diff --git a/packages/sdk/src/cosmwasmclient.spec.ts b/packages/sdk/src/cosmwasmclient.spec.ts
index 740b00aa..27ff42e3 100644
--- a/packages/sdk/src/cosmwasmclient.spec.ts
+++ b/packages/sdk/src/cosmwasmclient.spec.ts
@@ -1,5 +1,5 @@
 import { CosmWasmClient } from "./cosmwasmclient";
-import { encodeSecp256k1Signature, makeSignBytes, marshalTx } from "./encoding";
+import { makeSignBytes, marshalTx } from "./encoding";
 import { findAttribute } from "./logs";
 import { Secp256k1Pen } from "./pen";
 import { RestClient } from "./restclient";
@@ -95,7 +95,7 @@ describe("CosmWasmClient", () => {
       const chainId = await client.chainId();
       const { accountNumber, sequence } = await client.getNonce(faucet.address);
       const signBytes = makeSignBytes([sendMsg], fee, chainId, memo, accountNumber, sequence);
-      const signature = encodeSecp256k1Signature(pen.pubkey, await pen.createSignature(signBytes));
+      const signature = await pen.sign(signBytes);
       const signedTx = {
         msg: [sendMsg],
         fee: fee,
@@ -113,9 +113,7 @@ describe("CosmWasmClient", () => {
     it("works", async () => {
       pendingWithoutCosmos();
       const pen = await Secp256k1Pen.fromMnemonic(faucet.mnemonic);
-      const client = CosmWasmClient.makeWritable(httpUrl, faucet.address, async signBytes => {
-        return encodeSecp256k1Signature(pen.pubkey, await pen.createSignature(signBytes));
-      });
+      const client = CosmWasmClient.makeWritable(httpUrl, faucet.address, signBytes => pen.sign(signBytes));
       const codeId = await client.upload(getRandomizedHackatom());
       expect(codeId).toBeGreaterThanOrEqual(1);
     });
@@ -125,9 +123,7 @@ describe("CosmWasmClient", () => {
     it("works with transfer amount", async () => {
       pendingWithoutCosmos();
       const pen = await Secp256k1Pen.fromMnemonic(faucet.mnemonic);
-      const client = CosmWasmClient.makeWritable(httpUrl, faucet.address, async signBytes => {
-        return encodeSecp256k1Signature(pen.pubkey, await pen.createSignature(signBytes));
-      });
+      const client = CosmWasmClient.makeWritable(httpUrl, faucet.address, signBytes => pen.sign(signBytes));
       const codeId = await client.upload(getRandomizedHackatom());
 
       const transferAmount: readonly Coin[] = [
@@ -159,9 +155,7 @@ describe("CosmWasmClient", () => {
     it("can instantiate one code multiple times", async () => {
       pendingWithoutCosmos();
       const pen = await Secp256k1Pen.fromMnemonic(faucet.mnemonic);
-      const client = CosmWasmClient.makeWritable(httpUrl, faucet.address, async signBytes => {
-        return encodeSecp256k1Signature(pen.pubkey, await pen.createSignature(signBytes));
-      });
+      const client = CosmWasmClient.makeWritable(httpUrl, faucet.address, signBytes => pen.sign(signBytes));
       const codeId = await client.upload(getRandomizedHackatom());
 
       const contractAddress1 = await client.instantiate(codeId, {
@@ -180,9 +174,7 @@ describe("CosmWasmClient", () => {
     it("works", async () => {
       pendingWithoutCosmos();
       const pen = await Secp256k1Pen.fromMnemonic(faucet.mnemonic);
-      const client = CosmWasmClient.makeWritable(httpUrl, faucet.address, async signBytes => {
-        return encodeSecp256k1Signature(pen.pubkey, await pen.createSignature(signBytes));
-      });
+      const client = CosmWasmClient.makeWritable(httpUrl, faucet.address, signBytes => pen.sign(signBytes));
       const codeId = await client.upload(getRandomizedHackatom());
 
