diff --git a/services/identity/src/database/one_time_keys.rs b/services/identity/src/database/one_time_keys.rs
--- a/services/identity/src/database/one_time_keys.rs
+++ b/services/identity/src/database/one_time_keys.rs
@@ -68,17 +68,16 @@
 
     // TODO: Introduce `transact_write_helper` similar to `batch_write_helper`
     // in `comm-lib` to handle transactions with retries
-    let mut attempt = 0;
+    let retry_config = ExponentialBackoffConfig {
+      max_attempts: retry::MAX_ATTEMPTS as u32,
+      ..Default::default()
+    };
 
     // TODO: Introduce nanny task that handles calling `spawn_refresh_keys_task`
     let mut requested_more_keys = false;
 
+    let mut exponential_backoff = retry_config.new_counter();
     loop {
-      attempt += 1;
-      if attempt > retry::MAX_ATTEMPTS {
-        return Err(Error::MaxRetriesExceeded);
-      }
-
       let otk_count =
         self.get_otk_count(user_id, device_id, account_type).await?;
       if otk_count < ONE_TIME_KEY_MINIMUM_THRESHOLD && can_request_more_keys {
@@ -149,6 +148,7 @@
           ]);
           if is_transaction_retryable(&dynamo_db_error, &retryable_codes) {
             info!("Encountered transaction conflict while retrieving one-time key - retrying");
+            exponential_backoff.sleep_and_retry().await?;
           } else {
             error!(
               errorType = error_types::OTK_DB_LOG,
diff --git a/shared/comm-lib/src/database.rs b/shared/comm-lib/src/database.rs
--- a/shared/comm-lib/src/database.rs
+++ b/shared/comm-lib/src/database.rs
@@ -484,7 +484,7 @@
   }
 
   impl ExponentialBackoffConfig {
-    fn new_counter(&self) -> ExponentialBackoffHelper {
+    pub fn new_counter(&self) -> ExponentialBackoffHelper {
       ExponentialBackoffHelper::new(self)
     }
     fn backoff_enabled(&self) -> bool {
@@ -691,7 +691,7 @@
   }
 
   /// internal helper struct
-  struct ExponentialBackoffHelper<'cfg> {
+  pub struct ExponentialBackoffHelper<'cfg> {
     config: &'cfg ExponentialBackoffConfig,
     attempt: u32,
   }
@@ -702,12 +702,12 @@
     }
 
     /// reset counter after successfull operation
-    fn reset(&mut self) {
+    pub fn reset(&mut self) {
       self.attempt = 0;
     }
 
     /// increase counter and sleep in case of failure
-    async fn sleep_and_retry(&mut self) -> Result<(), super::Error> {
+    pub async fn sleep_and_retry(&mut self) -> Result<(), super::Error> {
       let jitter_factor = 1f32.min(0f32.max(self.config.jitter_factor));
       let random_multiplier =
         1.0 + rand::thread_rng().gen_range(-jitter_factor..=jitter_factor);