diff --git a/CHANGELOG.md b/CHANGELOG.md
index 9fb67e697c..d0c77c03bc 100644
--- a/CHANGELOG.md
+++ b/CHANGELOG.md
@@ -15,6 +15,8 @@ BREAKING CHANGES:
   - complete overhaul on how tx and query subcommands are added. (see counter or trackomatron for examples)
   - no longer supports counter app (see new countercli)
 - basecoin
+  - `basecoin init` takes an argument, an address to allocate funds to in the genesis
+  - removed key2.json
   - removed all client side functionality from it (use basecli now for proofs)
     - no tx subcommand
     - no query subcommand
@@ -27,6 +29,7 @@ BREAKING CHANGES:
   - removed `example-plugin`, put `counter` inside `docs/guide`
 
 ENHANCEMENTS:
+- `basecoin init` support `--chain-id`
 - intergrates tendermint 0.10.0 (not the rc-2, but the real thing)
 - commands return error code (1) on failure for easier script testing
 - add `reset_all` to basecli, and never delete keys on `init`
diff --git a/cmd/basecli/README.md b/cmd/basecli/README.md
index 6e00f3d851..2443c92ae5 100644
--- a/cmd/basecli/README.md
+++ b/cmd/basecli/README.md
@@ -4,13 +4,6 @@ To keep things clear, let's have two shells...
 
 `$` is for basecoin (server), `%` is for basecli (client)
 
-## Set up a clean basecoin, but don't start the chain
-
-```
-$ export BCHOME=~/.demoserve
-$ basecoin init
-```
-
 ## Set up your basecli with a new key
 
 ```
@@ -24,16 +17,15 @@ And set up a few more keys for fun...
 ```
 % basecli keys new buddy
 % basecli keys list
-% ME=`basecli keys get demo -o json | jq .address | tr -d '"'`
-% YOU=`basecli keys get buddy -o json | jq .address | tr -d '"'`
+% ME=$(basecli keys get demo | awk '{print $2}')
+% YOU=$(basecli keys get buddy | awk '{print $2}')
 ```
 
-## Update genesis so you are rich, and start
+## Set up a clean basecoin, initialized with your account
 
 ```
-$ vi $BCHOME/genesis.json
--> cut/paste your pubkey from the results above
-
+$ export BCHOME=~/.demoserve
+$ basecoin init $ME
 $ basecoin start
 ```
 
@@ -46,8 +38,8 @@ $ basecoin start
 ## Check your balances...
 