       // instantiate
diff --git a/packages/sdk/src/encoding.spec.ts b/packages/sdk/src/encoding.spec.ts
index 6aeb8f61..ccdb8a4a 100644
--- a/packages/sdk/src/encoding.spec.ts
+++ b/packages/sdk/src/encoding.spec.ts
@@ -1,59 +1 @@
-import { Encoding } from "@iov/encoding";
-
-import { encodeSecp256k1Signature } from "./encoding";
-
-const { fromBase64 } = Encoding;
-
-describe("encoding", () => {
-  describe("encodeSecp256k1Signature", () => {
-    it("encodes a full signature", () => {
-      const pubkey = fromBase64("AtQaCqFnshaZQp6rIkvAPyzThvCvXSDO+9AzbxVErqJP");
-      const signature = fromBase64(
-        "1nUcIH0CLT0/nQ0mBTDrT6kMG20NY/PsH7P2gc4bpYNGLEYjBmdWevXUJouSE/9A/60QG9cYeqyTe5kFDeIPxQ==",
-      );
-      expect(encodeSecp256k1Signature(pubkey, signature)).toEqual({
-        // eslint-disable-next-line @typescript-eslint/camelcase
-        pub_key: {
-          type: "tendermint/PubKeySecp256k1",
-          value: "AtQaCqFnshaZQp6rIkvAPyzThvCvXSDO+9AzbxVErqJP",
-        },
-        signature: "1nUcIH0CLT0/nQ0mBTDrT6kMG20NY/PsH7P2gc4bpYNGLEYjBmdWevXUJouSE/9A/60QG9cYeqyTe5kFDeIPxQ==",
-      });
-    });
-
-    it("compresses uncompressed public keys", () => {
-      const pubkey = fromBase64(
-        "BE8EGB7ro1ORuFhjOnZcSgwYlpe0DSFjVNUIkNNQxwKQE7WHpoHoNswYeoFkuYpYSKK4mzFzMV/dB0DVAy4lnNU=",
-      );
-      const signature = fromBase64(
-        "1nUcIH0CLT0/nQ0mBTDrT6kMG20NY/PsH7P2gc4bpYNGLEYjBmdWevXUJouSE/9A/60QG9cYeqyTe5kFDeIPxQ==",
-      );
-      expect(encodeSecp256k1Signature(pubkey, signature)).toEqual({
-        // eslint-disable-next-line @typescript-eslint/camelcase
-        pub_key: {
-          type: "tendermint/PubKeySecp256k1",
-          value: "A08EGB7ro1ORuFhjOnZcSgwYlpe0DSFjVNUIkNNQxwKQ",
-        },
-        signature: "1nUcIH0CLT0/nQ0mBTDrT6kMG20NY/PsH7P2gc4bpYNGLEYjBmdWevXUJouSE/9A/60QG9cYeqyTe5kFDeIPxQ==",
-      });
-    });
-
-    it("removes recovery values from signature data", () => {
-      const pubkey = fromBase64("AtQaCqFnshaZQp6rIkvAPyzThvCvXSDO+9AzbxVErqJP");
-      const signature = Uint8Array.from([
-        ...fromBase64(
-          "1nUcIH0CLT0/nQ0mBTDrT6kMG20NY/PsH7P2gc4bpYNGLEYjBmdWevXUJouSE/9A/60QG9cYeqyTe5kFDeIPxQ==",
-        ),
-        99,
-      ]);
-      expect(encodeSecp256k1Signature(pubkey, signature)).toEqual({
-        // eslint-disable-next-line @typescript-eslint/camelcase
-        pub_key: {
-          type: "tendermint/PubKeySecp256k1",
-          value: "AtQaCqFnshaZQp6rIkvAPyzThvCvXSDO+9AzbxVErqJP",
-        },
-        signature: "1nUcIH0CLT0/nQ0mBTDrT6kMG20NY/PsH7P2gc4bpYNGLEYjBmdWevXUJouSE/9A/60QG9cYeqyTe5kFDeIPxQ==",
-      });
-    });
-  });
-});
+describe("encoding", () => {});
diff --git a/packages/sdk/src/encoding.ts b/packages/sdk/src/encoding.ts
index c8045b36..8a782944 100644
--- a/packages/sdk/src/encoding.ts
+++ b/packages/sdk/src/encoding.ts
@@ -1,10 +1,8 @@
-import { Secp256k1 } from "@iov/crypto";
 import { Encoding } from "@iov/encoding";
 
