diff --git a/packages/frontend/@n8n/design-system/src/components/N8nNavigationDropdown/NavigationDropdown.vue b/packages/frontend/@n8n/design-system/src/components/N8nNavigationDropdown/NavigationDropdown.vue
index b3ad9d1daf..6ad44fc7bb 100644
--- a/packages/frontend/@n8n/design-system/src/components/N8nNavigationDropdown/NavigationDropdown.vue
+++ b/packages/frontend/@n8n/design-system/src/components/N8nNavigationDropdown/NavigationDropdown.vue
@@ -5,13 +5,14 @@ import type { RouteLocationRaw } from 'vue-router';
 
 import ConditionalRouterLink from '../ConditionalRouterLink';
 import N8nIcon from '../N8nIcon';
-import { type IconName } from '../N8nIcon/icons';
+import type { IconName } from '../N8nIcon/icons';
+import N8nText from '../N8nText';
 
 type BaseItem = {
 	id: string;
 	title: string;
 	disabled?: boolean;
-	icon?: IconName;
+	icon?: IconName | { type: 'icon'; value: IconName } | { type: 'emoji'; value: string };
 	route?: RouteLocationRaw;
 };
 
@@ -99,7 +100,21 @@ defineExpose({
 									:disabled="subitem.disabled"
 									@click="emit('itemClick', $event)"
 								>
-									<N8nIcon v-if="subitem.icon" :icon="subitem.icon" :class="$style.submenu__icon" />
+									<!-- <N8nIcon v-if="subitem.icon" :icon="subitem.icon" :class="$style.submenu__icon" /> -->
+									<template v-if="subitem.icon">
+										<N8nIcon
+											v-if="typeof subitem.icon === 'string' || subitem.icon.type === 'icon'"
+											:class="$style.submenu__icon"
+											:icon="typeof subitem.icon === 'object' ? subitem.icon.value : subitem.icon"
+										/>
+										<N8nText
+											v-else-if="subitem.icon.type === 'emoji'"
+											:class="$style.submenu__icon"
+										>
+											{{ subitem.icon.value }}
+										</N8nText>
+									</template>
+
 									{{ subitem.title }}
 									<slot :name="`item.append.${item.id}`" v-bind="{ item }" />
 								</ElMenuItem>
diff --git a/packages/frontend/editor-ui/src/components/layouts/ResourcesListLayout.test.ts b/packages/frontend/editor-ui/src/components/layouts/ResourcesListLayout.test.ts
index 43d4e2e362..39b7a07cd2 100644
--- a/packages/frontend/editor-ui/src/components/layouts/ResourcesListLayout.test.ts
+++ b/packages/frontend/editor-ui/src/components/layouts/ResourcesListLayout.test.ts
@@ -4,8 +4,8 @@ import { createComponentRenderer } from '@/__tests__/render';
 import ResourcesListLayout from '@/components/layouts/ResourcesListLayout.vue';
 import type { Resource } from '@/Interface';
 import type router from 'vue-router';
-import type { ProjectSharingData } from 'n8n-workflow';
 import { waitAllPromises } from '@/__tests__/utils';
+import type { ProjectSharingData } from '@/types/projects.types';
 
 const TEST_HOME_PROJECT: ProjectSharingData = vi.hoisted(() => ({
 	id: '1',
diff --git a/packages/frontend/editor-ui/src/composables/useGlobalEntityCreation.ts b/packages/frontend/editor-ui/src/composables/useGlobalEntityCreation.ts
index 071d1220d4..46180ea830 100644
--- a/packages/frontend/editor-ui/src/composables/useGlobalEntityCreation.ts
+++ b/packages/frontend/editor-ui/src/composables/useGlobalEntityCreation.ts
@@ -12,13 +12,27 @@ import { getResourcePermissions } from '@n8n/permissions';
 import { usePageRedirectionHelper } from '@/composables/usePageRedirectionHelper';
 import type { Scope } from '@n8n/permissions';
 import type { RouteLocationRaw } from 'vue-router';
-import { type IconName } from '@n8n/design-system/components/N8nIcon/icons';
+import { updatedIconSet, type IconName } from '@n8n/design-system/components/N8nIcon/icons';
+
+type ProjectIcon = IconName | { type: 'icon'; value: IconName } | { type: 'emoji'; value: string };
+
+const isIconName = (icon: unknown): icon is IconName =>
+	typeof icon === 'string' && Object.keys(updatedIconSet).includes(icon);
+
+const isProjectIcon = (icon: unknown): icon is ProjectIcon =>
+	isIconName(icon) ||
+	(typeof icon === 'object' &&
+		icon !== null &&
+		'value' in icon &&
+		typeof icon.value === 'string' &&
+		'type' in icon &&
+		(icon.type === 'emoji' || (icon.type === 'icon' && isIconName(icon.value))));
 
 type BaseItem = {
 	id: string;
 	title: string;
 	disabled?: boolean;
-	icon?: IconName;
+	icon?: ProjectIcon;
 	route?: RouteLocationRaw;
 };
 
@@ -30,6 +44,7 @@ export const useGlobalEntityCreation = () => {
 	const CREATE_PROJECT_ID = 'create-project';
 	const WORKFLOWS_MENU_ID = 'workflow';
 	const CREDENTIALS_MENU_ID = 'credential';
+	const DEFAULT_ICON: IconName = 'layers';
 
 	const settingsStore = useSettingsStore();
 	const cloudPlanStore = useCloudPlanStore();
@@ -117,7 +132,7 @@ export const useGlobalEntityCreation = () => {
 						...displayProjects.value.map((project) => ({
 							id: `workflow-${project.id}`,
 							title: project.name as string,
-							icon: 'layers' as IconName,
+							icon: isProjectIcon(project.icon) ? project.icon : DEFAULT_ICON,
 							disabled: disabledWorkflow(project.scopes),
 							route: {
 								name: VIEWS.NEW_WORKFLOW,
@@ -141,7 +156,7 @@ export const useGlobalEntityCreation = () => {
 						{
 							id: 'credential-personal',
 							title: i18n.baseText('projects.menu.personal'),
-							icon: 'user' as IconName,
+							icon: 'user',
 							disabled: disabledCredential(projectsStore.personalProject?.scopes),
 							route: {
 								name: VIEWS.PROJECTS_CREDENTIALS,
@@ -151,7 +166,7 @@ export const useGlobalEntityCreation = () => {
 						...displayProjects.value.map((project) => ({
 							id: `credential-${project.id}`,
 							title: project.name as string,
-							icon: 'layers' as IconName,
+							icon: isProjectIcon(project.icon) ? project.icon : DEFAULT_ICON,
 							disabled: disabledCredential(project.scopes),
 							route: {
 								name: VIEWS.PROJECTS_CREDENTIALS,
@@ -166,7 +181,7 @@ export const useGlobalEntityCreation = () => {
 				title: 'Project',
 				disabled: !projectsStore.canCreateProjects || !projectsStore.hasPermissionToCreateProjects,
 			},
-		];
+		] satisfies Item[];
 	});
 
 	const createProject = async () => {
@@ -175,7 +190,7 @@ export const useGlobalEntityCreation = () => {
 		try {
 			const newProject = await projectsStore.createProject({
 				name: i18n.baseText('projects.settings.newProjectName'),
-				icon: { type: 'icon', value: 'layers' },
+				icon: { type: 'icon', value: DEFAULT_ICON },
 			});
 			await router.push({ name: VIEWS.PROJECT_SETTINGS, params: { projectId: newProject.id } });
 			toast.showMessage({