 ```
-% basecli proof state get --app=account --key=$ME
-% basecli proof state get --app=account --key=$YOU
+% basecli query account $ME
+% basecli query account $YOU
 ```
 
 ## Send the money
@@ -55,9 +47,7 @@ $ basecoin start
 ```
 % basecli tx send --name demo --amount 1000mycoin --sequence 1 --to $YOU
 -> copy hash to HASH
-% basecli proof tx get --key $HASH
-
-% basecli proof tx get --key $HASH --app base
-% basecli proof state get --key $YOU --app account
+% basecli query tx $HASH
+% basecli query account $YOU
 ```
 
diff --git a/cmd/basecli/commands/apptx.go b/cmd/basecli/commands/apptx.go
index 1325427d37..acfc5932d1 100644
--- a/cmd/basecli/commands/apptx.go
+++ b/cmd/basecli/commands/apptx.go
@@ -51,7 +51,7 @@ func (s *AppTx) Signers() ([]crypto.PubKey, error) {
 func (s *AppTx) TxBytes() ([]byte, error) {
 	// TODO: verify it is signed
 
-	// Code and comment from: basecoin/cmd/commands/tx.go
+	// Code and comment from: basecoin/cmd/basecoin/commands/tx.go
 	// Don't you hate having to do this?
 	// How many times have I lost an hour over this trick?!
 	txBytes := wire.BinaryBytes(bc.TxS{s.Tx})
diff --git a/cmd/basecli/commands/query.go b/cmd/basecli/commands/query.go
index 5b616dc75f..ac17cbdd92 100644
--- a/cmd/basecli/commands/query.go
+++ b/cmd/basecli/commands/query.go
@@ -1,9 +1,11 @@
 package commands
 
 import (
+	"github.com/pkg/errors"
 	"github.com/spf13/cobra"
 
 	wire "github.com/tendermint/go-wire"
+	lc "github.com/tendermint/light-client"
 	proofcmd "github.com/tendermint/light-client/commands/proofs"
 	"github.com/tendermint/light-client/proofs"
 
@@ -25,7 +27,9 @@ func doAccountQuery(cmd *cobra.Command, args []string) error {
 
 	acc := new(btypes.Account)
 	proof, err := proofcmd.GetAndParseAppProof(key, &acc)
-	if err != nil {
+	if lc.IsNoDataErr(err) {
+		return errors.Errorf("Account bytes are empty for address %X ", addr)
+	} else if err != nil {
 		return err
 	}
 
diff --git a/cmd/basecli/commands/sendtx.go b/cmd/basecli/commands/sendtx.go
index 15c5d58719..1a338ef29e 100644
--- a/cmd/basecli/commands/sendtx.go
+++ b/cmd/basecli/commands/sendtx.go
@@ -50,7 +50,7 @@ func (s *SendTx) Signers() ([]crypto.PubKey, error) {
 func (s *SendTx) TxBytes() ([]byte, error) {
 	// TODO: verify it is signed
 
-	// Code and comment from: basecoin/cmd/commands/tx.go
+	// Code and comment from: basecoin/cmd/basecoin/commands/tx.go
 	// Don't you hate having to do this?
 	// How many times have I lost an hour over this trick?!
 	txBytes := wire.BinaryBytes(struct {
diff --git a/cmd/commands/ibc.go b/cmd/basecoin/commands/ibc.go
similarity index 100%
rename from cmd/commands/ibc.go
rename to cmd/basecoin/commands/ibc.go
diff --git a/cmd/commands/init.go b/cmd/basecoin/commands/init.go
similarity index 70%
rename from cmd/commands/init.go
rename to cmd/basecoin/commands/init.go
index 2cfbbcd94a..e9f20247ac 100644
--- a/cmd/commands/init.go
+++ b/cmd/basecoin/commands/init.go
@@ -1,6 +1,7 @@
 package commands
 
 import (
+	"fmt"
 	"io/ioutil"
 	"os"
 	"path"
@@ -17,6 +18,18 @@ var (
 	}
 )
 
+//flags
+var (
+	chainIDFlag string
+)
+
+func init() {
+	flags := []Flag2Register{
+		{&chainIDFlag, "chain-id", "test_chain_id", "Chain ID"},
+	}
+	RegisterFlags(InitCmd, flags)
+}
+
 // returns 1 iff it set a file, otherwise 0 (so we can add them)
 func setupFile(path, data string, perm os.FileMode) (int, error) {
 	_, err := os.Stat(path)
@@ -37,13 +50,17 @@ func initCmd(cmd *cobra.Command, args []string) error {
 		return err
 	}
 
+	if len(args) != 1 {
+		return fmt.Errorf("`init` takes one argument, a basecoin account address. Generate one using `basecli keys new mykey`")
+	}
+	userAddr := args[0]
+
 	// initalize basecoin
 	genesisFile := cfg.GenesisFile()
 	privValFile := cfg.PrivValidatorFile()
-	key1File := path.Join(cfg.RootDir, "key.json")
-	key2File := path.Join(cfg.RootDir, "key2.json")
+	keyFile := path.Join(cfg.RootDir, "key.json")
 
-	mod1, err := setupFile(genesisFile, GenesisJSON, 0644)
+	mod1, err := setupFile(genesisFile, GetGenesisJSON(chainIDFlag, userAddr), 0644)
 	if err != nil {
 		return err
 	}
@@ -51,17 +68,13 @@ func initCmd(cmd *cobra.Command, args []string) error {
 	if err != nil {
 		return err
 	}
-	mod3, err := setupFile(key1File, Key1JSON, 0400)
-	if err != nil {
-		return err
-	}
-	mod4, err := setupFile(key2File, Key2JSON, 0400)
+	mod3, err := setupFile(keyFile, KeyJSON, 0400)
 	if err != nil {
 		return err
 	}
 
-	if (mod1 + mod2 + mod3 + mod4) > 0 {
-		logger.Info("Initialized Basecoin", "genesis", genesisFile, "key", key1File)
+	if (mod1 + mod2 + mod3) > 0 {
+		logger.Info("Initialized Basecoin", "genesis", genesisFile, "priv_validator", privValFile)
