diff --git a/libraries/app/impacted.cpp b/libraries/app/impacted.cpp
index c8b1122e..cd92969b 100644
--- a/libraries/app/impacted.cpp
+++ b/libraries/app/impacted.cpp
@@ -310,6 +310,12 @@ struct get_impacted_account_visitor
    void operator()( const son_heartbeat_operation& op ){
       _impacted.insert( op.owner_account );
    }
+   void operator()( const son_report_down_operation& op ){
+      _impacted.insert( op.payer );
+   }
+   void operator()( const son_wallet_create_operation& op ){
+      _impacted.insert( op.payer );
+   }
    void operator()( const sidechain_address_add_operation& op ){
         _impacted.insert( op.sidechain_address_account );
    }
@@ -319,9 +325,6 @@ struct get_impacted_account_visitor
    void operator()( const sidechain_address_delete_operation& op ){
       _impacted.insert( op.sidechain_address_account );
    }
-   void operator()( const son_report_down_operation& op ){
-      _impacted.insert( op.payer );
-   }
 };
 
 void operation_get_impacted_accounts( const operation& op, flat_set<account_id_type>& result )
diff --git a/libraries/chain/CMakeLists.txt b/libraries/chain/CMakeLists.txt
index bba9e7f1..b716e974 100644
--- a/libraries/chain/CMakeLists.txt
+++ b/libraries/chain/CMakeLists.txt
@@ -119,6 +119,8 @@ add_library( graphene_chain
 
              sidechain_address_evaluator.cpp
 
+             son_wallet_evaluator.cpp
+
              ${HEADERS}
              ${PROTOCOL_HEADERS}
              "${CMAKE_CURRENT_BINARY_DIR}/include/graphene/chain/hardfork.hpp"
diff --git a/libraries/chain/db_init.cpp b/libraries/chain/db_init.cpp
index 2aab032d..d336bd43 100644
--- a/libraries/chain/db_init.cpp
+++ b/libraries/chain/db_init.cpp
@@ -56,6 +56,7 @@
 #include <graphene/chain/global_betting_statistics_object.hpp>
 #include <graphene/chain/son_object.hpp>
 #include <graphene/chain/son_proposal_object.hpp>
+#include <graphene/chain/son_wallet_object.hpp>
 #include <graphene/chain/sidechain_address_object.hpp>
 
 #include <graphene/chain/account_evaluator.hpp>
@@ -79,6 +80,7 @@
 #include <graphene/chain/betting_market_evaluator.hpp>
 #include <graphene/chain/tournament_evaluator.hpp>
 #include <graphene/chain/son_evaluator.hpp>
+#include <graphene/chain/son_wallet_evaluator.hpp>
 #include <graphene/chain/sidechain_address_evaluator.hpp>
 
 #include <graphene/chain/protocol/fee_schedule.hpp>
@@ -250,10 +252,11 @@ void database::initialize_evaluators()
    register_evaluator<update_son_evaluator>();
    register_evaluator<delete_son_evaluator>();
    register_evaluator<son_heartbeat_evaluator>();
+   register_evaluator<son_report_down_evaluator>();
+   register_evaluator<son_wallet_evaluator>();
    register_evaluator<add_sidechain_address_evaluator>();
    register_evaluator<update_sidechain_address_evaluator>();
    register_evaluator<delete_sidechain_address_evaluator>();
-   register_evaluator<son_report_down_evaluator>();
 }
 
 void database::initialize_indexes()
@@ -298,6 +301,8 @@ void database::initialize_indexes()
    add_index< primary_index<game_index> >();
    add_index< primary_index<son_proposal_index> >();
 
+   add_index< primary_index<son_wallet_index> >();
+
    add_index< primary_index<sidechain_address_index> >();
 
    //Implementation object indexes
diff --git a/libraries/chain/db_notify.cpp b/libraries/chain/db_notify.cpp
index d53955a3..b3aa366e 100644
--- a/libraries/chain/db_notify.cpp
+++ b/libraries/chain/db_notify.cpp
@@ -297,6 +297,12 @@ struct get_impacted_account_visitor
    void operator()( const son_heartbeat_operation& op ) {
       _impacted.insert( op.owner_account );
    }
+   void operator()( const son_report_down_operation& op ) {
+      _impacted.insert( op.payer );
+   }
+   void operator()( const son_wallet_create_operation& op ) {
+      _impacted.insert( op.payer );
+   }
    void operator()( const sidechain_address_add_operation& op ) {
       _impacted.insert( op.sidechain_address_account );
    }
@@ -306,9 +312,6 @@ struct get_impacted_account_visitor
    void operator()( const sidechain_address_delete_operation& op ) {
       _impacted.insert( op.sidechain_address_account );
    }
-   void operator()( const son_report_down_operation& op ) {
-      _impacted.insert( op.payer );
-   }
 };
 
