diff --git a/.github/workflows/release_nightly.yml b/.github/workflows/release_nightly.yml
index 38552646c3..0e0fd18e25 100644
--- a/.github/workflows/release_nightly.yml
+++ b/.github/workflows/release_nightly.yml
@@ -81,11 +81,12 @@ jobs:
             - name: Limit target directory size
               run: script/clear-target-dir-if-larger-than 100
 
-            - name: Set release channel to nightly
+            - name: Set release channel to nightly, add nightly prefix to the final version
               run: |
                   set -eu
                   version=$(git rev-parse --short HEAD)
                   echo "Publishing version: ${version} on release channel nightly"
+                  sed -i '' "s/version = \"\(.*\)\"/version = \"\1-nightly\"/" crates/zed2/Cargo.toml
                   echo "nightly" > crates/zed/RELEASE_CHANNEL
 
             - name: Generate license file
diff --git a/Cargo.lock b/Cargo.lock
index 4b5af36a19..6935b2810a 100644
--- a/Cargo.lock
+++ b/Cargo.lock
@@ -11889,7 +11889,7 @@ dependencies = [
 
 [[package]]
 name = "zed2"
-version = "0.109.0"
+version = "2.0.0"
 dependencies = [
  "activity_indicator2",
  "ai2",
diff --git a/crates/zed2/Cargo.toml b/crates/zed2/Cargo.toml
index 8c0c932f28..0fcbcc40fc 100644
--- a/crates/zed2/Cargo.toml
+++ b/crates/zed2/Cargo.toml
@@ -2,7 +2,7 @@
 description = "The fast, collaborative code editor."
 edition = "2021"
 name = "zed2"
-version = "0.109.0"
+version = "2.0.0"
 publish = false
 
 [lib]