-export function Kind1Renderer({ event, showTimestamp }: BaseEventProps) {
+export function Kind1Renderer({
+  event,
+  showTimestamp,
+  depth = 0,
+}: BaseEventProps) {
   const { addWindow } = useGrimoire();
   const refs = getNip10References(event);
   const hasReply = refs.reply?.e || refs.reply?.a;
@@ -49,7 +53,7 @@ export function Kind1Renderer({ event, showTimestamp }: BaseEventProps) {
           </div>
         </div>
       )}
-      <RichText event={event} className="text-sm" />
+      <RichText event={event} className="text-sm" depth={depth} />
     </BaseEventContainer>
   );
 }
diff --git a/src/components/nostr/kinds/index.tsx b/src/components/nostr/kinds/index.tsx
index 4440dda..caba42f 100644
--- a/src/components/nostr/kinds/index.tsx
+++ b/src/components/nostr/kinds/index.tsx
@@ -57,12 +57,14 @@ function DefaultKindRenderer({ event, showTimestamp }: BaseEventProps) {
 export function KindRenderer({
   event,
   showTimestamp = false,
+  depth = 0,
 }: {
   event: NostrEvent;
   showTimestamp?: boolean;
+  depth?: number;
 }) {
   const Renderer = kindRenderers[event.kind] || DefaultKindRenderer;
-  return <Renderer event={event} showTimestamp={showTimestamp} />;
+  return <Renderer event={event} showTimestamp={showTimestamp} depth={depth} />;
 }
 
 /**
diff --git a/tsconfig.app.tsbuildinfo b/tsconfig.app.tsbuildinfo
index a56aa74..cee3c77 100644
--- a/tsconfig.app.tsbuildinfo
+++ b/tsconfig.app.tsbuildinfo
@@ -1 +1 @@
-{"root":["./src/main.tsx","./src/root.tsx","./src/vite-env.d.ts","./src/components/command.tsx","./src/components/commandlauncher.tsx","./src/components/decodeviewer.tsx","./src/components/encodeviewer.tsx","./src/components/eventdetailviewer.tsx","./src/components/grimoirewelcome.tsx","./src/components/home.tsx","./src/components/jsonviewer.tsx","./src/components/kindbadge.tsx","./src/components/kindrenderer.tsx","./src/components/manpage.tsx","./src/components/markdown.tsx","./src/components/niprenderer.tsx","./src/components/profileviewer.tsx","./src/components/reqviewer.tsx","./src/components/tabbar.tsx","./src/components/timestamp.tsx","./src/components/winviewer.tsx","./src/components/windowtoolbar.tsx","./src/components/nostr/embeddedevent.tsx","./src/components/nostr/feed.tsx","./src/components/nostr/mediadialog.tsx","./src/components/nostr/mediaembed.tsx","./src/components/nostr/richtext.tsx","./src/components/nostr/username.tsx","./src/components/nostr/index.ts","./src/components/nostr/nip05.tsx","./src/components/nostr/npub.tsx","./src/components/nostr/relay-pool.tsx","./src/components/nostr/user-menu.tsx","./src/components/nostr/linkpreview/audiolink.tsx","./src/components/nostr/linkpreview/imagelink.tsx","./src/components/nostr/linkpreview/plainlink.tsx","./src/components/nostr/linkpreview/videolink.tsx","./src/components/nostr/linkpreview/index.ts","./src/components/nostr/richtext/emoji.tsx","./src/components/nostr/richtext/eventembed.tsx","./src/components/nostr/richtext/gallery.tsx","./src/components/nostr/richtext/hashtag.tsx","./src/components/nostr/richtext/link.tsx","./src/components/nostr/richtext/mention.tsx","./src/components/nostr/richtext/text.tsx","./src/components/nostr/richtext/index.ts","./src/components/nostr/kinds/baseeventrenderer.tsx","./src/components/nostr/kinds/kind0detailrenderer.tsx","./src/components/nostr/kinds/kind0renderer.tsx","./src/components/nostr/kinds/kind1063renderer.tsx","./src/components/nostr/kinds/kind1renderer.tsx","./src/components/nostr/kinds/kind20renderer.tsx","./src/components/nostr/kinds/kind21renderer.tsx","./src/components/nostr/kinds/kind22renderer.tsx","./src/components/nostr/kinds/kind30023detailrenderer.tsx","./src/components/nostr/kinds/kind30023renderer.tsx","./src/components/nostr/kinds/kind3renderer.tsx","./src/components/nostr/kinds/kind6renderer.tsx","./src/components/nostr/kinds/kind7renderer.tsx","./src/components/nostr/kinds/kind9735renderer.tsx","./src/components/nostr/kinds/kind9802detailrenderer.tsx","./src/components/nostr/kinds/kind9802renderer.tsx","./src/components/nostr/kinds/index.tsx","./src/components/ui/avatar.tsx","./src/components/ui/button.tsx","./src/components/ui/dialog.tsx","./src/components/ui/dropdown-menu.tsx","./src/components/ui/hover-card.tsx","./src/components/ui/input.tsx","./src/components/ui/scroll-area.tsx","./src/constants/kinds.ts","./src/constants/nips.ts","./src/core/logic.ts","./src/core/state.ts","./src/hooks/useaccountsync.