 void operation_get_impacted_accounts( const operation& op, flat_set<account_id_type>& result )
diff --git a/libraries/chain/include/graphene/chain/protocol/operations.hpp b/libraries/chain/include/graphene/chain/protocol/operations.hpp
index 646f2e69..5837c2d9 100644
--- a/libraries/chain/include/graphene/chain/protocol/operations.hpp
+++ b/libraries/chain/include/graphene/chain/protocol/operations.hpp
@@ -47,6 +47,7 @@
 #include <graphene/chain/protocol/tournament.hpp>
 #include <graphene/chain/protocol/son.hpp>
 #include <graphene/chain/protocol/sidechain_address.hpp>
+#include <graphene/chain/protocol/son_wallet.hpp>
 
 namespace graphene { namespace chain {
 
@@ -142,10 +143,11 @@ namespace graphene { namespace chain {
             son_update_operation,
             son_delete_operation,
             son_heartbeat_operation,
+            son_report_down_operation,
+            son_wallet_create_operation,
             sidechain_address_add_operation,
             sidechain_address_update_operation,
-            sidechain_address_delete_operation,
-            son_report_down_operation
+            sidechain_address_delete_operation
          > operation;
 
    /// @} // operations group
diff --git a/libraries/chain/include/graphene/chain/protocol/son_wallet.hpp b/libraries/chain/include/graphene/chain/protocol/son_wallet.hpp
new file mode 100644
index 00000000..386f010c
--- /dev/null
+++ b/libraries/chain/include/graphene/chain/protocol/son_wallet.hpp
@@ -0,0 +1,20 @@
+#pragma once
+#include <graphene/chain/protocol/base.hpp>
+
+namespace graphene { namespace chain {
+
+    struct son_wallet_create_operation : public base_operation
+    {
+        struct fee_parameters_type { uint64_t fee = 0; };
+
+        asset fee;
+        account_id_type payer;
+
+        account_id_type fee_payer()const { return payer; }
+        share_type      calculate_fee(const fee_parameters_type& k)const { return 0; }
+    };
+
+} } // namespace graphene::chain
+
+FC_REFLECT(graphene::chain::son_wallet_create_operation::fee_parameters_type, (fee) )
+FC_REFLECT(graphene::chain::son_wallet_create_operation, (fee)(payer) )
diff --git a/libraries/chain/include/graphene/chain/protocol/types.hpp b/libraries/chain/include/graphene/chain/protocol/types.hpp
index 1d056740..abfce9c8 100644
--- a/libraries/chain/include/graphene/chain/protocol/types.hpp
+++ b/libraries/chain/include/graphene/chain/protocol/types.hpp
@@ -430,6 +430,7 @@ FC_REFLECT_ENUM( graphene::chain::object_type,
                  (bet_object_type)
                  (son_object_type)
                  (son_proposal_object_type)
+                 (son_wallet_object_type)
                  (sidechain_address_object_type)
                  (OBJECT_TYPE_COUNT)
                )
@@ -504,6 +505,7 @@ FC_REFLECT_TYPENAME( graphene::chain::global_betting_statistics_id_type )
 FC_REFLECT_TYPENAME( graphene::chain::tournament_details_id_type )
 FC_REFLECT_TYPENAME( graphene::chain::son_id_type )
 FC_REFLECT_TYPENAME( graphene::chain::son_proposal_id_type )
+FC_REFLECT_TYPENAME( graphene::chain::son_wallet_id_type )
 FC_REFLECT_TYPENAME( graphene::chain::sidechain_address_id_type )
 
 
diff --git a/libraries/chain/include/graphene/chain/son_wallet_evaluator.hpp b/libraries/chain/include/graphene/chain/son_wallet_evaluator.hpp
new file mode 100644
index 00000000..e2689765
--- /dev/null
+++ b/libraries/chain/include/graphene/chain/son_wallet_evaluator.hpp
@@ -0,0 +1,16 @@
+#pragma once
+#include <graphene/chain/evaluator.hpp>
+#include <graphene/chain/protocol/son_wallet.hpp>
+
+namespace graphene { namespace chain {
+
+class create_son_wallet_evaluator : public evaluator<create_son_wallet_evaluator>
+{
+public:
+    typedef son_wallet_create_operation operation_type;
+
+    void_result do_evaluate(const son_wallet_create_operation& o);
+    object_id_type do_apply(const son_wallet_create_operation& o);
+};
+
+} } // namespace graphene::chain
diff --git a/libraries/chain/include/graphene/chain/son_wallet_object.hpp b/libraries/chain/include/graphene/chain/son_wallet_object.hpp
index c3ea204d..3d546355 100644
--- a/libraries/chain/include/graphene/chain/son_wallet_object.hpp
+++ b/libraries/chain/include/graphene/chain/son_wallet_object.hpp
@@ -16,6 +16,9 @@ namespace graphene { namespace chain {
          static const uint8_t space_id = protocol_ids;
          static const uint8_t type_id  = son_wallet_object_type;
 
+         time_point_sec valid_from;
+         time_point_sec expires;
+
          flat_map<peerplays_sidechain::sidechain_type, string> addresses;
    };
 
