diff --git a/src/Makefile.test.include b/src/Makefile.test.include
index 6f401636f5..cd37245e5c 100644
--- a/src/Makefile.test.include
+++ b/src/Makefile.test.include
@@ -90,7 +90,10 @@ BITCOIN_TESTS =\
   test/uint256_tests.cpp \
   test/util_tests.cpp \
   test/validation_block_tests.cpp \
-  test/versionbits_tests.cpp
+  test/versionbits_tests.cpp \
+  test/pegin_spent_tests.cpp \
+  test/pegin_witness_tests.cpp
+# ELEMENTS IN THE END
 
 if ENABLE_WALLET
 BITCOIN_TESTS += \
diff --git a/src/test/pegin_spent_tests.cpp b/src/test/pegin_spent_tests.cpp
new file mode 100644
index 0000000000..09f8aa456d
--- /dev/null
+++ b/src/test/pegin_spent_tests.cpp
@@ -0,0 +1,146 @@
+// Copyright (c) 2011-2015 The Bitcoin Core developers
+// Distributed under the MIT software license, see the accompanying
+// file COPYING or http://www.opensource.org/licenses/mit-license.php.
+
+#include <chainparams.h>
+#include <coins.h>
+#include <consensus/consensus.h>
+#include <consensus/merkle.h>
+#include <consensus/validation.h>
+#include <validation.h>
+#include <miner.h>
+#include <pubkey.h>
+#include <script/standard.h>
+#include <txmempool.h>
+#include <uint256.h>
+#include <util.h>
+#include <utilstrencodings.h>
+
+#include <txdb.h>
+
+#include <test/test_bitcoin.h>
+
+#include <boost/test/unit_test.hpp>
+
+BOOST_FIXTURE_TEST_SUITE(pegin_spent_tests, TestingSetup)
+
+class CCoinsViewTester : public CCoinsView {
+public:
+    bool IsPeginSpentCalled;
+    bool IsPeginSpent(const std::pair<uint256, COutPoint> &outpoint) const {
+        const_cast<bool&>(IsPeginSpentCalled) = true;
+        return CCoinsView::IsPeginSpent(outpoint);
+    }
+
+    CCoinsMap mapCoinsWritten;
+    bool BatchWrite(CCoinsMap &mapCoins, const uint256 &hashBlock) {
+        mapCoinsWritten.clear();
+        for (CCoinsMap::iterator it = mapCoins.begin(); it != mapCoins.end(); it = mapCoins.erase(it)) {
+            mapCoinsWritten[it->first] = it->second;
+        }
+        //mapCoinsWritten = mapCoins;
+        return CCoinsView::BatchWrite(mapCoins, hashBlock);
+    }
+
+    CCoinsViewTester() : IsPeginSpentCalled(false) {}
+};
+
+BOOST_AUTO_TEST_CASE(PeginSpent_validity)
+{
+    CCoinsViewTester coins;
+    CCoinsViewCache coinsCache(&coins);
+    Coin ret;
+
+    //Basic insert of blank outpoint pair, blank COutPoint allows for checking coinsCache
+
+    std::pair<uint256, COutPoint> outpoint = std::make_pair(GetRandHash(), COutPoint(GetRandHash(), 42));
+    BOOST_CHECK(!coinsCache.GetCoin(outpoint.second, ret));
+
+    //Checking for pegin spentness should not create an entry
+    BOOST_CHECK(!coinsCache.IsPeginSpent(outpoint));
+    BOOST_CHECK(coins.IsPeginSpentCalled);
+    coins.IsPeginSpentCalled = false;
+    BOOST_CHECK(!coinsCache.IsPeginSpent(outpoint));
+    BOOST_CHECK(!coins.IsPeginSpentCalled);
+
+    coinsCache.SetPeginSpent(outpoint, true);
+    BOOST_CHECK(coinsCache.IsPeginSpent(outpoint));
+    coinsCache.SetPeginSpent(outpoint, false);
+    BOOST_CHECK(!coinsCache.IsPeginSpent(outpoint));
+    coinsCache.SetPeginSpent(outpoint, true);
+    BOOST_CHECK(coinsCache.IsPeginSpent(outpoint));
+
+    //Check for slightly similar non-existent entries
+    std::pair<uint256, COutPoint> outpoint2(outpoint);
+    outpoint2.second.n = 0;
+    BOOST_CHECK(!coinsCache.IsPeginSpent(outpoint2));
+
+    CCoinsMap mapCoins;
+    CCoinsCacheEntry entry;
+    std::pair<uint256, COutPoint> outpoint3(std::make_pair(GetRandHash(), COutPoint(GetRandHash(), 42)));
+
+    //Attempt batch write of non-dirty pegin, no effect
+    entry.flags = CCoinsCacheEntry::PEGIN;
+    entry.peginSpent = true;
+    mapCoins.insert(std::make_pair(outpoint3, entry));
+    coinsCache.BatchWrite(mapCoins, uint256());
+    //Check for effect
+    coins.IsPeginSpentCalled = false;
+    BOOST_CHECK(!coinsCache.IsPeginSpent(outpoint3));
+    BOOST_CHECK(coins.IsPeginSpentCalled);
+    BOOST_CHECK(mapCoins.size() == 0);
+
+    //Write again with pegin, dirty && fresh flags, but unspent. No effect.