-import { encodeSecp256k1Pubkey } from "./pubkey";
-import { Msg, StdFee, StdSignature, StdTx } from "./types";
+import { Msg, StdFee, StdTx } from "./types";
 
-const { toBase64, toUtf8 } = Encoding;
+const { toUtf8 } = Encoding;
 
 function sortJson(json: any): any {
   if (typeof json !== "object" || json === null) {
@@ -59,12 +57,3 @@ export function makeSignBytes(
   const signMsg = sortJson(signJson);
   return toUtf8(JSON.stringify(signMsg));
 }
-
-export function encodeSecp256k1Signature(pubkey: Uint8Array, signature: Uint8Array): StdSignature {
-  return {
-    // eslint-disable-next-line @typescript-eslint/camelcase
-    pub_key: encodeSecp256k1Pubkey(pubkey),
-    // Recovery seems to be unused
-    signature: toBase64(Secp256k1.trimRecoveryByte(signature)),
-  };
-}
diff --git a/packages/sdk/src/index.ts b/packages/sdk/src/index.ts
index a3331203..294c81f8 100644
--- a/packages/sdk/src/index.ts
+++ b/packages/sdk/src/index.ts
@@ -4,8 +4,9 @@ export { logs, types };
 
 export { CosmosAddressBech32Prefix, encodeAddress, isValidAddress } from "./address";
 export { unmarshalTx } from "./decoding";
-export { encodeSecp256k1Signature, makeSignBytes, marshalTx } from "./encoding";
+export { makeSignBytes, marshalTx } from "./encoding";
 export { RestClient, TxsResponse } from "./restclient";
+export { encodeSecp256k1Signature } from "./signature";
 export { CosmWasmClient, ExecuteResult, GetNonceResult, PostTxResult } from "./cosmwasmclient";
 export { makeCosmoshubPath, Pen, PrehashType, Secp256k1Pen } from "./pen";
 export {
diff --git a/packages/sdk/src/pen.spec.ts b/packages/sdk/src/pen.spec.ts
index 7ea39cee..57c71c78 100644
--- a/packages/sdk/src/pen.spec.ts
+++ b/packages/sdk/src/pen.spec.ts
@@ -2,6 +2,7 @@ import { Secp256k1, Secp256k1Signature, Sha256 } from "@iov/crypto";
 import { Encoding } from "@iov/encoding";
 
 import { Secp256k1Pen } from "./pen";
+import { decodeSignature } from "./signature";
 
 const { fromHex } = Encoding;
 
@@ -33,12 +34,12 @@ describe("Sec256k1Pen", () => {
         "special sign fit simple patrol salute grocery chicken wheat radar tonight ceiling",
       );
       const data = Encoding.toAscii("foo bar");
-      const signature = await pen.createSignature(data);
+      const { pubkey, signature } = decodeSignature(await pen.sign(data));
 
       const valid = await Secp256k1.verifySignature(
         new Secp256k1Signature(signature.slice(0, 32), signature.slice(32, 64)),
         new Sha256(data).digest(),
-        pen.pubkey,
+        pubkey,
       );
       expect(valid).toEqual(true);
     });
diff --git a/packages/sdk/src/pen.ts b/packages/sdk/src/pen.ts
index f50d2465..86037fe2 100644
--- a/packages/sdk/src/pen.ts
+++ b/packages/sdk/src/pen.ts
@@ -9,6 +9,9 @@ import {
   Slip10RawIndex,
 } from "@iov/crypto";
 
+import { encodeSecp256k1Signature } from "./signature";
+import { StdSignature } from "./types";
+
 export type PrehashType = "sha256" | "sha512" | null;
 