ts","./src/hooks/usenip.ts","./src/hooks/usenip05.ts","./src/hooks/usenostrevent.ts","./src/hooks/useprofile.ts","./src/hooks/usereqtimeline.ts","./src/hooks/usetimeline.ts","./src/lib/decode-parser.ts","./src/lib/encode-parser.ts","./src/lib/imeta.ts","./src/lib/nip-kinds.ts","./src/lib/nip05.ts","./src/lib/nostr-utils.ts","./src/lib/open-parser.ts","./src/lib/profile-parser.ts","./src/lib/req-parser.ts","./src/lib/utils.ts","./src/services/accounts.ts","./src/services/db.ts","./src/services/event-store.ts","./src/services/loaders.ts","./src/services/relay-pool.ts","./src/types/app.ts","./src/types/man.ts","./src/types/nostr.ts","./src/types/profile.ts"],"version":"5.6.3"}
\ No newline at end of file
+{"root":["./src/main.tsx","./src/root.tsx","./src/vite-env.d.ts","./src/components/command.tsx","./src/components/commandlauncher.tsx","./src/components/decodeviewer.tsx","./src/components/encodeviewer.tsx","./src/components/eventdetailviewer.tsx","./src/components/grimoirewelcome.tsx","./src/components/home.tsx","./src/components/jsonviewer.tsx","./src/components/kindbadge.tsx","./src/components/kindrenderer.tsx","./src/components/manpage.tsx","./src/components/markdown.tsx","./src/components/niprenderer.tsx","./src/components/profileviewer.tsx","./src/components/reqviewer.tsx","./src/components/tabbar.tsx","./src/components/timestamp.tsx","./src/components/winviewer.tsx","./src/components/windowtoolbar.tsx","./src/components/nostr/embeddedevent.tsx","./src/components/nostr/feed.tsx","./src/components/nostr/mediadialog.tsx","./src/components/nostr/mediaembed.tsx","./src/components/nostr/quotedevent.tsx","./src/components/nostr/richtext.tsx","./src/components/nostr/username.tsx","./src/components/nostr/index.ts","./src/components/nostr/nip05.tsx","./src/components/nostr/npub.tsx","./src/components/nostr/relay-pool.tsx","./src/components/nostr/user-menu.tsx","./src/components/nostr/linkpreview/audiolink.tsx","./src/components/nostr/linkpreview/imagelink.tsx","./src/components/nostr/linkpreview/plainlink.tsx","./src/components/nostr/linkpreview/videolink.tsx","./src/components/nostr/linkpreview/index.ts","./src/components/nostr/richtext/emoji.tsx","./src/components/nostr/richtext/eventembed.tsx","./src/components/nostr/richtext/gallery.tsx","./src/components/nostr/richtext/hashtag.tsx","./src/components/nostr/richtext/link.tsx","./src/components/nostr/richtext/mention.tsx","./src/components/nostr/richtext/text.tsx","./src/components/nostr/richtext/index.ts","./src/components/nostr/kinds/baseeventrenderer.tsx","./src/components/nostr/kinds/kind0detailrenderer.tsx","./src/components/nostr/kinds/kind0renderer.tsx","./src/components/nostr/kinds/kind1063renderer.tsx","./src/components/nostr/kinds/kind1renderer.tsx","./src/components/nostr/kinds/kind20renderer.tsx","./src/components/nostr/kinds/kind21renderer.tsx","./src/components/nostr/kinds/kind22renderer.tsx","./src/components/nostr/kinds/kind30023detailrenderer.tsx","./src/components/nostr/kinds/kind30023renderer.tsx","./src/components/nostr/kinds/kind3renderer.tsx","./src/components/nostr/kinds/kind6renderer.tsx","./src/components/nostr/kinds/kind7renderer.tsx","./src/components/nostr/kinds/kind9735renderer.tsx","./src/components/nostr/kinds/kind9802detailrenderer.tsx","./src/components/nostr/kinds/kind9802renderer.tsx","./src/components/nostr/kinds/index.tsx","./src/components/ui/avatar.tsx","./src/components/ui/button.tsx","./src/components/ui/dialog.tsx","./src/components/ui/dropdown-menu.tsx","./src/components/ui/hover-card.tsx","./src/components/ui/input.tsx","./src/components/ui/scroll-area.tsx","./src/constants/kinds.ts","./src/constants/nips.ts","./src/core/logic.ts","./src/core/state.ts","./src/hooks/useaccountsync.ts","./src/hooks/usenip.ts","./src/hooks/usenip05.ts","./src/hooks/usenostrevent.ts","./src/hooks/useprofile.ts","./src/hooks/usereqtimeline.ts","./src/hooks/usetimeline.ts","./src/lib/decode-parser.ts","./src/lib/encode-parser.ts","./src/lib/imeta.ts","./src/lib/nip-kinds.ts","./src/lib/nip05.ts","./src/lib/nostr-utils.ts","./src/lib/open-parser.ts","./src/lib/profile-parser.ts","./src/lib/req-parser.ts","./src/lib/utils.ts","./src/services/accounts.ts","./src/services/db.ts","./src/services/event-store.ts","./src/services/loaders.ts","./src/services/relay-pool.ts","./src/types/app.ts","./src/types/man.ts","./src/types/nostr.ts","./src/types/profile.ts"],"version":"5.6.3"}
\ No newline at end of file