 	} else {
 		logger.Info("Already initialized", "priv_validator", privValFile)
 	}
@@ -86,9 +99,13 @@ var PrivValJSON = `{
   }
 }`
 
-var GenesisJSON = `{
+// GetGenesisJSON returns a new tendermint genesis with Basecoin app_options
+// that grant a large amount of "mycoin" to a single address
+// TODO: A better UX for generating genesis files
+func GetGenesisJSON(chainID, addr string) string {
+	return fmt.Sprintf(`{
   "app_hash": "",
-  "chain_id": "test_chain_id",
+  "chain_id": "%s",
   "genesis_time": "0001-01-01T00:00:00.000Z",
   "validators": [
     {
@@ -102,10 +119,7 @@ var GenesisJSON = `{
   ],
   "app_options": {
     "accounts": [{
-      "pub_key": {
-        "type": "ed25519",
-        "data": "619D3678599971ED29C7529DDD4DA537B97129893598A17C82E3AC9A8BA95279"
-      },
+      "address": "%s",
       "coins": [
         {
           "denom": "mycoin",
@@ -114,9 +128,11 @@ var GenesisJSON = `{
       ]
     }]
   }
-}`
+}`, chainID, addr)
+}
 
-var Key1JSON = `{
+// TODO: remove this once not needed for relay
+var KeyJSON = `{
   "address": "1B1BE55F969F54064628A63B9559E7C21C925165",
   "priv_key": {
     "type": "ed25519",
@@ -127,15 +143,3 @@ var Key1JSON = `{
     "data": "619D3678599971ED29C7529DDD4DA537B97129893598A17C82E3AC9A8BA95279"
   }
 }`
-
-var Key2JSON = `{
-  "address": "1DA7C74F9C219229FD54CC9F7386D5A3839F0090",
-  "priv_key": {
-    "type": "ed25519",
-    "data": "34BAE9E65CE8245FAD035A0E3EED9401BDE8785FFB3199ACCF8F5B5DDF7486A8352195DA90CB0B90C24295B90AEBA25A5A71BC61BAB2FE2387241D439698B7B8"
-  },
-  "pub_key": {
-    "type": "ed25519",
-    "data": "352195DA90CB0B90C24295B90AEBA25A5A71BC61BAB2FE2387241D439698B7B8"
-  }
-}`
diff --git a/cmd/commands/key.go b/cmd/basecoin/commands/key.go
similarity index 100%
rename from cmd/commands/key.go
rename to cmd/basecoin/commands/key.go
diff --git a/cmd/commands/plugin_util.go b/cmd/basecoin/commands/plugin_util.go
similarity index 100%
rename from cmd/commands/plugin_util.go
rename to cmd/basecoin/commands/plugin_util.go
diff --git a/cmd/commands/relay.go b/cmd/basecoin/commands/relay.go
similarity index 100%
rename from cmd/commands/relay.go
rename to cmd/basecoin/commands/relay.go
diff --git a/cmd/commands/reset.go b/cmd/basecoin/commands/reset.go
similarity index 100%
rename from cmd/commands/reset.go
rename to cmd/basecoin/commands/reset.go
diff --git a/cmd/commands/root.go b/cmd/basecoin/commands/root.go
similarity index 100%
rename from cmd/commands/root.go
rename to cmd/basecoin/commands/root.go
diff --git a/cmd/commands/start.go b/cmd/basecoin/commands/start.go
similarity index 100%
rename from cmd/commands/start.go
rename to cmd/basecoin/commands/start.go
diff --git a/cmd/commands/utils.go b/cmd/basecoin/commands/utils.go
similarity index 100%
rename from cmd/commands/utils.go
rename to cmd/basecoin/commands/utils.go
diff --git a/cmd/commands/utils_test.go b/cmd/basecoin/commands/utils_test.go
similarity index 100%
rename from cmd/commands/utils_test.go
rename to cmd/basecoin/commands/utils_test.go
diff --git a/cmd/commands/version.go b/cmd/basecoin/commands/version.go
similarity index 100%
rename from cmd/commands/version.go
rename to cmd/basecoin/commands/version.go
diff --git a/cmd/basecoin/main.go b/cmd/basecoin/main.go
index 5d74ae5585..23c46c7680 100644
--- a/cmd/basecoin/main.go
+++ b/cmd/basecoin/main.go
@@ -5,7 +5,7 @@ import (
 
 	"github.com/spf13/cobra"
 
-	"github.com/tendermint/basecoin/cmd/commands"
+	"github.com/tendermint/basecoin/cmd/basecoin/commands"
 	"github.com/tendermint/tmlibs/cli"
 )
 
diff --git a/docs/guide/basecoin-basics.md b/docs/guide/basecoin-basics.md
index 9692f31099..716fddb970 100644
--- a/docs/guide/basecoin-basics.md
+++ b/docs/guide/basecoin-basics.md
@@ -14,56 +14,51 @@ go get -u github.com/tendermint/basecoin/cmd/...
 
 If you have trouble, see the [installation guide](install.md).
 
+Note the above command installs two binaries: `basecoin` and `basecli`.
+The former is the running node. The latter is a command-line light-client.
+
+## Generate some keys
+
+Let's generate two keys, one to receive an initial allocation of coins, 
+and one to send some coins to later:
+
+```
+# WARNING: this will wipe out any existing info in the ~/.basecli dir
+# including private keys, don't run if you have lots of local state already
+basecli reset_all
+basecli keys new cool
+basecli keys new friend
+```
+
+You'll need to enter passwords. You can view your key names and addresses with `basecli keys list`,
+or see a particular key's address with `basecli keys get <NAME>`.
+
 ## Initialize Basecoin
 
+
 To initialize a new Basecoin blockchain, run:
 