 /**
@@ -23,7 +26,7 @@ export type PrehashType = "sha256" | "sha512" | null;
  */
 export interface Pen {
   readonly pubkey: Uint8Array;
-  readonly createSignature: (signBytes: Uint8Array, prehashType?: PrehashType) => Promise<Uint8Array>;
+  readonly sign: (signBytes: Uint8Array, prehashType?: PrehashType) => Promise<StdSignature>;
 }
 
 function prehash(bytes: Uint8Array, type: PrehashType): Uint8Array {
@@ -73,14 +76,12 @@ export class Secp256k1Pen implements Pen {
   }
 
   /**
-   * Creates a fixed length encoding of the signature parameters r (32 bytes) and s (32 bytes).
+   * Creates and returns a signature
    */
-  public async createSignature(
-    signBytes: Uint8Array,
-    prehashType: PrehashType = "sha256",
-  ): Promise<Uint8Array> {
+  public async sign(signBytes: Uint8Array, prehashType: PrehashType = "sha256"): Promise<StdSignature> {
     const message = prehash(signBytes, prehashType);
     const signature = await Secp256k1.createSignature(message, this.privkey);
-    return new Uint8Array([...signature.r(32), ...signature.s(32)]);
+    const fixedLengthSignature = new Uint8Array([...signature.r(32), ...signature.s(32)]);
+    return encodeSecp256k1Signature(this.pubkey, fixedLengthSignature);
   }
 }
diff --git a/packages/sdk/src/restclient.spec.ts b/packages/sdk/src/restclient.spec.ts
index 26a654b7..9862d178 100644
--- a/packages/sdk/src/restclient.spec.ts
+++ b/packages/sdk/src/restclient.spec.ts
@@ -3,7 +3,7 @@ import { Sha256 } from "@iov/crypto";
 import { Encoding } from "@iov/encoding";
 import { assert } from "@iov/utils";
 
-import { encodeSecp256k1Signature, makeSignBytes, marshalTx } from "./encoding";
+import { makeSignBytes, marshalTx } from "./encoding";
 import { findAttribute, parseLogs } from "./logs";
 import { Pen, Secp256k1Pen } from "./pen";
 import { encodeBech32Pubkey } from "./pubkey";
@@ -86,7 +86,7 @@ async function uploadCustomContract(
 
   const { account_number, sequence } = (await client.authAccounts(faucet.address)).result.value;
   const signBytes = makeSignBytes([theMsg], fee, defaultNetworkId, memo, account_number, sequence);
-  const signature = encodeSecp256k1Signature(pen.pubkey, await pen.createSignature(signBytes));
+  const signature = await pen.sign(signBytes);
   const signedTx = makeSignedTx(theMsg, fee, memo, signature);
   return client.postTx(marshalTx(signedTx));
 }
@@ -127,7 +127,7 @@ async function instantiateContract(
 
   const { account_number, sequence } = (await client.authAccounts(faucet.address)).result.value;
   const signBytes = makeSignBytes([theMsg], fee, defaultNetworkId, memo, account_number, sequence);
-  const signature = encodeSecp256k1Signature(pen.pubkey, await pen.createSignature(signBytes));
+  const signature = await pen.sign(signBytes);
   const signedTx = makeSignedTx(theMsg, fee, memo, signature);
   return client.postTx(marshalTx(signedTx));
 }
@@ -159,7 +159,7 @@ async function executeContract(
 
   const { account_number, sequence } = (await client.authAccounts(faucet.address)).result.value;
   const signBytes = makeSignBytes([theMsg], fee, defaultNetworkId, memo, account_number, sequence);
-  const signature = encodeSecp256k1Signature(pen.pubkey, await pen.createSignature(signBytes));
+  const signature = await pen.sign(signBytes);
   const signedTx = makeSignedTx(theMsg, fee, memo, signature);
   return client.postTx(marshalTx(signedTx));
 }
@@ -261,7 +261,7 @@ describe("RestClient", () => {
       const { account_number, sequence } = (await client.authAccounts(faucet.address)).result.value;
 
