diff --git a/lbrynet/lbrynet_daemon/LBRYDaemon.py b/lbrynet/lbrynet_daemon/LBRYDaemon.py
index fceacec15..bf5cfd317 100644
--- a/lbrynet/lbrynet_daemon/LBRYDaemon.py
+++ b/lbrynet/lbrynet_daemon/LBRYDaemon.py
@@ -1,6 +1,7 @@
 import binascii
 from datetime import datetime
 from decimal import Decimal
+import distutils.version
 import locale
 import logging.handlers
 import mimetypes
@@ -2314,4 +2315,4 @@ def get_version_from_tag(tag):
 
 def compare_versions(a, b):
     """Returns True if version a is more recent than version b"""
-    return a > b
+    return distutils.version.StrictVersion(a) > distutils.version.StrictVersion(b)
diff --git a/tests/lbrynet/lbrynet_daemon/test_LBRYDaemon.py b/tests/lbrynet/lbrynet_daemon/test_LBRYDaemon.py
index 104e06c01..a0d1c346f 100644
--- a/tests/lbrynet/lbrynet_daemon/test_LBRYDaemon.py
+++ b/tests/lbrynet/lbrynet_daemon/test_LBRYDaemon.py
@@ -36,3 +36,6 @@ class MiscTests(unittest.TestCase):
     def test_error_is_thrown_when_version_cant_be_parsed(self):
         with self.assertRaises(Exception):
             LBRYDaemon.get_version_from_tag('garbage')
+
+    def test_compare_versions_isnot_lexographic(self):
+        self.assertTrue(LBRYDaemon.compare_versions('0.3.10', '0.3.6'))