diff --git a/.gitignore b/.gitignore
index 707ded550..5f3c9db7f 100644
--- a/.gitignore
+++ b/.gitignore
@@ -1,3 +1,4 @@
+.DS_Store
 *.swp
 *.swo
 vendor
diff --git a/Gopkg.lock b/Gopkg.lock
index 46cb95893..267acf32b 100644
--- a/Gopkg.lock
+++ b/Gopkg.lock
@@ -458,6 +458,6 @@
 [solve-meta]
   analyzer-name = "dep"
   analyzer-version = 1
-  inputs-digest = "0eb39694057c8ab8c9ecbaeb25bc43cbf1d2422976a09a67392a62dcef149a7b"
+  inputs-digest = "cce90fda84a63ae5b41b40f0edc357eec4020d17fdd61585960ad537418749ea"
   solver-name = "gps-cdcl"
   solver-version = 1
diff --git a/client/rpc/validators.go b/client/rpc/validators.go
index 32c7680ec..15c3230e3 100644
--- a/client/rpc/validators.go
+++ b/client/rpc/validators.go
@@ -24,7 +24,7 @@ func validatorCommand() *cobra.Command {
 	return cmd
 }
 
-func getValidators(height *int64) ([]byte, error) {
+func GetValidators(height *int64) ([]byte, error) {
 	// get the node
 	node, err := client.GetNode()
 	if err != nil {
@@ -59,7 +59,7 @@ func printValidators(cmd *cobra.Command, args []string) error {
 		}
 	}
 
-	output, err := getValidators(height)
+	output, err := GetValidators(height)
 	if err != nil {
 		return err
 	}
@@ -84,7 +84,7 @@ func ValidatorsetRequestHandler(w http.ResponseWriter, r *http.Request) {
 		w.Write([]byte("ERROR: Requested block height is bigger then the chain length."))
 		return
 	}
-	output, err := getValidators(&height)
+	output, err := GetValidators(&height)
 	if err != nil {
 		w.WriteHeader(500)
 		w.Write([]byte(err.Error()))
@@ -100,7 +100,7 @@ func LatestValidatorsetRequestHandler(w http.ResponseWriter, r *http.Request) {
 		w.Write([]byte(err.Error()))
 		return
 	}
-	output, err := getValidators(&height)
+	output, err := GetValidators(&height)
 	if err != nil {
 		w.WriteHeader(500)
 		w.Write([]byte(err.Error()))
diff --git a/examples/gaia/README.md b/examples/gaia/README.md
new file mode 100644
index 000000000..485af236f
--- /dev/null
+++ b/examples/gaia/README.md
@@ -0,0 +1,3 @@
+Gaiad is the abci application, which can be run stand-alone, or in-process with tendermint.
+
+Gaiacli is a client application, which connects to tendermint rpc, and sends transactions and queries the state. It uses light-client proofs to guarantee the results even if it doesn't have 100% trust in the node it connects to.
diff --git a/examples/gaia/gaiacli/client.go b/examples/gaia/gaiacli/client.go
new file mode 100644
index 000000000..682a571e6
--- /dev/null
+++ b/examples/gaia/gaiacli/client.go
@@ -0,0 +1,131 @@
+package main
+
+import "github.com/spf13/cobra"
+
+const (
+	// these are needed for every init
+	flagChainID = "chain-id"
+	flagNode    = "node"
+
+	// one of the following should be provided to verify the connection
+	flagGenesis = "genesis"
+	flagCommit  = "commit"
+	flagValHash = "validator-set"
+
+	flagSelect = "select"
+	flagTags   = "tag"
+	flagAny    = "any"
+
+	flagBind      = "bind"
+	flagCORS      = "cors"
+	flagTrustNode = "trust-node"
+
+	// this is for signing
+	flagName = "name"
+)
+
+var (
+	statusCmd = &cobra.Command{
+		Use:   "status",
+		Short: "Query remote node for status",
+		RunE:  todoNotImplemented,
+	}
+)
+
+// AddClientCommands returns a sub-tree of all basic client commands
+//
+// Call AddGetCommand and AddPostCommand to add custom txs and queries
+func AddClientCommands(cmd *cobra.Command) {
+	cmd.AddCommand(
+		initClientCommand(),
+		statusCmd,
+		blockCommand(),
+		validatorCommand(),
+		lineBreak,
+		txSearchCommand(),
+		txCommand(),
+		lineBreak,
+	)
+}
+
+// GetCommands adds common flags to query commands
+func GetCommands(cmds ...*cobra.Command) []*cobra.Command {
+	for _, c := range cmds {
+		c.Flags().Bool(flagTrustNode, false, "Don't verify proofs for responses")
+	}
+	return cmds
+}
+
+// PostCommands adds common flags for commands to post tx
+func PostCommands(cmds ...*cobra.Command) []*cobra.Command {
+	for _, c := range cmds {
+		c.Flags().String(flagName, "", "Name of private key with which to sign")
+		c.Flags().String(flagPassword, "", "Password to use the named private key")
+	}
+	return cmds
+}
+
+func initClientCommand() *cobra.Command {
+	cmd := &cobra.Command{
+		Use:   "init",
+		Short: "Initialize light client",
+		RunE:  todoNotImplemented,
+	}
+	cmd.Flags().StringP(flagChainID, "c", "", "ID of chain we connect to")
+	cmd.Flags().StringP(flagNode, "n", "tcp://localhost:46657", "Node to connect to")
+	cmd.Flags().String(flagGenesis, "", "Genesis file to verify header validity")
+	cmd.Flags().String(flagCommit, "", "File with trusted and signed header")
+	cmd.Flags().String(flagValHash, "", "Hash of trusted validator set (hex-encoded)")
+	return cmd
+}
+
+func blockCommand() *cobra.Command {
+	cmd := &cobra.Command{
+		Use:   "block <height>",
+		Short: "Get verified data for a the block at given height",
+		RunE:  todoNotImplemented,
+	}
+	cmd.Flags().StringSlice(flagSelect, []string{"header", "tx"}, "Fields to return (header|txs|results)")
+	return cmd
+}
+
+func validatorCommand() *cobra.Command {
+	cmd := &cobra.Command{
+		Use:   "validatorset <height>",
+		Short: "Get the full validator set at given height",
+		RunE:  todoNotImplemented,
+	}
+	return cmd
+}
+
+func serveCommand() *cobra.Command {
+	cmd := &cobra.Command{
+		Use:   "serve",
+		Short: "Start LCD (light-client daemon), a local REST server",
+		RunE:  todoNotImplemented,
+	}
+	// TODO: handle unix sockets also?
+	cmd.Flags().StringP(flagBind, "b", "localhost:1317", "Interface and port that server binds to")
+	cmd.Flags().String(flagCORS, "", "Set to domains that can make CORS requests (* for all)")
+	return cmd
+}
+
+func txSearchCommand() *cobra.Command {
+	cmd := &cobra.Command{
+		Use:   "txs",
+		Short: "Search for all transactions that match the given tags",
+		RunE:  todoNotImplemented,
+	}
+	cmd.Flags().StringSlice(flagTags, nil, "Tags that must match (may provide multiple)")
+	cmd.Flags().Bool(flagAny, false, "Return transactions that match ANY tag, rather than ALL")
+	return cmd
+}
+
+func txCommand() *cobra.Command {
+	cmd := &cobra.Command{
+		Use:   "tx <hash>",
+		Short: "Matches this txhash over all committed blocks",
+		RunE:  todoNotImplemented,
+	}
+	return cmd
+}
diff --git a/examples/gaia/gaiacli/key.go b/examples/gaia/gaiacli/key.go
new file mode 100644
index 000000000..b3ffa323a
--- /dev/null
+++ b/examples/gaia/gaiacli/key.go
@@ -0,0 +1,77 @@
+package main
+
+import "github.com/spf13/cobra"
+
+const (
+	flagPassword    = "password"
+	flagNewPassword = "new-password"
+	flagType        = "type"
+	flagSeed        = "seed"
+	flagDryRun      = "dry-run"
+)
+
+var (
+	listKeysCmd = &cobra.Command{
+		Use:   "list",
+		Short: "List all locally availably keys",
+		RunE:  todoNotImplemented,
+	}
+
+	showKeysCmd = &cobra.Command{
+		Use:   "show <name>",
+		Short: "Show key info for the given name",
+		RunE:  todoNotImplemented,
+	}
+)
+
+// KeyCommands registers a sub-tree of commands to interact with
+// local private key storage.
+func KeyCommands() *cobra.Command {
+	cmd := &cobra.Command{
+		Use:   "keys",
+		Short: "Add or view local private keys",
+	}
+	cmd.AddCommand(
+		addKeyCommand(),
+		listKeysCmd,
+		showKeysCmd,
+		lineBreak,
+		deleteKeyCommand(),
+		updateKeyCommand(),
+	)
+	return cmd
+}
+
+func addKeyCommand() *cobra.Command {
+	cmd := &cobra.Command{
+		Use:   "add <name>",
+		Short: "Create a new key, or import from seed",
+		RunE:  todoNotImplemented,
+	}
+	cmd.Flags().StringP(flagPassword, "p", "", "Password to encrypt private key")
+	cmd.Flags().StringP(flagType, "t", "ed25519", "Type of private key (ed25519|secp256k1|ledger)")
+	cmd.Flags().StringP(flagSeed, "s", "", "Provide seed phrase to recover existing key instead of creating")
+	cmd.Flags().Bool(flagDryRun, false, "Perform action, but don't add key to local keystore")
+	return cmd
+}
+
+func updateKeyCommand() *cobra.Command {
+	cmd := &cobra.Command{
+		Use:   "update <name>",
+		Short: "Change the password used to protect private key",
+		RunE:  todoNotImplemented,
+	}
+	cmd.Flags().StringP(flagPassword, "p", "", "Current password to decrypt key")
+	cmd.Flags().String(flagNewPassword, "", "New password to use to protect key")
+	return cmd
+}
+
+func deleteKeyCommand() *cobra.Command {
+	cmd := &cobra.Command{
+		Use:   "delete <name>",
+		Short: "Delete the given key",
+		RunE:  todoNotImplemented,
+	}
+	cmd.Flags().StringP(flagPassword, "p", "", "Password of existing key to delete")
+	return cmd
+}
diff --git a/examples/gaia/gaiacli/main.go b/examples/gaia/gaiacli/main.go
new file mode 100644
index 000000000..dce125acb
--- /dev/null
+++ b/examples/gaia/gaiacli/main.go
@@ -0,0 +1,77 @@
+package main
+
+import (
+	"errors"
+	"os"
+
+	"github.com/spf13/cobra"
+
+	"github.com/tendermint/tmlibs/cli"
+
+	"github.com/cosmos/cosmos-sdk/version"
+)
+
+const (
+	flagTo     = "to"
+	flagAmount = "amount"
+	flagFee    = "fee"
+)
+
+// gaiacliCmd is the entry point for this binary
+var (
+	gaiacliCmd = &cobra.Command{
+		Use:   "gaiacli",
+		Short: "Gaia light-client",
+	}
+
+	lineBreak = &cobra.Command{Run: func(*cobra.Command, []string) {}}
+
+	getAccountCmd = &cobra.Command{
+		Use:   "account <address>",
+		Short: "Query account balance",
+		RunE:  todoNotImplemented,
+	}
+)
+
+func todoNotImplemented(_ *cobra.Command, _ []string) error {
+	return errors.New("TODO: Command not yet implemented")
+}
+
+func postSendCommand() *cobra.Command {
+	cmd := &cobra.Command{
+		Use:   "send",
+		Short: "Create and sign a send tx",
+		RunE:  todoNotImplemented,
+	}
+	cmd.Flags().String(flagTo, "", "Address to send coins")
+	cmd.Flags().String(flagAmount, "", "Amount of coins to send")
+	cmd.Flags().String(flagFee, "", "Fee to pay along with transaction")
+	return cmd
+}
+
+func main() {
+	// disable sorting
+	cobra.EnableCommandSorting = false
+
+	// generic client commands
+	AddClientCommands(gaiacliCmd)
+	// query commands (custom to binary)
+	gaiacliCmd.AddCommand(
+		GetCommands(getAccountCmd)...)
+	// post tx commands (custom to binary)
+	gaiacliCmd.AddCommand(
+		PostCommands(postSendCommand())...)
+
+	// add proxy, version and key info
+	gaiacliCmd.AddCommand(
+		lineBreak,
+		serveCommand(),
+		KeyCommands(),
+		lineBreak,
+		version.VersionCmd,
+	)
+
+	// prepare and add flags
+	executor := cli.PrepareBaseCmd(gaiacliCmd, "GA", os.ExpandEnv("$HOME/.gaiacli"))
+	executor.Execute()
+}
diff --git a/examples/gaia/gaiad/main.go b/examples/gaia/gaiad/main.go
new file mode 100644
index 000000000..0c4c49eec
--- /dev/null
+++ b/examples/gaia/gaiad/main.go
@@ -0,0 +1,71 @@
+package main
+
+import (
+	"encoding/json"
+	"fmt"
+	"os"
+
+	"github.com/spf13/cobra"
+
+	abci "github.com/tendermint/abci/types"
+	"github.com/tendermint/tmlibs/cli"
+	"github.com/tendermint/tmlibs/log"
+
+	"github.com/cosmos/cosmos-sdk/baseapp"
+	"github.com/cosmos/cosmos-sdk/server"
+	"github.com/cosmos/cosmos-sdk/version"
+)
+
+// gaiadCmd is the entry point for this binary
+var (
+	gaiadCmd = &cobra.Command{
+		Use:   "gaiad",
+		Short: "Gaia Daemon (server)",
+	}
+)
+
+// defaultOptions sets up the app_options for the
+// default genesis file
+func defaultOptions(args []string) (json.RawMessage, error) {
+	addr, secret, err := server.GenerateCoinKey()
+	if err != nil {
+		return nil, err
+	}
+	fmt.Println("Secret phrase to access coins:")
+	fmt.Println(secret)
+
+	opts := fmt.Sprintf(`{
+      "accounts": [{
+        "address": "%s",
+        "coins": [
+          {
+            "denom": "mycoin",
+            "amount": 9007199254740992
+          }
+        ]
+      }]
+    }`, addr)
+	return json.RawMessage(opts), nil
+}
+
+func generateApp(rootDir string, logger log.Logger) (abci.Application, error) {
+	// TODO: set this to something real
+	app := new(baseapp.BaseApp)
+	return app, nil
+}
+
+func main() {
+	logger := log.NewTMLogger(log.NewSyncWriter(os.Stdout)).
+		With("module", "main")
+
+	gaiadCmd.AddCommand(
+		server.InitCmd(defaultOptions, logger),
+		server.StartCmd(generateApp, logger),
+		server.UnsafeResetAllCmd(logger),
+		version.VersionCmd,
+	)
+
+	// prepare and add flags
+	executor := cli.PrepareBaseCmd(gaiadCmd, "GA", os.ExpandEnv("$HOME/.gaiad"))
+	executor.Execute()
+}
diff --git a/types/account.go b/types/account.go
index c0fadcd3c..91ad49979 100644
--- a/types/account.go
+++ b/types/account.go
@@ -1,6 +1,9 @@
 package types
 
 import (
+	"encoding/hex"
+	"errors"
+
 	crypto "github.com/tendermint/go-crypto"
 	cmn "github.com/tendermint/tmlibs/common"
 )
@@ -8,6 +11,18 @@ import (
 // Address in go-crypto style
 type Address = cmn.HexBytes
 
+// create an Address from a string
+func GetAddress(address string) (addr Address, err error) {
+	if len(address) == 0 {
+		return addr, errors.New("must use provide address")
+	}
+	bz, err := hex.DecodeString(address)
+	if err != nil {
+		return nil, err
+	}
+	return Address(bz), nil
+}
+
 // Account is a standard account using a sequence number for replay protection
 // and a pubkey for authentication.
 type Account interface {
diff --git a/types/rational.go b/types/rational.go
new file mode 100644
index 000000000..8ebee7140
--- /dev/null
+++ b/types/rational.go
@@ -0,0 +1,237 @@
+package types
+
+import (
+	"fmt"
+	"math/big"
+	"strconv"
+	"strings"
+)
+
+//   "that's one big rat!"
+//          ______
+//         / / /\ \____oo
+//     __ /___...._____ _\o
+//  __|     |_    |_
+
+// Rat - extend big.Rat
+// NOTE: never use new(Rat) or else
+// we will panic unmarshalling into the
+// nil embedded big.Rat
+type Rat struct {
+	Num   int64 `json:"num"`
+	Denom int64 `json:"denom"`
+	//*big.Rat `json:"rat"`
+}
+
+// RatInterface - big Rat with additional functionality
+// NOTE: we only have one implementation of this interface
+// and don't use it anywhere, but it might come in handy
+// if we want to provide Rat types that include
+// the units of the value in the type system.
+//type RatInterface interface {
+//GetRat() *big.Rat
+//Num() int64
+//Denom() int64
+//GT(Rat) bool
+//LT(Rat) bool
+//Equal(Rat) bool
+//IsZero() bool
+//Inv() Rat
+//Mul(Rat) Rat
+//Quo(Rat) Rat
+//Add(Rat) Rat
+//Sub(Rat) Rat
+//Round(int64) Rat
+//Evaluate() int64
+//}
+//var _ Rat = Rat{} // enforce at compile time
+
+// nolint - common values
+var (
+	ZeroRat = NewRat(0) // Rat{big.NewRat(0, 1)}
+	OneRat  = NewRat(1) // Rat{big.NewRat(1, 1)}
+)
+
+// New - create a new Rat from integers
+//func NewRat(Numerator int64, Denominator ...int64) Rat {
+//switch len(Denominator) {
+//case 0:
+//return Rat{big.NewRat(Numerator, 1)}
+//case 1:
+//return Rat{big.NewRat(Numerator, Denominator[0])}
+//default:
+//panic("improper use of New, can only have one denominator")
+//}
+//}
+func NewRat(num int64, denom ...int64) Rat {
+	switch len(denom) {
+	case 0:
+		return Rat{
+			Num:   num,
+			Denom: 1,
+		}
+	case 1:
+		return Rat{
+			Num:   num,
+			Denom: denom[0],
+		}
+	default:
+		panic("improper use of New, can only have one denominator")
+	}
+}
+
+// create a rational from decimal string or integer string
+func NewRatFromDecimal(decimalStr string) (f Rat, err Error) {
+
+	// first extract any negative symbol
+	neg := false
+	if string(decimalStr[0]) == "-" {
+		neg = true
+		decimalStr = decimalStr[1:]
+	}
+
+	str := strings.Split(decimalStr, ".")