       const signBytes = makeSignBytes([theMsg], fee, defaultNetworkId, memo, account_number, sequence);
-      const signature = encodeSecp256k1Signature(pen.pubkey, await pen.createSignature(signBytes));
+      const signature = await pen.sign(signBytes);
       const signedTx = makeSignedTx(theMsg, fee, memo, signature);
       const result = await client.postTx(marshalTx(signedTx));
       // console.log("Raw log:", result.raw_log);
diff --git a/packages/sdk/src/signature.spec.ts b/packages/sdk/src/signature.spec.ts
new file mode 100644
index 00000000..23dc8cda
--- /dev/null
+++ b/packages/sdk/src/signature.spec.ts
@@ -0,0 +1,79 @@
+import { Encoding } from "@iov/encoding";
+
+import { decodeSignature, encodeSecp256k1Signature } from "./signature";
+import { StdSignature } from "./types";
+
+const { fromBase64 } = Encoding;
+
+describe("signature", () => {
+  describe("encodeSecp256k1Signature", () => {
+    it("encodes a full signature", () => {
+      const pubkey = fromBase64("AtQaCqFnshaZQp6rIkvAPyzThvCvXSDO+9AzbxVErqJP");
+      const signature = fromBase64(
+        "1nUcIH0CLT0/nQ0mBTDrT6kMG20NY/PsH7P2gc4bpYNGLEYjBmdWevXUJouSE/9A/60QG9cYeqyTe5kFDeIPxQ==",
+      );
+      expect(encodeSecp256k1Signature(pubkey, signature)).toEqual({
+        // eslint-disable-next-line @typescript-eslint/camelcase
+        pub_key: {
+          type: "tendermint/PubKeySecp256k1",
+          value: "AtQaCqFnshaZQp6rIkvAPyzThvCvXSDO+9AzbxVErqJP",
+        },
+        signature: "1nUcIH0CLT0/nQ0mBTDrT6kMG20NY/PsH7P2gc4bpYNGLEYjBmdWevXUJouSE/9A/60QG9cYeqyTe5kFDeIPxQ==",
+      });
+    });
+
+    it("compresses uncompressed public keys", () => {
+      const pubkey = fromBase64(
+        "BE8EGB7ro1ORuFhjOnZcSgwYlpe0DSFjVNUIkNNQxwKQE7WHpoHoNswYeoFkuYpYSKK4mzFzMV/dB0DVAy4lnNU=",
+      );
+      const signature = fromBase64(
+        "1nUcIH0CLT0/nQ0mBTDrT6kMG20NY/PsH7P2gc4bpYNGLEYjBmdWevXUJouSE/9A/60QG9cYeqyTe5kFDeIPxQ==",
+      );
+      expect(encodeSecp256k1Signature(pubkey, signature)).toEqual({
+        // eslint-disable-next-line @typescript-eslint/camelcase
+        pub_key: {
+          type: "tendermint/PubKeySecp256k1",
+          value: "A08EGB7ro1ORuFhjOnZcSgwYlpe0DSFjVNUIkNNQxwKQ",
+        },
+        signature: "1nUcIH0CLT0/nQ0mBTDrT6kMG20NY/PsH7P2gc4bpYNGLEYjBmdWevXUJouSE/9A/60QG9cYeqyTe5kFDeIPxQ==",
+      });
+    });
+
+    it("removes recovery values from signature data", () => {
+      const pubkey = fromBase64("AtQaCqFnshaZQp6rIkvAPyzThvCvXSDO+9AzbxVErqJP");
+      const signature = Uint8Array.from([
+        ...fromBase64(
+          "1nUcIH0CLT0/nQ0mBTDrT6kMG20NY/PsH7P2gc4bpYNGLEYjBmdWevXUJouSE/9A/60QG9cYeqyTe5kFDeIPxQ==",
+        ),
+        99,
+      ]);
+      expect(encodeSecp256k1Signature(pubkey, signature)).toEqual({
+        // eslint-disable-next-line @typescript-eslint/camelcase
+        pub_key: {
+          type: "tendermint/PubKeySecp256k1",
+          value: "AtQaCqFnshaZQp6rIkvAPyzThvCvXSDO+9AzbxVErqJP",
+        },
+        signature: "1nUcIH0CLT0/nQ0mBTDrT6kMG20NY/PsH7P2gc4bpYNGLEYjBmdWevXUJouSE/9A/60QG9cYeqyTe5kFDeIPxQ==",
+      });
+    });
+  });
+
