diff --git a/package-lock.json b/package-lock.json
index 9b3d863..092c79f 100644
--- a/package-lock.json
+++ b/package-lock.json
@@ -137,6 +137,7 @@
 			"resolved": "https://registry.npmjs.org/@babel/core/-/core-7.22.10.tgz",
 			"integrity": "sha512-fTmqbbUBAwCcre6zPzNngvsI0aNrPZe77AeqvDxWM9Nm+04RrJ3CAmGHA9f7lJQY6ZMhRztNemy4uslDxTX4Qw==",
 			"dev": true,
+			"peer": true,
 			"dependencies": {
 				"@ampproject/remapping": "^2.2.0",
 				"@babel/code-frame": "^7.22.10",
@@ -4083,6 +4084,7 @@
 			"resolved": "https://registry.npmjs.org/acorn/-/acorn-7.4.1.tgz",
 			"integrity": "sha512-nQyp0o1/mNdbTO1PO6kHkwSrmgZ0MT/jCCpNiwbUjGoRN4dlBhqJtoQuCnEOKzgTVwg0ZWiCoQy6SxMebQVh8A==",
 			"dev": true,
+			"peer": true,
 			"bin": {
 				"acorn": "bin/acorn"
 			},
@@ -4719,6 +4721,7 @@
 					"url": "https://github.com/sponsors/ai"
 				}
 			],
+			"peer": true,
 			"dependencies": {
 				"caniuse-lite": "^1.0.30001517",
 				"electron-to-chromium": "^1.4.477",
@@ -5606,7 +5609,8 @@
 			"resolved": "https://registry.npmjs.org/devtools-protocol/-/devtools-protocol-0.0.1475386.tgz",
 			"integrity": "sha512-RQ809ykTfJ+dgj9bftdeL2vRVxASAuGU+I9LEx9Ij5TXU5HrgAQVmzi72VA+mkzscE12uzlRv5/tWWv9R9J1SA==",
 			"dev": true,
-			"license": "BSD-3-Clause"
+			"license": "BSD-3-Clause",
+			"peer": true
 		},
 		"node_modules/diff": {
 			"version": "5.1.0",
@@ -6062,6 +6066,7 @@
 			"resolved": "https://registry.npmjs.org/eslint/-/eslint-7.32.0.tgz",
 			"integrity": "sha512-VHZ8gX+EDfz+97jGcgyGCyRia/dPOd6Xh9yPv8Bl1+SoaIwD+a/vlrOmGRUyOYu7MwUhc7CxqeaDZU13S4+EpA==",
 			"dev": true,
+			"peer": true,
 			"dependencies": {
 				"@babel/code-frame": "7.12.11",
 				"@eslint/eslintrc": "^0.4.3",
@@ -9522,6 +9527,7 @@
 					"url": "https://github.com/sponsors/ai"
 				}
 			],
+			"peer": true,
 			"dependencies": {
 				"nanoid": "^3.3.6",
 				"picocolors": "^1.0.0",
@@ -10595,6 +10601,7 @@
 			"resolved": "https://registry.npmjs.org/rollup/-/rollup-2.79.1.tgz",
 			"integrity": "sha512-uKxbd0IhMZOhjAiD5oAFp7BqvkA4Dv47qpOCtaNvng4HBwdbWtdOh8f5nZNuk2rp51PMGk3bzfWu5oayNEuYnw==",
 			"dev": true,
+			"peer": true,
 			"bin": {
 				"rollup": "dist/bin/rollup"
 			},
@@ -11915,6 +11922,7 @@
 			"integrity": "sha512-CWBzXQrc/qOkhidw1OzBTQuYRbfyxDXJMVJ1XNwUHGROVmuaeiEm3OslpZ1RV96d7SKKjZKrSJu3+t/xlw3R9A==",
 			"dev": true,
 			"license": "Apache-2.0",
+			"peer": true,
 			"bin": {
 				"tsc": "bin/tsc",
 				"tsserver": "bin/tsserver"
diff --git a/src/index.js b/src/index.js
index 1ae5828..c38ef48 100644
--- a/src/index.js
+++ b/src/index.js
@@ -1,4 +1,4 @@
-import { h, cloneElement, render, hydrate, Fragment } from 'preact';
+import { h, cloneElement, render, hydrate } from 'preact';
 
 /**
  * @typedef {import('./internal.d.ts').PreactCustomElement} PreactCustomElement
@@ -177,8 +177,7 @@ function Slot(props, context) {
 			}
 		}
 	};
-	const { useFragment, ...rest } = props;
-	return h(useFragment ? Fragment : 'slot', { ...rest, ref });
+	return h('slot', { ...props, ref });
 }
 
 function toVdom(element, nodeName, options) {
@@ -210,9 +209,8 @@ function toVdom(element, nodeName, options) {
 	const shadow = !!(options && options.shadow);
 
 	// Only wrap the topmost node with a slot
-	const wrappedChildren = nodeName
-		? h(Slot, { useFragment: !shadow }, children)
-		: children;
+	const wrappedChildren =
+		nodeName && shadow ? h(Slot, null, children) : children;
 
 	if (!shadow && nodeName) {
 		element.innerHTML = '';
diff --git a/test/index.test.jsx b/test/index.test.jsx
index 734ab6c..fe2a78b 100644
--- a/test/index.test.jsx
+++ b/test/index.test.jsx
@@ -285,6 +285,46 @@ describe('web components', () => {
 		assert.equal(getShadowHTML(), '<p>Active theme: sunny</p>');
 	});
 
+	it.only('passes context over light DOM custom element boundaries', async () => {
+		const Theme = createContext('light');
+
+		function DisplayTheme() {
+			const theme = useContext(Theme);
+			return <p>Active theme: {theme}</p>;
+		}
+
+		function Parent({ children, theme = 'dark' }) {
+			return (
+				<Theme.Provider value={theme}>
+					<div class="children">{children}</div>
+				</Theme.Provider>
+			);
+		}
+
+		registerElement(Parent, 'x-light-dom-parent', ['theme']);
+		registerElement(DisplayTheme, 'x-light-dom-child', []);
+
+		const el = document.createElement('x-light-dom-parent');
+
+		const noSlot = document.createElement('x-light-dom-child');
+		el.appendChild(noSlot);
+
+		root.appendChild(el);
+		assert.equal(
+			root.innerHTML,
+			'<x-light-dom-parent><div class="children"><x-light-dom-child><p>Active theme: dark</p></x-light-dom-child></div></x-light-dom-parent>'
+		);
+
+		// Trigger context update
+		act(() => {
+			el.setAttribute('theme', 'sunny');
+		});
+		assert.equal(
+			root.innerHTML,
+			'<x-light-dom-parent><div class="children"><x-light-dom-child><p>Active theme: sunny</p></x-light-dom-child></div></x-light-dom-parent>'
+		);
+	});
+
 	it('renders element in shadow dom open mode', async () => {
 		function ShadowDomOpen() {
 			return <div className="shadow-child">Shadow DOM Open</div>;