diff --git a/electrum b/electrum
index f47d2c68..a1764425 100755
--- a/electrum
+++ b/electrum
@@ -278,7 +278,8 @@ def run_offline_command(config, config_options):
     # arguments passed to function
     args = [config.get(x) for x in cmd.params]
     # decode json arguments
-    args = list(map(json_decode, args))
+    if cmdname not in ('setconfig',):
+        args = list(map(json_decode, args))
     # options
     kwargs = {}
     for x in cmd.options:
diff --git a/lib/commands.py b/lib/commands.py
index cbb38d0b..1987d467 100644
--- a/lib/commands.py
+++ b/lib/commands.py
@@ -34,7 +34,7 @@ from functools import wraps
 from decimal import Decimal
 
 from .import util
-from .util import bfh, bh2u, format_satoshis
+from .util import bfh, bh2u, format_satoshis, json_decode
 from .import bitcoin
 from .bitcoin import is_address,  hash_160, COIN, TYPE_ADDRESS
 from .i18n import _
@@ -151,10 +151,8 @@ class Commands:
     @command('')
     def setconfig(self, key, value):
         """Set a configuration variable. 'value' may be a string or a Python expression."""
-        try:
-            value = ast.literal_eval(value)
-        except:
-            pass
+        if key not in ('rpcuser', 'rpcpassword'):
+            value = json_decode(value)
         self.config.set_key(key, value)
         return True