+  describe("decodeSignature", () => {
+    it("works for secp256k1", () => {
+      const signature: StdSignature = {
+        // eslint-disable-next-line @typescript-eslint/camelcase
+        pub_key: {
+          type: "tendermint/PubKeySecp256k1",
+          value: "AtQaCqFnshaZQp6rIkvAPyzThvCvXSDO+9AzbxVErqJP",
+        },
+        signature: "1nUcIH0CLT0/nQ0mBTDrT6kMG20NY/PsH7P2gc4bpYNGLEYjBmdWevXUJouSE/9A/60QG9cYeqyTe5kFDeIPxQ==",
+      };
+      expect(decodeSignature(signature)).toEqual({
+        pubkey: fromBase64("AtQaCqFnshaZQp6rIkvAPyzThvCvXSDO+9AzbxVErqJP"),
+        signature: fromBase64(
+          "1nUcIH0CLT0/nQ0mBTDrT6kMG20NY/PsH7P2gc4bpYNGLEYjBmdWevXUJouSE/9A/60QG9cYeqyTe5kFDeIPxQ==",
+        ),
+      });
+    });
+  });
+});
diff --git a/packages/sdk/src/signature.ts b/packages/sdk/src/signature.ts
new file mode 100644
index 00000000..56eb6af6
--- /dev/null
+++ b/packages/sdk/src/signature.ts
@@ -0,0 +1,29 @@
+import { Secp256k1 } from "@iov/crypto";
+import { Encoding } from "@iov/encoding";
+
+import { encodeSecp256k1Pubkey } from "./pubkey";
+import { pubkeyType, StdSignature } from "./types";
+
+export function encodeSecp256k1Signature(pubkey: Uint8Array, signature: Uint8Array): StdSignature {
+  return {
+    // eslint-disable-next-line @typescript-eslint/camelcase
+    pub_key: encodeSecp256k1Pubkey(pubkey),
+    // Recovery seems to be unused
+    signature: Encoding.toBase64(Secp256k1.trimRecoveryByte(signature)),
+  };
+}
+
+export function decodeSignature(
+  signature: StdSignature,
+): { readonly pubkey: Uint8Array; readonly signature: Uint8Array } {
+  switch (signature.pub_key.type) {
+    // Note: please don't add cases here without writing additional unit tests
+    case pubkeyType.secp256k1:
+      return {
+        pubkey: Encoding.fromBase64(signature.pub_key.value),
+        signature: Encoding.fromBase64(signature.signature),
+      };
+    default:
+      throw new Error("Unsupported pubkey type");
+  }
+}
diff --git a/packages/sdk/types/encoding.d.ts b/packages/sdk/types/encoding.d.ts
index e4a6c77f..4d32b80b 100644
--- a/packages/sdk/types/encoding.d.ts
+++ b/packages/sdk/types/encoding.d.ts
@@ -1,4 +1,4 @@
-import { Msg, StdFee, StdSignature, StdTx } from "./types";
+import { Msg, StdFee, StdTx } from "./types";
 export declare function marshalTx(tx: StdTx): Uint8Array;
 export declare function makeSignBytes(
   msgs: readonly Msg[],
@@ -8,4 +8,3 @@ export declare function makeSignBytes(
   accountNumber: number,
   sequence: number,
 ): Uint8Array;
-export declare function encodeSecp256k1Signature(pubkey: Uint8Array, signature: Uint8Array): StdSignature;
diff --git a/packages/sdk/types/index.d.ts b/packages/sdk/types/index.d.ts
index 9250b24c..ec6bdaca 100644
--- a/packages/sdk/types/index.d.ts
+++ b/packages/sdk/types/index.d.ts
@@ -3,8 +3,9 @@ import * as types from "./types";
 export { logs, types };
 export { CosmosAddressBech32Prefix, encodeAddress, isValidAddress } from "./address";
 export { unmarshalTx } from "./decoding";
-export { encodeSecp256k1Signature, makeSignBytes, marshalTx } from "./encoding";
+export { makeSignBytes, marshalTx } from "./encoding";