+
+	var numStr string
+	var denom int64 = 1
+	switch len(str) {
+	case 1:
+		if len(str[0]) == 0 {
+			return f, NewError(CodeUnknownRequest, "not a decimal string")
+		}
+		numStr = str[0]
+	case 2:
+		if len(str[0]) == 0 || len(str[1]) == 0 {
+			return f, NewError(CodeUnknownRequest, "not a decimal string")
+		}
+		numStr = str[0] + str[1]
+		len := int64(len(str[1]))
+		denom = new(big.Int).Exp(big.NewInt(10), big.NewInt(len), nil).Int64()
+	default:
+		return f, NewError(CodeUnknownRequest, "not a decimal string")
+	}
+
+	num, errConv := strconv.Atoi(numStr)
+	if errConv != nil {
+		return f, NewError(CodeUnknownRequest, errConv.Error())
+	}
+
+	if neg {
+		num *= -1
+	}
+
+	return NewRat(int64(num), denom), nil
+}
+
+//nolint
+func ToRat(r *big.Rat) Rat      { return NewRat(r.Num().Int64(), r.Denom().Int64()) }       // GetRat - get big.Rat
+func (r Rat) GetRat() *big.Rat  { return big.NewRat(r.Num, r.Denom) }                       // GetRat - get big.Rat
+func (r Rat) IsZero() bool      { return r.Num == 0 }                                       // IsZero - Is the Rat equal to zero
+func (r Rat) Equal(r2 Rat) bool { return r.GetRat().Cmp(r2.GetRat()) == 0 }                 // Equal - rationals are equal
+func (r Rat) GT(r2 Rat) bool    { return r.GetRat().Cmp(r2.GetRat()) == 1 }                 // GT - greater than
+func (r Rat) LT(r2 Rat) bool    { return r.GetRat().Cmp(r2.GetRat()) == -1 }                // LT - less than
+func (r Rat) Inv() Rat          { return ToRat(new(big.Rat).Inv(r.GetRat())) }              // Inv - inverse
+func (r Rat) Mul(r2 Rat) Rat    { return ToRat(new(big.Rat).Mul(r.GetRat(), r2.GetRat())) } // Mul - multiplication
+func (r Rat) Quo(r2 Rat) Rat    { return ToRat(new(big.Rat).Quo(r.GetRat(), r2.GetRat())) } // Quo - quotient
+func (r Rat) Add(r2 Rat) Rat    { return ToRat(new(big.Rat).Add(r.GetRat(), r2.GetRat())) } // Add - addition
+func (r Rat) Sub(r2 Rat) Rat    { return ToRat(new(big.Rat).Sub(r.GetRat(), r2.GetRat())) } // Sub - subtraction
+//func (r Rat) GetRat() *big.Rat  { return r.Rat }                                     // GetRat - get big.Rat
+//func (r Rat) Num() int64        { return r.Rat.Num().Int64() }                       // Num - return the numerator
+//func (r Rat) Denom() int64      { return r.Rat.Denom().Int64() }                     // Denom  - return the denominator
+//func (r Rat) IsZero() bool      { return r.Num() == 0 }                              // IsZero - Is the Rat equal to zero
+//func (r Rat) Equal(r2 Rat) bool { return r.Rat.Cmp(r2.GetRat()) == 0 }               // Equal - rationals are equal
+//func (r Rat) GT(r2 Rat) bool    { return r.Rat.Cmp(r2.GetRat()) == 1 }               // GT - greater than
+//func (r Rat) LT(r2 Rat) bool    { return r.Rat.Cmp(r2.GetRat()) == -1 }              // LT - less than
+//func (r Rat) Inv() Rat          { return Rat{new(big.Rat).Inv(r.Rat)} }              // Inv - inverse
+//func (r Rat) Mul(r2 Rat) Rat    { return Rat{new(big.Rat).Mul(r.Rat, r2.GetRat())} } // Mul - multiplication
+//func (r Rat) Quo(r2 Rat) Rat    { return Rat{new(big.Rat).Quo(r.Rat, r2.GetRat())} } // Quo - quotient
+//func (r Rat) Add(r2 Rat) Rat    { return Rat{new(big.Rat).Add(r.Rat, r2.GetRat())} } // Add - addition
+//func (r Rat) Sub(r2 Rat) Rat    { return Rat{new(big.Rat).Sub(r.Rat, r2.GetRat())} } // Sub - subtraction
+//func (r Rat) String() string    { return fmt.Sprintf("%v/%v", r.Num(), r.Denom()) }  // Sub - subtraction
+
+var (
+	zero  = big.NewInt(0)
+	one   = big.NewInt(1)
+	two   = big.NewInt(2)
+	five  = big.NewInt(5)
+	nFive = big.NewInt(-5)
+	ten   = big.NewInt(10)
+)
+
+// evaluate the rational using bankers rounding
+func (r Rat) EvaluateBig() *big.Int {
+
+	num := r.GetRat().Num()
+	denom := r.GetRat().Denom()
+
+	d, rem := new(big.Int), new(big.Int)
+	d.QuoRem(num, denom, rem)
+	if rem.Cmp(zero) == 0 { // is the remainder zero
+		return d
+	}
+
+	// evaluate the remainder using bankers rounding
+	tenNum := new(big.Int).Mul(num, ten)
+	tenD := new(big.Int).Mul(d, ten)
+	remainderDigit := new(big.Int).Sub(new(big.Int).Quo(tenNum, denom), tenD) // get the first remainder digit
+	isFinalDigit := (new(big.Int).Rem(tenNum, denom).Cmp(zero) == 0)          // is this the final digit in the remainder?
+
+	switch {
+	case isFinalDigit && (remainderDigit.Cmp(five) == 0 || remainderDigit.Cmp(nFive) == 0):
+		dRem2 := new(big.Int).Rem(d, two)
+		return new(big.Int).Add(d, dRem2) // always rounds to the even number
+	case remainderDigit.Cmp(five) != -1: //remainderDigit >= 5:
+		d.Add(d, one)
+	case remainderDigit.Cmp(nFive) != 1: //remainderDigit <= -5:
+		d.Sub(d, one)
+	}
+	return d
+}
+
+// evaluate the rational using bankers rounding
+func (r Rat) Evaluate() int64 {
+	return r.EvaluateBig().Int64()
+}
+
+// round Rat with the provided precisionFactor
+func (r Rat) Round(precisionFactor int64) Rat {
+	rTen := ToRat(new(big.Rat).Mul(r.GetRat(), big.NewRat(precisionFactor, 1)))
+	return ToRat(big.NewRat(rTen.Evaluate(), precisionFactor))
+}
+
+// TODO panic if negative or if totalDigits < len(initStr)???
+// evaluate as an integer and return left padded string
+func (r Rat) ToLeftPadded(totalDigits int8) string {
+	intStr := r.EvaluateBig().String()
+	fcode := `%0` + strconv.Itoa(int(totalDigits)) + `s`
+	return fmt.Sprintf(fcode, intStr)
+}
+
+//___________________________________________________________________________________
+
+// Hack to just use json.Marshal for everything until
+// we update for amino
+//type JSONCodec struct{}
+//func (jc JSONCodec) MarshalJSON(o interface{}) ([]byte, error)    { return json.Marshal(o) }
+//func (jc JSONCodec) UnmarshalJSON(bz []byte, o interface{}) error { return json.Unmarshal(bz, o) }
+
+// Wraps r.MarshalText() in quotes to make it a valid JSON string.
+//func (r Rat) MarshalAmino() (string, error) {
+//bz, err := r.MarshalText()
+//if err != nil {
+//return "", err
+//}
+//return fmt.Sprintf(`%s`, bz), nil
+//}
+
+//// Requires a valid JSON string - strings quotes and calls UnmarshalText
+//func (r *Rat) UnmarshalAmino(data string) (err error) {
+////quote := []byte(`"`)
+////if len(data) < 2 ||
+////!bytes.HasPrefix(data, quote) ||
+////!bytes.HasSuffix(data, quote) {
+////return fmt.Errorf("JSON encoded Rat must be a quote-delimitted string")
+////}
+////data = bytes.Trim(data, `"`)
+//return r.UnmarshalText([]byte(data))
+//}
diff --git a/types/rational_test.go b/types/rational_test.go
new file mode 100644
index 000000000..5af63e8ec
--- /dev/null
+++ b/types/rational_test.go
@@ -0,0 +1,277 @@
+package types
+
+import (
+	"math/big"
+	"testing"
+
+	wire "github.com/cosmos/cosmos-sdk/wire"
+	"github.com/stretchr/testify/assert"
+	"github.com/stretchr/testify/require"
+)
+
+func TestNew(t *testing.T) {
+	assert.Equal(t, NewRat(1), NewRat(1, 1))
+	assert.Equal(t, NewRat(100), NewRat(100, 1))
+	assert.Equal(t, NewRat(-1), NewRat(-1, 1))
+	assert.Equal(t, NewRat(-100), NewRat(-100, 1))
+	assert.Equal(t, NewRat(0), NewRat(0, 1))
+
+	// do not allow for more than 2 variables
+	assert.Panics(t, func() { NewRat(1, 1, 1) })
+}
+
+func TestNewFromDecimal(t *testing.T) {
+	tests := []struct {
+		decimalStr string
+		expErr     bool
+		exp        Rat
+	}{
+		{"0", false, NewRat(0)},
+		{"1", false, NewRat(1)},
+		{"1.1", false, NewRat(11, 10)},
+		{"0.75", false, NewRat(3, 4)},
+		{"0.8", false, NewRat(4, 5)},
+		{"0.11111", false, NewRat(11111, 100000)},
+		{".", true, Rat{}},
+		{".0", true, Rat{}},
+		{"1.", true, Rat{}},
+		{"foobar", true, Rat{}},
+		{"0.foobar", true, Rat{}},
+		{"0.foobar.", true, Rat{}},
+	}
+
+	for _, tc := range tests {
+
+		res, err := NewRatFromDecimal(tc.decimalStr)
+		if tc.expErr {
+			assert.NotNil(t, err, tc.decimalStr)
+		} else {
+			assert.Nil(t, err)
+			assert.True(t, res.Equal(tc.exp))
+		}
+
+		// negative tc
+		res, err = NewRatFromDecimal("-" + tc.decimalStr)
+		if tc.expErr {
+			assert.NotNil(t, err, tc.decimalStr)
+		} else {
+			assert.Nil(t, err)
+			assert.True(t, res.Equal(tc.exp.Mul(NewRat(-1))))
+		}
+	}
+}
+
+func TestEqualities(t *testing.T) {
+	tests := []struct {
+		r1, r2     Rat
+		gt, lt, eq bool
+	}{
+		{NewRat(0), NewRat(0), false, false, true},
+		{NewRat(0, 100), NewRat(0, 10000), false, false, true},
+		{NewRat(100), NewRat(100), false, false, true},
+		{NewRat(-100), NewRat(-100), false, false, true},
+		{NewRat(-100, -1), NewRat(100), false, false, true},
+		{NewRat(-1, 1), NewRat(1, -1), false, false, true},
+		{NewRat(1, -1), NewRat(-1, 1), false, false, true},
+		{NewRat(3, 7), NewRat(3, 7), false, false, true},
+
+		{NewRat(0), NewRat(3, 7), false, true, false},
+		{NewRat(0), NewRat(100), false, true, false},
+		{NewRat(-1), NewRat(3, 7), false, true, false},
+		{NewRat(-1), NewRat(100), false, true, false},
+		{NewRat(1, 7), NewRat(100), false, true, false},
+		{NewRat(1, 7), NewRat(3, 7), false, true, false},
+		{NewRat(-3, 7), NewRat(-1, 7), false, true, false},
+
+		{NewRat(3, 7), NewRat(0), true, false, false},
+		{NewRat(100), NewRat(0), true, false, false},
+		{NewRat(3, 7), NewRat(-1), true, false, false},
+		{NewRat(100), NewRat(-1), true, false, false},
+		{NewRat(100), NewRat(1, 7), true, false, false},
+		{NewRat(3, 7), NewRat(1, 7), true, false, false},
+		{NewRat(-1, 7), NewRat(-3, 7), true, false, false},
+	}
+
+	for _, tc := range tests {
+		assert.Equal(t, tc.gt, tc.r1.GT(tc.r2))
+		assert.Equal(t, tc.lt, tc.r1.LT(tc.r2))
+		assert.Equal(t, tc.eq, tc.r1.Equal(tc.r2))
+	}
+
+}
+
+func TestArithmatic(t *testing.T) {
+	tests := []struct {
+		r1, r2                         Rat
+		resMul, resDiv, resAdd, resSub Rat
+	}{
+		// r1       r2         MUL        DIV        ADD        SUB
+		{NewRat(0), NewRat(0), NewRat(0), NewRat(0), NewRat(0), NewRat(0)},
+		{NewRat(1), NewRat(0), NewRat(0), NewRat(0), NewRat(1), NewRat(1)},
+		{NewRat(0), NewRat(1), NewRat(0), NewRat(0), NewRat(1), NewRat(-1)},
+		{NewRat(0), NewRat(-1), NewRat(0), NewRat(0), NewRat(-1), NewRat(1)},
+		{NewRat(-1), NewRat(0), NewRat(0), NewRat(0), NewRat(-1), NewRat(-1)},
+
+		{NewRat(1), NewRat(1), NewRat(1), NewRat(1), NewRat(2), NewRat(0)},
+		{NewRat(-1), NewRat(-1), NewRat(1), NewRat(1), NewRat(-2), NewRat(0)},
+		{NewRat(1), NewRat(-1), NewRat(-1), NewRat(-1), NewRat(0), NewRat(2)},
+		{NewRat(-1), NewRat(1), NewRat(-1), NewRat(-1), NewRat(0), NewRat(-2)},
+
+		{NewRat(3), NewRat(7), NewRat(21), NewRat(3, 7), NewRat(10), NewRat(-4)},
+		{NewRat(2), NewRat(4), NewRat(8), NewRat(1, 2), NewRat(6), NewRat(-2)},
+		{NewRat(100), NewRat(100), NewRat(10000), NewRat(1), NewRat(200), NewRat(0)},
+
+		{NewRat(3, 2), NewRat(3, 2), NewRat(9, 4), NewRat(1), NewRat(3), NewRat(0)},
+		{NewRat(3, 7), NewRat(7, 3), NewRat(1), NewRat(9, 49), NewRat(58, 21), NewRat(-40, 21)},
+		{NewRat(1, 21), NewRat(11, 5), NewRat(11, 105), NewRat(5, 231), NewRat(236, 105), NewRat(-226, 105)},
+		{NewRat(-21), NewRat(3, 7), NewRat(-9), NewRat(-49), NewRat(-144, 7), NewRat(-150, 7)},
+		{NewRat(100), NewRat(1, 7), NewRat(100, 7), NewRat(700), NewRat(701, 7), NewRat(699, 7)},
+	}
+
+	for _, tc := range tests {
+		assert.True(t, tc.resMul.Equal(tc.r1.Mul(tc.r2)), "r1 %v, r2 %v", tc.r1.GetRat(), tc.r2.GetRat())
+		assert.True(t, tc.resAdd.Equal(tc.r1.Add(tc.r2)), "r1 %v, r2 %v", tc.r1.GetRat(), tc.r2.GetRat())
+		assert.True(t, tc.resSub.Equal(tc.r1.Sub(tc.r2)), "r1 %v, r2 %v", tc.r1.GetRat(), tc.r2.GetRat())
+
+		if tc.r2.Num == 0 { // panic for divide by zero
+			assert.Panics(t, func() { tc.r1.Quo(tc.r2) })
+		} else {
+			assert.True(t, tc.resDiv.Equal(tc.r1.Quo(tc.r2)), "r1 %v, r2 %v", tc.r1.GetRat(), tc.r2.GetRat())
+		}
+	}
+}
+
+func TestEvaluate(t *testing.T) {
+	tests := []struct {
+		r1  Rat
+		res int64
+	}{
+		{NewRat(0), 0},
+		{NewRat(1), 1},
+		{NewRat(1, 4), 0},
+		{NewRat(1, 2), 0},
+		{NewRat(3, 4), 1},
+		{NewRat(5, 6), 1},
+		{NewRat(3, 2), 2},
+		{NewRat(5, 2), 2},
+		{NewRat(6, 11), 1},  // 0.545-> 1 even though 5 is first decimal and 1 not even
+		{NewRat(17, 11), 2}, // 1.545
+		{NewRat(5, 11), 0},
+		{NewRat(16, 11), 1},
+		{NewRat(113, 12), 9},
+	}
+
+	for _, tc := range tests {
+		assert.Equal(t, tc.res, tc.r1.Evaluate(), "%v", tc.r1)
+		assert.Equal(t, tc.res*-1, tc.r1.Mul(NewRat(-1)).Evaluate(), "%v", tc.r1.Mul(NewRat(-1)))
+	}
+}
+
+func TestRound(t *testing.T) {
+	many3 := "333333333333333333333333333333333333333333333"
+	many7 := "777777777777777777777777777777777777777777777"
+	big3, worked := new(big.Int).SetString(many3, 10)
+	require.True(t, worked)
+	big7, worked := new(big.Int).SetString(many7, 10)
+	require.True(t, worked)
+
+	tests := []struct {
+		r, res     Rat
+		precFactor int64
+	}{
+		{NewRat(333, 777), NewRat(429, 1000), 1000},
+		{ToRat(new(big.Rat).SetFrac(big3, big7)), NewRat(429, 1000), 1000},
+		{ToRat(new(big.Rat).SetFrac(big3, big7)), ToRat(big.NewRat(4285714286, 10000000000)), 10000000000},
+		{NewRat(1, 2), NewRat(1, 2), 1000},
+	}
+
+	for _, tc := range tests {
+		assert.Equal(t, tc.res, tc.r.Round(tc.precFactor), "%v", tc.r)
+		negR1, negRes := tc.r.Mul(NewRat(-1)), tc.res.Mul(NewRat(-1))
+		assert.Equal(t, negRes, negR1.Round(tc.precFactor), "%v", negR1)
+	}
+}
+
+func TestToLeftPadded(t *testing.T) {
+	tests := []struct {
+		rat    Rat
+		digits int8
+		res    string
+	}{
+		{NewRat(100, 3), 8, "00000033"},
+		{NewRat(1, 3), 8, "00000000"},
+		{NewRat(100, 2), 8, "00000050"},
+		{NewRat(1000, 3), 8, "00000333"},
+		{NewRat(1000, 3), 12, "000000000333"},
+	}
+	for _, tc := range tests {
+		assert.Equal(t, tc.res, tc.rat.ToLeftPadded(tc.digits))
+	}
+}
+
+//func TestZeroSerializationJSON(t *testing.T) {
+//r := NewRat(0, 1)
+//err := r.UnmarshalJSON([]byte(`"0/1"`))
+//assert.Nil(t, err)
+//err = r.UnmarshalJSON([]byte(`"0/0"`))
+//assert.NotNil(t, err)
+//err = r.UnmarshalJSON([]byte(`"1/0"`))
+//assert.NotNil(t, err)
+//err = r.UnmarshalJSON([]byte(`"{}"`))
+//assert.NotNil(t, err)
+//}
+
+//func TestSerializationJSON(t *testing.T) {
+//r := NewRat(1, 3)
+
+//bz, err := r.MarshalText()
+//require.Nil(t, err)
+
+//r2 := NewRat(0, 1)
+//err = r2.UnmarshalText(bz)
+//require.Nil(t, err)
+
+//assert.True(t, r.Equal(r2), "original: %v, unmarshalled: %v", r, r2)
+//}
+
+var cdc = wire.NewCodec() //var jsonCdc JSONCodec // TODO wire.Codec
+
+func TestSerializationGoWire(t *testing.T) {
+	r := NewRat(1, 3)
+
+	bz, err := cdc.MarshalBinary(r)
+	require.Nil(t, err)
+
+	//str, err := r.MarshalJSON()
+	//require.Nil(t, err)
+
+	r2 := NewRat(0, 1)
+	err = cdc.UnmarshalBinary([]byte(bz), &r2)
+	//panic(fmt.Sprintf("debug bz: %v\n", string(bz)))
+	require.Nil(t, err)
+
+	assert.True(t, r.Equal(r2), "original: %v, unmarshalled: %v", r, r2)
+}
+
+type testEmbedStruct struct {
+	Field1 string `json:"f1"`
+	Field2 int    `json:"f2"`
+	Field3 Rat    `json:"f3"`
+}
+
+func TestEmbeddedStructSerializationGoWire(t *testing.T) {
+	obj := testEmbedStruct{"foo", 10, NewRat(1, 3)}
+
+	bz, err := cdc.MarshalBinary(obj)
+	require.Nil(t, err)
+
+	var obj2 testEmbedStruct
+	obj2.Field3 = NewRat(0, 1) // ... needs to be initialized
+	err = cdc.UnmarshalBinary(bz, &obj2)
+	require.Nil(t, err)
+
+	assert.Equal(t, obj.Field1, obj2.Field1)
+	assert.Equal(t, obj.Field2, obj2.Field2)
+	assert.True(t, obj.Field3.Equal(obj2.Field3), "original: %v, unmarshalled: %v", obj, obj2)
+
+}
diff --git a/types/tx_msg.go b/types/tx_msg.go
index 79272f386..25d35512d 100644
--- a/types/tx_msg.go
+++ b/types/tx_msg.go
@@ -91,6 +91,7 @@ func NewStdFee(gas int64, amount ...Coin) StdFee {
 	}
 }
 
+// fee bytes for signing later
 func (fee StdFee) Bytes() []byte {
 	// normalize. XXX
 	// this is a sign of something ugly
@@ -147,6 +148,7 @@ type StdSignMsg struct {
 	// XXX: Alt
 }
 
+// get message bytes
 func (msg StdSignMsg) Bytes() []byte {
 	return StdSignBytes(msg.ChainID, msg.Sequences, msg.Fee, msg.Msg)
 }
@@ -171,6 +173,7 @@ func NewTestMsg(addrs ...Address) *TestMsg {
 	}
 }
 
+//nolint
 func (msg *TestMsg) Type() string                            { return "TestMsg" }
 func (msg *TestMsg) Get(key interface{}) (value interface{}) { return nil }
 func (msg *TestMsg) GetSignBytes() []byte {
diff --git a/x/auth/mapper.go b/x/auth/mapper.go
index 1176db3cb..13fe9a844 100644
--- a/x/auth/mapper.go
+++ b/x/auth/mapper.go
@@ -165,7 +165,6 @@ func (am accountMapper) decodeAccount(bz []byte) sdk.Account {
 	accI := oldwire.ReadBinary(struct{ sdk.Account }{}, r, len(bz), n, err)
 	if *err != nil {
 		panic(*err)
-
 	}
 
 	acc := accI.(struct{ sdk.Account }).Account
diff --git a/x/stake/commands/query.go b/x/stake/commands/query.go
new file mode 100644
index 000000000..ed436305c
--- /dev/null
+++ b/x/stake/commands/query.go
@@ -0,0 +1,201 @@
+package commands
+
+import (
+	"encoding/hex"
+	"encoding/json"
+	"fmt"
+
+	"github.com/spf13/cobra"
+	flag "github.com/spf13/pflag"
+	"github.com/spf13/viper"
+
+	crypto "github.com/tendermint/go-crypto"
+
+	"github.com/cosmos/cosmos-sdk/client/builder"
+	sdk "github.com/cosmos/cosmos-sdk/types"
+	"github.com/cosmos/cosmos-sdk/wire" // XXX fix
+	"github.com/cosmos/cosmos-sdk/x/stake"
+)
+
+// XXX remove dependancy
+func PrefixedKey(app string, key []byte) []byte {
+	prefix := append([]byte(app), byte(0))
+	return append(prefix, key...)
