diff --git a/packages/bcp/src/cosmwasmconnection.spec.ts b/packages/bcp/src/cosmwasmconnection.spec.ts
index 9bf71d95..6baa9f01 100644
--- a/packages/bcp/src/cosmwasmconnection.spec.ts
+++ b/packages/bcp/src/cosmwasmconnection.spec.ts
@@ -11,8 +11,8 @@ import {
   TokenTicker,
   TransactionState,
 } from "@iov/bcp";
-import { Secp256k1 } from "@iov/crypto";
-import { Encoding } from "@iov/encoding";
+import { Random, Secp256k1 } from "@iov/crypto";
+import { Bech32, Encoding } from "@iov/encoding";
 import { HdPaths, Secp256k1HdWallet, UserProfile } from "@iov/keycontrol";
 import { assert } from "@iov/utils";
 
@@ -29,6 +29,12 @@ function pendingWithoutCosmos(): void {
   }
 }
 
+const defaultPrefix = "cosmos" as CosmosAddressBech32Prefix;
+
+function makeRandomAddress(): Address {
+  return Bech32.encode(defaultPrefix, Random.getBytes(20)) as Address;
+}
+
 describe("CosmWasmConnection", () => {
   const cosm = "COSM" as TokenTicker;
   const httpUrl = "http://localhost:1317";
@@ -53,8 +59,6 @@ describe("CosmWasmConnection", () => {
     address: "cosmos1cjsxept9rkggzxztslae9ndgpdyt2408lk850u" as Address,
   };
 
-  const defaultPrefix = "cosmos" as CosmosAddressBech32Prefix;
-
   // this is for wasmd blockchain
   const defaultConfig: TokenConfiguration = {
     bankTokens: [
@@ -447,5 +451,47 @@ describe("CosmWasmConnection", () => {
 
       connection.disconnect();
     });
+
+    it("can send ERC20 tokens", async () => {
+      pendingWithoutCosmos();
+      const codec = new CosmWasmCodec(defaultPrefix, defaultConfig.bankTokens, defaultConfig.erc20Tokens);
+      const connection = await CosmWasmConnection.establish(httpUrl, defaultPrefix, defaultConfig);
+      const profile = new UserProfile();
+      const wallet = profile.addWallet(Secp256k1HdWallet.fromMnemonic(faucetMnemonic));
+      const faucet = await profile.createIdentity(wallet.id, defaultChainId, faucetPath);
+      const faucetAddress = codec.identityToAddress(faucet);
+      const recipient = makeRandomAddress();
+
+      const unsigned = await connection.withDefaultFee<SendTransaction>({
+        kind: "bcp/send",
+        chainId: defaultChainId,
+        sender: faucetAddress,
+        recipient: recipient,
+        memo: "My first payment",
+        amount: {
+          quantity: "75",
+          fractionalDigits: 3, // todo: BROKEN!
+          tokenTicker: "BASH" as TokenTicker,
+        },
+      });
+      const nonce = await connection.getNonce({ address: faucetAddress });
+      const signed = await profile.signTransaction(faucet, unsigned, codec, nonce);
+      const postableBytes = codec.bytesToPost(signed);
+      const response = await connection.postTx(postableBytes);
+      const blockInfo = await response.blockInfo.waitFor(info => !isBlockInfoPending(info));
+      expect(blockInfo.state).toEqual(TransactionState.Succeeded);
+
+      const recipientAccount = await connection.getAccount({ address: recipient });
+      assert(recipientAccount, "Recipient account must have BASH tokens");
+      expect(recipientAccount.balance).toEqual([
+        {
+          tokenTicker: "BASH" as TokenTicker,
+          quantity: "75",
+          fractionalDigits: 0,
+        },
+      ]);
+
+      connection.disconnect();
+    });
   });
 });
diff --git a/packages/bcp/src/cosmwasmconnection.ts b/packages/bcp/src/cosmwasmconnection.ts
index 7a3e50e2..bb52c528 100644
--- a/packages/bcp/src/cosmwasmconnection.ts
+++ b/packages/bcp/src/cosmwasmconnection.ts
@@ -158,12 +158,10 @@ export class CosmWasmConnection implements BlockchainConnection {
   public async getAccount(query: AccountQuery): Promise<Account | undefined> {
     const address = isPubkeyQuery(query) ? pubkeyToAddress(query.pubkey, this.addressPrefix) : query.address;
     const { result } = await this.restClient.authAccounts(address);
-    const account = result.value;
-    if (!account.address) {
-      return undefined;
-    }
+    const bankAccount = result.value;
+    const hasBankAccount = !!bankAccount.address;
 
-    const supportedBankCoins = account.coins.filter(({ denom }) =>
+    const supportedBankCoins = bankAccount.coins.filter(({ denom }) =>
       this.bankTokens.find(token => token.denom === denom),
     );
     const erc20Amounts = await Promise.all(
@@ -184,17 +182,20 @@ export class CosmWasmConnection implements BlockchainConnection {
     );
     const nonZeroErc20Amounts = erc20Amounts.filter(amount => amount.quantity !== "0");
 
-    const balance = [
-      ...supportedBankCoins.map(coin => decodeAmount(this.bankTokens, coin)),
-      ...nonZeroErc20Amounts,
-    ].sort((a, b) => a.tokenTicker.localeCompare(b.tokenTicker));
-
-    const pubkey = !account.public_key ? undefined : decodeCosmosPubkey(account.public_key);
-    return {
-      address: address,
-      balance: balance,
-      pubkey: pubkey,
-    };
+    if (!hasBankAccount && nonZeroErc20Amounts.length === 0) {
+      return undefined;
+    } else {
+      const balance = [
+        ...supportedBankCoins.map(coin => decodeAmount(this.bankTokens, coin)),
+        ...nonZeroErc20Amounts,
+      ].sort((a, b) => a.tokenTicker.localeCompare(b.tokenTicker));
+      const pubkey = !bankAccount.public_key ? undefined : decodeCosmosPubkey(bankAccount.public_key);
+      return {
+        address: address,
+        balance: balance,
+        pubkey: pubkey,
+      };
+    }
   }
 
   public watchAccount(_account: AccountQuery): Stream<Account | undefined> {