diff --git a/package/libiio/0001-bindings-python-fix-library-loading.patch b/package/libiio/0001-bindings-python-fix-library-loading.patch
index f8715b4c5b..7331e6ca19 100644
--- a/package/libiio/0001-bindings-python-fix-library-loading.patch
+++ b/package/libiio/0001-bindings-python-fix-library-loading.patch
@@ -7,7 +7,7 @@ On Linux the find_library() function requires ld, gcc, objdump
 or ldconfig on the target, which might not be present on a
 buildroot system. [1]
 We do not actually need this function at all, as we know the iio library
-will be referencable in the system under the name "libiio.so".
+will be referencable in the system under the name "libiio.so.1".
 So instead of kicking of this complicated cross-platform/cross-distro
 compatible machinery, we just pass in the name of the library we already
 know.
@@ -19,23 +19,41 @@ distro setups, so we can just hardcode the lib name, but we cannot
 submit that upstream.
 
 Signed-off-by: Marcus Hoffmann <buildroot@bubu1.eu>
+[updated for libiio v1: file moved to bindings/python/iio/__init__.py]
 ---
- bindings/python/iio.py | 2 +-
- 1 file changed, 1 insertion(+), 1 deletion(-)
+ bindings/python/iio/__init__.py | 22 +---------------------
+ 1 file changed, 1 insertion(+), 21 deletions(-)
 
-diff --git a/bindings/python/iio.py b/bindings/python/iio.py
-index b91260cc..bde17694 100644
---- a/bindings/python/iio.py
-+++ b/bindings/python/iio.py
-@@ -224,7 +224,7 @@ else:
-     # Non-windows, possibly Posix system
-     _iiolib = "iio"
+diff --git a/bindings/python/iio/__init__.py b/bindings/python/iio/__init__.py
+--- a/bindings/python/iio/__init__.py
++++ b/bindings/python/iio/__init__.py
+@@ -321,26 +321,7 @@
+ _StreamPtr = _POINTER(_Stream)
+ _AttrPtr = _POINTER(_Attr)
  
--_lib = _cdll(find_library(_iiolib), use_errno=True, use_last_error=True)
-+_lib = _cdll("libiio.so", use_errno=True, use_last_error=True)
+-if "Windows" in _system():
+-    _lib_loc = find_library("libiio1.dll")
+-else:
+-    # Non-windows, possibly Posix system
+-    _lib_loc = find_library("iio")
+-    if _lib_loc is not None:
+-        if _path.islink(_lib_loc):
+-            _lib_loc = _path.realpath(_lib_loc)
+-        filename = _path.basename(_lib_loc)
+-        if ".so." in filename:
+-            version = filename.split(".so.")[1]
+-        elif "/Versions/" in _lib_loc:
+-            version = _lib_loc.split("/Versions/")[1].split("/")[0]
+-        else:
+-            version = None
+-        if version is not None and not version.startswith("1"):
+-            raise OSError(2, f"libiio version 1.x required, found version {version}")
+-
+-if _lib_loc is None:
+-    raise OSError(2, "Could not find libiio C library")
++_lib_loc = "libiio.so.1"
+ _lib = _cdll(_lib_loc, use_errno=True, use_last_error=True)
+ _libc = _cdll(find_library("c"))
  
- _get_backends_count = _lib.iio_get_backends_count
- _get_backends_count.restype = c_uint
 -- 
 2.25.1
-
diff --git a/package/libiio/Config.in b/package/libiio/Config.in
index 9a93253fd8..ce80aa5e95 100644
--- a/package/libiio/Config.in
+++ b/package/libiio/Config.in
@@ -68,6 +68,7 @@ config BR2_PACKAGE_LIBIIO_IIOD
 	default y
 	depends on BR2_TOOLCHAIN_HAS_THREADS
 	select BR2_PACKAGE_LIBIIO_LOCAL_BACKEND
+	select BR2_PACKAGE_ZSTD
 	help
 	  Install the IIO Daemon.
 
diff --git a/package/libiio/libiio.hash b/package/libiio/libiio.hash
index e15ac27198..dc3774225f 100644
--- a/package/libiio/libiio.hash
+++ b/package/libiio/libiio.hash
@@ -1,3 +1,3 @@
 # Locally calculated
-sha256  45eab1a3f98bfc491f3f321ea14393640ce0d0f5c1b92d0caa05d6388014d586  libiio-da72b6193911e8fc242422bea5bef90e23c3577d.tar.gz
+sha256  23f08abf2055060dd719db5d876401ea601fad9e63e99e4bc6d1374710b0ece5  libiio-5b43a23144992972dd52e970c2c1cd718f97ce7a.tar.gz
 sha256  102900208eef27b766380135906d431dba87edaa7ec6aa72e6ebd3dd67f3a97b  COPYING.txt
diff --git a/package/libiio/libiio.mk b/package/libiio/libiio.mk
index 9ec475137e..78d73fe128 100644
--- a/package/libiio/libiio.mk
+++ b/package/libiio/libiio.mk
@@ -4,7 +4,7 @@
 #
 ################################################################################
 
-LIBIIO_VERSION = da72b6193911e8fc242422bea5bef90e23c3577d
+LIBIIO_VERSION = 5b43a23144992972dd52e970c2c1cd718f97ce7a
 LIBIIO_SITE = $(call github,analogdevicesinc,libiio,$(LIBIIO_VERSION))
 LIBIIO_INSTALL_STAGING = YES
 LIBIIO_LICENSE = LGPL-2.1+
@@ -15,8 +15,7 @@ LIBIIO_CONF_OPTS = -DENABLE_IPV6=ON \
 	-DWITH_LOCAL_CONFIG=$(if $(BR2_PACKAGE_LIBIIO_LOCAL_CONFIG),ON,OFF) \
 	-DWITH_NETWORK_BACKEND=$(if $(BR2_PACKAGE_LIBIIO_NETWORK_BACKEND),ON,OFF) \
 	-DINSTALL_UDEV_RULE=$(if $(BR2_PACKAGE_HAS_UDEV),ON,OFF) \
-	-DWITH_TESTS=$(if $(BR2_PACKAGE_LIBIIO_TESTS),ON,OFF) \
-	-DWITH_DOC=OFF
+	-DWITH_TESTS=$(if $(BR2_PACKAGE_LIBIIO_TESTS),ON,OFF)
 
 ifeq ($(BR2_TOOLCHAIN_HAS_THREADS),y)
 LIBIIO_CONF_OPTS += -DNO_THREADS=OFF
@@ -65,10 +64,10 @@ LIBIIO_CONF_OPTS += -DWITH_IIOD_USBD=OFF
 endif
 
 ifeq ($(BR2_PACKAGE_LIBAIO),y)
-LIBIIO_DEPENDENCIES += libaio
-LIBIIO_CONF_OPTS += -DWITH_AIO=ON
+LIBIIO_DEPENDENCIES += libaio zstd
+LIBIIO_CONF_OPTS += -DWITH_AIO=ON -DWITH_ZSTD=ON
 else
-LIBIIO_CONF_OPTS += -DWITH_AIO=OFF
+LIBIIO_CONF_OPTS += -DWITH_AIO=OFF -DWITH_ZSTD=OFF
 endif
 
 ifeq ($(BR2_PACKAGE_AVAHI_LIBAVAHI_CLIENT),y)