+}
+
+//nolint
+var (
+	fsValAddr         = flag.NewFlagSet("", flag.ContinueOnError)
+	fsDelAddr         = flag.NewFlagSet("", flag.ContinueOnError)
+	FlagValidatorAddr = "address"
+	FlagDelegatorAddr = "delegator-address"
+)
+
+func init() {
+	//Add Flags
+	fsValAddr.String(FlagValidatorAddr, "", "Address of the validator/candidate")
+	fsDelAddr.String(FlagDelegatorAddr, "", "Delegator hex address")
+
+}
+
+// create command to query for all candidates
+func GetCmdQueryCandidates(cdc *wire.Codec, storeName string) *cobra.Command {
+	cmd := &cobra.Command{
+		Use:   "candidates",
+		Short: "Query for the set of validator-candidates pubkeys",
+		RunE: func(cmd *cobra.Command, args []string) error {
+
+			key := PrefixedKey(stake.MsgType, stake.CandidatesKey)
+
+			res, err := builder.Query(key, storeName)
+			if err != nil {
+				return err
+			}
+
+			// parse out the candidates
+			candidates := new(stake.Candidates)
+			err = cdc.UnmarshalJSON(res, candidates)
+			if err != nil {
+				return err
+			}
+			output, err := json.MarshalIndent(candidates, "", "  ")
+			if err != nil {
+				return err
+			}
+			fmt.Println(string(output))
+			return nil
+
+			// TODO output with proofs / machine parseable etc.
+		},
+	}
+
+	cmd.Flags().AddFlagSet(fsDelAddr)
+	return cmd
+}
+
+// get the command to query a candidate
+func GetCmdQueryCandidate(cdc *wire.Codec, storeName string) *cobra.Command {
+	cmd := &cobra.Command{
+		Use:   "candidate",
+		Short: "Query a validator-candidate account",
+		RunE: func(cmd *cobra.Command, args []string) error {
+
+			addr, err := sdk.GetAddress(viper.GetString(FlagValidatorAddr))
+			if err != nil {
+				return err
+			}
+
+			key := PrefixedKey(stake.MsgType, stake.GetCandidateKey(addr))
+
+			res, err := builder.Query(key, storeName)
+			if err != nil {
+				return err
+			}
+
+			// parse out the candidate
+			candidate := new(stake.Candidate)
+			err = cdc.UnmarshalBinary(res, candidate)
+			if err != nil {
+				return err
+			}
+			output, err := json.MarshalIndent(candidate, "", "  ")
+			if err != nil {
+				return err
+			}
+			fmt.Println(string(output))
+			return nil
+
+			// TODO output with proofs / machine parseable etc.
+		},
+	}
+
+	cmd.Flags().AddFlagSet(fsValAddr)
+	return cmd
+}
+
+// get the command to query a single delegator bond
+func GetCmdQueryDelegatorBond(cdc *wire.Codec, storeName string) *cobra.Command {
+	cmd := &cobra.Command{
+		Use:   "delegator-bond",
+		Short: "Query a delegators bond based on address and candidate pubkey",
+		RunE: func(cmd *cobra.Command, args []string) error {
+
+			addr, err := sdk.GetAddress(viper.GetString(FlagValidatorAddr))
+			if err != nil {
+				return err
+			}
+
+			bz, err := hex.DecodeString(viper.GetString(FlagDelegatorAddr))
+			if err != nil {
+				return err
+			}
+			delegator := crypto.Address(bz)
+
+			key := PrefixedKey(stake.MsgType, stake.GetDelegatorBondKey(delegator, addr, cdc))
+
+			res, err := builder.Query(key, storeName)
+			if err != nil {
+				return err
+			}
+
+			// parse out the bond
+			var bond stake.DelegatorBond
+			err = cdc.UnmarshalBinary(res, bond)
+			if err != nil {
+				return err
+			}
+			output, err := json.MarshalIndent(bond, "", "  ")
+			if err != nil {
+				return err
+			}
+			fmt.Println(string(output))
+			return nil
+
+			// TODO output with proofs / machine parseable etc.
+		},
+	}
+
+	cmd.Flags().AddFlagSet(fsValAddr)
+	cmd.Flags().AddFlagSet(fsDelAddr)
+	return cmd
+}
+
+// get the command to query all the candidates bonded to a delegator
+func GetCmdQueryDelegatorBonds(cdc *wire.Codec, storeName string) *cobra.Command {
+	cmd := &cobra.Command{
+		Use:   "delegator-candidates",
+		Short: "Query all delegators candidates' pubkeys based on address",
+		RunE: func(cmd *cobra.Command, args []string) error {
+
+			bz, err := hex.DecodeString(viper.GetString(FlagDelegatorAddr))
+			if err != nil {
+				return err
+			}
+			delegator := crypto.Address(bz)
+
+			key := PrefixedKey(stake.MsgType, stake.GetDelegatorBondsKey(delegator, cdc))
+
+			res, err := builder.Query(key, storeName)
+			if err != nil {
+				return err
+			}
+
+			// parse out the candidates list
+			var candidates []crypto.PubKey
+			err = cdc.UnmarshalBinary(res, candidates)
+			if err != nil {
+				return err
+			}
+			output, err := json.MarshalIndent(candidates, "", "  ")
+			if err != nil {
+				return err
+			}
+			fmt.Println(string(output))
+			return nil
+
+			// TODO output with proofs / machine parseable etc.
+		},
+	}
+	cmd.Flags().AddFlagSet(fsDelAddr)
+	return cmd
+}
diff --git a/x/stake/commands/tx.go b/x/stake/commands/tx.go
new file mode 100644
index 000000000..90b289de7
--- /dev/null
+++ b/x/stake/commands/tx.go
@@ -0,0 +1,255 @@
+package commands
+
+import (
+	"encoding/hex"
+	"fmt"
+
+	"github.com/spf13/cobra"
+	flag "github.com/spf13/pflag"
+	"github.com/spf13/viper"
+
+	crypto "github.com/tendermint/go-crypto"
+
+	"github.com/cosmos/cosmos-sdk/client"
+	"github.com/cosmos/cosmos-sdk/client/builder"
+	sdk "github.com/cosmos/cosmos-sdk/types"
+	"github.com/cosmos/cosmos-sdk/wire"
+	"github.com/cosmos/cosmos-sdk/x/stake"
+)
+
+// nolint
+const (
+	FlagAddressDelegator = "addressD"
+	FlagAddressCandidate = "addressC"
+	FlagPubKey           = "pubkey"
+	FlagAmount           = "amount"
+	FlagShares           = "shares"
+
+	FlagMoniker  = "moniker"
+	FlagIdentity = "keybase-sig"
+	FlagWebsite  = "website"
+	FlagDetails  = "details"
+)
+
+// common flagsets to add to various functions
+var (
+	fsPk        = flag.NewFlagSet("", flag.ContinueOnError)
+	fsAmount    = flag.NewFlagSet("", flag.ContinueOnError)
+	fsShares    = flag.NewFlagSet("", flag.ContinueOnError)
+	fsCandidate = flag.NewFlagSet("", flag.ContinueOnError)
+	fsDelegator = flag.NewFlagSet("", flag.ContinueOnError)
+)
+
+func init() {
+	fsPk.String(FlagPubKey, "", "PubKey of the validator-candidate")
+	fsAmount.String(FlagAmount, "1fermion", "Amount of coins to bond")
+	fsShares.String(FlagShares, "", "Amount of shares to unbond, either in decimal or keyword MAX (ex. 1.23456789, 99, MAX)")
+	fsCandidate.String(FlagMoniker, "", "validator-candidate name")
+	fsCandidate.String(FlagIdentity, "", "optional keybase signature")
+	fsCandidate.String(FlagWebsite, "", "optional website")
+	fsCandidate.String(FlagAddressCandidate, "", "hex address of the validator/candidate")
+	fsDelegator.String(FlagAddressDelegator, "", "hex address of the delegator")
+}
+
+//TODO refactor to common functionality
+func getNamePassword() (name, passphrase string, err error) {
+	name = viper.GetString(client.FlagName)
+	buf := client.BufferStdin()
+	prompt := fmt.Sprintf("Password to sign with '%s':", name)
+	passphrase, err = client.GetPassword(prompt, buf)
+	return
+}
+
+//_________________________________________________________________________________________
+
+// create declare candidacy command
+func GetCmdDeclareCandidacy(cdc *wire.Codec) *cobra.Command {
+	cmd := &cobra.Command{
+		Use:   "declare-candidacy",
+		Short: "create new validator-candidate account and delegate some coins to it",
+		RunE: func(cmd *cobra.Command, args []string) error {
+			amount, err := sdk.ParseCoin(viper.GetString(FlagAmount))
+			if err != nil {
+				return err
+			}
+			candidateAddr, err := sdk.GetAddress(viper.GetString(FlagAddressCandidate))
+			if err != nil {
+				return err
+			}
+			pk, err := GetPubKey(viper.GetString(FlagPubKey))
+			if err != nil {
+				return err
+			}
+			if viper.GetString(FlagMoniker) == "" {
+				return fmt.Errorf("please enter a moniker for the validator-candidate using --moniker")
+			}
+			description := stake.Description{
+				Moniker:  viper.GetString(FlagMoniker),
+				Identity: viper.GetString(FlagIdentity),
+				Website:  viper.GetString(FlagWebsite),
+				Details:  viper.GetString(FlagDetails),
+			}
+			msg := stake.NewMsgDeclareCandidacy(candidateAddr, pk, amount, description)
+
+			// build and sign the transaction, then broadcast to Tendermint
+			name := viper.GetString(client.FlagName)
+			res, err := builder.SignBuildBroadcast(name, msg, cdc)
+			if err != nil {
+				return err
+			}
+
+			fmt.Printf("Committed at block %d. Hash: %s\n", res.Height, res.Hash.String())
+			return nil
+		},
+	}
+
+	cmd.Flags().AddFlagSet(fsPk)
+	cmd.Flags().AddFlagSet(fsAmount)
+	cmd.Flags().AddFlagSet(fsCandidate)
+	return cmd
+}
+
+// create edit candidacy command
+func GetCmdEditCandidacy(cdc *wire.Codec) *cobra.Command {
+	cmd := &cobra.Command{
+		Use:   "edit-candidacy",
+		Short: "edit and existing validator-candidate account",
+		RunE: func(cmd *cobra.Command, args []string) error {
+
+			candidateAddr, err := sdk.GetAddress(viper.GetString(FlagAddressCandidate))
+			if err != nil {
+				return err
+			}
+			description := stake.Description{
+				Moniker:  viper.GetString(FlagMoniker),
+				Identity: viper.GetString(FlagIdentity),
+				Website:  viper.GetString(FlagWebsite),
+				Details:  viper.GetString(FlagDetails),
+			}
+			msg := stake.NewMsgEditCandidacy(candidateAddr, description)
+
+			// build and sign the transaction, then broadcast to Tendermint
+			name := viper.GetString(client.FlagName)
+			res, err := builder.SignBuildBroadcast(name, msg, cdc)
+			if err != nil {
+				return err
+			}
+
+			fmt.Printf("Committed at block %d. Hash: %s\n", res.Height, res.Hash.String())
+			return nil
+		},
+	}
+
+	cmd.Flags().AddFlagSet(fsPk)
+	cmd.Flags().AddFlagSet(fsCandidate)
+	return cmd
+}
+
+// create edit candidacy command
+func GetCmdDelegate(cdc *wire.Codec) *cobra.Command {
+	cmd := &cobra.Command{
+		Use:   "delegate",
+		Short: "delegate coins to an existing validator/candidate",
+		RunE: func(cmd *cobra.Command, args []string) error {
+			amount, err := sdk.ParseCoin(viper.GetString(FlagAmount))
+			if err != nil {
+				return err
+			}
+
+			delegatorAddr, err := sdk.GetAddress(viper.GetString(FlagAddressDelegator))
+			candidateAddr, err := sdk.GetAddress(viper.GetString(FlagAddressCandidate))
+			if err != nil {
+				return err
+			}
+
+			msg := stake.NewMsgDelegate(delegatorAddr, candidateAddr, amount)
+
+			// build and sign the transaction, then broadcast to Tendermint
+			name := viper.GetString(client.FlagName)
+			res, err := builder.SignBuildBroadcast(name, msg, cdc)
+			if err != nil {
+				return err
+			}
+
+			fmt.Printf("Committed at block %d. Hash: %s\n", res.Height, res.Hash.String())
+			return nil
+		},
+	}
+
+	cmd.Flags().AddFlagSet(fsPk)
+	cmd.Flags().AddFlagSet(fsAmount)
+	cmd.Flags().AddFlagSet(fsDelegator)
+	return cmd
+}
+
+// create edit candidacy command
+func GetCmdUnbond(cdc *wire.Codec) *cobra.Command {
+	cmd := &cobra.Command{
+		Use:   "unbond",
+		Short: "unbond coins from a validator/candidate",
+		RunE: func(cmd *cobra.Command, args []string) error {
+
+			// check the shares before broadcasting
+			sharesStr := viper.GetString(FlagShares)
+			var shares sdk.Rat
+			if sharesStr != "MAX" {
+				var err error
+				shares, err = sdk.NewRatFromDecimal(sharesStr)
+				if err != nil {
+					return err
+				}
+				if !shares.GT(sdk.ZeroRat) {
+					return fmt.Errorf("shares must be positive integer or decimal (ex. 123, 1.23456789)")
+				}
+			}
+
+			delegatorAddr, err := sdk.GetAddress(viper.GetString(FlagAddressDelegator))
+			candidateAddr, err := sdk.GetAddress(viper.GetString(FlagAddressCandidate))
+			if err != nil {
+				return err
+			}
+
+			msg := stake.NewMsgUnbond(delegatorAddr, candidateAddr, sharesStr)
+
+			// build and sign the transaction, then broadcast to Tendermint
+			name := viper.GetString(client.FlagName)
+			res, err := builder.SignBuildBroadcast(name, msg, cdc)
+			if err != nil {
+				return err
+			}
+
+			fmt.Printf("Committed at block %d. Hash: %s\n", res.Height, res.Hash.String())
+			return nil
+		},
+	}
+
+	cmd.Flags().AddFlagSet(fsPk)
+	cmd.Flags().AddFlagSet(fsShares)
+	cmd.Flags().AddFlagSet(fsDelegator)
+	return cmd
+}
+
+//______________________________________________________________________________________
+
+// create the pubkey from a pubkey string
+// TODO move to a better reusable place
+func GetPubKey(pubKeyStr string) (pk crypto.PubKey, err error) {
+
+	if len(pubKeyStr) == 0 {
+		err = fmt.Errorf("must use --pubkey flag")
+		return
+	}
+	if len(pubKeyStr) != 64 { //if len(pkBytes) != 32 {
+		err = fmt.Errorf("pubkey must be Ed25519 hex encoded string which is 64 characters long")
+		return
+	}
+	var pkBytes []byte
+	pkBytes, err = hex.DecodeString(pubKeyStr)
+	if err != nil {
+		return
+	}
+	var pkEd crypto.PubKeyEd25519
+	copy(pkEd[:], pkBytes[:])
+	pk = pkEd.Wrap()
+	return
+}
diff --git a/x/stake/errors.go b/x/stake/errors.go
new file mode 100644
index 000000000..bd1992959
--- /dev/null
+++ b/x/stake/errors.go
@@ -0,0 +1,117 @@
+// nolint
+package stake
+
+import (
+	"fmt"
+
+	sdk "github.com/cosmos/cosmos-sdk/types"
+)
+
+type CodeType = sdk.CodeType
+
+const (
+	// Gaia errors reserve 200 ~ 299.
+	CodeInvalidValidator CodeType = 201
+	CodeInvalidCandidate CodeType = 202
+	CodeInvalidBond      CodeType = 203
+	CodeInvalidInput     CodeType = 204
+	CodeUnauthorized     CodeType = sdk.CodeUnauthorized
+	CodeInternal         CodeType = sdk.CodeInternal
+	CodeUnknownRequest   CodeType = sdk.CodeUnknownRequest
+)
+
+// NOTE: Don't stringer this, we'll put better messages in later.