 ```
 # WARNING: this will wipe out any existing info in the ~/.basecoin dir
 # don't run if you have lots of local state already
 rm -rf ~/.basecoin
-basecoin init
+basecoin init <ADDRESS>
+```
+
+If you prefer not to copy-paste, you can provide the address programatically:
+
+```
+basecoin init $(basecli keys get cool | awk '{print $2}')
 ```
 
 This will create the necessary files for a Basecoin blockchain with one
-validator and one account in `~/.basecoin`.  For more options on setup, see the
+validator and one account (corresponding to your key) in `~/.basecoin`.  For more options on setup, see the
 [guide to using the Basecoin tool](/docs/guide/basecoin-tool.md).
 
-For this example, we will change the genesis account to a new account named
-`cool`. First create a new account:
-
-```
-# WARNING: this will wipe out any existing info in the ~/.basecli dir
-# including private keys, don't run if you have lots of local state already
-basecli reset_all
-basecli keys new cool
-```
-
-While we're at it let's setup a second account which we will use later in the tutorial
-
-```
-basecli keys new friend
-```
-
-Next we need to copy in the public address from our new key into the genesis block:
-
-```
-basecli keys get cool -o=json
-vi ~/.basecoin/genesis.json
--> cut/paste your pubkey from the results above
-```
-or alternatively, without manual copy pasting:
-```
-GENKEY=`basecli keys get cool -o json | jq .pubkey.data`
-GENJSON=`cat ~/.basecoin/genesis.json`
-echo $GENJSON | jq '.app_options.accounts[0].pub_key.data='$GENKEY > ~/.basecoin/genesis.json
-```
-
-Hurray! you are very rich and cool on this blockchain now.
+If you like, you can manually add some more accounts to the blockchain by generating keys and editing the `~/.basecoin/genesis.json`.
 
 ## Start
 
-
 Now we can start Basecoin:
 