 export { RestClient, TxsResponse } from "./restclient";
+export { encodeSecp256k1Signature } from "./signature";
 export { CosmWasmClient, ExecuteResult, GetNonceResult, PostTxResult } from "./cosmwasmclient";
 export { makeCosmoshubPath, Pen, PrehashType, Secp256k1Pen } from "./pen";
 export {
diff --git a/packages/sdk/types/pen.d.ts b/packages/sdk/types/pen.d.ts
index 08a3f8d8..ee129395 100644
--- a/packages/sdk/types/pen.d.ts
+++ b/packages/sdk/types/pen.d.ts
@@ -1,4 +1,5 @@
 import { Slip10RawIndex } from "@iov/crypto";
+import { StdSignature } from "./types";
 export declare type PrehashType = "sha256" | "sha512" | null;
 /**
  * A pen is the most basic tool you can think of for signing. It works
@@ -12,7 +13,7 @@ export declare type PrehashType = "sha256" | "sha512" | null;
  */
 export interface Pen {
   readonly pubkey: Uint8Array;
-  readonly createSignature: (signBytes: Uint8Array, prehashType?: PrehashType) => Promise<Uint8Array>;
+  readonly sign: (signBytes: Uint8Array, prehashType?: PrehashType) => Promise<StdSignature>;
 }
 /**
  * The Cosmoshub derivation path in the form `m/44'/118'/0'/0/a`
@@ -25,7 +26,7 @@ export declare class Secp256k1Pen implements Pen {
   private readonly privkey;
   private constructor();
   /**
-   * Creates a fixed length encoding of the signature parameters r (32 bytes) and s (32 bytes).
+   * Creates and returns a signature
    */
-  createSignature(signBytes: Uint8Array, prehashType?: PrehashType): Promise<Uint8Array>;
+  sign(signBytes: Uint8Array, prehashType?: PrehashType): Promise<StdSignature>;
 }
diff --git a/packages/sdk/types/signature.d.ts b/packages/sdk/types/signature.d.ts
new file mode 100644
index 00000000..c6908ddc
--- /dev/null
+++ b/packages/sdk/types/signature.d.ts
@@ -0,0 +1,8 @@
+import { StdSignature } from "./types";
+export declare function encodeSecp256k1Signature(pubkey: Uint8Array, signature: Uint8Array): StdSignature;
+export declare function decodeSignature(
+  signature: StdSignature,
+): {
+  readonly pubkey: Uint8Array;
+  readonly signature: Uint8Array;
+};
diff --git a/scripts/cosm/deploy_erc20.js b/scripts/cosm/deploy_erc20.js
index 94ed3522..1420a113 100755
--- a/scripts/cosm/deploy_erc20.js
+++ b/scripts/cosm/deploy_erc20.js
@@ -1,7 +1,7 @@
 #!/usr/bin/env node
 
 /* eslint-disable @typescript-eslint/camelcase */
-const { CosmWasmClient, encodeSecp256k1Signature, Secp256k1Pen } = require("@cosmwasm/sdk");
+const { CosmWasmClient, Secp256k1Pen } = require("@cosmwasm/sdk");
 const fs = require("fs");
 
 const httpUrl = "http://localhost:1317";
@@ -56,9 +56,7 @@ const initMsgCash = {
 
 async function main() {
   const pen = await Secp256k1Pen.fromMnemonic(faucet.mnemonic);
-  const client = CosmWasmClient.makeWritable(httpUrl, faucet.address, async signBytes => {
-    return encodeSecp256k1Signature(pen.pubkey, await pen.createSignature(signBytes));
-  });
+  const client = CosmWasmClient.makeWritable(httpUrl, faucet.address, signBytes => pen.sign(signBytes));
 
   const wasm = fs.readFileSync(__dirname + "/contracts/cw-erc20.wasm");
   const codeId = await client.upload(wasm, "Upload ERC20 contract");