+func codeToDefaultMsg(code CodeType) string {
+	switch code {
+	case CodeInvalidValidator:
+		return "Invalid Validator"
+	case CodeInvalidCandidate:
+		return "Invalid Candidate"
+	case CodeInvalidBond:
+		return "Invalid Bond"
+	case CodeInvalidInput:
+		return "Invalid Input"
+	case CodeUnauthorized:
+		return "Unauthorized"
+	case CodeInternal:
+		return "Internal Error"
+	case CodeUnknownRequest:
+		return "Unknown request"
+	default:
+		return sdk.CodeToDefaultMsg(code)
+	}
+}
+
+//----------------------------------------
+// Error constructors
+
+func ErrNotEnoughBondShares(shares string) sdk.Error {
+	return newError(CodeInvalidBond, fmt.Sprintf("not enough shares only have %v", shares))
+}
+func ErrCandidateEmpty() sdk.Error {
+	return newError(CodeInvalidValidator, "Cannot bond to an empty candidate")
+}
+func ErrBadBondingDenom() sdk.Error {
+	return newError(CodeInvalidBond, "Invalid coin denomination")
+}
+func ErrBadBondingAmount() sdk.Error {
+	return newError(CodeInvalidBond, "Amount must be > 0")
+}
+func ErrNoBondingAcct() sdk.Error {
+	return newError(CodeInvalidValidator, "No bond account for this (address, validator) pair")
+}
+func ErrCommissionNegative() sdk.Error {
+	return newError(CodeInvalidValidator, "Commission must be positive")
+}
+func ErrCommissionHuge() sdk.Error {
+	return newError(CodeInvalidValidator, "Commission cannot be more than 100%")
+}
+func ErrBadValidatorAddr() sdk.Error {
+	return newError(CodeInvalidValidator, "Validator does not exist for that address")
+}
+func ErrBadCandidateAddr() sdk.Error {
+	return newError(CodeInvalidValidator, "Candidate does not exist for that address")
+}
+func ErrBadDelegatorAddr() sdk.Error {
+	return newError(CodeInvalidValidator, "Delegator does not exist for that address")
+}
+func ErrCandidateExistsAddr() sdk.Error {
+	return newError(CodeInvalidValidator, "Candidate already exist, cannot re-declare candidacy")
+}
+func ErrMissingSignature() sdk.Error {
+	return newError(CodeInvalidValidator, "Missing signature")
+}
+func ErrBondNotNominated() sdk.Error {
+	return newError(CodeInvalidValidator, "Cannot bond to non-nominated account")
+}
+func ErrNoCandidateForAddress() sdk.Error {
+	return newError(CodeInvalidValidator, "Validator does not exist for that address")
+}
+func ErrNoDelegatorForAddress() sdk.Error {
+	return newError(CodeInvalidValidator, "Delegator does not contain validator bond")
+}
+func ErrInsufficientFunds() sdk.Error {
+	return newError(CodeInvalidInput, "Insufficient bond shares")
+}
+func ErrBadShares() sdk.Error {
+	return newError(CodeInvalidInput, "bad shares provided as input, must be MAX or decimal")
+}
+func ErrBadRemoveValidator() sdk.Error {
+	return newError(CodeInvalidValidator, "Error removing validator")
+}
+
+//----------------------------------------
+
+// TODO group with code from x/bank/errors.go
+
+func msgOrDefaultMsg(msg string, code CodeType) string {
+	if msg != "" {
+		return msg
+	}
+	return codeToDefaultMsg(code)
+}
+
+func newError(code CodeType, msg string) sdk.Error {
+	msg = msgOrDefaultMsg(msg, code)
+	return sdk.NewError(code, msg)
+}
diff --git a/x/stake/handler.go b/x/stake/handler.go
new file mode 100644
index 000000000..7449141aa
--- /dev/null
+++ b/x/stake/handler.go
@@ -0,0 +1,304 @@
+package stake
+
+import (
+	"bytes"
+
+	sdk "github.com/cosmos/cosmos-sdk/types"
+	"github.com/cosmos/cosmos-sdk/x/bank"
+)
+
+//nolint
+const (
+	GasDeclareCandidacy int64 = 20
+	GasEditCandidacy    int64 = 20
+	GasDelegate         int64 = 20
+	GasUnbond           int64 = 20
+)
+
+//XXX fix initstater
+// separated for testing
+//func InitState(ctx sdk.Context, k Keeper, key, value string) sdk.Error {
+
+//params := k.GetParams(ctx)
+//switch key {
+//case "allowed_bond_denom":
+//params.BondDenom = value
+//case "max_vals", "gas_bond", "gas_unbond":
+
+//i, err := strconv.Atoi(value)
+//if err != nil {
+//return sdk.ErrUnknownRequest(fmt.Sprintf("input must be integer, Error: %v", err.Error()))
+//}
+
+//switch key {
+//case "max_vals":
+//if i < 0 {
+//return sdk.ErrUnknownRequest("cannot designate negative max validators")
+//}
+//params.MaxValidators = uint16(i)
+//case "gas_bond":
+//GasDelegate = int64(i)
+//case "gas_unbound":
+//GasUnbond = int64(i)
+//}
+//default:
+//return sdk.ErrUnknownRequest(key)
+//}
+
+//k.setParams(params)
+//return nil
+//}
+
+//_______________________________________________________________________
+
+func NewHandler(k Keeper, ck bank.CoinKeeper) sdk.Handler {
+	return func(ctx sdk.Context, msg sdk.Msg) sdk.Result {
+		// NOTE msg already has validate basic run
+		switch msg := msg.(type) {
+		case MsgDeclareCandidacy:
+			return handleMsgDeclareCandidacy(ctx, msg, k)
+		case MsgEditCandidacy:
+			return handleMsgEditCandidacy(ctx, msg, k)
+		case MsgDelegate:
+			return handleMsgDelegate(ctx, msg, k)
+		case MsgUnbond:
+			return handleMsgUnbond(ctx, msg, k)
+		default:
+			return sdk.ErrTxDecode("invalid message parse in staking module").Result()
+		}
+	}
+}
+
+//_____________________________________________________________________
+
+// XXX should be send in the msg (init in CLI)
+//func getSender() sdk.Address {
+//signers := msg.GetSigners()
+//if len(signers) != 1 {
+//return sdk.ErrUnauthorized("there can only be one signer for staking transaction").Result()
+//}
+//sender := signers[0]
+//}
+
+//_____________________________________________________________________
+
+// These functions assume everything has been authenticated,
+// now we just perform action and save
+
+func handleMsgDeclareCandidacy(ctx sdk.Context, msg MsgDeclareCandidacy, k Keeper) sdk.Result {
+
+	// check to see if the pubkey or sender has been registered before
+	_, found := k.GetCandidate(ctx, msg.CandidateAddr)
+	if found {
+		return ErrCandidateExistsAddr().Result()
+	}
+	if msg.Bond.Denom != k.GetParams(ctx).BondDenom {
+		return ErrBadBondingDenom().Result()
+	}
+	if ctx.IsCheckTx() {
+		return sdk.Result{
+			GasUsed: GasDeclareCandidacy,
+		}
+	}
+
+	candidate := NewCandidate(msg.CandidateAddr, msg.PubKey, msg.Description)
+	k.setCandidate(ctx, candidate)
+
+	// move coins from the msg.Address account to a (self-bond) delegator account
+	// the candidate account and global shares are updated within here
+	return delegateWithCandidate(ctx, k, msg.CandidateAddr, msg.Bond, candidate).Result()
+}
+
+func handleMsgEditCandidacy(ctx sdk.Context, msg MsgEditCandidacy, k Keeper) sdk.Result {
+
+	// candidate must already be registered
+	candidate, found := k.GetCandidate(ctx, msg.CandidateAddr)
+	if !found {
+		return ErrBadCandidateAddr().Result()
+	}
+	if ctx.IsCheckTx() {
+		return sdk.Result{
+			GasUsed: GasEditCandidacy,
+		}
+	}
+	if candidate.Status == Unbonded { //candidate has been withdrawn
+		return ErrBondNotNominated().Result()
+	}
+
+	// XXX move to types
+	// replace all editable fields (clients should autofill existing values)
+	candidate.Description.Moniker = msg.Description.Moniker
+	candidate.Description.Identity = msg.Description.Identity
+	candidate.Description.Website = msg.Description.Website
+	candidate.Description.Details = msg.Description.Details
+
+	k.setCandidate(ctx, candidate)
+	return sdk.Result{}
+}
+
+func handleMsgDelegate(ctx sdk.Context, msg MsgDelegate, k Keeper) sdk.Result {
+
+	candidate, found := k.GetCandidate(ctx, msg.CandidateAddr)
+	if !found {
+		return ErrBadCandidateAddr().Result()
+	}
+	if msg.Bond.Denom != k.GetParams(ctx).BondDenom {
+		return ErrBadBondingDenom().Result()
+	}
+	if ctx.IsCheckTx() {
+		return sdk.Result{
+			GasUsed: GasDelegate,
+		}
+	}
+	return delegateWithCandidate(ctx, k, msg.DelegatorAddr, msg.Bond, candidate).Result()
+}
+
+func delegateWithCandidate(ctx sdk.Context, k Keeper, delegatorAddr sdk.Address,
+	bondAmt sdk.Coin, candidate Candidate) sdk.Error {
+
+	if candidate.Status == Revoked { //candidate has been withdrawn
+		return ErrBondNotNominated()
+	}
+
+	// Get or create the delegator bond
+	existingBond, found := k.getDelegatorBond(ctx, delegatorAddr, candidate.Address)
+	if !found {
+		existingBond = DelegatorBond{
+			DelegatorAddr: delegatorAddr,
+			CandidateAddr: candidate.Address,
+			Shares:        sdk.ZeroRat,
+		}
+	}
+
+	// Account new shares, save
+	err := BondCoins(ctx, k, existingBond, candidate, bondAmt)
+	if err != nil {
+		return err
+	}
+	k.setDelegatorBond(ctx, existingBond)
+	k.setCandidate(ctx, candidate)
+	return nil
+}
+
+// Perform all the actions required to bond tokens to a delegator bond from their account
+func BondCoins(ctx sdk.Context, k Keeper, bond DelegatorBond, candidate Candidate, amount sdk.Coin) sdk.Error {
+
+	_, err := k.coinKeeper.SubtractCoins(ctx, bond.DelegatorAddr, sdk.Coins{amount})
+	if err != nil {
+		return err
+	}
+	newShares := k.candidateAddTokens(ctx, candidate, amount.Amount)
+	bond.Shares = bond.Shares.Add(newShares)
+	k.setDelegatorBond(ctx, bond)
+	return nil
+}
+
+func handleMsgUnbond(ctx sdk.Context, msg MsgUnbond, k Keeper) sdk.Result {
+
+	// check if bond has any shares in it unbond
+	bond, found := k.getDelegatorBond(ctx, msg.DelegatorAddr, msg.CandidateAddr)
+	if !found {
+		return ErrNoDelegatorForAddress().Result()
+	}
+	if !bond.Shares.GT(sdk.ZeroRat) { // bond shares < msg shares
+		return ErrInsufficientFunds().Result()
+	}
+
+	// test getting rational number from decimal provided
+	shares, err := sdk.NewRatFromDecimal(msg.Shares)
+	if err != nil {
+		return err.Result()
+	}
+
+	// test that there are enough shares to unbond
+	if msg.Shares == "MAX" {
+		if !bond.Shares.GT(sdk.ZeroRat) {
+			return ErrNotEnoughBondShares(msg.Shares).Result()
+		}
+	} else {
+		if !bond.Shares.GT(shares) {
+			return ErrNotEnoughBondShares(msg.Shares).Result()
+		}
+	}
+
+	// get candidate
+	candidate, found := k.GetCandidate(ctx, msg.CandidateAddr)
+	if !found {
+		return ErrNoCandidateForAddress().Result()
+	}
+
+	if ctx.IsCheckTx() {
+		return sdk.Result{
+			GasUsed: GasUnbond,
+		}
+	}
+
+	// retrieve the amount of bonds to remove (TODO remove redundancy already serialized)
+	if msg.Shares == "MAX" {
+		shares = bond.Shares
+	}
+
+	// subtract bond tokens from delegator bond
+	bond.Shares = bond.Shares.Sub(shares)
+
+	// remove the bond
+	revokeCandidacy := false
+	if bond.Shares.IsZero() {
+
+		// if the bond is the owner of the candidate then
+		// trigger a revoke candidacy
+		if bytes.Equal(bond.DelegatorAddr, candidate.Address) &&
+			candidate.Status != Revoked {
+			revokeCandidacy = true
+		}
+
+		k.removeDelegatorBond(ctx, bond)
+	} else {
+		k.setDelegatorBond(ctx, bond)
+	}
+
+	// Add the coins
+	returnAmount := k.candidateRemoveShares(ctx, candidate, shares)
+	returnCoins := sdk.Coins{{k.GetParams(ctx).BondDenom, returnAmount}}
+	k.coinKeeper.AddCoins(ctx, bond.DelegatorAddr, returnCoins)
+
+	// revoke candidate if necessary
+	if revokeCandidacy {
+
+		// change the share types to unbonded if they were not already
+		if candidate.Status == Bonded {
+			k.bondedToUnbondedPool(ctx, candidate)
+		}
+
+		// lastly update the status
+		candidate.Status = Revoked
+	}
+
+	// deduct shares from the candidate
+	if candidate.Liabilities.IsZero() {
+		k.removeCandidate(ctx, candidate.Address)
+	} else {
+		k.setCandidate(ctx, candidate)
+	}
+	return sdk.Result{}
+}
+
+// XXX where this used
+// Perform all the actions required to bond tokens to a delegator bond from their account
+func UnbondCoins(ctx sdk.Context, k Keeper, bond DelegatorBond, candidate Candidate, shares sdk.Rat) sdk.Error {
+
+	// subtract bond tokens from delegator bond
+	if bond.Shares.LT(shares) {
+		return sdk.ErrInsufficientFunds("") //XXX variables inside
+	}
+	bond.Shares = bond.Shares.Sub(shares)
+
+	returnAmount := k.candidateRemoveShares(ctx, candidate, shares)
+	returnCoins := sdk.Coins{{k.GetParams(ctx).BondDenom, returnAmount}}
+
+	_, err := k.coinKeeper.AddCoins(ctx, candidate.Address, returnCoins)
+	if err != nil {
+		return err
+	}
+	return nil
+}
diff --git a/x/stake/handler_test.go b/x/stake/handler_test.go
new file mode 100644
index 000000000..b6953df5c
--- /dev/null
+++ b/x/stake/handler_test.go
@@ -0,0 +1,248 @@
+package stake
+
+//import (
+//"strconv"
+//"testing"
+
+//"github.com/stretchr/testify/assert"
+//"github.com/stretchr/testify/require"
+
+//crypto "github.com/tendermint/go-crypto"
+
+//sdk "github.com/cosmos/cosmos-sdk/types"
+//)
+
+////______________________________________________________________________
+
+//func newTestMsgDeclareCandidacy(address sdk.Address, pubKey crypto.PubKey, amt int64) MsgDeclareCandidacy {
+//return MsgDeclareCandidacy{
+//Description:   Description{},
+//CandidateAddr: address,
+//Bond:          sdk.Coin{"fermion", amt},
+//PubKey:        pubKey,
+//}
+//}
+
+//func newTestMsgDelegate(amt int64, delegatorAddr, candidateAddr sdk.Address) MsgDelegate {
+//return MsgDelegate{
+//DelegatorAddr: delegatorAddr,
+//CandidateAddr: candidateAddr,
+//Bond:          sdk.Coin{"fermion", amt},
+//}
+//}
+
+//func TestDuplicatesMsgDeclareCandidacy(t *testing.T) {
+//ctxDeliver, _, keeper := createTestInput(t, addrs[0], false, 1000)
+//ctxCheck, _, keeper := createTestInput(t, addrs[0], true, 1000)
+
+//msgDeclareCandidacy := newTestMsgDeclareCandidacy(addrs[0], pks[0], 10)
+//got := deliverer.declareCandidacy(msgDeclareCandidacy)
+//assert.NoError(t, got, "expected no error on runMsgDeclareCandidacy")
+
+//// one sender can bond to two different addresses
+//msgDeclareCandidacy.Address = addrs[1]
+//err := checker.declareCandidacy(msgDeclareCandidacy)
+//assert.Nil(t, err, "didn't expected error on checkTx")
+
+//// two addrs cant bond to the same pubkey
+//checker.sender = addrs[1]
+//msgDeclareCandidacy.Address = addrs[0]
+//err = checker.declareCandidacy(msgDeclareCandidacy)
+//assert.NotNil(t, err, "expected error on checkTx")
+//}
+
+//func TestIncrementsMsgDelegate(t *testing.T) {
+//_, _, mapper, deliverer := createTestInput(t, addrs[0], false, 1000)
+
+//// first declare candidacy
+//bondAmount := int64(10)
+//msgDeclareCandidacy := newTestMsgDeclareCandidacy(addrs[0], pks[0], bondAmount)
+//got := deliverer.declareCandidacy(msgDeclareCandidacy)
+//assert.NoError(t, got, "expected declare candidacy msg to be ok, got %v", got)
+//expectedBond := bondAmount // 1 since we send 1 at the start of loop,
+
+//// just send the same msgbond multiple times
+//msgDelegate := newTestMsgDelegate(bondAmount, addrs[0])
+//for i := 0; i < 5; i++ {
+//got := deliverer.delegate(msgDelegate)
+//assert.NoError(t, got, "expected msg %d to be ok, got %v", i, got)
+
+////Check that the accounts and the bond account have the appropriate values
+//candidates := mapper.GetCandidates()
+//expectedBond += bondAmount
+////expectedSender := initSender - expectedBond
+//gotBonded := candidates[0].Liabilities.Evaluate()
+////gotSender := accStore[string(deliverer.sender)] //XXX use StoreMapper
+//assert.Equal(t, expectedBond, gotBonded, "i: %v, %v, %v", i, expectedBond, gotBonded)
+////assert.Equal(t, expectedSender, gotSender, "i: %v, %v, %v", i, expectedSender, gotSender) // XXX fix
+//}
+//}
+
+//func TestIncrementsMsgUnbond(t *testing.T) {
+//_, _, mapper, deliverer := createTestInput(t, addrs[0], false, 0)
+
+//// set initial bond
+//initBond := int64(1000)
+////accStore[string(deliverer.sender)] = initBond //XXX use StoreMapper
+//got := deliverer.declareCandidacy(newTestMsgDeclareCandidacy(addrs[0], pks[0], initBond))
+//assert.NoError(t, got, "expected initial bond msg to be ok, got %v", got)
+
+//// just send the same msgunbond multiple times
+//// XXX use decimals here
+//unbondShares, unbondSharesStr := int64(10), "10"
+//msgUndelegate := NewMsgUnbond(addrs[0], unbondSharesStr)
+//nUnbonds := 5
+//for i := 0; i < nUnbonds; i++ {
+//got := deliverer.unbond(msgUndelegate)
+//assert.NoError(t, got, "expected msg %d to be ok, got %v", i, got)
+
+////Check that the accounts and the bond account have the appropriate values
+//candidates := mapper.GetCandidates()
+//expectedBond := initBond - int64(i+1)*unbondShares // +1 since we send 1 at the start of loop
+////expectedSender := initSender + (initBond - expectedBond)
+//gotBonded := candidates[0].Liabilities.Evaluate()
+////gotSender := accStore[string(deliverer.sender)] // XXX use storemapper
+
+//assert.Equal(t, expectedBond, gotBonded, "%v, %v", expectedBond, gotBonded)
+////assert.Equal(t, expectedSender, gotSender, "%v, %v", expectedSender, gotSender) //XXX fix
+//}
+
+//// these are more than we have bonded now