 ```
@@ -74,22 +69,26 @@ You should see blocks start streaming in!
 
 ## Initialize Light-Client
 
-Now that Basecoin is running we can initialize the light-client utility named
-`basecli`. Basecli is used for sending transactions and querying the state.
+Now that Basecoin is running we can initialize `basecli`, the light-client utility.
+Basecli is used for sending transactions and querying the state.
 Leave Basecoin running and open a new terminal window. Here run:
 
 ```
 basecli init --chain-id=test_chain_id --node=tcp://localhost:46657
 ```
 
+Note it will ask you to verify the validator hash. For a blockchain on your local computer, don't worry about it.
+If you're connecting to a blockchain over the internet, you should verify that the validator hash is correct.
+This is so that all queries done with `basecli` can be cryptographically proven to be correct according to a known validator set.
+
 ## Send transactions
 
 Now we are ready to send some transactions. First Let's check the balance of
-the two accounts we setup earlier these two accounts:
+the two accounts we setup earlier:
 
 ```
-ME=`basecli keys get cool -o=json | jq .address | tr -d '"'`
-YOU=`basecli keys get friend -o=json | jq .address | tr -d '"'`
+ME=$(basecli keys get cool | awk '{print $2}')
+YOU=$(basecli keys get friend | awk '{print $2}')
 basecli query account $ME
 basecli query account $YOU
 ```
@@ -101,9 +100,6 @@ Let's send funds from the first account to the second:
 basecli tx send --name=cool --amount=1000mycoin --to=0x$YOU --sequence=1
 ```
 
-By default, the CLI looks for a `key.json` to sign the transaction with.
-To specify a different key, we can use the `--from` flag.
-
 Now if we check the second account, it should have `1000` 'mycoin' coins!
 
