diff --git a/vector/src/main/java/im/vector/riotx/features/createdirect/CreateDirectRoomViewModel.kt b/vector/src/main/java/im/vector/riotx/features/createdirect/CreateDirectRoomViewModel.kt
index b93993bc53..b72a7db001 100644
--- a/vector/src/main/java/im/vector/riotx/features/createdirect/CreateDirectRoomViewModel.kt
+++ b/vector/src/main/java/im/vector/riotx/features/createdirect/CreateDirectRoomViewModel.kt
@@ -38,14 +38,6 @@ class CreateDirectRoomViewModel @AssistedInject constructor(@Assisted
         fun create(initialState: CreateDirectRoomViewState): CreateDirectRoomViewModel
     }
 
-    init {
-        setState {
-            copy(
-                    hsAdminHasDisabledE2E = !session.getHomeServerCapabilities().adminE2EByDefault
-            )
-        }
-    }
-
     companion object : MvRxViewModelFactory<CreateDirectRoomViewModel, CreateDirectRoomViewState> {
 
         @JvmStatic
diff --git a/vector/src/main/java/im/vector/riotx/features/createdirect/CreateDirectRoomViewState.kt b/vector/src/main/java/im/vector/riotx/features/createdirect/CreateDirectRoomViewState.kt
index ff2253cd66..8bb8c3ce58 100644
--- a/vector/src/main/java/im/vector/riotx/features/createdirect/CreateDirectRoomViewState.kt
+++ b/vector/src/main/java/im/vector/riotx/features/createdirect/CreateDirectRoomViewState.kt
@@ -21,6 +21,5 @@ import com.airbnb.mvrx.MvRxState
 import com.airbnb.mvrx.Uninitialized
 
