diff --git a/src/Lean/Meta/Tactic/Simp/BuiltinSimprocs/Int.lean b/src/Lean/Meta/Tactic/Simp/BuiltinSimprocs/Int.lean
index 376f7459e7..496ed6d370 100644
--- a/src/Lean/Meta/Tactic/Simp/BuiltinSimprocs/Int.lean
+++ b/src/Lean/Meta/Tactic/Simp/BuiltinSimprocs/Int.lean
@@ -63,7 +63,6 @@ builtin_simproc [simp, seval] reduceNeg ((- _ : Int)) := fun e => do
   let arg := e.appArg!
   if arg.isAppOfArity ``OfNat.ofNat 3 then
     -- We return .done to ensure `Neg.neg` is not unfolded even when `ground := true`.
-    unless (← getContext).unfoldGround do return .continue
     return .done { expr := e }
   else
     let some v ← fromExpr? arg | return .continue
diff --git a/src/Lean/Meta/Tactic/Simp/BuiltinSimprocs/Nat.lean b/src/Lean/Meta/Tactic/Simp/BuiltinSimprocs/Nat.lean
index 5abb6efec8..5f3d0ba472 100644
--- a/src/Lean/Meta/Tactic/Simp/BuiltinSimprocs/Nat.lean
+++ b/src/Lean/Meta/Tactic/Simp/BuiltinSimprocs/Nat.lean
@@ -56,7 +56,6 @@ builtin_simproc [simp, seval] reduceGE  (( _ : Nat) ≥ _)  := reduceBinPred ``G
 
 /-- Return `.done` for Nat values. We don't want to unfold in the symbolic evaluator. -/
 builtin_simproc [seval] isValue ((OfNat.ofNat _ : Nat)) := fun e => do
-  unless (← getContext).unfoldGround do return .continue
   unless e.isAppOfArity ``OfNat.ofNat 3 do return .continue
   return .done { expr := e }
 
diff --git a/src/Lean/Meta/Tactic/Simp/BuiltinSimprocs/UInt.lean b/src/Lean/Meta/Tactic/Simp/BuiltinSimprocs/UInt.lean
index 8413696899..56ce1841a7 100644
--- a/src/Lean/Meta/Tactic/Simp/BuiltinSimprocs/UInt.lean
+++ b/src/Lean/Meta/Tactic/Simp/BuiltinSimprocs/UInt.lean
@@ -60,7 +60,6 @@ builtin_simproc [simp, seval] $(mkIdent `reduceGE):ident  (( _ : $typeName) ≥
 
 /-- Return `.done` for UInt values. We don't want to unfold in the symbolic evaluator. -/
 builtin_simproc [seval] isValue ((OfNat.ofNat _ : $typeName)) := fun e => do
-  unless (← getContext).unfoldGround do return .continue
   unless (e.isAppOfArity ``OfNat.ofNat 3) do return .continue
   return .done { expr := e }
 
diff --git a/src/Lean/Meta/Tactic/Simp/Main.lean b/src/Lean/Meta/Tactic/Simp/Main.lean
index c664390bf3..799712251b 100644
--- a/src/Lean/Meta/Tactic/Simp/Main.lean
+++ b/src/Lean/Meta/Tactic/Simp/Main.lean
@@ -553,10 +553,7 @@ def cacheResult (e : Expr) (cfg : Config) (r : Result) : SimpM Result := do
   if cfg.memoize then
     let ctx ← readThe Simp.Context
     let dischargeDepth := ctx.dischargeDepth
-    if ctx.unfoldGround then
-      modify fun s => { s with cacheGround := s.cacheGround.insert e { r with dischargeDepth } }
-    else
-      modify fun s => { s with cache := s.cache.insert e { r with dischargeDepth } }
+    modify fun s => { s with cache := s.cache.insert e { r with dischargeDepth } }
   return r
 
 partial def simpLoop (e : Expr) : SimpM Result := do
@@ -595,18 +592,12 @@ def simpImpl (e : Expr) : SimpM Result := withIncRecDepth do
   checkSystem "simp"
   if (← isProof e) then
     return { expr := e }
-  let ctx ← getContext
-  if ctx.unfoldGround then
-    if (← isType e) then
-    unless (← isProp e) do
-      -- Recall that we set `unfoldGround := false` if `e` is a type that is not a proposition.
-      return (← withTheReader Context (fun ctx => { ctx with unfoldGround := false }) go)
   go
 where
   go : SimpM Result := do
     let cfg ← getConfig
     if cfg.memoize then
-      let cache ← if (← getContext).unfoldGround then pure ((← get).cacheGround) else pure ((← get).cache)
+      let cache := (← get).cache
       if let some result := cache.find? e then
         /-
           If the result was cached at a dischargeDepth > the current one, it may not be valid.
diff --git a/src/Lean/Meta/Tactic/Simp/Rewrite.lean b/src/Lean/Meta/Tactic/Simp/Rewrite.lean
index 0ba5ca1ed4..15cfd5573b 100644
--- a/src/Lean/Meta/Tactic/Simp/Rewrite.lean
+++ b/src/Lean/Meta/Tactic/Simp/Rewrite.lean
@@ -290,8 +290,6 @@ def dischargeGround (e : Expr) : SimpM (Option Expr) := do
 Try to unfold ground term in the ground/symbolic evaluator.
 -/
 def sevalGround : Simproc := fun e => do
-  -- Ground term unfolding is disabled.
-  unless (← getContext).unfoldGround do return .continue
   -- `e` is not a ground term.
   unless !e.hasExprMVar && !e.hasFVar do return .continue
   -- Check whether `e` is a constant application
@@ -344,7 +342,7 @@ def mkSEvalMethods : CoreM Methods := do
 def mkSEvalContext : CoreM Context := do
   let s ← getSEvalTheorems
   let c ← Meta.getSimpCongrTheorems
-  return { simpTheorems := #[s], congrTheorems := c, unfoldGround := true }
+  return { simpTheorems := #[s], congrTheorems := c, config := { ground := true } }
 