+//errorCases := []int64{
+////1<<64 - 1, // more than int64
+////1<<63 + 1, // more than int64
+//1<<63 - 1,
+//1 << 31,
+//initBond,
+//}
+//for _, c := range errorCases {
+//unbondShares := strconv.Itoa(int(c))
+//msgUndelegate := NewMsgUnbond(addrs[0], unbondShares)
+//got = deliverer.unbond(msgUndelegate)
+//assert.Error(t, got, "expected unbond msg to fail")
+//}
+
+//leftBonded := initBond - unbondShares*int64(nUnbonds)
+
+//// should be unable to unbond one more than we have
+//msgUndelegate = NewMsgUnbond(addrs[0], strconv.Itoa(int(leftBonded)+1))
+//got = deliverer.unbond(msgUndelegate)
+//assert.Error(t, got, "expected unbond msg to fail")
+
+//// should be able to unbond just what we have
+//msgUndelegate = NewMsgUnbond(addrs[0], strconv.Itoa(int(leftBonded)))
+//got = deliverer.unbond(msgUndelegate)
+//assert.NoError(t, got, "expected unbond msg to pass")
+//}
+
+//func TestMultipleMsgDeclareCandidacy(t *testing.T) {
+//initSender := int64(1000)
+//ctx, accStore, mapper, deliverer := createTestInput(t, addrs[0], false, initSender)
+//addrs := []sdk.Address{addrs[0], addrs[1], addrs[2]}
+
+//// bond them all
+//for i, addr := range addrs {
+//msgDeclareCandidacy := newTestMsgDeclareCandidacy(addrs[i], pks[i], 10)
+//deliverer.sender = addr
+//got := deliverer.declareCandidacy(msgDeclareCandidacy)
+//assert.NoError(t, got, "expected msg %d to be ok, got %v", i, got)
+
+////Check that the account is bonded
+//candidates := mapper.GetCandidates()
+//require.Equal(t, i, len(candidates))
+//val := candidates[i]
+//balanceExpd := initSender - 10
+//balanceGot := accStore.GetAccount(ctx, val.Address).GetCoins()
+//assert.Equal(t, i+1, len(candidates), "expected %d candidates got %d, candidates: %v", i+1, len(candidates), candidates)
+//assert.Equal(t, 10, int(val.Liabilities.Evaluate()), "expected %d shares, got %d", 10, val.Liabilities)
+//assert.Equal(t, balanceExpd, balanceGot, "expected account to have %d, got %d", balanceExpd, balanceGot)
+//}
+
+//// unbond them all
+//for i, addr := range addrs {
+//candidatePre := mapper.GetCandidate(addrs[i])
+//msgUndelegate := NewMsgUnbond(addrs[i], "10")
+//deliverer.sender = addr
+//got := deliverer.unbond(msgUndelegate)
+//assert.NoError(t, got, "expected msg %d to be ok, got %v", i, got)
+
+////Check that the account is unbonded
+//candidates := mapper.GetCandidates()
+//assert.Equal(t, len(addrs)-(i+1), len(candidates), "expected %d candidates got %d", len(addrs)-(i+1), len(candidates))
+
+//candidatePost := mapper.GetCandidate(addrs[i])
+//balanceExpd := initSender
+//balanceGot := accStore.GetAccount(ctx, candidatePre.Address).GetCoins()
+//assert.Nil(t, candidatePost, "expected nil candidate retrieve, got %d", 0, candidatePost)
+//assert.Equal(t, balanceExpd, balanceGot, "expected account to have %d, got %d", balanceExpd, balanceGot)
+//}
+//}
+
+//func TestMultipleMsgDelegate(t *testing.T) {
+//sender, delegators := addrs[0], addrs[1:]
+//_, _, mapper, deliverer := createTestInput(t, addrs[0], false, 1000)
+
+////first make a candidate
+//msgDeclareCandidacy := newTestMsgDeclareCandidacy(sender, pks[0], 10)
+//got := deliverer.declareCandidacy(msgDeclareCandidacy)
+//require.NoError(t, got, "expected msg to be ok, got %v", got)
+
+//// delegate multiple parties
+//for i, delegator := range delegators {
+//msgDelegate := newTestMsgDelegate(10, sender)
+//deliverer.sender = delegator
+//got := deliverer.delegate(msgDelegate)
+//require.NoError(t, got, "expected msg %d to be ok, got %v", i, got)
+
+////Check that the account is bonded
+//bond := mapper.getDelegatorBond(delegator, sender)
+//assert.NotNil(t, bond, "expected delegatee bond %d to exist", bond)
+//}
+
+//// unbond them all
+//for i, delegator := range delegators {
+//msgUndelegate := NewMsgUnbond(sender, "10")
+//deliverer.sender = delegator
+//got := deliverer.unbond(msgUndelegate)
+//require.NoError(t, got, "expected msg %d to be ok, got %v", i, got)
+
+////Check that the account is unbonded
+//bond := mapper.getDelegatorBond(delegator, sender)
+//assert.Nil(t, bond, "expected delegatee bond %d to be nil", bond)
+//}
+//}
+
+//func TestVoidCandidacy(t *testing.T) {
+//sender, delegator := addrs[0], addrs[1]
+//_, _, _, deliverer := createTestInput(t, addrs[0], false, 1000)
+
+//// create the candidate
+//msgDeclareCandidacy := newTestMsgDeclareCandidacy(addrs[0], pks[0], 10)
+//got := deliverer.declareCandidacy(msgDeclareCandidacy)
+//require.NoError(t, got, "expected no error on runMsgDeclareCandidacy")
+
+//// bond a delegator
+//msgDelegate := newTestMsgDelegate(10, addrs[0])
+//deliverer.sender = delegator
+//got = deliverer.delegate(msgDelegate)
+//require.NoError(t, got, "expected ok, got %v", got)
+
+//// unbond the candidates bond portion
+//msgUndelegate := NewMsgUnbond(addrs[0], "10")
+//deliverer.sender = sender
+//got = deliverer.unbond(msgUndelegate)
+//require.NoError(t, got, "expected no error on runMsgDeclareCandidacy")
+
+//// test that this pubkey cannot yet be bonded too
+//deliverer.sender = delegator
+//got = deliverer.delegate(msgDelegate)
+//assert.Error(t, got, "expected error, got %v", got)
+
+//// test that the delegator can still withdraw their bonds
+//got = deliverer.unbond(msgUndelegate)
+//require.NoError(t, got, "expected no error on runMsgDeclareCandidacy")
+
+//// verify that the pubkey can now be reused
+//got = deliverer.declareCandidacy(msgDeclareCandidacy)
+//assert.NoError(t, got, "expected ok, got %v", got)
+//}
diff --git a/x/stake/keeper.go b/x/stake/keeper.go
new file mode 100644
index 000000000..af2015fe8
--- /dev/null
+++ b/x/stake/keeper.go
@@ -0,0 +1,300 @@
+package stake
+
+import (
+	sdk "github.com/cosmos/cosmos-sdk/types"
+	"github.com/cosmos/cosmos-sdk/wire"
+	"github.com/cosmos/cosmos-sdk/x/bank"
+)
+
+// keeper of the staking store
+type Keeper struct {
+	storeKey   sdk.StoreKey
+	cdc        *wire.Codec
+	coinKeeper bank.CoinKeeper
+
+	// caches
+	gs     Pool
+	params Params
+}
+
+func NewKeeper(ctx sdk.Context, cdc *wire.Codec, key sdk.StoreKey, ck bank.CoinKeeper) Keeper {
+	keeper := Keeper{
+		storeKey:   key,
+		cdc:        cdc,
+		coinKeeper: ck,
+	}
+	return keeper
+}
+
+//_________________________________________________________________________
+
+// get a single candidate
+func (k Keeper) GetCandidate(ctx sdk.Context, addr sdk.Address) (candidate Candidate, found bool) {
+	store := ctx.KVStore(k.storeKey)
+	b := store.Get(GetCandidateKey(addr))
+	if b == nil {
+		return candidate, false
+	}
+	err := k.cdc.UnmarshalBinary(b, &candidate)
+	if err != nil {
+		panic(err)
+	}
+	return candidate, true
+}
+
+// Get the set of all candidates, retrieve a maxRetrieve number of records
+func (k Keeper) GetCandidates(ctx sdk.Context, maxRetrieve int16) (candidates Candidates) {
+	store := ctx.KVStore(k.storeKey)
+	iterator := store.Iterator(subspace(CandidatesKey))
+
+	candidates = make([]Candidate, maxRetrieve)
+	i := 0
+	for ; ; i++ {
+		if !iterator.Valid() || i > int(maxRetrieve-1) {
+			iterator.Close()
+			break
+		}
+		bz := iterator.Value()
+		var candidate Candidate
+		err := k.cdc.UnmarshalBinary(bz, &candidate)
+		if err != nil {
+			panic(err)
+		}
+		candidates[i] = candidate
+		iterator.Next()
+	}
+	return candidates[:i] // trim
+}
+
+func (k Keeper) setCandidate(ctx sdk.Context, candidate Candidate) {
+	store := ctx.KVStore(k.storeKey)
+	address := candidate.Address
+
+	// retreive the old candidate record
+	oldCandidate, oldFound := k.GetCandidate(ctx, address)
+
+	// marshal the candidate record and add to the state
+	bz, err := k.cdc.MarshalBinary(candidate)
+	if err != nil {
+		panic(err)
+	}
+	store.Set(GetCandidateKey(candidate.Address), bz)
+
+	// mashal the new validator record
+	validator := Validator{address, candidate.Assets}
+	bz, err = k.cdc.MarshalBinary(validator)
+	if err != nil {
+		panic(err)
+	}
+
+	// update the list ordered by voting power
+	if oldFound {
+		store.Delete(GetValidatorKey(address, oldCandidate.Assets, k.cdc))
+	}
+	store.Set(GetValidatorKey(address, validator.VotingPower, k.cdc), bz)
+
+	// add to the validators to update list if is already a validator
+	if store.Get(GetRecentValidatorKey(address)) == nil {
+		return
+	}
+	store.Set(GetAccUpdateValidatorKey(validator.Address), bz)
+
+}
+
+func (k Keeper) removeCandidate(ctx sdk.Context, address sdk.Address) {
+
+	// first retreive the old candidate record
+	oldCandidate, found := k.GetCandidate(ctx, address)
+	if !found {
+		return
+	}
+
+	// delete the old candidate record
+	store := ctx.KVStore(k.storeKey)
+	store.Delete(GetCandidateKey(address))
+
+	// delete from recent and power weighted validator groups if the validator
+	// exists and add validator with zero power to the validator updates
+	if store.Get(GetRecentValidatorKey(address)) == nil {
+		return
+	}
+	bz, err := k.cdc.MarshalBinary(Validator{address, sdk.ZeroRat})
+	if err != nil {
+		panic(err)
+	}
+	store.Set(GetAccUpdateValidatorKey(address), bz)
+	store.Delete(GetRecentValidatorKey(address))
+	store.Delete(GetValidatorKey(address, oldCandidate.Assets, k.cdc))
+}
+
+//___________________________________________________________________________
+
+// get the most recent updated validator set from the Candidates. These bonds
+// are already sorted by Assets from the UpdateVotingPower function which
+// is the only function which is to modify the Assets
+// this function also updaates the most recent validators saved in store
+func (k Keeper) GetValidators(ctx sdk.Context) (validators []Validator) {
+	store := ctx.KVStore(k.storeKey)
+
+	// clear the recent validators store
+	k.deleteSubSpace(store, RecentValidatorsKey)
+
+	// add the actual validator power sorted store
+	maxVal := k.GetParams(ctx).MaxValidators
+	iterator := store.ReverseIterator(subspace(ValidatorsKey)) //smallest to largest
+	validators = make([]Validator, maxVal)
+	i := 0
+	for ; ; i++ {
+		if !iterator.Valid() || i > int(maxVal-1) {
+			iterator.Close()
+			break
+		}
+		bz := iterator.Value()
+		var val Validator
+		err := k.cdc.UnmarshalBinary(bz, &val)
+		if err != nil {
+			panic(err)
+		}
+		validators[i] = val
+
+		// also add to the recent validators group
+		store.Set(GetRecentValidatorKey(val.Address), bz)
+
+		iterator.Next()
+	}
+
+	return validators[:i] // trim
+}
+
+// Is the address provided a part of the most recently saved validator group?
+func (k Keeper) IsRecentValidator(ctx sdk.Context, address sdk.Address) bool {
+	store := ctx.KVStore(k.storeKey)
+	if store.Get(GetRecentValidatorKey(address)) == nil {
+		return false
+	}
+	return true
+}
+
+//_________________________________________________________________________
+// Accumulated updates to the validator set
+
+// get the most recently updated validators
+func (k Keeper) getAccUpdateValidators(ctx sdk.Context) (updates []Validator) {
+	store := ctx.KVStore(k.storeKey)
+
+	iterator := store.Iterator(subspace(AccUpdateValidatorsKey)) //smallest to largest
+	for ; iterator.Valid(); iterator.Next() {
+		valBytes := iterator.Value()
+		var val Validator
+		err := k.cdc.UnmarshalBinary(valBytes, &val)
+		if err != nil {
+			panic(err)
+		}
+		updates = append(updates, val)
+	}
+	iterator.Close()
+	return
+}
+
+// remove all validator update entries
+func (k Keeper) clearAccUpdateValidators(ctx sdk.Context) {
+	store := ctx.KVStore(k.storeKey)
+	k.deleteSubSpace(store, AccUpdateValidatorsKey)
+}
+
+// TODO move to common functionality somewhere
+func (k Keeper) deleteSubSpace(store sdk.KVStore, key []byte) {
+	iterator := store.Iterator(subspace(key))
+	for ; iterator.Valid(); iterator.Next() {
+		store.Delete(iterator.Key())
+	}
+	iterator.Close()
+}
+
+//_____________________________________________________________________
+
+func (k Keeper) getDelegatorBond(ctx sdk.Context,
+	delegatorAddr, candidateAddr sdk.Address) (bond DelegatorBond, found bool) {
+
+	store := ctx.KVStore(k.storeKey)
+	delegatorBytes := store.Get(GetDelegatorBondKey(delegatorAddr, candidateAddr, k.cdc))
+	if delegatorBytes == nil {
+		return bond, false
+	}
+
+	err := k.cdc.UnmarshalBinary(delegatorBytes, &bond)
+	if err != nil {
+		panic(err)
+	}
+	return bond, true
+}
+
+// load all bonds of a delegator
+func (k Keeper) getDelegatorBonds(ctx sdk.Context, delegator sdk.Address, maxRetrieve int16) (bonds []DelegatorBond) {
+	store := ctx.KVStore(k.storeKey)
+	delegatorPrefixKey := GetDelegatorBondsKey(delegator, k.cdc)
+	iterator := store.Iterator(subspace(delegatorPrefixKey)) //smallest to largest
+
+	bonds = make([]DelegatorBond, maxRetrieve)
+	i := 0
+	for ; ; i++ {
+		if !iterator.Valid() || i > int(maxRetrieve-1) {
+			iterator.Close()
+			break
+		}
+		bondBytes := iterator.Value()
+		var bond DelegatorBond
+		err := k.cdc.UnmarshalBinary(bondBytes, &bond)
+		if err != nil {
+			panic(err)
+		}
+		bonds[i] = bond
+		iterator.Next()
+	}
+	return bonds[:i] // trim
+}
+
+func (k Keeper) setDelegatorBond(ctx sdk.Context, bond DelegatorBond) {
+	store := ctx.KVStore(k.storeKey)
+	b, err := k.cdc.MarshalBinary(bond)
+	if err != nil {
+		panic(err)
+	}
+	store.Set(GetDelegatorBondKey(bond.DelegatorAddr, bond.CandidateAddr, k.cdc), b)
+}
+
+func (k Keeper) removeDelegatorBond(ctx sdk.Context, bond DelegatorBond) {
+	store := ctx.KVStore(k.storeKey)
+	store.Delete(GetDelegatorBondKey(bond.DelegatorAddr, bond.CandidateAddr, k.cdc))
+}
+
+//_______________________________________________________________________
+
+// load/save the global staking params
+func (k Keeper) GetParams(ctx sdk.Context) (params Params) {
+	// check if cached before anything
+	if k.params != (Params{}) {
+		return k.params
+	}
+	store := ctx.KVStore(k.storeKey)
+	b := store.Get(ParamKey)
+	if b == nil {
+		k.params = defaultParams()
+		return k.params
+	}
+
+	err := k.cdc.UnmarshalBinary(b, &params)
+	if err != nil {
+		panic(err)
+	}
+	return
+}
+func (k Keeper) setParams(ctx sdk.Context, params Params) {
+	store := ctx.KVStore(k.storeKey)
+	b, err := k.cdc.MarshalBinary(params)
+	if err != nil {
+		panic(err)
+	}
+	store.Set(ParamKey, b)
+	k.params = Params{} // clear the cache
+}
diff --git a/x/stake/keeper_keys.go b/x/stake/keeper_keys.go
new file mode 100644
index 000000000..051994456
--- /dev/null
+++ b/x/stake/keeper_keys.go
@@ -0,0 +1,58 @@
+package stake
+
+import (
+	sdk "github.com/cosmos/cosmos-sdk/types"
+	"github.com/cosmos/cosmos-sdk/wire"
+)
+
+// TODO remove some of these prefixes once have working multistore
+
+//nolint
+var (
+	// Keys for store prefixes
+	ParamKey               = []byte{0x00} // key for global parameters relating to staking
+	PoolKey                = []byte{0x01} // key for global parameters relating to staking
+	CandidatesKey          = []byte{0x02} // prefix for each key to a candidate
+	ValidatorsKey          = []byte{0x03} // prefix for each key to a validator
+	AccUpdateValidatorsKey = []byte{0x04} // prefix for each key to a validator which is being updated
+	RecentValidatorsKey    = []byte{0x04} // prefix for each key to the last updated validator group
+
+	DelegatorBondKeyPrefix = []byte{0x05} // prefix for each key to a delegator's bond
+)
+
+const maxDigitsForAccount = 12 // ~220,000,000 atoms created at launch
+
+// get the key for the candidate with address
+func GetCandidateKey(addr sdk.Address) []byte {
+	return append(CandidatesKey, addr.Bytes()...)
+}
+
+// get the key for the validator used in the power-store
+func GetValidatorKey(addr sdk.Address, power sdk.Rat, cdc *wire.Codec) []byte {
+	powerBytes := []byte(power.ToLeftPadded(maxDigitsForAccount))
+	return append(ValidatorsKey, append(powerBytes, addr.Bytes()...)...)
+}
+
+// get the key for the accumulated update validators
+func GetAccUpdateValidatorKey(addr sdk.Address) []byte {
+	return append(AccUpdateValidatorsKey, addr.Bytes()...)
+}
+
+// get the key for the accumulated update validators
+func GetRecentValidatorKey(addr sdk.Address) []byte {
+	return append(RecentValidatorsKey, addr.Bytes()...)
+}
+
+// get the key for delegator bond with candidate
+func GetDelegatorBondKey(delegatorAddr, candidateAddr sdk.Address, cdc *wire.Codec) []byte {
+	return append(GetDelegatorBondsKey(delegatorAddr, cdc), candidateAddr.Bytes()...)
+}
+
+// get the prefix for a delegator for all candidates
+func GetDelegatorBondsKey(delegatorAddr sdk.Address, cdc *wire.Codec) []byte {
+	res, err := cdc.MarshalBinary(&delegatorAddr)
+	if err != nil {
+		panic(err)
+	}
+	return append(DelegatorBondKeyPrefix, res...)
