diff --git a/codecov.yml b/codecov.yml
index c80b88db171..b81444f2cfe 100644
--- a/codecov.yml
+++ b/codecov.yml
@@ -1,3 +1,5 @@
+ignore:
+    - "**/formatters.ts"  # ignore folders and all its contents
 coverage:
   status:
     project:
@@ -17,6 +19,7 @@ component_management:
       - type: patch
         target: 80%
 
+
   individual_components:
     - component_id: "web3"
       paths:
@@ -75,4 +78,4 @@ comment:
   behavior: 'default'
   require_changes: false
   require_base: no
-  require_head: no       
\ No newline at end of file
+  require_head: no
diff --git a/packages/web3-core/codecov.yml b/packages/web3-core/codecov.yml
new file mode 100644
index 00000000000..047ef9d3d26
--- /dev/null
+++ b/packages/web3-core/codecov.yml
@@ -0,0 +1,2 @@
+ignore:
+    - "**/formatters.ts"
diff --git a/packages/web3-core/package.json b/packages/web3-core/package.json
index 72ba5ee3cd8..ae796039755 100644
--- a/packages/web3-core/package.json
+++ b/packages/web3-core/package.json
@@ -34,7 +34,7 @@
 		"lint:fix": "eslint --fix --ext .js,.ts .",
 		"format": "prettier --write '**/*'",
 		"test": "jest --config=./test/unit/jest.config.js",
-		"test:coverage:unit": "jest --config=./test/unit/jest.config.js --coverage=true --coverage-reporters=text",
+		"test:coverage:unit": "jest --config=./test/unit/jest.config.js --coverage=true --coverage-reporters=text --codecov-yml-path=./codecov.yml",
 		"test:coverage:integration": "jest --config=./test/integration/jest.config.js --passWithNoTests --coverage=true --coverage-reporters=text",
 		"test:ci": "jest --coverage=true --coverage-reporters=json --verbose",
 		"test:watch": "npm test -- --watch",