 /--
 Invoke ground/symbolic evaluator from `simp`.
@@ -354,7 +352,6 @@ def seval (e : Expr) : SimpM Result := do
   let m ← mkSEvalMethods
   let ctx ← mkSEvalContext
   let cacheSaved := (← get).cache
-  let cacheGroundSaved := (← get).cacheGround
   let usedTheoremsSaved := (← get).usedTheorems
   try
     withReader (fun _ => m.toMethodsRef) do
@@ -362,14 +359,14 @@ def seval (e : Expr) : SimpM Result := do
     modify fun s => { s with cache := {}, usedTheorems := {} }
     simp e
   finally
-    modify fun s => { s with cache := cacheSaved, cacheGround := cacheGroundSaved, usedTheorems := usedTheoremsSaved }
+    modify fun s => { s with cache := cacheSaved, usedTheorems := usedTheoremsSaved }
 
 /--
 Try to unfold ground term in the ground/symbolic evaluator.
 -/
 def simpGround : Simproc := fun e => do
   -- Ground term unfolding is disabled.
-  unless (← getContext).unfoldGround do return .continue
+  unless (← getConfig).ground do return .continue
   -- `e` is not a ground term.
   unless !e.hasExprMVar && !e.hasFVar do return .continue
   -- Check whether `e` is a constant application
diff --git a/src/Lean/Meta/Tactic/Simp/Types.lean b/src/Lean/Meta/Tactic/Simp/Types.lean
index 97bcd06436..18a8474d8a 100644
--- a/src/Lean/Meta/Tactic/Simp/Types.lean
+++ b/src/Lean/Meta/Tactic/Simp/Types.lean
@@ -35,20 +35,6 @@ abbrev CongrCache := ExprMap (Option CongrTheorem)
 
 structure Context where
   config           : Config := {}
-  /--
-  We initialize this field using `config.ground`.
-  Here is how we use this flag.
-  - When `unfoldGround := false` for a term `t`, it will remain false for every `t`-subterm.
-  - When term is a proof, this flag has no effect since `simp` does not try to simplify proofs.
-  - When `unfoldGround := true` and visited term is type but not a proposition, we set `unfoldGround := false`.
-  - When `unfoldGround := true` and term is not ground, we set `unfoldGround := false` when visiting instance implicit
-    arguments. Reason: We don't want to unfold instance implicit arguments of non-ground applications.
-  - When `unfoldGround := true` and term is ground, we try to unfold it during post-visit.
-
-  TODO: try to remove this flag. It would be great if the `simpGround` method did not have to rely
-  on this flag. Possible solution: use `parent?` to decide whether to unfold or not.
-  -/
-  unfoldGround      : Bool := config.ground
   /-- `maxDischargeDepth` from `config` as an `UInt32`. -/
   maxDischargeDepth : UInt32 := UInt32.ofNatTruncate config.maxDischargeDepth
   simpTheorems      : SimpTheoremsArray := {}
@@ -67,8 +53,6 @@ abbrev UsedSimps := HashMap Origin Nat
 
 structure State where
   cache        : Cache := {}
-  /-- Cache for `unfoldGround := true`. If we manage to remove the `unfoldGround`, then we can also remove this field. -/
-  cacheGround  : Cache := {}
   congrCache   : CongrCache := {}
   usedTheorems : UsedSimps := {}
   numSteps     : Nat := 0
@@ -87,10 +71,6 @@ opaque simp (e : Expr) : SimpM Result
 @[extern "lean_dsimp"]
 opaque dsimp (e : Expr) : SimpM Expr
 
-@[always_inline]
-def withoutUnfoldGround (x : SimpM α) : SimpM α :=
-  withTheReader Context (fun ctx => { ctx with unfoldGround := false }) x
-
 /--
 Result type for a simplification procedure. We have `pre` and `post` simplication procedures.
 -/
@@ -225,12 +205,11 @@ def getSimpCongrTheorems : SimpM SimpCongrTheorems :=
 
