diff --git a/services/blockchain-indexer/shared/indexer/transactionProcessor/collection/destroy.js b/services/blockchain-indexer/shared/indexer/transactionProcessor/collection/destroy.js
new file mode 100644
index 000000000..e398fb407
--- /dev/null
+++ b/services/blockchain-indexer/shared/indexer/transactionProcessor/collection/destroy.js
@@ -0,0 +1,39 @@
+const {
+	Logger,
+	MySQL: { getTableInstance },
+} = require('lisk-service-framework');
+
+const config = require('../../../../config');
+
+const logger = Logger();
+
+const MYSQL_ENDPOINT = config.endpoints.mysql;
+const collectionsTableSchema = require('../../../database/schema/collections');
+
+const getCollectionsTable = () => getTableInstance(
+	collectionsTableSchema.tableName,
+	collectionsTableSchema,
+	MYSQL_ENDPOINT,
+);
+
+// Command specific constants
+const COMMAND_NAME = 'destroy';
+
+// eslint-disable-next-line no-unused-vars
+const applyTransaction = async (blockHeader, tx, events, dbTrx) => {
+	const collectionsTable = await getCollectionsTable();
+	const { collectionID } = tx.params;
+
+	logger.trace(`Deleting collection with ID ${collectionID}.`);
+	await collectionsTable.delete({ collectionID }, dbTrx);
+	logger.debug(`Deleted collection with ID ${collectionID}.`);
+};
+
+// eslint-disable-next-line no-unused-vars
+const revertTransaction = async (blockHeader, tx, events, dbTrx) => {};
+
+module.exports = {
+	COMMAND_NAME,
+	applyTransaction,
+	revertTransaction,
+};