 ```
@@ -124,21 +120,42 @@ If we try to send too much, we'll get an error:
 basecli tx send --name=friend --amount=500000mycoin --to=$ME --sequence=1
 ```
 
-And if you want to see the original tx, as well as verifying that it
-really is in the blockchain, look at the send response:
+Let's send another transaction:
 
 ```
 basecli tx send --name=cool --amount=2345mycoin --to=$YOU --sequence=2
-# TXHASH from the json output
-basecli query tx $TXHASH
+```
+
+Note the `hash` value in the response - this is the hash of the transaction.
+We can query for the transaction by this hash:
+
+```
+basecli query tx <HASH>
 ```
 
 See `basecli tx send --help` for additional details.
 
-For a better understanding of the options, it helps to understand the
+## Proof
+
+Even if you don't see it in the UI, the result of every query comes with a proof.
+This is a Merkle proof that the result of the query is actually contained in the state.
+and the state's Merkle root is contained in a recent block header.
+Behind the scenes, `countercli` will not only verify that this state matches the header, 
+but also that the header is properly signed by the known validator set. 
+It will even update the validator set as needed, so long
+as there have not been major changes and it is secure to do so. So, if you wonder
+why the query may take a second... there is a lot of work going on in the
+background to make sure even a lying full node can't trick your client.
+
+In a latter [guide on InterBlockchainCommunication](ibc.md), we'll use these
+proofs to post transactions to other chains.
+
+## Accounts and Transactions
+
+For a better understanding of how to further use the tools, it helps to understand the
 underlying data structures.
 
-## Accounts
+### Accounts
 
 The Basecoin state consists entirely of a set of accounts.  Each account
 contains a public key, a balance in many different coin denominations, and a
@@ -162,6 +179,9 @@ type Coin struct {
 }
 ```
 
+If you want to add more coins to a blockchain, you can do so manually in the `~/.basecoin/genesis.json` before
+you start the blockchain for the first time.
+
 Accounts are serialized and stored in a Merkle tree under the key
 `base/a/<address>`, where `<address>` is the address of the account.
 Typically, the address of the account is the 20-byte `RIPEMD160` hash of the
@@ -170,7 +190,7 @@ public key, but other formats are acceptable as well, as defined in the
 Merkle tree used in Basecoin is a balanced, binary search tree, which we call
 an [IAVL tree](https://github.com/tendermint/go-merkle).
 
-## Transactions
+### Transactions
 
 Basecoin defines a simple transaction type, the `SendTx`, which allows tokens
 to be sent to other accounts.  The `SendTx` takes a list of inputs and a list
@@ -229,9 +249,9 @@ transaction.
 
 ## Conclusion
 
-In this guide, we introduced the `basecoin` tool, demonstrated how to use it to
-send tokens between accounts, and discussed the underlying data types for
-accounts and transactions, specifically the `Account` and the `SendTx`.  In the
-[next guide](basecoin-plugins.md), we introduce the Basecoin plugin system,
+In this guide, we introduced the `basecoin` and `basecli` tools, 
+demonstrated how to start a new basecoin blockchain and how to send tokens between accounts, 
+and discussed the underlying data types for accounts and transactions, specifically the `Account` and the `SendTx`.  
+In the [next guide](basecoin-plugins.md), we introduce the Basecoin plugin system,
 which uses a new transaction type, the `AppTx`, to extend the functionality of
 the Basecoin system with arbitrary logic.
diff --git a/docs/guide/basecoin-plugins.md b/docs/guide/basecoin-plugins.md
index 5c2114d0cc..8bdee823ed 100644
--- a/docs/guide/basecoin-plugins.md
+++ b/docs/guide/basecoin-plugins.md
@@ -1,27 +1,32 @@
 # Basecoin Plugins
 
 In the [previous guide](basecoin-basics.md), we saw how to use the `basecoin`
-tool to start a blockchain and send transactions.  We also learned about
+tool to start a blockchain and the `basecli` tools to send transactions.  We also learned about
 `Account` and `SendTx`, the basic data types giving us a multi-asset
-cryptocurrency.  Here, we will demonstrate how to extend the `basecoin` tool to
-use another transaction type, the `AppTx`, to send data to a custom plugin.  In
-this example we explore a simple plugin name `counter`.
+cryptocurrency.  Here, we will demonstrate how to extend the tools to
+use another transaction type, the `AppTx`, so we can send data to a custom plugin.  In
+this example we explore a simple plugin named `counter`.
 
 ## Example Plugin
 
-The design of the `basecoin` tool makes it easy to extend for custom
-functionality.  The Counter plugin is bundled with basecoin, so if you have
-already [installed basecoin](install.md) then you should be able to run a full
-node with `counter` and the a light-client `countercli` from terminal.   The
-Counter plugin is just like the `basecoin` tool.  They both use the same
-library of commands, including one for signing and broadcasting `SendTx`.
+The design of the `basecoin` and `basecli` tools makes it easy to extend for custom
+functionality. We provide examples of such extensions in the basecoin repository under `docs/guide/counter`.
+You can install them from the basecoin directory with:
+
+```
+`go install ./docs/guide/counter/cmd/... 
+```
+
+This will give you both the `counter` and `countercli` binaries.
+The former is just like `basecoin`, but with the counter plugin activated.
+The latter is just like `basecli`, but with support for sending transactions to the counter plugin.
 