 @[inline] def withSimpTheorems (s : SimpTheoremsArray) (x : SimpM α) : SimpM α := do
   let cacheSaved := (← get).cache
-  let cacheGroundSaved := (← get).cacheGround
   modify fun s => { s with cache := {} }
   try
     withTheReader Context (fun ctx => { ctx with simpTheorems := s }) x
   finally
-    modify fun s => { s with cache := cacheSaved, cacheGround := cacheGroundSaved }
+    modify fun s => { s with cache := cacheSaved }
 
 def recordSimpTheorem (thmId : Origin) : SimpM Unit :=
   modify fun s => if s.usedTheorems.contains thmId then s else
@@ -302,15 +281,12 @@ where
 /--
 Given a simplified function result `r` and arguments `args`, simplify arguments using `simp` and `dsimp`.
 The resulting proof is built using `congr` and `congrFun` theorems.
-
-Recall that, if the term is not ground and `Context.unfoldGround := true`, then we set `Context.unfoldGround := false`
-for instance implicit arguments.
 -/
 def congrArgs (r : Result) (args : Array Expr) : SimpM Result := do
   if args.isEmpty then
     return r
   else
-    let ctx ← getContext
+    let cfg ← getConfig
     let infos := (← getFunInfoNArgs r.expr args.size).paramInfo
     let mut r := r
     let mut i := 0
@@ -318,17 +294,19 @@ def congrArgs (r : Result) (args : Array Expr) : SimpM Result := do
       if h : i < infos.size then
         trace[Debug.Meta.Tactic.simp] "app [{i}] {infos.size} {arg} hasFwdDeps: {infos[i].hasFwdDeps}"
         let info := infos[i]
-        let go : SimpM Result := do
-          if !info.hasFwdDeps then
-            mkCongr r (← simp arg)
-          else if (← whnfD (← inferType r.expr)).isArrow then
-            mkCongr r (← simp arg)
-          else
-            mkCongrFun r (← dsimp arg)
-        if ctx.unfoldGround && info.isInstImplicit then
-          r ← withoutUnfoldGround go
+        if cfg.ground && info.isInstImplicit then
+          -- We don't visit instance implicit arguments when we are reducing ground terms.
+          -- Motivation: many instance implicit arguments are ground, and it does not make sense
+          -- to reduce them if the parent term is not ground.
+          -- TODO: consider using it as the default behavior.
+          -- We have considered it at https://github.com/leanprover/lean4/pull/3151
+          r ← mkCongrFun r arg
+        else if !info.hasFwdDeps then
+          r ← mkCongr r (← simp arg)
+        else if (← whnfD (← inferType r.expr)).isArrow then
+          r ← mkCongr r (← simp arg)
         else
-          r ← go
+          r ← mkCongrFun r (← dsimp arg)
       else if (← whnfD (← inferType r.expr)).isArrow then
         r ← mkCongr r (← simp arg)
       else
@@ -358,17 +336,6 @@ def mkCongrSimp? (f : Expr) : SimpM (Option CongrTheorem) := do
     modify fun s => { s with congrCache := s.congrCache.insert f thm? }
     return thm?
 
-/--
-Set `unfoldGround := false` when executing `x` IF `infos[i].isInstImplicit`.
--/
-@[always_inline]
-def withoutUnfoldGroundIfInstImplicit (infos : Array ParamInfo) (i : Nat) (x : SimpM α) : SimpM α := do
-  if (← getContext).unfoldGround then
-    if h : i < infos.size then
-      if infos[i].isInstImplicit then
-        return (← withoutUnfoldGround x)
-  x
-
 /--
 Try to use automatically generated congruence theorems. See `mkCongrSimp?`.
 -/
@@ -379,6 +346,7 @@ def tryAutoCongrTheorem? (e : Expr) : SimpM (Option Result) := do
   if cgrThm.argKinds.size != e.getAppNumArgs then return none
   let args := e.getAppArgs
   let infos := (← getFunInfoNArgs f args.size).paramInfo
+  let config ← getConfig
   let mut simplified := false
   let mut hasProof   := false
   let mut hasCast    := false
@@ -386,12 +354,19 @@ def tryAutoCongrTheorem? (e : Expr) : SimpM (Option Result) := do
   let mut argResults := #[]
   let mut i          := 0 -- index at args
   for arg in args, kind in cgrThm.argKinds do
+    if h : config.ground ∧ i < infos.size then
+      if (infos[i]'h.2).isInstImplicit then
+        -- Do not visit instance implict arguments when `ground := true`
+        -- See comment at `congrArgs`
+        argsNew := argsNew.push arg
+        i := i + 1
+        continue
     match kind with
-    | CongrArgKind.fixed => argsNew := argsNew.push (← withoutUnfoldGroundIfInstImplicit infos i (dsimp arg))
+    | CongrArgKind.fixed => argsNew := argsNew.push (← dsimp arg)
     | CongrArgKind.cast  => hasCast := true; argsNew := argsNew.push arg
     | CongrArgKind.subsingletonInst => argsNew := argsNew.push arg
     | CongrArgKind.eq =>
-      let argResult ← withoutUnfoldGroundIfInstImplicit infos i (simp arg)
+      let argResult ← simp arg
       argResults := argResults.push argResult
       argsNew    := argsNew.push argResult.expr
       if argResult.proof?.isSome then hasProof := true