+}
diff --git a/x/stake/keeper_test.go b/x/stake/keeper_test.go
new file mode 100644
index 000000000..6e7478957
--- /dev/null
+++ b/x/stake/keeper_test.go
@@ -0,0 +1,307 @@
+package stake
+
+import (
+	"bytes"
+	"testing"
+
+	sdk "github.com/cosmos/cosmos-sdk/types"
+	crypto "github.com/tendermint/go-crypto"
+
+	"github.com/stretchr/testify/assert"
+	"github.com/stretchr/testify/require"
+)
+
+var (
+	addrDel1 = addrs[0]
+	addrDel2 = addrs[1]
+	addrVal1 = addrs[2]
+	addrVal2 = addrs[3]
+	addrVal3 = addrs[4]
+	pk1      = crypto.GenPrivKeyEd25519().PubKey()
+	pk2      = crypto.GenPrivKeyEd25519().PubKey()
+	pk3      = crypto.GenPrivKeyEd25519().PubKey()
+
+	candidate1 = Candidate{
+		Address:     addrVal1,
+		PubKey:      pk1,
+		Assets:      sdk.NewRat(9),
+		Liabilities: sdk.NewRat(9),
+	}
+	candidate2 = Candidate{
+		Address:     addrVal2,
+		PubKey:      pk2,
+		Assets:      sdk.NewRat(9),
+		Liabilities: sdk.NewRat(9),
+	}
+	candidate3 = Candidate{
+		Address:     addrVal3,
+		PubKey:      pk3,
+		Assets:      sdk.NewRat(9),
+		Liabilities: sdk.NewRat(9),
+	}
+)
+
+// This function tests GetCandidate, GetCandidates, setCandidate, removeCandidate
+func TestCandidate(t *testing.T) {
+	ctx, _, keeper := createTestInput(t, nil, false, 0)
+
+	candidatesEqual := func(c1, c2 Candidate) bool {
+		return c1.Status == c2.Status &&
+			c1.PubKey.Equals(c2.PubKey) &&
+			bytes.Equal(c1.Address, c2.Address) &&
+			c1.Assets.Equal(c2.Assets) &&
+			c1.Liabilities.Equal(c2.Liabilities) &&
+			c1.Description == c2.Description
+	}
+
+	// check the empty keeper first
+	_, found := keeper.GetCandidate(ctx, addrVal1)
+	assert.False(t, found)
+	resCands := keeper.GetCandidates(ctx, 100)
+	assert.Zero(t, len(resCands))
+
+	// set and retrieve a record
+	keeper.setCandidate(ctx, candidate1)
+	resCand, found := keeper.GetCandidate(ctx, addrVal1)
+	require.True(t, found)
+	assert.True(t, candidatesEqual(candidate1, resCand), "%v \n %v", resCand, candidate1)
+
+	// modify a records, save, and retrieve
+	candidate1.Liabilities = sdk.NewRat(99)
+	keeper.setCandidate(ctx, candidate1)
+	resCand, found = keeper.GetCandidate(ctx, addrVal1)
+	require.True(t, found)
+	assert.True(t, candidatesEqual(candidate1, resCand))
+
+	// also test that the address has been added to address list
+	resCands = keeper.GetCandidates(ctx, 100)
+	require.Equal(t, 1, len(resCands))
+	assert.Equal(t, addrVal1, resCands[0].Address)
+
+	// add other candidates
+	keeper.setCandidate(ctx, candidate2)
+	keeper.setCandidate(ctx, candidate3)
+	resCand, found = keeper.GetCandidate(ctx, addrVal2)
+	require.True(t, found)
+	assert.True(t, candidatesEqual(candidate2, resCand), "%v \n %v", resCand, candidate2)
+	resCand, found = keeper.GetCandidate(ctx, addrVal3)
+	require.True(t, found)
+	assert.True(t, candidatesEqual(candidate3, resCand), "%v \n %v", resCand, candidate3)
+	resCands = keeper.GetCandidates(ctx, 100)
+	require.Equal(t, 3, len(resCands))
+	assert.True(t, candidatesEqual(candidate1, resCands[0]), "%v \n %v", resCands[0], candidate1)
+	assert.True(t, candidatesEqual(candidate2, resCands[1]), "%v \n %v", resCands[1], candidate2)
+	assert.True(t, candidatesEqual(candidate3, resCands[2]), "%v \n %v", resCands[2], candidate3)
+
+	// remove a record
+	keeper.removeCandidate(ctx, candidate2.Address)
+	_, found = keeper.GetCandidate(ctx, addrVal2)
+	assert.False(t, found)
+}
+
+// tests GetDelegatorBond, GetDelegatorBonds, SetDelegatorBond, removeDelegatorBond
+func TestBond(t *testing.T) {
+	ctx, _, keeper := createTestInput(t, nil, false, 0)
+
+	// first add a candidate1 to delegate too
+	keeper.setCandidate(ctx, candidate1)
+
+	bond1to1 := DelegatorBond{
+		DelegatorAddr: addrDel1,
+		CandidateAddr: addrVal1,
+		Shares:        sdk.NewRat(9),
+	}
+
+	bondsEqual := func(b1, b2 DelegatorBond) bool {
+		return bytes.Equal(b1.DelegatorAddr, b2.DelegatorAddr) &&
+			bytes.Equal(b1.CandidateAddr, b2.CandidateAddr) &&
+			b1.Shares == b2.Shares
+	}
+
+	// check the empty keeper first
+	_, found := keeper.getDelegatorBond(ctx, addrDel1, addrVal1)
+	assert.False(t, found)
+
+	// set and retrieve a record
+	keeper.setDelegatorBond(ctx, bond1to1)
+	resBond, found := keeper.getDelegatorBond(ctx, addrDel1, addrVal1)
+	assert.True(t, found)
+	assert.True(t, bondsEqual(bond1to1, resBond))
+
+	// modify a records, save, and retrieve
+	bond1to1.Shares = sdk.NewRat(99)
+	keeper.setDelegatorBond(ctx, bond1to1)
+	resBond, found = keeper.getDelegatorBond(ctx, addrDel1, addrVal1)
+	assert.True(t, found)
+	assert.True(t, bondsEqual(bond1to1, resBond))
+
+	// add some more records
+	keeper.setCandidate(ctx, candidate2)
+	keeper.setCandidate(ctx, candidate3)
+	bond1to2 := DelegatorBond{addrDel1, addrVal2, sdk.NewRat(9)}
+	bond1to3 := DelegatorBond{addrDel1, addrVal3, sdk.NewRat(9)}
+	bond2to1 := DelegatorBond{addrDel2, addrVal1, sdk.NewRat(9)}
+	bond2to2 := DelegatorBond{addrDel2, addrVal2, sdk.NewRat(9)}
+	bond2to3 := DelegatorBond{addrDel2, addrVal3, sdk.NewRat(9)}
+	keeper.setDelegatorBond(ctx, bond1to2)
+	keeper.setDelegatorBond(ctx, bond1to3)
+	keeper.setDelegatorBond(ctx, bond2to1)
+	keeper.setDelegatorBond(ctx, bond2to2)
+	keeper.setDelegatorBond(ctx, bond2to3)
+
+	// test all bond retrieve capabilities
+	resBonds := keeper.getDelegatorBonds(ctx, addrDel1, 5)
+	require.Equal(t, 3, len(resBonds))
+	assert.True(t, bondsEqual(bond1to1, resBonds[0]))
+	assert.True(t, bondsEqual(bond1to2, resBonds[1]))
+	assert.True(t, bondsEqual(bond1to3, resBonds[2]))
+	resBonds = keeper.getDelegatorBonds(ctx, addrDel1, 3)
+	require.Equal(t, 3, len(resBonds))
+	resBonds = keeper.getDelegatorBonds(ctx, addrDel1, 2)
+	require.Equal(t, 2, len(resBonds))
+	resBonds = keeper.getDelegatorBonds(ctx, addrDel2, 5)
+	require.Equal(t, 3, len(resBonds))
+	assert.True(t, bondsEqual(bond2to1, resBonds[0]))
+	assert.True(t, bondsEqual(bond2to2, resBonds[1]))
+	assert.True(t, bondsEqual(bond2to3, resBonds[2]))
+
+	// delete a record
+	keeper.removeDelegatorBond(ctx, bond2to3)
+	_, found = keeper.getDelegatorBond(ctx, addrDel2, addrVal3)
+	assert.False(t, found)
+	resBonds = keeper.getDelegatorBonds(ctx, addrDel2, 5)
+	require.Equal(t, 2, len(resBonds))
+	assert.True(t, bondsEqual(bond2to1, resBonds[0]))
+	assert.True(t, bondsEqual(bond2to2, resBonds[1]))
+
+	// delete all the records from delegator 2
+	keeper.removeDelegatorBond(ctx, bond2to1)
+	keeper.removeDelegatorBond(ctx, bond2to2)
+	_, found = keeper.getDelegatorBond(ctx, addrDel2, addrVal1)
+	assert.False(t, found)
+	_, found = keeper.getDelegatorBond(ctx, addrDel2, addrVal2)
+	assert.False(t, found)
+	resBonds = keeper.getDelegatorBonds(ctx, addrDel2, 5)
+	require.Equal(t, 0, len(resBonds))
+}
+
+// TODO integrate in testing for equal validators, whichever one was a validator
+// first remains the validator https://github.com/cosmos/cosmos-sdk/issues/582
+func TestGetValidators(t *testing.T) {
+	ctx, _, keeper := createTestInput(t, nil, false, 0)
+
+	// initialize some candidates into the state
+	amts := []int64{0, 100, 1, 400, 200}
+	n := len(amts)
+	candidates := make([]Candidate, n)
+	for i := 0; i < n; i++ {
+		c := Candidate{
+			Status:      Unbonded,
+			PubKey:      pks[i],
+			Address:     addrs[i],
+			Assets:      sdk.NewRat(amts[i]),
+			Liabilities: sdk.NewRat(amts[i]),
+		}
+		keeper.setCandidate(ctx, c)
+		candidates[i] = c
+	}
+
+	// first make sure everything as normal is ordered
+	validators := keeper.GetValidators(ctx)
+	require.Equal(t, len(validators), n)
+	assert.Equal(t, sdk.NewRat(400), validators[0].VotingPower, "%v", validators)
+	assert.Equal(t, sdk.NewRat(200), validators[1].VotingPower, "%v", validators)
+	assert.Equal(t, sdk.NewRat(100), validators[2].VotingPower, "%v", validators)
+	assert.Equal(t, sdk.NewRat(1), validators[3].VotingPower, "%v", validators)
+	assert.Equal(t, sdk.NewRat(0), validators[4].VotingPower, "%v", validators)
+	assert.Equal(t, candidates[3].Address, validators[0].Address, "%v", validators)
+	assert.Equal(t, candidates[4].Address, validators[1].Address, "%v", validators)
+	assert.Equal(t, candidates[1].Address, validators[2].Address, "%v", validators)
+	assert.Equal(t, candidates[2].Address, validators[3].Address, "%v", validators)
+	assert.Equal(t, candidates[0].Address, validators[4].Address, "%v", validators)
+
+	// test a basic increase in voting power
+	candidates[3].Assets = sdk.NewRat(500)
+	keeper.setCandidate(ctx, candidates[3])
+	validators = keeper.GetValidators(ctx)
+	require.Equal(t, len(validators), n)
+	assert.Equal(t, sdk.NewRat(500), validators[0].VotingPower, "%v", validators)
+	assert.Equal(t, candidates[3].Address, validators[0].Address, "%v", validators)
+
+	// test a decrease in voting power
+	candidates[3].Assets = sdk.NewRat(300)
+	keeper.setCandidate(ctx, candidates[3])
+	validators = keeper.GetValidators(ctx)
+	require.Equal(t, len(validators), n)
+	assert.Equal(t, sdk.NewRat(300), validators[0].VotingPower, "%v", validators)
+	assert.Equal(t, candidates[3].Address, validators[0].Address, "%v", validators)
+
+	// test a swap in voting power
+	candidates[0].Assets = sdk.NewRat(600)
+	keeper.setCandidate(ctx, candidates[0])
+	validators = keeper.GetValidators(ctx)
+	require.Equal(t, len(validators), n)
+	assert.Equal(t, sdk.NewRat(600), validators[0].VotingPower, "%v", validators)
+	assert.Equal(t, candidates[0].Address, validators[0].Address, "%v", validators)
+	assert.Equal(t, sdk.NewRat(300), validators[1].VotingPower, "%v", validators)
+	assert.Equal(t, candidates[3].Address, validators[1].Address, "%v", validators)
+
+	// test the max validators term
+	params := keeper.GetParams(ctx)
+	n = 2
+	params.MaxValidators = uint16(n)
+	keeper.setParams(ctx, params)
+	validators = keeper.GetValidators(ctx)
+	require.Equal(t, len(validators), n)
+	assert.Equal(t, sdk.NewRat(600), validators[0].VotingPower, "%v", validators)
+	assert.Equal(t, candidates[0].Address, validators[0].Address, "%v", validators)
+	assert.Equal(t, sdk.NewRat(300), validators[1].VotingPower, "%v", validators)
+	assert.Equal(t, candidates[3].Address, validators[1].Address, "%v", validators)
+}
+
+// TODO
+// test the mechanism which keeps track of a validator set change
+func TestGetAccUpdateValidators(t *testing.T) {
+	//TODO
+	// test from nothing to something
+	// test from something to nothing
+	// test identical
+	// test single value change
+	// test multiple value change
+	// test validator added at the beginning
+	// test validator added in the middle
+	// test validator added at the end
+	// test multiple validators removed
+}
+
+// clear the tracked changes to the validator set
+func TestClearAccUpdateValidators(t *testing.T) {
+	//TODO
+}
+
+// test if is a validator from the last update
+func TestIsRecentValidator(t *testing.T) {
+	//TODO
+
+	// test that an empty validator set doesn't have any validators
+	// get the validators for the first time
+	// test a basic retrieve of something that should be a recent validator
+	// test a basic retrieve of something that should not be a recent validator
+	// remove that validator, but don't retrieve the recent validator group
+	// test that removed validator is not considered a recent validator
+}
+
+func TestParams(t *testing.T) {
+	ctx, _, keeper := createTestInput(t, nil, false, 0)
+	expParams := defaultParams()
+
+	//check that the empty keeper loads the default
+	resParams := keeper.GetParams(ctx)
+	assert.Equal(t, expParams, resParams)
+
+	//modify a params, save, and retrieve
+	expParams.MaxValidators = 777
+	keeper.setParams(ctx, expParams)
+	resParams = keeper.GetParams(ctx)
+	assert.Equal(t, expParams, resParams)
+}
diff --git a/x/stake/msg.go b/x/stake/msg.go
new file mode 100644
index 000000000..28a2edf79
--- /dev/null
+++ b/x/stake/msg.go
@@ -0,0 +1,227 @@
+package stake
+
+import (
+	"encoding/json"
+	"fmt"
+
+	sdk "github.com/cosmos/cosmos-sdk/types"
+	crypto "github.com/tendermint/go-crypto"
+)
+
+// name to idetify transaction types
+const MsgType = "stake"
+
+// XXX remove: think it makes more sense belonging with the Params so we can
+// initialize at genesis - to allow for the same tests we should should make
+// the ValidateBasic() function a return from an initializable function
+// ValidateBasic(bondDenom string) function
+const StakingToken = "fermion"
+
+//Verify interface at compile time
+var _, _, _, _ sdk.Msg = &MsgDeclareCandidacy{}, &MsgEditCandidacy{}, &MsgDelegate{}, &MsgUnbond{}
+
+//______________________________________________________________________
+
+// MsgDeclareCandidacy - struct for unbonding transactions
+type MsgDeclareCandidacy struct {
+	Description
+	CandidateAddr sdk.Address   `json:"address"`
+	PubKey        crypto.PubKey `json:"pubkey"`
+	Bond          sdk.Coin      `json:"bond"`
+}
+
+func NewMsgDeclareCandidacy(candidateAddr sdk.Address, pubkey crypto.PubKey,
+	bond sdk.Coin, description Description) MsgDeclareCandidacy {
+	return MsgDeclareCandidacy{
+		Description:   description,
+		CandidateAddr: candidateAddr,
+		PubKey:        pubkey,
+		Bond:          bond,
+	}
+}
+
+//nolint
+func (msg MsgDeclareCandidacy) Type() string                            { return MsgType } //TODO update "stake/declarecandidacy"
+func (msg MsgDeclareCandidacy) Get(key interface{}) (value interface{}) { return nil }
+func (msg MsgDeclareCandidacy) GetSigners() []sdk.Address               { return []sdk.Address{msg.CandidateAddr} }
+func (msg MsgDeclareCandidacy) String() string {
+	return fmt.Sprintf("CandidateAddr{Address: %v}", msg.CandidateAddr) // XXX fix
+}
+
+// get the bytes for the message signer to sign on
+func (msg MsgDeclareCandidacy) GetSignBytes() []byte {
+	b, err := json.Marshal(msg)
+	if err != nil {
+		panic(err)
+	}
+	return b
+}
+
+// quick validity check
+func (msg MsgDeclareCandidacy) ValidateBasic() sdk.Error {
+	if msg.CandidateAddr == nil {
+		return ErrCandidateEmpty()
+	}
+	if msg.Bond.Denom != StakingToken {
+		return ErrBadBondingDenom()
+	}
+	if msg.Bond.Amount <= 0 {
+		return ErrBadBondingAmount()
+		// return sdk.ErrInvalidCoins(sdk.Coins{msg.Bond}.String())
+	}
+	empty := Description{}
+	if msg.Description == empty {
+		return newError(CodeInvalidInput, "description must be included")
+	}
+	return nil
+}
+
+//______________________________________________________________________
+
+// MsgEditCandidacy - struct for editing a candidate
+type MsgEditCandidacy struct {
+	Description
+	CandidateAddr sdk.Address `json:"address"`
+}
+
+func NewMsgEditCandidacy(candidateAddr sdk.Address, description Description) MsgEditCandidacy {
+	return MsgEditCandidacy{
+		Description:   description,
+		CandidateAddr: candidateAddr,
+	}
+}
+
+//nolint
+func (msg MsgEditCandidacy) Type() string                            { return MsgType } //TODO update "stake/msgeditcandidacy"
+func (msg MsgEditCandidacy) Get(key interface{}) (value interface{}) { return nil }
+func (msg MsgEditCandidacy) GetSigners() []sdk.Address               { return []sdk.Address{msg.CandidateAddr} }
+func (msg MsgEditCandidacy) String() string {
+	return fmt.Sprintf("CandidateAddr{Address: %v}", msg.CandidateAddr) // XXX fix
+}
+
+// get the bytes for the message signer to sign on
+func (msg MsgEditCandidacy) GetSignBytes() []byte {
+	b, err := json.Marshal(msg)
+	if err != nil {
+		panic(err)
+	}
+	return b
+}
+
+// quick validity check
+func (msg MsgEditCandidacy) ValidateBasic() sdk.Error {
+	if msg.CandidateAddr == nil {
+		return ErrCandidateEmpty()
+	}
+	empty := Description{}
+	if msg.Description == empty {
+		return newError(CodeInvalidInput, "Transaction must include some information to modify")
+	}
+	return nil
+}
+
+//______________________________________________________________________
+
+// MsgDelegate - struct for bonding transactions
+type MsgDelegate struct {
+	DelegatorAddr sdk.Address `json:"address"`
+	CandidateAddr sdk.Address `json:"address"`
+	Bond          sdk.Coin    `json:"bond"`
+}
+
+func NewMsgDelegate(delegatorAddr, candidateAddr sdk.Address, bond sdk.Coin) MsgDelegate {
+	return MsgDelegate{
+		DelegatorAddr: delegatorAddr,
+		CandidateAddr: candidateAddr,
+		Bond:          bond,
+	}
+}
+
+//nolint
+func (msg MsgDelegate) Type() string                            { return MsgType } //TODO update "stake/msgeditcandidacy"
+func (msg MsgDelegate) Get(key interface{}) (value interface{}) { return nil }
+func (msg MsgDelegate) GetSigners() []sdk.Address               { return []sdk.Address{msg.DelegatorAddr} }
+func (msg MsgDelegate) String() string {
