diff --git a/libs/libssh2/Makefile b/libs/libssh2/Makefile
index 99ae7afa1..e996dfadf 100644
--- a/libs/libssh2/Makefile
+++ b/libs/libssh2/Makefile
@@ -1,5 +1,5 @@
 #
-# Copyright (C) 2015-2016 OpenWrt.org
+# Copyright (C) 2015-2018 OpenWrt.org
 #
 # This is free software, licensed under the GNU General Public License v2.
 # See /LICENSE for more information.
@@ -8,12 +8,14 @@
 include $(TOPDIR)/rules.mk
 
 PKG_NAME:=libssh2
-PKG_VERSION:=1.7.0
+PKG_VERSION:=1.8.0
 PKG_RELEASE:=1
 
 PKG_SOURCE:=$(PKG_NAME)-$(PKG_VERSION).tar.gz
-PKG_SOURCE_URL:=http://www.libssh2.org/download
-PKG_HASH:=e4561fd43a50539a8c2ceb37841691baf03ecb7daf043766da1b112e4280d584
+PKG_SOURCE_URL:=https://www.libssh2.org/download
+PKG_HASH:=39f34e2f6835f4b992cafe8625073a88e5a28ba78f83e8099610a7b3af4676d4
+
+PKG_FIXUP:=autoreconf
 
 PKG_INSTALL:=1
 
@@ -26,8 +28,8 @@ define Package/libssh2
   SECTION:=libs
   CATEGORY:=Libraries
   TITLE:=SSH2 library
-  URL:=http://www.libssh2.org/
-  DEPENDS:=+libopenssl +zlib
+  URL:=https://www.libssh2.org/
+  DEPENDS:=+libmbedtls +zlib
   MAINTAINER:=Jiri Slachta <jiri@slachta.eu>
 endef
 
@@ -39,7 +41,10 @@ TARGET_CFLAGS += $(FPIC)
 
 CONFIGURE_ARGS += \
 	--disable-examples-build \
-	--with-libssl-prefix=$(STAGING_DIR)/usr
+	--disable-silent-rules \
+	--with-mbedtls \
+	--with-libmbedtls-prefix=$(STAGING_DIR)/usr \
+	--with-libz-prefix=$(STAGING_DIR)/usr
 
 define Build/InstallDev
 	$(INSTALL_DIR) $(1)/usr/include
diff --git a/libs/libssh2/patches/01-fix-acinclude-m4.patch b/libs/libssh2/patches/01-fix-acinclude-m4.patch
new file mode 100644
index 000000000..d4e11827d
--- /dev/null
+++ b/libs/libssh2/patches/01-fix-acinclude-m4.patch
@@ -0,0 +1,28 @@
+--- a/acinclude.m4
++++ b/acinclude.m4
+@@ -386,9 +386,9 @@ AC_DEFUN([LIBSSH2_CHECKFOR_MBEDTLS], [
+ 
+   old_LDFLAGS=$LDFLAGS
+   old_CFLAGS=$CFLAGS
+-  if test -n "$use_mbedtls" && test "$use_mbedtls" != "no"; then
+-    LDFLAGS="$LDFLAGS -L$use_mbedtls/lib"
+-    CFLAGS="$CFLAGS -I$use_mbedtls/include"
++  if test -n "$with_libmbedtls_prefix" && test "$use_mbedtls" != "no"; then
++    LDFLAGS="$LDFLAGS -L$with_libmbedtls_prefix/lib"
++    CFLAGS="$CFLAGS -I$with_libmbedtls_prefix/include"
+   fi
+ 
+   AC_LIB_HAVE_LINKFLAGS([mbedtls], [], [
+@@ -412,9 +412,9 @@ AC_DEFUN([LIBSSH2_CHECKFOR_GCRYPT], [
+ 
+   old_LDFLAGS=$LDFLAGS
+   old_CFLAGS=$CFLAGS
+-  if test -n "$use_libgcrypt" && test "$use_libgcrypt" != "no"; then
+-    LDFLAGS="$LDFLAGS -L$use_libgcrypt/lib"
+-    CFLAGS="$CFLAGS -I$use_libgcrypt/include"
++  if test -n "$with_libgcrypt_prefix" && test "$use_libgcrypt" != "no"; then
++    LDFLAGS="$LDFLAGS -L$with_libgcrypt_prefix/lib"
++    CFLAGS="$CFLAGS -I$with_libgcrypt_prefix/include"
+   fi
+   AC_LIB_HAVE_LINKFLAGS([gcrypt], [], [
+     #include <gcrypt.h>