@@ -33,4 +36,4 @@ namespace graphene { namespace chain {
 } } // graphene::chain
 
 FC_REFLECT_DERIVED( graphene::chain::son_wallet_object, (graphene::db::object),
-                    (addresses) )
+                    (valid_from) (expires) (addresses) )
diff --git a/libraries/chain/son_wallet_evaluator.cpp b/libraries/chain/son_wallet_evaluator.cpp
new file mode 100644
index 00000000..c64f884e
--- /dev/null
+++ b/libraries/chain/son_wallet_evaluator.cpp
@@ -0,0 +1,24 @@
+#include <graphene/chain/son_wallet_evaluator.hpp>
+
+#include <graphene/chain/database.hpp>
+#include <graphene/chain/son_wallet_object.hpp>
+
+namespace graphene { namespace chain {
+
+void_result create_son_wallet_evaluator::do_evaluate(const son_wallet_create_operation& op)
+{ try{
+   FC_ASSERT(db().head_block_time() >= HARDFORK_SON_TIME, "Not allowed until SON HARDFORK");
+   FC_ASSERT(db().get_global_properties().parameters.get_son_btc_account_id() != GRAPHENE_NULL_ACCOUNT, "SON paying account not set.");
+   return void_result();
+} FC_CAPTURE_AND_RETHROW( (op) ) }
+
+object_id_type create_son_wallet_evaluator::do_apply(const son_wallet_create_operation& op)
+{ try {
+    const auto& new_son_wallet_object = db().create<son_wallet_object>( [&]( son_wallet_object& obj ){
+        obj.valid_from = db().head_block_time();
+        obj.expires = time_point_sec::maximum();
+    });
+    return new_son_wallet_object.id;
+} FC_CAPTURE_AND_RETHROW( (op) ) }
+
+} } // namespace graphene::chain
diff --git a/libraries/plugins/peerplays_sidechain/peerplays_sidechain_plugin.cpp b/libraries/plugins/peerplays_sidechain/peerplays_sidechain_plugin.cpp
index e78c78c5..5e89674b 100644
--- a/libraries/plugins/peerplays_sidechain/peerplays_sidechain_plugin.cpp
+++ b/libraries/plugins/peerplays_sidechain/peerplays_sidechain_plugin.cpp
@@ -27,6 +27,8 @@ class peerplays_sidechain_plugin_impl
       void plugin_startup();
       void schedule_heartbeat_loop();
       void heartbeat_loop();
+      void schedule_son_event_processing_loop();
+      void son_event_processing_loop();
       chain::proposal_create_operation create_son_down_proposal(chain::son_id_type son_id, fc::time_point_sec last_active_ts);
       void on_block_applied( const signed_block& b );
       void on_objects_new(const vector<object_id_type>& new_object_ids);
@@ -40,6 +42,7 @@ class peerplays_sidechain_plugin_impl
       std::map<chain::public_key_type, fc::ecc::private_key> _private_keys;
       std::set<chain::son_id_type> _sons;
       fc::future<void> _heartbeat_task;
+      fc::future<void> _son_event_processing_task;
 };
 
 peerplays_sidechain_plugin_impl::peerplays_sidechain_plugin_impl(peerplays_sidechain_plugin& _plugin) :
@@ -153,19 +156,20 @@ void peerplays_sidechain_plugin_impl::plugin_startup()
 {
    if (config_ready_son) {
       ilog("SON running");
+
+      ilog("Starting heartbeats for ${n} sons.", ("n", _sons.size()));
+      schedule_heartbeat_loop();
+
+      ilog("Starting event processing for ${n} sons.", ("n", _sons.size()));
+      schedule_son_event_processing_loop();
+   } else {
+      elog("No sons configured! Please add SON IDs and private keys to configuration.");
    }
 
    if (config_ready_bitcoin) {
       ilog("Bitcoin sidechain handler running");
    }
 
-   if( !_sons.empty() && !_private_keys.empty() )
-   {
-      ilog("Starting heartbeats for ${n} sons.", ("n", _sons.size()));
-      schedule_heartbeat_loop();
-   } else
-      elog("No sons configured! Please add SON IDs and private keys to configuration.");
-
    //if (config_ready_ethereum) {
    //   ilog("Ethereum sidechain handler running");
    //}
@@ -220,6 +224,25 @@ void peerplays_sidechain_plugin_impl::heartbeat_loop()
    schedule_heartbeat_loop();
 }
 
+void peerplays_sidechain_plugin_impl::schedule_son_event_processing_loop()
+{
+   fc::time_point now = fc::time_point::now();
+   int64_t time_to_next_second = 1000000 - (now.time_since_epoch().count() % 1000000);
+   if( time_to_next_second < 50000 )      // we must sleep for at least 50ms
+       time_to_next_second += 1000000;
+
+   fc::time_point next_wakeup( now + fc::microseconds( time_to_next_second ) );
+
+   _son_event_processing_task = fc::schedule([this]{son_event_processing_loop();},
+                                         next_wakeup, "SON Event Processing");
+}
+
+void peerplays_sidechain_plugin_impl::son_event_processing_loop()
+{
+
+    schedule_son_event_processing_loop();
+}
+
 chain::proposal_create_operation peerplays_sidechain_plugin_impl::create_son_down_proposal(chain::son_id_type son_id, fc::time_point_sec last_active_ts)
 {
    chain::database& d = plugin.database();