+	return fmt.Sprintf("Addr{Address: %v}", msg.DelegatorAddr) // XXX fix
+}
+
+// get the bytes for the message signer to sign on
+func (msg MsgDelegate) GetSignBytes() []byte {
+	b, err := json.Marshal(msg)
+	if err != nil {
+		panic(err)
+	}
+	return b
+}
+
+// quick validity check
+func (msg MsgDelegate) ValidateBasic() sdk.Error {
+	if msg.DelegatorAddr == nil {
+		return ErrBadDelegatorAddr()
+	}
+	if msg.CandidateAddr == nil {
+		return ErrBadCandidateAddr()
+	}
+	if msg.Bond.Denom != StakingToken {
+		return ErrBadBondingDenom()
+	}
+	if msg.Bond.Amount <= 0 {
+		return ErrBadBondingAmount()
+		// return sdk.ErrInvalidCoins(sdk.Coins{msg.Bond}.String())
+	}
+	return nil
+}
+
+//______________________________________________________________________
+
+// MsgUnbond - struct for unbonding transactions
+type MsgUnbond struct {
+	DelegatorAddr sdk.Address `json:"address"`
+	CandidateAddr sdk.Address `json:"address"`
+	Shares        string      `json:"shares"`
+}
+
+func NewMsgUnbond(delegatorAddr, candidateAddr sdk.Address, shares string) MsgUnbond {
+	return MsgUnbond{
+		DelegatorAddr: delegatorAddr,
+		CandidateAddr: candidateAddr,
+		Shares:        shares,
+	}
+}
+
+//nolint
+func (msg MsgUnbond) Type() string                            { return MsgType } //TODO update "stake/msgeditcandidacy"
+func (msg MsgUnbond) Get(key interface{}) (value interface{}) { return nil }
+func (msg MsgUnbond) GetSigners() []sdk.Address               { return []sdk.Address{msg.DelegatorAddr} }
+func (msg MsgUnbond) String() string {
+	return fmt.Sprintf("Addr{Address: %v}", msg.DelegatorAddr) // XXX fix
+}
+
+// get the bytes for the message signer to sign on
+func (msg MsgUnbond) GetSignBytes() []byte {
+	b, err := json.Marshal(msg)
+	if err != nil {
+		panic(err)
+	}
+	return b
+}
+
+// quick validity check
+func (msg MsgUnbond) ValidateBasic() sdk.Error {
+	if msg.DelegatorAddr == nil {
+		return ErrBadDelegatorAddr()
+	}
+	if msg.CandidateAddr == nil {
+		return ErrBadCandidateAddr()
+	}
+	if msg.Shares != "MAX" {
+		rat, err := sdk.NewRatFromDecimal(msg.Shares)
+		if err != nil {
+			return ErrBadShares()
+		}
+		if rat.IsZero() || rat.LT(sdk.ZeroRat) {
+			return ErrBadShares()
+		}
+	}
+	return nil
+}
diff --git a/x/stake/msg_test.go b/x/stake/msg_test.go
new file mode 100644
index 000000000..b3e2bbe3a
--- /dev/null
+++ b/x/stake/msg_test.go
@@ -0,0 +1,156 @@
+package stake
+
+import (
+	"testing"
+
+	"github.com/stretchr/testify/assert"
+
+	sdk "github.com/cosmos/cosmos-sdk/types"
+	crypto "github.com/tendermint/go-crypto"
+)
+
+var (
+	coinPos          = sdk.Coin{"fermion", 1000}
+	coinZero         = sdk.Coin{"fermion", 0}
+	coinNeg          = sdk.Coin{"fermion", -10000}
+	coinPosNotAtoms  = sdk.Coin{"foo", 10000}
+	coinZeroNotAtoms = sdk.Coin{"foo", 0}
+	coinNegNotAtoms  = sdk.Coin{"foo", -10000}
+)
+
+// test ValidateBasic for MsgDeclareCandidacy
+func TestMsgDeclareCandidacy(t *testing.T) {
+	tests := []struct {
+		name, moniker, identity, website, details string
+		candidateAddr                             sdk.Address
+		pubkey                                    crypto.PubKey
+		bond                                      sdk.Coin
+		expectPass                                bool
+	}{
+		{"basic good", "a", "b", "c", "d", addrs[0], pks[0], coinPos, true},
+		{"partial description", "", "", "c", "", addrs[0], pks[0], coinPos, true},
+		{"empty description", "", "", "", "", addrs[0], pks[0], coinPos, false},
+		{"empty address", "a", "b", "c", "d", emptyAddr, pks[0], coinPos, false},
+		{"empty pubkey", "a", "b", "c", "d", addrs[0], emptyPubkey, coinPos, true},
+		{"empty bond", "a", "b", "c", "d", addrs[0], pks[0], coinZero, false},
+		{"negative bond", "a", "b", "c", "d", addrs[0], pks[0], coinNeg, false},
+		{"negative bond", "a", "b", "c", "d", addrs[0], pks[0], coinNeg, false},
+		{"wrong staking token", "a", "b", "c", "d", addrs[0], pks[0], coinPosNotAtoms, false},
+	}
+
+	for _, tc := range tests {
+		description := NewDescription(tc.moniker, tc.identity, tc.website, tc.details)
+		msg := NewMsgDeclareCandidacy(tc.candidateAddr, tc.pubkey, tc.bond, description)
+		if tc.expectPass {
+			assert.Nil(t, msg.ValidateBasic(), "test: %v", tc.name)
+		} else {
+			assert.NotNil(t, msg.ValidateBasic(), "test: %v", tc.name)
+		}
+	}
+}
+
+// test ValidateBasic for MsgEditCandidacy
+func TestMsgEditCandidacy(t *testing.T) {
+	tests := []struct {
+		name, moniker, identity, website, details string
+		candidateAddr                             sdk.Address
+		expectPass                                bool
+	}{
+		{"basic good", "a", "b", "c", "d", addrs[0], true},
+		{"partial description", "", "", "c", "", addrs[0], true},
+		{"empty description", "", "", "", "", addrs[0], false},
+		{"empty address", "a", "b", "c", "d", emptyAddr, false},
+	}
+
+	for _, tc := range tests {
+		description := NewDescription(tc.moniker, tc.identity, tc.website, tc.details)
+		msg := NewMsgEditCandidacy(tc.candidateAddr, description)
+		if tc.expectPass {
+			assert.Nil(t, msg.ValidateBasic(), "test: %v", tc.name)
+		} else {
+			assert.NotNil(t, msg.ValidateBasic(), "test: %v", tc.name)
+		}
+	}
+}
+
+// test ValidateBasic for MsgDelegate
+func TestMsgDelegate(t *testing.T) {
+	tests := []struct {
+		name          string
+		delegatorAddr sdk.Address
+		candidateAddr sdk.Address
+		bond          sdk.Coin
+		expectPass    bool
+	}{
+		{"basic good", addrs[0], addrs[1], coinPos, true},
+		{"self bond", addrs[0], addrs[0], coinPos, true},
+		{"empty delegator", emptyAddr, addrs[0], coinPos, false},
+		{"empty candidate", addrs[0], emptyAddr, coinPos, false},
+		{"empty bond", addrs[0], addrs[1], coinZero, false},
+		{"negative bond", addrs[0], addrs[1], coinNeg, false},
+		{"wrong staking token", addrs[0], addrs[1], coinPosNotAtoms, false},
+	}
+
+	for _, tc := range tests {
+		msg := NewMsgDelegate(tc.delegatorAddr, tc.candidateAddr, tc.bond)
+		if tc.expectPass {
+			assert.Nil(t, msg.ValidateBasic(), "test: %v", tc.name)
+		} else {
+			assert.NotNil(t, msg.ValidateBasic(), "test: %v", tc.name)
+		}
+	}
+}
+
+// test ValidateBasic for MsgUnbond
+func TestMsgUnbond(t *testing.T) {
+	tests := []struct {
+		name          string
+		delegatorAddr sdk.Address
+		candidateAddr sdk.Address
+		shares        string
+		expectPass    bool
+	}{
+		{"max unbond", addrs[0], addrs[1], "MAX", true},
+		{"decimal unbond", addrs[0], addrs[1], "0.1", true},
+		{"negative decimal unbond", addrs[0], addrs[1], "-0.1", false},
+		{"zero unbond", addrs[0], addrs[1], "0.0", false},
+		{"invalid decimal", addrs[0], addrs[0], "sunny", false},
+		{"empty delegator", emptyAddr, addrs[0], "0.1", false},
+		{"empty candidate", addrs[0], emptyAddr, "0.1", false},
+	}
+
+	for _, tc := range tests {
+		msg := NewMsgUnbond(tc.delegatorAddr, tc.candidateAddr, tc.shares)
+		if tc.expectPass {
+			assert.Nil(t, msg.ValidateBasic(), "test: %v", tc.name)
+		} else {
+			assert.NotNil(t, msg.ValidateBasic(), "test: %v", tc.name)
+		}
+	}
+}
+
+// TODO introduce with go-amino
+//func TestSerializeMsg(t *testing.T) {
+
+//// make sure all types construct properly
+//bondAmt := 1234321
+//bond := sdk.Coin{Denom: "atom", Amount: int64(bondAmt)}
+
+//tests := []struct {
+//tx sdk.Msg
+//}{
+//{NewMsgDeclareCandidacy(addrs[0], pks[0], bond, Description{})},
+//{NewMsgEditCandidacy(addrs[0], Description{})},
+//{NewMsgDelegate(addrs[0], addrs[1], bond)},
+//{NewMsgUnbond(addrs[0], addrs[1], strconv.Itoa(bondAmt))},
+//}
+
+//for i, tc := range tests {
+//var tx sdk.Tx
+//bs := wire.BinaryBytes(tc.tx)
+//err := wire.ReadBinaryBytes(bs, &tx)
+//if assert.NoError(t, err, "%d", i) {
+//assert.Equal(t, tc.tx, tx, "%d", i)
+//}
+//}
+//}
diff --git a/x/stake/pool.go b/x/stake/pool.go
new file mode 100644
index 000000000..4c185580e
--- /dev/null
+++ b/x/stake/pool.go
@@ -0,0 +1,135 @@
+package stake
+
+import (
+	sdk "github.com/cosmos/cosmos-sdk/types"
+)
+
+// load/save the global staking state
+func (k Keeper) GetPool(ctx sdk.Context) (gs Pool) {
+	// check if cached before anything
+	if k.gs != (Pool{}) {
+		return k.gs
+	}
+	store := ctx.KVStore(k.storeKey)
+	b := store.Get(PoolKey)
+	if b == nil {
+		return initialPool()
+	}
+	err := k.cdc.UnmarshalBinary(b, &gs)
+	if err != nil {
+		panic(err) // This error should never occur big problem if does
+	}
+	return
+}
+
+func (k Keeper) setPool(ctx sdk.Context, p Pool) {
+	store := ctx.KVStore(k.storeKey)
+	b, err := k.cdc.MarshalBinary(p)
+	if err != nil {
+		panic(err)
+	}
+	store.Set(PoolKey, b)
+	k.gs = Pool{} // clear the cache
+}
+
+//_______________________________________________________________________
+
+//TODO make these next two functions more efficient should be reading and writting to state ye know
+
+// move a candidates asset pool from bonded to unbonded pool
+func (k Keeper) bondedToUnbondedPool(ctx sdk.Context, candidate Candidate) {
+
+	// replace bonded shares with unbonded shares
+	tokens := k.removeSharesBonded(ctx, candidate.Assets)
+	candidate.Assets = k.addTokensUnbonded(ctx, tokens)
+	candidate.Status = Unbonded
+	k.setCandidate(ctx, candidate)
+}
+
+// move a candidates asset pool from unbonded to bonded pool
+func (k Keeper) unbondedToBondedPool(ctx sdk.Context, candidate Candidate) {
+
+	// replace unbonded shares with bonded shares
+	tokens := k.removeSharesUnbonded(ctx, candidate.Assets)
+	candidate.Assets = k.addTokensBonded(ctx, tokens)
+	candidate.Status = Bonded
+	k.setCandidate(ctx, candidate)
+}
+
+//_______________________________________________________________________
+
+func (k Keeper) addTokensBonded(ctx sdk.Context, amount int64) (issuedShares sdk.Rat) {
+	p := k.GetPool(ctx)
+	issuedShares = p.bondedShareExRate().Inv().Mul(sdk.NewRat(amount)) // (tokens/shares)^-1 * tokens
+	p.BondedPool += amount
+	p.BondedShares = p.BondedShares.Add(issuedShares)
+	k.setPool(ctx, p)
+	return
+}
+
+func (k Keeper) removeSharesBonded(ctx sdk.Context, shares sdk.Rat) (removedTokens int64) {
+	p := k.GetPool(ctx)
+	removedTokens = p.bondedShareExRate().Mul(shares).Evaluate() // (tokens/shares) * shares
+	p.BondedShares = p.BondedShares.Sub(shares)
+	p.BondedPool -= removedTokens
+	k.setPool(ctx, p)
+	return
+}
+
+func (k Keeper) addTokensUnbonded(ctx sdk.Context, amount int64) (issuedShares sdk.Rat) {
+	p := k.GetPool(ctx)
+	issuedShares = p.unbondedShareExRate().Inv().Mul(sdk.NewRat(amount)) // (tokens/shares)^-1 * tokens
+	p.UnbondedShares = p.UnbondedShares.Add(issuedShares)
+	p.UnbondedPool += amount
+	k.setPool(ctx, p)
+	return
+}
+
+func (k Keeper) removeSharesUnbonded(ctx sdk.Context, shares sdk.Rat) (removedTokens int64) {
+	p := k.GetPool(ctx)
+	removedTokens = p.unbondedShareExRate().Mul(shares).Evaluate() // (tokens/shares) * shares
+	p.UnbondedShares = p.UnbondedShares.Sub(shares)
+	p.UnbondedPool -= removedTokens
+	k.setPool(ctx, p)
+	return
+}
+
+//_______________________________________________________________________
+
+// add tokens to a candidate
+func (k Keeper) candidateAddTokens(ctx sdk.Context, candidate Candidate, amount int64) (issuedDelegatorShares sdk.Rat) {
+
+	p := k.GetPool(ctx)
+	exRate := candidate.delegatorShareExRate()
+
+	var receivedGlobalShares sdk.Rat
+	if candidate.Status == Bonded {
+		receivedGlobalShares = k.addTokensBonded(ctx, amount)
+	} else {
+		receivedGlobalShares = k.addTokensUnbonded(ctx, amount)
+	}
+	candidate.Assets = candidate.Assets.Add(receivedGlobalShares)
+
+	issuedDelegatorShares = exRate.Mul(receivedGlobalShares)
+	candidate.Liabilities = candidate.Liabilities.Add(issuedDelegatorShares)
+	k.setPool(ctx, p) // TODO cache Pool?
+	return
+}
+
+// remove shares from a candidate
+func (k Keeper) candidateRemoveShares(ctx sdk.Context, candidate Candidate, shares sdk.Rat) (createdCoins int64) {
+
+	p := k.GetPool(ctx)
+	//exRate := candidate.delegatorShareExRate() //XXX make sure not used
+
+	globalPoolSharesToRemove := candidate.delegatorShareExRate().Mul(shares)
+	if candidate.Status == Bonded {
+		createdCoins = k.removeSharesBonded(ctx, globalPoolSharesToRemove)
+	} else {
+		createdCoins = k.removeSharesUnbonded(ctx, globalPoolSharesToRemove)
+	}
+	candidate.Assets = candidate.Assets.Sub(globalPoolSharesToRemove)
+	candidate.Liabilities = candidate.Liabilities.Sub(shares)
+	k.setPool(ctx, p) // TODO cache Pool?
+	return
+}
diff --git a/x/stake/pool_test.go b/x/stake/pool_test.go
new file mode 100644
index 000000000..760a89a16
--- /dev/null
+++ b/x/stake/pool_test.go
@@ -0,0 +1,22 @@
+package stake
+
+import (
+	"testing"
+
+	"github.com/stretchr/testify/assert"
+)
+
+func TestPool(t *testing.T) {
+	ctx, _, keeper := createTestInput(t, nil, false, 0)
+	expPool := initialPool()
+
+	//check that the empty keeper loads the default
+	resPool := keeper.GetPool(ctx)
+	assert.Equal(t, expPool, resPool)
+
+	//modify a params, save, and retrieve
+	expPool.TotalSupply = 777
+	keeper.setPool(ctx, expPool)
+	resPool = keeper.GetPool(ctx)
+	assert.Equal(t, expPool, resPool)
+}
diff --git a/x/stake/test_common.go b/x/stake/test_common.go
new file mode 100644
index 000000000..aef425581
--- /dev/null
+++ b/x/stake/test_common.go
@@ -0,0 +1,156 @@
+package stake
+
+import (
+	"encoding/hex"
+	"testing"
+
+	"github.com/stretchr/testify/require"
+
+	abci "github.com/tendermint/abci/types"
+	crypto "github.com/tendermint/go-crypto"
+	oldwire "github.com/tendermint/go-wire"
+	dbm "github.com/tendermint/tmlibs/db"
+
+	"github.com/cosmos/cosmos-sdk/examples/basecoin/types"
+	"github.com/cosmos/cosmos-sdk/store"
+	sdk "github.com/cosmos/cosmos-sdk/types"
+	"github.com/cosmos/cosmos-sdk/wire"
+	"github.com/cosmos/cosmos-sdk/x/auth"
+	"github.com/cosmos/cosmos-sdk/x/bank"
+)
+
+// dummy addresses used for testing
+var (
+	addrs = []sdk.Address{
+		testAddr("A58856F0FD53BF058B4909A21AEC019107BA6160"),
+		testAddr("A58856F0FD53BF058B4909A21AEC019107BA6161"),
+		testAddr("A58856F0FD53BF058B4909A21AEC019107BA6162"),
+		testAddr("A58856F0FD53BF058B4909A21AEC019107BA6163"),
+		testAddr("A58856F0FD53BF058B4909A21AEC019107BA6164"),
+		testAddr("A58856F0FD53BF058B4909A21AEC019107BA6165"),
+		testAddr("A58856F0FD53BF058B4909A21AEC019107BA6166"),
+		testAddr("A58856F0FD53BF058B4909A21AEC019107BA6167"),
+		testAddr("A58856F0FD53BF058B4909A21AEC019107BA6168"),
+		testAddr("A58856F0FD53BF058B4909A21AEC019107BA6169"),
+	}
+
+	// dummy pubkeys used for testing
+	pks = []crypto.PubKey{
+		newPubKey("0B485CFC0EECC619440448436F8FC9DF40566F2369E72400281454CB552AFB50"),
+		newPubKey("0B485CFC0EECC619440448436F8FC9DF40566F2369E72400281454CB552AFB51"),
+		newPubKey("0B485CFC0EECC619440448436F8FC9DF40566F2369E72400281454CB552AFB52"),
+		newPubKey("0B485CFC0EECC619440448436F8FC9DF40566F2369E72400281454CB552AFB53"),
+		newPubKey("0B485CFC0EECC619440448436F8FC9DF40566F2369E72400281454CB552AFB54"),
+		newPubKey("0B485CFC0EECC619440448436F8FC9DF40566F2369E72400281454CB552AFB55"),
+		newPubKey("0B485CFC0EECC619440448436F8FC9DF40566F2369E72400281454CB552AFB56"),
+		newPubKey("0B485CFC0EECC619440448436F8FC9DF40566F2369E72400281454CB552AFB57"),
+		newPubKey("0B485CFC0EECC619440448436F8FC9DF40566F2369E72400281454CB552AFB58"),
+		newPubKey("0B485CFC0EECC619440448436F8FC9DF40566F2369E72400281454CB552AFB59"),
+	}
+
+	emptyAddr   sdk.Address
+	emptyPubkey crypto.PubKey
+)
+
+// XXX reference the common declaration of this function
+func subspace(prefix []byte) (start, end []byte) {
+	end = make([]byte, len(prefix))
+	copy(end, prefix)
+	end[len(end)-1]++
+	return prefix, end
+}
+
+// custom tx codec
+// TODO: use new go-wire
+func makeTestCodec() *wire.Codec {
+
+	const msgTypeSend = 0x1
+	const msgTypeIssue = 0x2
+	const msgTypeDeclareCandidacy = 0x3
+	const msgTypeEditCandidacy = 0x4
+	const msgTypeDelegate = 0x5
+	const msgTypeUnbond = 0x6
+	var _ = oldwire.RegisterInterface(
+		struct{ sdk.Msg }{},
+		oldwire.ConcreteType{bank.SendMsg{}, msgTypeSend},
+		oldwire.ConcreteType{bank.IssueMsg{}, msgTypeIssue},
+		oldwire.ConcreteType{MsgDeclareCandidacy{}, msgTypeDeclareCandidacy},
+		oldwire.ConcreteType{MsgEditCandidacy{}, msgTypeEditCandidacy},
+		oldwire.ConcreteType{MsgDelegate{}, msgTypeDelegate},
+		oldwire.ConcreteType{MsgUnbond{}, msgTypeUnbond},
+	)
+
+	const accTypeApp = 0x1
+	var _ = oldwire.RegisterInterface(
+		struct{ sdk.Account }{},
+		oldwire.ConcreteType{&types.AppAccount{}, accTypeApp},
+	)
+	cdc := wire.NewCodec()
+
+	// cdc.RegisterInterface((*sdk.Msg)(nil), nil)
+	// bank.RegisterWire(cdc)   // Register bank.[SendMsg,IssueMsg] types.
