diff --git a/baseapp/options.go b/baseapp/options.go
index a6460248df..8d61313143 100644
--- a/baseapp/options.go
+++ b/baseapp/options.go
@@ -39,6 +39,11 @@ func SetMinimumFees(minFees string) func(*BaseApp) {
 	return func(bap *BaseApp) { bap.SetMinimumFees(fees) }
 }
 
+// SetMinimumFees returns an option that sets the minimum fees on the app.
+func SetMaximumBlockGas(gas int64) func(*BaseApp) {
+	return func(bap *BaseApp) { bap.SetMaximumBlockGas(gas) }
+}
+
 func (app *BaseApp) SetName(name string) {
 	if app.sealed {
 		panic("SetName() on sealed BaseApp")
diff --git a/cmd/gaia/app/genesis.go b/cmd/gaia/app/genesis.go
index e3c869ada1..c0929205be 100644
--- a/cmd/gaia/app/genesis.go
+++ b/cmd/gaia/app/genesis.go
@@ -42,8 +42,10 @@ type GenesisState struct {
 	GenTxs       []json.RawMessage     `json:"gentxs"`
 }
 
-func NewGenesisState(accounts []GenesisAccount, authData auth.GenesisState, stakeData stake.GenesisState, mintData mint.GenesisState,
-	distrData distr.GenesisState, govData gov.GenesisState, slashingData slashing.GenesisState) GenesisState {
+func NewGenesisState(accounts []GenesisAccount, authData auth.GenesisState,
+	stakeData stake.GenesisState, mintData mint.GenesisState,
+	distrData distr.GenesisState, govData gov.GenesisState,
+	slashingData slashing.GenesisState) GenesisState {
 
 	return GenesisState{
 		Accounts:     accounts,
@@ -287,7 +289,7 @@ func CollectStdTxs(cdc *codec.Codec, moniker string, genTxsDir string, genDoc tm
 
 func NewDefaultGenesisAccount(addr sdk.AccAddress) GenesisAccount {
 	accAuth := auth.NewBaseAccountWithAddress(addr)
-	coins :=sdk.Coins{
+	coins := sdk.Coins{
 		{"fooToken", sdk.NewInt(1000)},
 		{bondDenom, freeFermionsAcc},
 	}
diff --git a/cmd/gaia/cmd/gaiad/main.go b/cmd/gaia/cmd/gaiad/main.go
index ef7b39d111..4154b85be1 100644
--- a/cmd/gaia/cmd/gaiad/main.go
+++ b/cmd/gaia/cmd/gaiad/main.go
@@ -13,6 +13,7 @@ import (
 	"github.com/tendermint/tendermint/libs/cli"
 	dbm "github.com/tendermint/tendermint/libs/db"
 	"github.com/tendermint/tendermint/libs/log"
+	"github.com/tendermint/tendermint/node"
 	tmtypes "github.com/tendermint/tendermint/types"
 
 	"github.com/cosmos/cosmos-sdk/cmd/gaia/app"
@@ -56,16 +57,27 @@ func main() {
 	}
 }
 
-func newApp(logger log.Logger, db dbm.DB, traceStore io.Writer) abci.Application {
+func newApp(logger log.Logger, db dbm.DB,
+	traceStore io.Writer, genDocProvider node.GenesisDocProvider) abci.Application {
+
+	// get the maximum gas from tendermint genesis parameters
+	genDoc, err := genDocProvider()
+	if err != nil {
+		panic(err)
+	}
+	maxBlockGas := genDoc.ConsensusParams.BlockSize.MaxGas
+
 	return app.NewGaiaApp(logger, db, traceStore,
 		baseapp.SetPruning(viper.GetString("pruning")),
 		baseapp.SetMinimumFees(viper.GetString("minimum_fees")),
+		baseapp.SetMaximumBlockGas(maxBlockGas),
 	)
 }
 
 func exportAppStateAndTMValidators(
-	logger log.Logger, db dbm.DB, traceStore io.Writer,
-) (json.RawMessage, []tmtypes.GenesisValidator, error) {
+	logger log.Logger, db dbm.DB, traceStore io.Writer) (
+	json.RawMessage, []tmtypes.GenesisValidator, error) {
+
 	gApp := app.NewGaiaApp(logger, db, traceStore)
 	return gApp.ExportAppStateAndValidators()
 }
diff --git a/server/constructors.go b/server/constructors.go
index 57282e43b1..63cb5f62bf 100644
--- a/server/constructors.go
+++ b/server/constructors.go
@@ -9,13 +9,15 @@ import (
 	abci "github.com/tendermint/tendermint/abci/types"
 	dbm "github.com/tendermint/tendermint/libs/db"
 	"github.com/tendermint/tendermint/libs/log"
+	"github.com/tendermint/tendermint/node"
 	tmtypes "github.com/tendermint/tendermint/types"
 )
 
 type (
 	// AppCreator is a function that allows us to lazily initialize an
 	// application using various configurations.
-	AppCreator func(log.Logger, dbm.DB, io.Writer) abci.Application
+	AppCreator func(log.Logger, dbm.DB,
+		io.Writer, node.GenesisDocProvider) abci.Application
 
 	// AppExporter is a function that dumps all app state to
 	// JSON-serializable structure and returns the current validator set.
diff --git a/server/start.go b/server/start.go
index cf39ff71b6..d84169ab44 100644
--- a/server/start.go
+++ b/server/start.go
@@ -68,7 +68,9 @@ func startStandAlone(ctx *Context, appCreator AppCreator) error {
 		return err
 	}
 
-	app := appCreator(ctx.Logger, db, traceWriter)
+	cfg := ctx.Config
+	genDocProvider := node.DefaultGenesisDocProviderFunc(cfg)
+	app := appCreator(ctx.Logger, db, traceWriter, genDocProvider)
 
 	svr, err := server.NewServer(addr, "socket", app)
 	if err != nil {
@@ -107,7 +109,8 @@ func startInProcess(ctx *Context, appCreator AppCreator) (*node.Node, error) {
 		return nil, err
 	}
 
-	app := appCreator(ctx.Logger, db, traceWriter)
+	genDocProvider := node.DefaultGenesisDocProviderFunc(cfg)
+	app := appCreator(ctx.Logger, db, traceWriter, genDocProvider)
 
 	nodeKey, err := p2p.LoadOrGenNodeKey(cfg.NodeKeyFile())
 	if err != nil {
@@ -120,7 +123,7 @@ func startInProcess(ctx *Context, appCreator AppCreator) (*node.Node, error) {
 		pvm.LoadOrGenFilePV(cfg.PrivValidatorFile()),
 		nodeKey,
 		proxy.NewLocalClientCreator(app),
-		node.DefaultGenesisDocProviderFunc(cfg),
+		genDocProvider,
 		node.DefaultDBProvider,
 		node.DefaultMetricsProvider(cfg.Instrumentation),
 		ctx.Logger.With("module", "node"),