diff --git a/x/stake/keeper.go b/x/stake/keeper.go
index 95eb85e76f..d377df21f3 100644
--- a/x/stake/keeper.go
+++ b/x/stake/keeper.go
@@ -2,6 +2,7 @@ package stake
 
 import (
 	"bytes"
+	"encoding/json"
 
 	sdk "github.com/cosmos/cosmos-sdk/types"
 	"github.com/cosmos/cosmos-sdk/wire"
@@ -28,6 +29,17 @@ func NewKeeper(ctx sdk.Context, cdc *wire.Codec, key sdk.StoreKey, ck bank.CoinK
 	return keeper
 }
 
+// InitGenesis - store genesis parameters
+func (k Keeper) InitGenesis(ctx sdk.Context, data json.RawMessage) error {
+	var state GenesisState
+	if err := json.Unmarshal(data, &state); err != nil {
+		return err
+	}
+	k.setPool(ctx, state.Pool)
+	k.setParams(ctx, state.Params)
+	return nil
+}
+
 //_________________________________________________________________________
 
 // get a single candidate
@@ -343,8 +355,7 @@ func (k Keeper) GetParams(ctx sdk.Context) (params Params) {
 	store := ctx.KVStore(k.storeKey)
 	b := store.Get(ParamKey)
 	if b == nil {
-		k.params = defaultParams()
-		return k.params
+		panic("Stored params should not have been nil")
 	}
 
 	err := k.cdc.UnmarshalBinary(b, &params)
@@ -374,7 +385,7 @@ func (k Keeper) GetPool(ctx sdk.Context) (gs Pool) {
 	store := ctx.KVStore(k.storeKey)
 	b := store.Get(PoolKey)
 	if b == nil {
-		return initialPool()
+		panic("Stored pool should not have been nil")
 	}
 	err := k.cdc.UnmarshalBinary(b, &gs)
 	if err != nil {
diff --git a/x/stake/keeper_test.go b/x/stake/keeper_test.go
index aa36cd5855..9a0d0f30ea 100644
--- a/x/stake/keeper_test.go
+++ b/x/stake/keeper_test.go
@@ -2,6 +2,7 @@ package stake
 
 import (
 	"bytes"
+	"encoding/json"
 	"testing"
 
 	sdk "github.com/cosmos/cosmos-sdk/types"
@@ -573,3 +574,31 @@ func TestPool(t *testing.T) {
 	resPool = keeper.GetPool(ctx)
 	assert.Equal(t, expPool, resPool)
 }
+
+func TestInitGenesis(t *testing.T) {
+	ctx, _, keeper := createTestInput(t, nil, false, 0)
+	jsonStr := `{
+  "params": {
+    "inflation_rate_change": {"num": 13, "denom": 100},
+    "inflation_max": {"num": 20, "denom": 100}, 
+    "inflation_min": {"num": 7, "denom": 100}, 
+    "goal_bonded": {"num": 67, "denom": 100}, 
+    "max_validators": 100,
+    "bond_denom": "fermion"
+  },
+  "pool": {
+    "total_supply": 0,
+    "bonded_shares": {"num": 0, "denom": 1}, 
+    "unbonded_shares": {"num": 0, "denom": 1}, 
+    "bonded_pool": 0,
+    "unbonded_pool": 0,
+    "inflation_last_time": 0,
+    "inflation": {"num": 7, "denom": 100}
+  }
+}`
+	encoded := json.RawMessage(jsonStr)
+	err := keeper.InitGenesis(ctx, encoded)
+	require.Nil(t, err)
+	require.Equal(t, keeper.GetPool(ctx), initialPool())
+	require.Equal(t, keeper.GetParams(ctx), defaultParams())
+}
diff --git a/x/stake/test_common.go b/x/stake/test_common.go
index 03f9fe92cc..71b7454755 100644
--- a/x/stake/test_common.go
+++ b/x/stake/test_common.go
@@ -52,6 +52,31 @@ var (
 	emptyPubkey crypto.PubKey
 )
 
+// default params for testing
+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",
+	}
+}
+
+// initial pool for testing
+func initialPool() Pool {
+	return Pool{
+		TotalSupply:       0,
+		BondedShares:      sdk.ZeroRat,
+		UnbondedShares:    sdk.ZeroRat,
+		BondedPool:        0,
+		UnbondedPool:      0,
+		InflationLastTime: 0,
+		Inflation:         sdk.NewRat(7, 100),
+	}
+}
+
 // XXX reference the common declaration of this function
 func subspace(prefix []byte) (start, end []byte) {
 	end = make([]byte, len(prefix))
@@ -123,6 +148,8 @@ func createTestInput(t *testing.T, sender sdk.Address, isCheckTx bool, initCoins
 	)
 	ck := bank.NewCoinKeeper(accountMapper)
 	keeper := NewKeeper(ctx, cdc, keyStake, ck)
+	keeper.setPool(ctx, initialPool())
+	keeper.setParams(ctx, defaultParams())
 
 	// fill all the addresses with some coins
 	for _, addr := range addrs {
diff --git a/x/stake/types.go b/x/stake/types.go
index 4ba7c59d0e..7e7fb9e753 100644
--- a/x/stake/types.go
+++ b/x/stake/types.go
@@ -16,19 +16,6 @@ type Params struct {
 	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
@@ -42,16 +29,10 @@ type Pool struct {
 	Inflation         sdk.Rat `json:"inflation"`           // current annual inflation rate
 }
 
-func initialPool() Pool {
-	return Pool{
-		TotalSupply:       0,
-		BondedShares:      sdk.ZeroRat,
-		UnbondedShares:    sdk.ZeroRat,
-		BondedPool:        0,
-		UnbondedPool:      0,
-		InflationLastTime: 0,
-		Inflation:         sdk.NewRat(7, 100),
-	}
+// GenesisState - all staking state that must be provided at genesis
+type GenesisState struct {
+	Pool   Pool   `json:"pool"`
+	Params Params `json:"params"`
 }
 
 //_______________________________________________________________________________________________________