diff --git a/homeassistant/components/sentry/__init__.py b/homeassistant/components/sentry/__init__.py
index 62f7af8b900..eecac0281e6 100644
--- a/homeassistant/components/sentry/__init__.py
+++ b/homeassistant/components/sentry/__init__.py
@@ -75,7 +75,6 @@ async def async_setup_entry(hass: HomeAssistant, entry: ConfigEntry) -> bool:
     tracing = {}
     if entry.options.get(CONF_TRACING):
         tracing = {
-            "traceparent_v2": True,
             "traces_sample_rate": entry.options.get(
                 CONF_TRACING_SAMPLE_RATE, DEFAULT_TRACING_SAMPLE_RATE
             ),
diff --git a/homeassistant/components/sentry/manifest.json b/homeassistant/components/sentry/manifest.json
index 5ed4649b7c4..66894bfb2e3 100644
--- a/homeassistant/components/sentry/manifest.json
+++ b/homeassistant/components/sentry/manifest.json
@@ -3,6 +3,6 @@
   "name": "Sentry",
   "config_flow": true,
   "documentation": "https://www.home-assistant.io/integrations/sentry",
-  "requirements": ["sentry-sdk==0.16.5"],
+  "requirements": ["sentry-sdk==0.17.1"],
   "codeowners": ["@dcramer", "@frenck"]
 }
diff --git a/requirements_all.txt b/requirements_all.txt
index 3c17612b7bf..07ba08104f4 100644
--- a/requirements_all.txt
+++ b/requirements_all.txt
@@ -1959,7 +1959,7 @@ sense-hat==2.2.0
 sense_energy==0.7.2
 
 # homeassistant.components.sentry
-sentry-sdk==0.16.5
+sentry-sdk==0.17.1
 
 # homeassistant.components.sharkiq
 sharkiqpy==0.1.8
diff --git a/requirements_test_all.txt b/requirements_test_all.txt
index 21d610c2aba..4f63650066a 100644
--- a/requirements_test_all.txt
+++ b/requirements_test_all.txt
@@ -908,7 +908,7 @@ samsungtvws[websocket]==1.4.0
 sense_energy==0.7.2
 
 # homeassistant.components.sentry
-sentry-sdk==0.16.5
+sentry-sdk==0.17.1
 
 # homeassistant.components.sharkiq
 sharkiqpy==0.1.8
diff --git a/tests/components/sentry/test_init.py b/tests/components/sentry/test_init.py
index 6c3555092f0..95bda9738b8 100644
--- a/tests/components/sentry/test_init.py
+++ b/tests/components/sentry/test_init.py
@@ -98,11 +98,9 @@ async def test_setup_entry_with_tracing(hass: HomeAssistant) -> None:
         "integrations",
         "release",
         "before_send",
-        "traceparent_v2",
         "traces_sample_rate",
     }
     assert call_args["traces_sample_rate"] == 0.5
-    assert call_args["traceparent_v2"]
 
 
 @pytest.mark.parametrize(