+	// crypto.RegisterWire(cdc) // Register crypto.[PubKey,PrivKey,Signature] types.
+	return cdc
+}
+
+func paramsNoInflation() Params {
+	return Params{
+		InflationRateChange: sdk.ZeroRat,
+		InflationMax:        sdk.ZeroRat,
+		InflationMin:        sdk.ZeroRat,
+		GoalBonded:          sdk.NewRat(67, 100),
+		MaxValidators:       100,
+		BondDenom:           "fermion",
+	}
+}
+
+// hogpodge of all sorts of input required for testing
+func createTestInput(t *testing.T, sender sdk.Address, isCheckTx bool, initCoins int64) (sdk.Context, sdk.AccountMapper, Keeper) {
+	db := dbm.NewMemDB()
+	keyStake := sdk.NewKVStoreKey("stake")
+	keyMain := keyStake //sdk.NewKVStoreKey("main") //TODO fix multistore
+
+	ms := store.NewCommitMultiStore(db)
+	ms.MountStoreWithDB(keyStake, sdk.StoreTypeIAVL, db)
+	err := ms.LoadLatestVersion()
+	require.Nil(t, err)
+
+	ctx := sdk.NewContext(ms, abci.Header{ChainID: "foochainid"}, isCheckTx, nil)
+	cdc := makeTestCodec()
+	accountMapper := auth.NewAccountMapperSealed(
+		keyMain,             // target store
+		&auth.BaseAccount{}, // prototype
+	)
+	ck := bank.NewCoinKeeper(accountMapper)
+	keeper := NewKeeper(ctx, cdc, keyStake, ck)
+
+	//params := paramsNoInflation()
+	params := keeper.GetParams(ctx)
+
+	// fill all the addresses with some coins
+	for _, addr := range addrs {
+		ck.AddCoins(ctx, addr, sdk.Coins{{params.BondDenom, initCoins}})
+	}
+
+	return ctx, accountMapper, keeper
+}
+
+func newPubKey(pk string) (res crypto.PubKey) {
+	pkBytes, err := hex.DecodeString(pk)
+	if err != nil {
+		panic(err)
+	}
+	//res, err = crypto.PubKeyFromBytes(pkBytes)
+	var pkEd crypto.PubKeyEd25519
+	copy(pkEd[:], pkBytes[:])
+	return pkEd.Wrap()
+}
+
+// for incode address generation
+func testAddr(addr string) sdk.Address {
+	res, err := sdk.GetAddress(addr)
+	if err != nil {
+		panic(err)
+	}
+	return res
+}
diff --git a/x/stake/tick.go b/x/stake/tick.go
new file mode 100644
index 000000000..6aa2da95d
--- /dev/null
+++ b/x/stake/tick.go
@@ -0,0 +1,79 @@
+package stake
+
+import (
+	sdk "github.com/cosmos/cosmos-sdk/types"
+	abci "github.com/tendermint/abci/types"
+)
+
+const (
+	hrsPerYear = 8766 // as defined by a julian year of 365.25 days
+	precision  = 1000000000
+)
+
+var hrsPerYrRat = sdk.NewRat(hrsPerYear) // as defined by a julian year of 365.25 days
+
+// Tick - called at the end of every block
+func (k Keeper) Tick(ctx sdk.Context) (change []*abci.Validator, err error) {
+
+	// retrieve params
+	p := k.GetPool(ctx)
+	height := ctx.BlockHeight()
+
+	// Process Validator Provisions
+	// XXX right now just process every 5 blocks, in new SDK make hourly
+	if p.InflationLastTime+5 <= height {
+		p.InflationLastTime = height
+		k.processProvisions(ctx)
+	}
+
+	newVals := k.GetValidators(ctx)
+
+	// XXX determine change from old validators, set to change
+	_ = newVals
+	return change, nil
+}
+
+// process provisions for an hour period
+func (k Keeper) processProvisions(ctx sdk.Context) {
+
+	pool := k.GetPool(ctx)
+	pool.Inflation = k.nextInflation(ctx).Round(precision)
+
+	// Because the validators hold a relative bonded share (`GlobalStakeShare`), when
+	// more bonded tokens are added proportionally to all validators the only term
+	// which needs to be updated is the `BondedPool`. So for each previsions cycle:
+
+	provisions := pool.Inflation.Mul(sdk.NewRat(pool.TotalSupply)).Quo(hrsPerYrRat).Evaluate()
+	pool.BondedPool += provisions
+	pool.TotalSupply += provisions
+
+	// save the params
+	k.setPool(ctx, pool)
+}
+
+// get the next inflation rate for the hour
+func (k Keeper) nextInflation(ctx sdk.Context) (inflation sdk.Rat) {
+
+	params := k.GetParams(ctx)
+	pool := k.GetPool(ctx)
+	// The target annual inflation rate is recalculated for each previsions cycle. The
+	// inflation is also subject to a rate change (positive of negative) depending or
+	// the distance from the desired ratio (67%). The maximum rate change possible is
+	// defined to be 13% per year, however the annual inflation is capped as between
+	// 7% and 20%.
+
+	// (1 - bondedRatio/GoalBonded) * InflationRateChange
+	inflationRateChangePerYear := sdk.OneRat.Sub(pool.bondedRatio().Quo(params.GoalBonded)).Mul(params.InflationRateChange)
+	inflationRateChange := inflationRateChangePerYear.Quo(hrsPerYrRat)
+
+	// increase the new annual inflation for this next cycle
+	inflation = pool.Inflation.Add(inflationRateChange)
+	if inflation.GT(params.InflationMax) {
+		inflation = params.InflationMax
+	}
+	if inflation.LT(params.InflationMin) {
+		inflation = params.InflationMin
+	}
+
+	return
+}
diff --git a/x/stake/tick_test.go b/x/stake/tick_test.go
new file mode 100644
index 000000000..540ce4699
--- /dev/null
+++ b/x/stake/tick_test.go
@@ -0,0 +1,116 @@
+package stake
+
+//import (
+//"testing"
+
+//sdk "github.com/cosmos/cosmos-sdk/types"
+//"github.com/stretchr/testify/assert"
+//)
+
+//func TestGetInflation(t *testing.T) {
+//ctx, _, keeper := createTestInput(t, nil, false, 0)
+//params := defaultParams()
+//keeper.setParams(ctx, params)
+//gs := keeper.GetPool(ctx)
+
+//// Governing Mechanism:
+////    bondedRatio = BondedPool / TotalSupply
+////    inflationRateChangePerYear = (1- bondedRatio/ GoalBonded) * MaxInflationRateChange
+
+//tests := []struct {
+//setBondedPool, setTotalSupply int64
+//setInflation, expectedChange  sdk.Rat
+//}{
+//// with 0% bonded atom supply the inflation should increase by InflationRateChange
+//{0, 0, sdk.NewRat(7, 100), params.InflationRateChange.Quo(hrsPerYr)},
+
+//// 100% bonded, starting at 20% inflation and being reduced
+//{1, 1, sdk.NewRat(20, 100), sdk.OneRat.Sub(sdk.OneRat.Quo(params.GoalBonded)).Mul(params.InflationRateChange).Quo(hrsPerYr)},
+
+//// 50% bonded, starting at 10% inflation and being increased
+//{1, 2, sdk.NewRat(10, 100), sdk.OneRat.Sub(sdk.NewRat(1, 2).Quo(params.GoalBonded)).Mul(params.InflationRateChange).Quo(hrsPerYr)},
+
+//// test 7% minimum stop (testing with 100% bonded)
+//{1, 1, sdk.NewRat(7, 100), sdk.ZeroRat},
+//{1, 1, sdk.NewRat(70001, 1000000), sdk.NewRat(-1, 1000000)},
+
+//// test 20% maximum stop (testing with 0% bonded)
+//{0, 0, sdk.NewRat(20, 100), sdk.ZeroRat},
+//{0, 0, sdk.NewRat(199999, 1000000), sdk.NewRat(1, 1000000)},
+
+//// perfect balance shouldn't change inflation
+//{67, 100, sdk.NewRat(15, 100), sdk.ZeroRat},
+//}
+//for _, tc := range tests {
+//gs.BondedPool, p.TotalSupply = tc.setBondedPool, tc.setTotalSupply
+//gs.Inflation = tc.setInflation
+
+//inflation := nextInflation(gs, params)
+//diffInflation := inflation.Sub(tc.setInflation)
+
+//assert.True(t, diffInflation.Equal(tc.expectedChange),
+//"%v, %v", diffInflation, tc.expectedChange)
+//}
+//}
+
+//func TestProcessProvisions(t *testing.T) {
+//ctx, _, keeper := createTestInput(t, nil, false, 0)
+//params := defaultParams()
+//keeper.setParams(ctx, params)
+//gs := keeper.GetPool(ctx)
+
+//// create some candidates some bonded, some unbonded
+//candidates := candidatesFromAddrsEmpty(addrs)
+//for i, candidate := range candidates {
+//if i < 5 {
+//candidate.Status = Bonded
+//}
+//mintedTokens := int64((i + 1) * 10000000)
+//gs.TotalSupply += mintedTokens
+//keeper.candidateAddTokens(ctx, candidate, mintedTokens)
+//keeper.setCandidate(ctx, candidate)
+//}
+//var totalSupply int64 = 550000000
+//var bondedShares int64 = 150000000
+//var unbondedShares int64 = 400000000
+
+//// initial bonded ratio ~ 27%
+//assert.True(t, p.bondedRatio().Equal(sdk.NewRat(bondedShares, totalSupply)), "%v", p.bondedRatio())
+
+//// Supplies
+//assert.Equal(t, totalSupply, p.TotalSupply)
+//assert.Equal(t, bondedShares, p.BondedPool)
+//assert.Equal(t, unbondedShares, p.UnbondedPool)
+
+//// test the value of candidate shares
+//assert.True(t, p.bondedShareExRate().Equal(sdk.OneRat), "%v", p.bondedShareExRate())
+
+//initialSupply := p.TotalSupply
+//initialUnbonded := p.TotalSupply - p.BondedPool
+
+//// process the provisions a year
+//for hr := 0; hr < 8766; hr++ {
+//expInflation := nextInflation(gs, params).Round(1000000000)
+//expProvisions := (expInflation.Mul(sdk.NewRat(gs.TotalSupply)).Quo(hrsPerYr)).Evaluate()
+//startBondedPool := p.BondedPool
+//startTotalSupply := p.TotalSupply
+//processProvisions(ctx, keeper, p, params)
+//assert.Equal(t, startBondedPool+expProvisions, p.BondedPool)
+//assert.Equal(t, startTotalSupply+expProvisions, p.TotalSupply)
+//}
+//assert.NotEqual(t, initialSupply, p.TotalSupply)
+//assert.Equal(t, initialUnbonded, p.UnbondedPool)
+////panic(fmt.Sprintf("debug total %v, bonded  %v, diff %v\n", p.TotalSupply, p.BondedPool, p.TotalSupply-gs.BondedPool))
+
+//// initial bonded ratio ~ 35% ~ 30% increase for bonded holders
+//assert.True(t, p.bondedRatio().Equal(sdk.NewRat(105906511, 305906511)), "%v", p.bondedRatio())
+
+//// global supply
+//assert.Equal(t, int64(611813022), p.TotalSupply)
+//assert.Equal(t, int64(211813022), p.BondedPool)
+//assert.Equal(t, unbondedShares, p.UnbondedPool)
+
+//// test the value of candidate shares
+//assert.True(t, p.bondedShareExRate().Mul(sdk.NewRat(bondedShares)).Equal(sdk.NewRat(211813022)), "%v", p.bondedShareExRate())
+
+//}
diff --git a/x/stake/types.go b/x/stake/types.go
new file mode 100644
index 000000000..2799e1d76
--- /dev/null
+++ b/x/stake/types.go
@@ -0,0 +1,197 @@
+package stake
+
+import (
+	sdk "github.com/cosmos/cosmos-sdk/types"
+	crypto "github.com/tendermint/go-crypto"
+)
+
+// Params defines the high level settings for staking
+type Params struct {
+	InflationRateChange sdk.Rat `json:"inflation_rate_change"` // maximum annual change in inflation rate
+	InflationMax        sdk.Rat `json:"inflation_max"`         // maximum inflation rate
+	InflationMin        sdk.Rat `json:"inflation_min"`         // minimum inflation rate
+	GoalBonded          sdk.Rat `json:"goal_bonded"`           // Goal of percent bonded atoms
+
+	MaxValidators uint16 `json:"max_validators"` // maximum number of validators
+	BondDenom     string `json:"bond_denom"`     // bondable coin denomination
+}
+
+// XXX do we want to allow for default params even or do we want to enforce that you
+// need to be explicit about defining all params in genesis?
+func defaultParams() Params {
+	return Params{
+		InflationRateChange: sdk.NewRat(13, 100),
+		InflationMax:        sdk.NewRat(20, 100),
+		InflationMin:        sdk.NewRat(7, 100),
+		GoalBonded:          sdk.NewRat(67, 100),
+		MaxValidators:       100,
+		BondDenom:           "fermion",
+	}
+}
+
+//_________________________________________________________________________
+
+// Pool - dynamic parameters of the current state
+type Pool struct {
+	TotalSupply       int64   `json:"total_supply"`        // total supply of all tokens
+	BondedShares      sdk.Rat `json:"bonded_shares"`       // sum of all shares distributed for the Bonded Pool
+	UnbondedShares    sdk.Rat `json:"unbonded_shares"`     // sum of all shares distributed for the Unbonded Pool
+	BondedPool        int64   `json:"bonded_pool"`         // reserve of bonded tokens
+	UnbondedPool      int64   `json:"unbonded_pool"`       // reserve of unbonded tokens held with candidates
+	InflationLastTime int64   `json:"inflation_last_time"` // block which the last inflation was processed // TODO make time
+	Inflation         sdk.Rat `json:"inflation"`           // current annual inflation rate
+}
+
+// XXX define globalstate interface?
+
+func initialPool() Pool {
+	return Pool{
+		TotalSupply:       0,
+		BondedShares:      sdk.ZeroRat,
+		UnbondedShares:    sdk.ZeroRat,
+		BondedPool:        0,
+		UnbondedPool:      0,
+		InflationLastTime: 0,
+		Inflation:         sdk.NewRat(7, 100),
+	}
+}
+
+// get the bond ratio of the global state
+func (p Pool) bondedRatio() sdk.Rat {
+	if p.TotalSupply > 0 {
+		return sdk.NewRat(p.BondedPool, p.TotalSupply)
+	}
+	return sdk.ZeroRat
+}
+
+// get the exchange rate of bonded token per issued share
+func (p Pool) bondedShareExRate() sdk.Rat {
+	if p.BondedShares.IsZero() {
+		return sdk.OneRat
+	}
+	return sdk.NewRat(p.BondedPool).Quo(p.BondedShares)
+}
+
+// get the exchange rate of unbonded tokens held in candidates per issued share
+func (p Pool) unbondedShareExRate() sdk.Rat {
+	if p.UnbondedShares.IsZero() {
+		return sdk.OneRat
+	}
+	return sdk.NewRat(p.UnbondedPool).Quo(p.UnbondedShares)
+}
+
+//_______________________________________________________________________________________________________
+
+// CandidateStatus - status of a validator-candidate
+type CandidateStatus byte
+
+const (
+	// nolint
+	Bonded   CandidateStatus = 0x00
+	Unbonded CandidateStatus = 0x01
+	Revoked  CandidateStatus = 0x02
+)
+
+// Candidate defines the total amount of bond shares and their exchange rate to
+// coins. Accumulation of interest is modelled as an in increase in the
+// exchange rate, and slashing as a decrease.  When coins are delegated to this
+// candidate, the candidate is credited with a DelegatorBond whose number of
+// bond shares is based on the amount of coins delegated divided by the current
+// exchange rate. Voting power can be calculated as total bonds multiplied by
+// exchange rate.
+type Candidate struct {
+	Status      CandidateStatus `json:"status"`      // Bonded status
+	Address     sdk.Address     `json:"owner"`       // Sender of BondTx - UnbondTx returns here
+	PubKey      crypto.PubKey   `json:"pub_key"`     // Pubkey of candidate
+	Assets      sdk.Rat         `json:"assets"`      // total shares of a global hold pools
+	Liabilities sdk.Rat         `json:"liabilities"` // total shares issued to a candidate's delegators
+	Description Description     `json:"description"` // Description terms for the candidate
+}
+
+// NewCandidate - initialize a new candidate
+func NewCandidate(address sdk.Address, pubKey crypto.PubKey, description Description) Candidate {
+	return Candidate{
+		Status:      Unbonded,
+		Address:     address,
+		PubKey:      pubKey,
+		Assets:      sdk.ZeroRat,
+		Liabilities: sdk.ZeroRat,
+		Description: description,
+	}
+}
+
+// Description - description fields for a candidate
+type Description struct {
+	Moniker  string `json:"moniker"`
+	Identity string `json:"identity"`
+	Website  string `json:"website"`
+	Details  string `json:"details"`
+}
+
+func NewDescription(moniker, identity, website, details string) Description {
+	return Description{
+		Moniker:  moniker,
+		Identity: identity,
+		Website:  website,
+		Details:  details,
+	}
+}
+
+// get the exchange rate of global pool shares over delegator shares
+func (c Candidate) delegatorShareExRate() sdk.Rat {
+	if c.Liabilities.IsZero() {
+		return sdk.OneRat
+	}
+	return c.Assets.Quo(c.Liabilities)
+}
+
+// Validator returns a copy of the Candidate as a Validator.
+// Should only be called when the Candidate qualifies as a validator.
+func (c Candidate) validator() Validator {
+	return Validator{
+		Address:     c.Address, // XXX !!!
+		VotingPower: c.Assets,
+	}
+}
+
+//XXX updateDescription function
+//XXX enforce limit to number of description characters
+
+//______________________________________________________________________
+
+// Validator is one of the top Candidates
+type Validator struct {
+	Address     sdk.Address `json:"address"`      // Address of validator
+	VotingPower sdk.Rat     `json:"voting_power"` // Voting power if considered a validator
+}
+
+// ABCIValidator - Get the validator from a bond value
+/* TODO
+func (v Validator) ABCIValidator() (*abci.Validator, error) {
+	pkBytes, err := wire.MarshalBinary(v.PubKey)
+	if err != nil {
+		return nil, err
+	}
+	return &abci.Validator{
+		PubKey: pkBytes,
+		Power:  v.VotingPower.Evaluate(),
+	}, nil
+}
+*/
+
+//_________________________________________________________________________
+
+// Candidates - list of Candidates
+type Candidates []Candidate
+
+//_________________________________________________________________________
+
+// DelegatorBond represents the bond with tokens held by an account.  It is
+// owned by one delegator, and is associated with the voting power of one
+// pubKey.
+// TODO better way of managing space
+type DelegatorBond struct {
+	DelegatorAddr sdk.Address `json:"delegatoraddr"`
+	CandidateAddr sdk.Address `json:"candidate_addr"`
+	Shares        sdk.Rat     `json:"shares"`
+}
diff --git a/x/stake/types_test.go b/x/stake/types_test.go
new file mode 100644
index 000000000..ec16f32d9
--- /dev/null
+++ b/x/stake/types_test.go
@@ -0,0 +1,3 @@
+package stake
+
+// XXX test global state functions, candidate exchange rate functions etc.
diff --git a/x/stake/wire.go b/x/stake/wire.go
new file mode 100644
index 000000000..4516f89f2
--- /dev/null
+++ b/x/stake/wire.go
@@ -0,0 +1,12 @@
+package stake
+
+import (
+	"github.com/cosmos/cosmos-sdk/wire"
+)
+
+// XXX complete
+func RegisterWire(cdc *wire.Codec) {
+	// TODO include option to always include prefix bytes.
+	//cdc.RegisterConcrete(SendMsg{}, "cosmos-sdk/SendMsg", nil)
+	//cdc.RegisterConcrete(IssueMsg{}, "cosmos-sdk/IssueMsg", nil)
+}