diff --git a/test/functional/test_framework/netutil.py b/test/functional/test_framework/netutil.py
index 08d41fe97fd..f6acf926fa8 100644
--- a/test/functional/test_framework/netutil.py
+++ b/test/functional/test_framework/netutil.py
@@ -167,3 +167,10 @@ def test_unix_socket():
         return False
     else:
         return True
+
+def format_addr_port(addr, port):
+    '''Return either "addr:port" or "[addr]:port" based on whether addr looks like an IPv6 address.'''
+    if ":" in addr:
+        return f"[{addr}]:{port}"
+    else:
+        return f"{addr}:{port}"
diff --git a/test/functional/test_framework/socks5.py b/test/functional/test_framework/socks5.py
index 0ca06a73961..3387c8a1fef 100644
--- a/test/functional/test_framework/socks5.py
+++ b/test/functional/test_framework/socks5.py
@@ -4,11 +4,16 @@
 # file COPYING or http://www.opensource.org/licenses/mit-license.php.
 """Dummy Socks5 server for testing."""
 
+import select
 import socket
 import threading
 import queue
 import logging
 
+from .netutil import (
+    format_addr_port
+)
+
 logger = logging.getLogger("TestFramework.socks5")
 
 # Protocol constants
@@ -32,6 +37,42 @@ def recvall(s, n):
         n -= len(d)
     return rv
 
+def sendall(s, data):
+    """Send all data to a socket, or fail."""
+    sent = 0
+    while sent < len(data):
+        _, wlist, _ = select.select([], [s], [])
+        if len(wlist) > 0:
+            n = s.send(data[sent:])
+            if n == 0:
+                raise IOError('send() on socket returned 0')
+            sent += n
+
+def forward_sockets(a, b):
+    """Forward data received on socket a to socket b and vice versa, until EOF is received on one of the sockets."""
+    # Mark as non-blocking so that we do not end up in a deadlock-like situation
+    # where we block and wait on data from `a` while there is data ready to be
+    # received on `b` and forwarded to `a`. And at the same time the application
+    # at `a` is not sending anything because it waits for the data from `b` to
+    # respond.
+    a.setblocking(False)
+    b.setblocking(False)
+    sockets = [a, b]
+    done = False
+    while not done:
+        rlist, _, xlist = select.select(sockets, [], sockets)
+        if len(xlist) > 0:
+            raise IOError('Exceptional condition on socket')
+        for s in rlist:
+            data = s.recv(4096)
+            if data is None or len(data) == 0:
+                done = True
+                break
+            if s == a:
+                sendall(b, data)
+            else:
+                sendall(a, data)
+
 # Implementation classes
 class Socks5Configuration():
     """Proxy configuration."""
@@ -41,6 +82,19 @@ class Socks5Configuration():
         self.unauth = False  # Support unauthenticated
         self.auth = False  # Support authentication
         self.keep_alive = False  # Do not automatically close connections
+        # This function is called whenever a new connection arrives to the proxy
+        # and it decides where the connection is redirected to. It is passed:
+        # - the address the client requested to connect to
+        # - the port the client requested to connect to
+        # It is supposed to return an object like:
+        # {
+        #     "actual_to_addr": "127.0.0.1"
+        #     "actual_to_port": 28276
+        # }
+        # or None.
+        # If it returns an object then the connection is redirected to actual_to_addr:actual_to_port.
+        # If it returns None, or destinations_factory itself is None then the connection is closed.
+        self.destinations_factory = None
 
 class Socks5Command():
     """Information about an incoming socks5 command."""
@@ -117,6 +171,22 @@ class Socks5Connection():
             cmdin = Socks5Command(cmd, atyp, addr, port, username, password)
             self.serv.queue.put(cmdin)
             logger.debug('Proxy: %s', cmdin)
+
+            requested_to_addr = addr.decode("utf-8")
+            requested_to = format_addr_port(requested_to_addr, port)
+
+            if self.serv.conf.destinations_factory is not None:
+                dest = self.serv.conf.destinations_factory(requested_to_addr, port)
+                if dest is not None:
+                    logger.debug(f"Serving connection to {requested_to}, will redirect it to "
+                                 f"{dest['actual_to_addr']}:{dest['actual_to_port']} instead")
+                    with socket.create_connection((dest["actual_to_addr"], dest["actual_to_port"])) as conn_to:
+                        forward_sockets(self.conn, conn_to)
+                else:
+                    logger.debug(f"Closing connection to {requested_to}: the destinations factory returned None")
+            else:
+                logger.debug(f"Closing connection to {requested_to}: no destinations factory")
+
             # Fall through to disconnect
         except Exception as e:
             logger.exception("socks5 request handling failed.")