 Counter transactions take two custom inputs, a boolean argument named `valid`,
 and a coin amount named `countfee`.  The transaction is only accepted if both
 `valid` is set to true and the transaction input coins is greater than
 `countfee` that the user provides.
 
-A new blockchain can be initialized and started just like with in the [previous
+A new blockchain can be initialized and started just like in the [previous
 guide](basecoin-basics.md):
 
 ```
@@ -29,16 +34,12 @@ guide](basecoin-basics.md):
 rm -rf ~/.counter
 countercli reset_all
 
-counter init
 countercli keys new cool
 countercli keys new friend
 
-GENKEY=`countercli keys get cool -o json | jq .pubkey.data`
-GENJSON=`cat ~/.counter/genesis.json`
-echo $GENJSON | jq '.app_options.accounts[0].pub_key.data='$GENKEY > ~/.counter/genesis.json
+counter init $(countercli keys get cool | awk '{print $2}')
 
 counter start
-
 ```
 
 The default files are stored in `~/.counter`.  In another window we can
@@ -47,7 +48,7 @@ initialize the light-client and send a transaction:
 ```
 countercli init --chain-id=test_chain_id --node=tcp://localhost:46657
 
-YOU=`countercli keys get friend -o=json | jq .address | tr -d '"'`
+YOU=$(countercli keys get friend | awk '{print $2}')
 countercli tx send --name=cool --amount=1000mycoin --to=0x$YOU --sequence=1
 ```
 
@@ -78,21 +79,12 @@ countercli tx counter --name cool --amount=2mycoin --sequence=4 --valid --countf
 countercli query counter
 ```
 
-The value Counter value should be 2, because we sent a second valid transaction.
+The Counter value should be 2, because we sent a second valid transaction.
 And this time, since we sent a countfee (which must be less than or equal to the
 total amount sent with the tx), it stores the `TotalFees` on the counter as well.
 
-Even if you don't see it in the UI, the result of the query comes with a proof.
-This is a Merkle proof that the state is what we say it is, and ties that query
-to a particular header. Behind the scenes, `countercli` will not only verify that
-this state matches the header, but also that the header is properly signed by
-the known validator set. It will even update the validator set as needed, so long
-as there have not been major changes and it is secure to do so. So, if you wonder
-why the query may take a second... there is a lot of work going on in the
-background to make sure even a lying full node can't trick your client.
-
-In a latter [guide on InterBlockchainCommunication](ibc.md), we'll use these
-proofs to post transactions to other chains.
+Keep it mind that, just like with `basecli`, the `countercli` verifies a proof 
+that the query response is correct and up-to-date.
 
 Now, before we implement our own plugin and tooling, it helps to understand the
 `AppTx` and the design of the plugin system.
@@ -178,12 +170,11 @@ alone, but you should change any occurrences of `counter` to whatever your
 plugin tool is going to be called. You must also register your plugin(s) with
 the basecoin app with `RegisterStartPlugin`.
 
-The light-client which is located in `cmd/countercli/main.go` allows for is
-where transaction and query commands are designated. Similarity this command
-can be mostly left alone besides replacing the application name and adding
-references to new plugin commands
+The light-client is located in `cmd/countercli/main.go` and allows for 
+transaction and query commands. This file can also be left mostly alone besides replacing the application name and adding
+references to new plugin commands.
 
-Next is the custom commands in `cmd/countercli/commands/`.  These files is
+Next is the custom commands in `cmd/countercli/commands/`.  These files are
 where we extend the tool with any new commands and flags we need to send
 transactions or queries to our plugin. You define custom `tx` and `query`
 subcommands, which are registered in `main.go` (avoiding `init()`
diff --git a/docs/guide/basecoin-tool.md b/docs/guide/basecoin-tool.md
index 0f89f7bd73..eb35ec9ea1 100644
--- a/docs/guide/basecoin-tool.md
+++ b/docs/guide/basecoin-tool.md
@@ -5,6 +5,15 @@ CLI](/docs/guide/basecoin-basics.md) and [how to implement a
 plugin](/docs/guide/basecoin-plugins.md).  In this tutorial, we provide more
 details on using the Basecoin tool.
 
+# Generate a Key
+
+Generate a key using the `basecli` tool:
+
+```
+basecli keys new mykey
+ME=$(basecli keys get mykey | awk '{print $2}')
+```
+
 # Data Directory
 
 By default, `basecoin` works out of `~/.basecoin`. To change this, set the
@@ -12,14 +21,14 @@ By default, `basecoin` works out of `~/.basecoin`. To change this, set the
 