 data class CreateDirectRoomViewState(
-    val createAndInviteState: Async<String> = Uninitialized,
-    val hsAdminHasDisabledE2E: Boolean = false
+    val createAndInviteState: Async<String> = Uninitialized
 ) : MvRxState
diff --git a/vector/src/main/java/im/vector/riotx/features/homeserver/HomeServerCapabilitiesViewModel.kt b/vector/src/main/java/im/vector/riotx/features/homeserver/HomeServerCapabilitiesViewModel.kt
new file mode 100644
index 0000000000..43c1eac172
--- /dev/null
+++ b/vector/src/main/java/im/vector/riotx/features/homeserver/HomeServerCapabilitiesViewModel.kt
@@ -0,0 +1,41 @@
+/*
+ * Copyright (c) 2020 New Vector Ltd
+ *
+ * Licensed under the Apache License, Version 2.0 (the "License");
+ * you may not use this file except in compliance with the License.
+ * You may obtain a copy of the License at
+ *
+ *     http://www.apache.org/licenses/LICENSE-2.0
+ *
+ * Unless required by applicable law or agreed to in writing, software
+ * distributed under the License is distributed on an "AS IS" BASIS,
+ * WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+ * See the License for the specific language governing permissions and
+ * limitations under the License.
+ */
+
+package im.vector.riotx.features.homeserver
+
+import com.airbnb.mvrx.MvRxViewModelFactory
+import com.airbnb.mvrx.ViewModelContext
+import im.vector.matrix.android.api.session.homeserver.HomeServerCapabilities
+import im.vector.riotx.core.di.HasScreenInjector
+import im.vector.riotx.core.platform.EmptyAction
+import im.vector.riotx.core.platform.EmptyViewEvents
+import im.vector.riotx.core.platform.VectorViewModel
+
+class HomeServerCapabilitiesViewModel(initialState: HomeServerCapabilitiesViewState)
+    : VectorViewModel<HomeServerCapabilitiesViewState, EmptyAction, EmptyViewEvents>(initialState) {
+
+    companion object : MvRxViewModelFactory<HomeServerCapabilitiesViewModel, HomeServerCapabilitiesViewState> {
+
+        override fun initialState(viewModelContext: ViewModelContext): HomeServerCapabilitiesViewState? {
+            val session = (viewModelContext.activity as HasScreenInjector).injector().activeSessionHolder().getSafeActiveSession()
+            return HomeServerCapabilitiesViewState(
+                    capabilities = session?.getHomeServerCapabilities() ?: HomeServerCapabilities()
+            )
+        }
+    }
+
+    override fun handle(action: EmptyAction) {}
+}
diff --git a/vector/src/main/java/im/vector/riotx/features/homeserver/HomeServerCapabilitiesViewState.kt b/vector/src/main/java/im/vector/riotx/features/homeserver/HomeServerCapabilitiesViewState.kt
new file mode 100644
index 0000000000..2b55569b10
--- /dev/null
+++ b/vector/src/main/java/im/vector/riotx/features/homeserver/HomeServerCapabilitiesViewState.kt
@@ -0,0 +1,24 @@
+/*
+ * Copyright (c) 2020 New Vector Ltd
+ *
+ * Licensed under the Apache License, Version 2.0 (the "License");
+ * you may not use this file except in compliance with the License.
+ * You may obtain a copy of the License at
+ *
+ *     http://www.apache.org/licenses/LICENSE-2.0
+ *
+ * Unless required by applicable law or agreed to in writing, software
+ * distributed under the License is distributed on an "AS IS" BASIS,
+ * WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+ * See the License for the specific language governing permissions and
+ * limitations under the License.
+ */
+
+package im.vector.riotx.features.homeserver
+
+import com.airbnb.mvrx.MvRxState
+import im.vector.matrix.android.api.session.homeserver.HomeServerCapabilities
+
+data class HomeServerCapabilitiesViewState(
+        val capabilities: HomeServerCapabilities = HomeServerCapabilities()
+) : MvRxState
diff --git a/vector/src/main/java/im/vector/riotx/features/userdirectory/KnownUsersFragment.kt b/vector/src/main/java/im/vector/riotx/features/userdirectory/KnownUsersFragment.kt
index 603b6e2b29..e4f08758b2 100644
--- a/vector/src/main/java/im/vector/riotx/features/userdirectory/KnownUsersFragment.kt
+++ b/vector/src/main/java/im/vector/riotx/features/userdirectory/KnownUsersFragment.kt
@@ -25,6 +25,7 @@ import androidx.core.view.forEach
 import androidx.core.view.isVisible
 import com.airbnb.mvrx.activityViewModel
 import com.airbnb.mvrx.args
+import com.airbnb.mvrx.fragmentViewModel
 import com.airbnb.mvrx.withState
 import com.google.android.material.chip.Chip
 import com.jakewharton.rxbinding3.widget.textChanges
@@ -36,8 +37,7 @@ import im.vector.riotx.core.extensions.hideKeyboard
 import im.vector.riotx.core.extensions.setupAsSearch
 import im.vector.riotx.core.platform.VectorBaseFragment
 import im.vector.riotx.core.utils.DimensionConverter
-import im.vector.riotx.features.createdirect.CreateDirectRoomViewModel
-import im.vector.riotx.features.createdirect.CreateDirectRoomViewState
+import im.vector.riotx.features.homeserver.HomeServerCapabilitiesViewModel
 import kotlinx.android.synthetic.main.fragment_known_users.*
 import javax.inject.Inject
 
@@ -54,7 +54,7 @@ class KnownUsersFragment @Inject constructor(
     override fun getMenuRes() = args.menuResId
 
     private val viewModel: UserDirectoryViewModel by activityViewModel()
-    private val createDMViewModel: CreateDirectRoomViewModel by activityViewModel()
+    private val homeServerCapabilitiesViewModel: HomeServerCapabilitiesViewModel by fragmentViewModel()
 
     private lateinit var sharedActionViewModel: UserDirectorySharedActionViewModel
 
@@ -70,8 +70,8 @@ class KnownUsersFragment @Inject constructor(
         setupAddFromPhoneBookView()
         setupCloseView()
 
-        createDMViewModel.selectSubscribe(this, CreateDirectRoomViewState::hsAdminHasDisabledE2E) {
-            knownUsersE2EbyDefaultDisabled.isVisible = it
+        homeServerCapabilitiesViewModel.subscribe {
+            knownUsersE2EbyDefaultDisabled.isVisible = !it.capabilities.adminE2EByDefault
         }
 
         viewModel.selectSubscribe(this, UserDirectoryViewState::pendingInvitees) {