diff --git a/simapp/README.md b/simapp/README.md
index fc449f7f2d..661e8b1565 100644
--- a/simapp/README.md
+++ b/simapp/README.md
@@ -12,22 +12,24 @@ If you want to spin up a quick testnet with your friends, you can follow these s
 Unless otherwise noted, every step must be done by everyone who wants to participate
 in this testnet.
 
-1. `$ make build`. This will build the `simd` binary and install it in your Cosmos SDK repo, 
-    inside a new `build` directory. The following instructions are run from inside 
-    that directory. 
+1. From the root directory of the Cosmos SDK repository, run `$ make build`. This will build the
+    `simd` binary inside a new `build` directory. The following instructions are run from inside
+    the `build` directory.
 2. If you've run `simd` before, you may need to reset your database before starting a new
-    testnet: `$ ./simd unsafe-reset-all` 
-3. `$ ./simd init [moniker]`. This will initialize a new working directory, by default at 
-    `~/.simapp`. You need a provide a "moniker," but it doesn't matter what it is.
+    testnet. You can reset your database with the following command: `$ ./simd unsafe-reset-all`.
+3. `$ ./simd init [moniker] --chain-id [chain-id]`. This will initialize a new working directory
+    at the default location `~/.simapp`. You need to provide a "moniker" and a "chain id". These
+    two names can be anything, but you will need to use the same "chain id" in the following steps.
 4. `$ ./simd keys add [key_name]`. This will create a new key, with a name of your choosing. 
     Save the output of this command somewhere; you'll need the address generated here later.
-5. `$ ./simd add-genesis-account  $(simd keys show [key_name] -a) [amount]`, where `key_name`
-    is the same key name as before; and `amount` is something like `10000000000000000000000000stake`.
-6. `$ ./simd gentx [key_name] [amount] --chain-id [chain-id]`. This will create the
-    genesis transaction for your new chain. 
+5. `$ ./simd add-genesis-account [key_name] [amount]`, where `key_name` is the same key name as
+    before; and `amount` is something like `10000000000000000000000000stake`.
+6. `$ ./simd gentx [key_name] [amount] --chain-id [chain-id]`. This will create the genesis
+    transaction for your new chain. Here `amount` should be at least `1000000000stake`. If you
+    provide too much or too little, you will encounter an error when starting your node.
 7. Now, one person needs to create the genesis file `genesis.json` using the genesis transactions 
    from every participant, by gathering all the genesis transactions under `config/gentx` and then
-   calling `./simd collect-gentxs`. This will create a new `genesis.json` file that includes data
+   calling `$ ./simd collect-gentxs`. This will create a new `genesis.json` file that includes data
    from all the validators (we sometimes call it the "super genesis file" to distinguish it from
    single-validator genesis files). 
 8. Once you've received the super genesis file, overwrite your original `genesis.json` file with 
@@ -37,11 +39,11 @@ in this testnet.
 
     ```
     # Comma separated list of nodes to keep persistent connections to
-    persistent_peers = "[validator address]@[ip address]:[port],[validator address]@[ip address]:[port]"
+    persistent_peers = "[validator_address]@[ip_address]:[port],[validator_address]@[ip_address]:[port]"
     ```
 
-    You can find `validator address` by running `./simd tendermint show-node-id`. (It will be hex-encoded.)
-    By default, `port` is 26656.
+    You can find `validator_address` by running `$ ./simd tendermint show-node-id`. The output will
+    be the hex-encoded `validator_address`. The default `port` is 26656.
 10. Now you can start your nodes: `$ ./simd start`. 
 
 Now you have a small testnet that you can use to try out changes to the Cosmos SDK or Tendermint!