diff --git a/flow/e2e/clickhouse/peer_flow_ch_test.go b/flow/e2e/clickhouse/peer_flow_ch_test.go
index 50cfbc426..beaae5cea 100644
--- a/flow/e2e/clickhouse/peer_flow_ch_test.go
+++ b/flow/e2e/clickhouse/peer_flow_ch_test.go
@@ -665,9 +665,9 @@ func (s ClickHouseSuite) Test_Unbounded_Numeric_Without_FF() {
 	s.testNumericFF(false)
 }
 
-const rawBinaryFormatTestcase = "\x00\x010123\x7f\xff"
+const binaryFormatTestcase = "\x00\x010123\x7f\xff"
 
-// PEERDB_BINARY_FORMAT
+// PEERDB_CLICKHOUSE_BINARY_FORMAT
 func (s ClickHouseSuite) testBinaryFormat(format string, expected string) {
 	dstTableName := "binary_format_" + format
 	srcFullName := s.attachSchemaSuffix(dstTableName)
@@ -680,7 +680,7 @@ func (s ClickHouseSuite) testBinaryFormat(format string, expected string) {
 	`, srcFullName))
 	require.NoError(s.t, err)
 
-	_, err = s.Conn().Exec(context.Background(), fmt.Sprintf("INSERT INTO %s(val) VALUES($1)", srcFullName), []byte(rawBinaryFormatTestcase))
+	_, err = s.Conn().Exec(context.Background(), fmt.Sprintf("INSERT INTO %s(val) VALUES($1)", srcFullName), []byte(binaryFormatTestcase))
 	require.NoError(s.t, err)
 
 	connectionGen := e2e.FlowConnectionGenerationConfig{
@@ -690,14 +690,14 @@ func (s ClickHouseSuite) testBinaryFormat(format string, expected string) {
 	}
 	flowConnConfig := connectionGen.GenerateFlowConnectionConfigs(s.t)
 	flowConnConfig.DoInitialSnapshot = true
-	flowConnConfig.Env = map[string]string{"PEERDB_BINARY_FORMAT": format}
+	flowConnConfig.Env = map[string]string{"PEERDB_CLICKHOUSE_BINARY_FORMAT": format}
 	tc := e2e.NewTemporalClient(s.t)
 	env := e2e.ExecutePeerflow(tc, peerflow.CDCFlowWorkflow, flowConnConfig, nil)
 	e2e.SetupCDCFlowStatusQuery(s.t, env, flowConnConfig)
 
 	e2e.EnvWaitForCount(env, s, "waiting for CDC count", dstTableName, "id,val", 1)
 
-	_, err = s.Conn().Exec(context.Background(), fmt.Sprintf("INSERT INTO %s(val) VALUES($1)", srcFullName), []byte(rawBinaryFormatTestcase))
+	_, err = s.Conn().Exec(context.Background(), fmt.Sprintf("INSERT INTO %s(val) VALUES($1)", srcFullName), []byte(binaryFormatTestcase))
 	require.NoError(s.t, err)
 	e2e.EnvWaitForCount(env, s, "waiting for CDC count", dstTableName, "id,val", 2)
 
@@ -714,7 +714,7 @@ func (s ClickHouseSuite) testBinaryFormat(format string, expected string) {
 }
 
 func (s ClickHouseSuite) Test_Binary_Format_Raw() {
-	s.testBinaryFormat("raw", rawBinaryFormatTestcase)
+	s.testBinaryFormat("raw", binaryFormatTestcase)
 }
 
 func (s ClickHouseSuite) Test_Binary_Format_Hex() {
diff --git a/flow/peerdbenv/dynamicconf.go b/flow/peerdbenv/dynamicconf.go
index 9d2036d2a..147afd117 100644
--- a/flow/peerdbenv/dynamicconf.go
+++ b/flow/peerdbenv/dynamicconf.go
@@ -6,6 +6,7 @@ import (
 	"log/slog"
 	"os"
 	"strconv"
+	"strings"
 	"time"
 
 	"github.com/aws/smithy-go/ptr"
@@ -108,8 +109,8 @@ var DynamicSettings = [...]*protos.DynamicSetting{
 		TargetForSetting: protos.DynconfTarget_ALL,
 	},
 	{
-		Name:             "PEERDB_BINARY_FORMAT",
-		Description:      "Binary field encoding; either raw, hex, or base64",
+		Name:             "PEERDB_CLICKHOUSE_BINARY_FORMAT",
+		Description:      "Binary field encoding on clickhouse destination; either raw, hex, or base64",
 		DefaultValue:     "base64",
 		ValueType:        protos.DynconfValueType_STRING,
 		ApplyMode:        protos.DynconfApplyMode_APPLY_MODE_AFTER_RESUME,
@@ -249,7 +250,8 @@ var DynamicIndex = func() map[string]int {
 type BinaryFormat int
 
 const (
-	BinaryFormatRaw = iota
+	BinaryFormatInvalid = iota
+	BinaryFormatRaw
 	BinaryFormatBase64
 	BinaryFormatHex
 )
@@ -429,11 +431,11 @@ func PeerDBNullable(ctx context.Context, env map[string]string) (bool, error) {
 }
 
 func PeerDBBinaryFormat(ctx context.Context, env map[string]string) (BinaryFormat, error) {
-	format, err := dynLookup(ctx, env, "PEERDB_BINARY_FORMAT")
+	format, err := dynLookup(ctx, env, "PEERDB_CLICKHOUSE_BINARY_FORMAT")
 	if err != nil {
 		return 0, err
 	}
-	switch format {
+	switch strings.ToLower(strings.TrimSpace(format)) {
 	case "raw":
 		return BinaryFormatRaw, nil
 	case "hex":