diff --git a/core/commands/object.go b/core/commands/object.go
index e522a1eb29e01c7cd3d51943e42c65f67b215566..75e6c52978e585d7b53e18bfbd1c98f8487bcd7d 100644
--- a/core/commands/object.go
+++ b/core/commands/object.go
@@ -582,36 +582,75 @@ func addLinkCaller(req cmds.Request, root *dag.Node) (key.Key, error) {
 		return "", err
 	}
 
-	name := req.Arguments()[2]
+	path := req.Arguments()[2]
 	childk := key.B58KeyDecode(req.Arguments()[3])
 
-	newkey, err := addLink(req.Context().Context, nd.DAG, root, name, childk)
+	parts := strings.Split(path, "/")
+
+	nnode, err := insertNodeAtPath(req.Context().Context, nd.DAG, root, parts, childk)
 	if err != nil {
 		return "", err
 	}
-
-	return newkey, nil
+	return nnode.Key()
 }
 
-func addLink(ctx context.Context, ds dag.DAGService, root *dag.Node, childname string, childk key.Key) (key.Key, error) {
+func addLink(ctx context.Context, ds dag.DAGService, root *dag.Node, childname string, childk key.Key) (*dag.Node, error) {
 	ctx, cancel := context.WithTimeout(ctx, time.Second*30)
 	childnd, err := ds.Get(ctx, childk)
 	if err != nil {
 		cancel()
-		return "", err
+		return nil, err
 	}
 	cancel()
 
 	err = root.AddNodeLinkClean(childname, childnd)
 	if err != nil {
-		return "", err
+		return nil, err
 	}
 
-	newkey, err := ds.Add(root)
+	_, err = ds.Add(root)
 	if err != nil {
-		return "", err
+		return nil, err
 	}
-	return newkey, nil
+	return root, nil
+}
+
+func insertNodeAtPath(ctx context.Context, ds dag.DAGService, root *dag.Node, path []string, toinsert key.Key) (*dag.Node, error) {
+	if len(path) == 1 {
+		return addLink(ctx, ds, root, path[0], toinsert)
+	}
+
+	child, err := root.GetNodeLink(path[0])
+	if err != nil {
+		return nil, err
+	}
+
+	nd, err := child.GetNode(ctx, ds)
+	if err != nil {
+		return nil, err
+	}
+
+	ndprime, err := insertNodeAtPath(ctx, ds, nd, path[1:], toinsert)
+	if err != nil {
+		return nil, err
+	}
+
+	err = root.RemoveNodeLink(path[0])
+	if err != nil {
+		return nil, err
+	}
+
+	err = root.AddNodeLinkClean(path[0], ndprime)
+	if err != nil {
+		return nil, err
+	}
+
+	_, err = ds.Add(root)
+	if err != nil {
+		return nil, err
+	}
+
+	return root, nil
 }
 
 func nodeFromTemplate(template string) (*dag.Node, error) {
diff --git a/test/sharness/t0051-object.sh b/test/sharness/t0051-object.sh
index 4ab822dbc200449fc444a8d2749cb9fa17ef0491..c41dd621f39de986d118714046bcabd27687da9d 100755
--- a/test/sharness/t0051-object.sh
+++ b/test/sharness/t0051-object.sh
@@ -100,6 +100,20 @@ test_object_cmd() {
 		OUTPUT=$(ipfs object patch $EMPTY_DIR add-link foo $EMPTY_DIR)
 	'
 
+	test_expect_success "multilayer ipfs patch works" '
+		echo "hello world" > hwfile &&
+		FILE=$(ipfs add -q hwfile) &&
+		EMPTY=$(ipfs object new unixfs-dir) &&
+		ONE=$(ipfs object patch $EMPTY add-link b $EMPTY) &&
+		TWO=$(ipfs object patch $EMPTY add-link a $ONE) &&
+		ipfs object patch $TWO add-link a/b/c $FILE > multi_patch
+	'
+
+	test_expect_success "output looks good" '
+		ipfs cat $(cat multi_patch)/a/b/c > hwfile_out &&
+		test_cmp hwfile hwfile_out
+	'
+
 	test_expect_success "should have created dir within a dir" '
 		ipfs ls $OUTPUT > patched_output
 	'