 ```
 export BCHOME=~/.my_basecoin_data
-basecoin init
+basecoin init $ME
 basecoin start
 ```
 
 or
 
 ```
-BCHOME=~/.my_basecoin_data basecoin init
+BCHOME=~/.my_basecoin_data basecoin init $ME
 BCHOME=~/.my_basecoin_data basecoin start
 ```
 
@@ -30,7 +39,7 @@ we use ABCI, we can actually run them in different processes.  First,
 initialize them:
 
 ```
-basecoin init
+basecoin init $ME
 ```
 
 This will create a single `genesis.json` file in `~/.basecoin` with the
@@ -168,7 +177,7 @@ You can reset all blockchain data by running:
 basecoin unsafe_reset_all
 ```
 
-Similarity you can reset client data by running:
+Similarly, you can reset client data by running:
  
 ```
 basecli reset_all
diff --git a/docs/guide/counter/cmd/counter/main.go b/docs/guide/counter/cmd/counter/main.go
index 0da66c12f6..c877a51eda 100644
--- a/docs/guide/counter/cmd/counter/main.go
+++ b/docs/guide/counter/cmd/counter/main.go
@@ -7,7 +7,7 @@ import (
 
 	"github.com/tendermint/tmlibs/cli"
 
-	"github.com/tendermint/basecoin/cmd/commands"
+	"github.com/tendermint/basecoin/cmd/basecoin/commands"
 	"github.com/tendermint/basecoin/docs/guide/counter/plugins/counter"
 	"github.com/tendermint/basecoin/types"
 )
diff --git a/docs/guide/ibc.md b/docs/guide/ibc.md
index aaf4e01b7f..5f82c1f5fc 100644
--- a/docs/guide/ibc.md
+++ b/docs/guide/ibc.md
@@ -2,11 +2,8 @@
 
 One of the most exciting elements of the Cosmos Network is the InterBlockchain
 Communication (IBC) protocol, which enables interoperability across different
-blockchains.  The simplest example of using the IBC protocol is to send a data
-packet from one blockchain to another.
-
-We implemented IBC as a basecoin plugin.  and here we'll show you how to use
-the Basecoin IBC-plugin to send a packet of data across blockchains!
+blockchains. We implemented IBC as a basecoin plugin, and we'll show you
+how to use it to send tokens across blockchains!
 
 Please note, this tutorial assumes you are familiar with [Basecoin
 plugins](/docs/guide/basecoin-plugins.md), but we'll explain how IBC works. You
@@ -179,9 +176,8 @@ The results of a query can thus be used as proof in an `IBCPacketPostTx`.
 ## Relay
 
 While we need all these packet types internally to keep track of all the
-proofs on both chains in a secure manner, for the normal work-flow, where
-we just use the FIFO queue on each side for pending message to send as soon
-as possible.
+proofs on both chains in a secure manner, for the normal work-flow, 
+we can run a relay node that handles the cross-chain interaction.
 
 In this case, there are only two steps.  First `basecoin relay init`,
 which must be run once to register each chain with the other one,
@@ -197,11 +193,9 @@ chains to pay for all the ibc packets it will be forwarding.
 Now that we have all the background knowledge, let's actually walk through the
 tutorial.
 
-Make sure you have installed
-[Tendermint](https://tendermint.com/intro/getting-started/download) and
-[basecoin](/docs/guide/install.md).
+Make sure you have installed [basecoin and basecli](/docs/guide/install.md).
 
-`basecoin` is a framework for creating new cryptocurrency applications.  It
+Basecoin is a framework for creating new cryptocurrency applications.  It
 comes with an `IBC` plugin enabled by default.
 
 You will also want to install the [jq](https://stedolan.github.io/jq/) for
@@ -240,11 +234,7 @@ Prepare the genesis block and start the server:
 export BCHOME=~/.ibcdemo/chain1/server
 CHAIN_ID=test-chain-1
 PREFIX=1234
-basecoin init
-
-GENKEY=`basecli keys get money -o json --home=$HOME/.ibcdemo/chain1/client | jq .pubkey.data`
-GENJSON=`cat $BCHOME/genesis.json`
-echo $GENJSON | jq '.app_options.accounts[0].pub_key.data='$GENKEY | jq ".chain_id=\"$CHAIN_ID\"" > $BCHOME/genesis.json
+basecoin init $(basecli keys get money | awk '{print $2}')
 
 sed -ie "s/4665/$PREFIX/" $BCHOME/config.toml
 
@@ -257,8 +247,8 @@ have money, the second none:
 **Client1**
 ```bash
 basecli init --chain-id=${CHAIN_ID} --node=tcp://localhost:${PORT}
-ME=`basecli keys get money -o=json | jq .address | tr -d '"'`
-YOU=`basecli keys get gotnone -o=json | jq .address | tr -d '"'`
+ME=$(basecli keys get money | awk '{print $2}')
+YOU=$(basecli keys get gotnone | awk '{print $2}')
 basecli query account $ME
 basecli query account $YOU
 ```
@@ -287,12 +277,7 @@ Prepare the genesis block and start the server:
 export BCHOME=~/.ibcdemo/chain2/server
 CHAIN_ID=test-chain-2
 PREFIX=2345
-basecoin init
-
-
-GENKEY=`basecli keys get moremoney -o json --home=$HOME/.ibcdemo/chain2/client | jq .pubkey.data`
-GENJSON=`cat $BCHOME/genesis.json`
-echo $GENJSON | jq '.app_options.accounts[0].pub_key.data='$GENKEY | jq ".chain_id=\"$CHAIN_ID\"" > $BCHOME/genesis.json
+basecoin init $(basecli keys get moremoney | awk '{print $2}')
 
 sed -ie "s/4665/$PREFIX/" $BCHOME/config.toml
 
@@ -305,8 +290,8 @@ have money, the second none:
 **Client2**
 ```bash
 basecli init --chain-id=${CHAIN_ID} --node=tcp://localhost:${PORT}
-ME=`basecli keys get moremoney -o=json | jq .address | tr -d '"'`
-YOU=`basecli keys get broke -o=json | jq .address | tr -d '"'`
+ME=$(basecli keys get moremoney | awk '{print $2}')
+YOU=$(basecli keys get broke | awk '{print $2}')
 basecli query account $ME
 basecli query account $YOU
 ```
diff --git a/glide.lock b/glide.lock
index 38df58154d..8b96e92922 100644
--- a/glide.lock
+++ b/glide.lock
@@ -1,5 +1,5 @@
 hash: 6eb1119dccf2ab4d0adb870a14cb4408047119be53c8ec4afeaa281bd1d2b457
-updated: 2017-06-15T17:51:21.867322849+02:00
+updated: 2017-06-20T20:55:16.122030554-04:00
 imports:
 - name: github.com/bgentry/speakeasy
   version: 4aabc24848ce5fd31929f7d1e4ea74d3709c14cd
@@ -127,7 +127,7 @@ imports:
   - data
   - data/base58
 - name: github.com/tendermint/light-client
-  version: 4ad913f2728307ec13a3b602b040c29b6a2117b8
+  version: 5ba3d0bce406b4b4ce694ca4387b9d086ac0c10f
   subpackages:
   - certifiers
   - certifiers/client
@@ -171,7 +171,7 @@ imports:
   - types
   - version
 - name: github.com/tendermint/tmlibs
-  version: 59a77e7bef092eef0e1f9b44c983dc9e35eed0d6
+  version: bd9d0d1637dadf1330e167189d5e5031aadcda6f
   subpackages:
   - autofile
   - cli
diff --git a/tests/cli/common.sh b/tests/cli/common.sh
index 017da897a4..95269f8422 100644
--- a/tests/cli/common.sh
+++ b/tests/cli/common.sh
@@ -24,13 +24,9 @@ initServer() {
   assertNotNull "no chain" $2
   CHAIN=$2
   SERVER_LOG=$1/${SERVER_EXE}.log
-  ${SERVER_EXE} init --home=$SERVE_DIR >>$SERVER_LOG
 
-  #change the genesis to the first account
-  GENKEY=$(${CLIENT_EXE} keys get ${RICH} -o json | jq .pubkey.data)
-  GENJSON=$(cat $SERVE_DIR/genesis.json)
-  echo $GENJSON | jq '.app_options.accounts[0].pub_key.data='$GENKEY \
-    | jq ".chain_id=\"$2\"" > $SERVE_DIR/genesis.json
+  GENKEY=$(${CLIENT_EXE} keys get ${RICH} | awk '{print $2}')
+  ${SERVER_EXE} init --chain-id $CHAIN $GENKEY --home=$SERVE_DIR >>$SERVER_LOG
 
   # optionally set the port
   if [ -n "$3" ]; then