diff --git a/src/backend/common.rs b/src/backend/common.rs
index 807c4284..183ba7c5 100644
--- a/src/backend/common.rs
+++ b/src/backend/common.rs
@@ -97,7 +97,7 @@ where
         self.overlays.values_mut()
     }
 
-    pub fn show_hide(&mut self) {
+    pub fn show_hide(&mut self, app: &mut AppState) {
         let any_shown = self
             .overlays
             .values()
@@ -106,6 +106,9 @@ where
         self.overlays.values_mut().for_each(|o| {
             if o.state.show_hide {
                 o.state.want_visible = !any_shown;
+                if o.state.want_visible && app.session.recenter_on_show {
+                    o.state.reset(app, false);
+                }
             }
         })
     }
diff --git a/src/backend/input.rs b/src/backend/input.rs
index 8e4ed524..1d3bf5d0 100644
--- a/src/backend/input.rs
+++ b/src/backend/input.rs
@@ -421,7 +421,6 @@ impl Pointer {
                     grab_data.offset.z -= self.now.scroll * 0.05;
                 }
                 _ => {
-                    log::warn!("scale: {}", self.now.scroll);
                     overlay.state.transform.matrix3 = overlay
                         .state
                         .transform
@@ -433,7 +432,9 @@ impl Pointer {
             overlay.state.realign(hmd);
             overlay.state.dirty = true;
         } else {
-            overlay.state.spawn_point = overlay.state.transform.translation.into();
+            overlay.state.spawn_point = hmd
+                .inverse()
+                .transform_point3a(overlay.state.transform.translation);
             self.interaction.grabbed = None;
             log::info!("Hand {}: dropped {}", self.idx, overlay.state.name);
         }
diff --git a/src/backend/openvr/mod.rs b/src/backend/openvr/mod.rs
index 5160b031..d777d9a8 100644
--- a/src/backend/openvr/mod.rs
+++ b/src/backend/openvr/mod.rs
@@ -153,7 +153,7 @@ pub fn openvr_run(running: Arc<AtomicBool>) -> Result<(), BackendError> {
             .iter()
             .any(|p| p.now.show_hide && !p.before.show_hide)
         {
-            overlays.show_hide();
+            overlays.show_hide(&mut state);
         }
 
         overlays
diff --git a/src/backend/openxr/mod.rs b/src/backend/openxr/mod.rs
index 491e041a..fff0a753 100644
--- a/src/backend/openxr/mod.rs
+++ b/src/backend/openxr/mod.rs
@@ -200,7 +200,7 @@ pub fn openxr_run(running: Arc<AtomicBool>) -> Result<(), BackendError> {
             .any(|p| p.now.show_hide && !p.before.show_hide)
         {
             if show_hide_counter.click() {
-                overlays.show_hide();
+                overlays.show_hide(&mut app_state);
             }
         }
 
diff --git a/src/backend/overlay.rs b/src/backend/overlay.rs
index cea449e7..d0e691f5 100644
--- a/src/backend/overlay.rs
+++ b/src/backend/overlay.rs
@@ -103,15 +103,20 @@ impl OverlayState {
         }
     }
 
-    pub fn reset(&mut self, app: &mut AppState) {
+    pub fn reset(&mut self, app: &mut AppState, reset_scale: bool) {
         let translation = app.input_state.hmd.transform_point3a(self.spawn_point);
+        let scale = if reset_scale {
+            self.spawn_scale
+        } else {
+            self.transform.x_axis.length()
+        };
         self.transform = Affine3A::from_scale_rotation_translation(
-            Vec3::ONE * self.spawn_scale,
+            Vec3::ONE * scale,
             Quat::IDENTITY,
             translation.into(),
         );
-
         self.realign(&app.input_state.hmd);
+        self.dirty = true;
     }
 
     pub fn realign(&mut self, hmd: &Affine3A) {
@@ -160,7 +165,7 @@ where
     T: Default,
 {
     pub fn init(&mut self, app: &mut AppState) {
-        self.state.reset(app);
+        self.state.reset(app, true);
         self.backend.init(app);
     }
     pub fn render(&mut self, app: &mut AppState) {
diff --git a/src/overlays/watch.rs b/src/overlays/watch.rs
index 505b5c24..20594f1e 100644
--- a/src/overlays/watch.rs
+++ b/src/overlays/watch.rs
@@ -99,16 +99,19 @@ where
             {
                 app.tasks.enqueue(TaskType::Overlay(
                     OverlaySelector::Name("kbd".into()),
-                    Box::new(|_app, o| {
+                    Box::new(|app, o| {
                         o.show_hide = !o.show_hide;
                         o.want_visible = o.show_hide;
+                        if app.session.recenter_on_show {
+                            o.reset(app, false);
+                        }
                     }),
                 ));
             } else {
                 app.tasks.enqueue(TaskType::Overlay(
                     OverlaySelector::Name("kbd".into()),
                     Box::new(|app, o| {
-                        o.reset(app);
+                        o.reset(app, true);
                     }),
                 ));
             }
@@ -146,16 +149,19 @@ where
                 {
                     app.tasks.enqueue(TaskType::Overlay(
                         OverlaySelector::Id(scr_idx),
-                        Box::new(|_app, o| {
+                        Box::new(|app, o| {
                             o.show_hide = !o.show_hide;
                             o.want_visible = o.show_hide;
+                            if app.session.recenter_on_show {
+                                o.reset(app, false);
+                            }
                         }),
                     ));
                 } else {
                     app.tasks.enqueue(TaskType::Overlay(
                         OverlaySelector::Id(scr_idx),
                         Box::new(|app, o| {
-                            o.reset(app);
+                            o.reset(app, true);
                         }),
                     ));
                 }
diff --git a/src/res/config.yaml b/src/res/config.yaml
index 523a5f47..1b3634f9 100644
--- a/src/res/config.yaml
+++ b/src/res/config.yaml
@@ -3,6 +3,8 @@
 # Default: 300
 click_freeze_time_ms: 300
 
+recenter_on_show: true
+
 # Default: true
 keyboard_sound_enabled: true
 
diff --git a/src/state.rs b/src/state.rs
index 493f9044..856b5b5d 100644
--- a/src/state.rs
+++ b/src/state.rs
@@ -77,6 +77,7 @@ pub struct AppSession {
     pub config: GeneralConfig,
 
     pub show_screens: Vec<String>,
+    pub recenter_on_show: bool,
 
     pub watch_hand: usize,
     pub watch_pos: Vec3,
@@ -102,6 +103,7 @@ impl AppSession {
             config_root_path,
             config,
             show_screens: vec!["DP-3".to_string()],
+            recenter_on_show: true,
             capture_method: "auto".to_string(),
             primary_hand: 1,
             watch_hand: 0,