+    entry.peginSpent = false;
+    entry.flags |= CCoinsCacheEntry::DIRTY | CCoinsCacheEntry::FRESH;
+    mapCoins.insert(std::make_pair(outpoint3, entry));
+    coinsCache.BatchWrite(mapCoins, uint256());
+    //Check for effect
+    coins.IsPeginSpentCalled = false;
+    BOOST_CHECK(!coinsCache.IsPeginSpent(outpoint3));
+    BOOST_CHECK(coins.IsPeginSpentCalled);
+    BOOST_CHECK(mapCoins.size() == 0);
+
+    //Re-mark as spent. It's super effective.
+    entry.peginSpent = true;
+    mapCoins.insert(std::make_pair(outpoint3, entry));
+    coinsCache.BatchWrite(mapCoins, uint256());
+    //Check for effect
+    coins.IsPeginSpentCalled = false;
+    BOOST_CHECK(coinsCache.IsPeginSpent(outpoint3));
+    BOOST_CHECK(!coins.IsPeginSpentCalled);
+    BOOST_CHECK(mapCoins.size() == 0);
+
+    //Add an entry we never IsPeginSpent'd first (ie added to cache via SetPeginSpent)
+    std::pair<uint256, COutPoint> outpoint4(std::make_pair(GetRandHash(), COutPoint(GetRandHash(), 42)));
+    coinsCache.SetPeginSpent(outpoint4, true);
+
+    // Check the final state of coinsCache.mapCoins is sane.
+    BOOST_CHECK_EQUAL(coins.mapCoinsWritten.size(), 0);
+    coinsCache.Flush();
+    BOOST_CHECK_EQUAL(coins.mapCoinsWritten.size(), 4);
+    BOOST_CHECK_EQUAL(coins.mapCoinsWritten[outpoint].flags, CCoinsCacheEntry::DIRTY | CCoinsCacheEntry::FRESH | CCoinsCacheEntry::PEGIN);
+    BOOST_CHECK_EQUAL(coins.mapCoinsWritten[outpoint].peginSpent, true);
+    BOOST_CHECK_EQUAL(coins.mapCoinsWritten[outpoint2].flags, CCoinsCacheEntry::FRESH | CCoinsCacheEntry::PEGIN);
+    BOOST_CHECK_EQUAL(coins.mapCoinsWritten[outpoint2].peginSpent, false);
+    BOOST_CHECK_EQUAL(coins.mapCoinsWritten[outpoint3].flags, CCoinsCacheEntry::DIRTY | CCoinsCacheEntry::FRESH | CCoinsCacheEntry::PEGIN);
+    BOOST_CHECK_EQUAL(coins.mapCoinsWritten[outpoint3].peginSpent, true);
+    BOOST_CHECK_EQUAL(coins.mapCoinsWritten[outpoint4].flags, CCoinsCacheEntry::DIRTY | CCoinsCacheEntry::FRESH | CCoinsCacheEntry::PEGIN);
+    BOOST_CHECK_EQUAL(coins.mapCoinsWritten[outpoint3].peginSpent, true);
+
+    // CCoinsViewCache should lose outpoint2 in BatchWrite logic
+    CCoinsViewTester coins2;
+    CCoinsViewCache coinsCache2(&coins2);
+    BOOST_CHECK(coinsCache2.BatchWrite(coins.mapCoinsWritten, uint256()));
+    coinsCache2.Flush();
+    BOOST_CHECK_EQUAL(coins2.mapCoinsWritten.size(), 3);
+    BOOST_CHECK_EQUAL(coins2.mapCoinsWritten[outpoint].flags, CCoinsCacheEntry::DIRTY | CCoinsCacheEntry::FRESH | CCoinsCacheEntry::PEGIN);
+    BOOST_CHECK_EQUAL(coins2.mapCoinsWritten[outpoint].peginSpent, true);
+    BOOST_CHECK_EQUAL(coins2.mapCoinsWritten[outpoint3].flags, CCoinsCacheEntry::DIRTY | CCoinsCacheEntry::FRESH | CCoinsCacheEntry::PEGIN);
+    BOOST_CHECK_EQUAL(coins2.mapCoinsWritten[outpoint3].peginSpent, true);
+    BOOST_CHECK_EQUAL(coins2.mapCoinsWritten[outpoint4].flags, CCoinsCacheEntry::DIRTY | CCoinsCacheEntry::FRESH | CCoinsCacheEntry::PEGIN);
+    BOOST_CHECK_EQUAL(coins2.mapCoinsWritten[outpoint4].peginSpent, true);
+}
+
+BOOST_AUTO_TEST_SUITE_END()
+
diff --git a/src/test/pegin_witness_tests.cpp b/src/test/pegin_witness_tests.cpp
new file mode 100644
index 0000000000..27f7dbbfa2
--- /dev/null
+++ b/src/test/pegin_witness_tests.cpp
@@ -0,0 +1,136 @@
+// Copyright (c) 2017-2017 Blockstream
+// Distributed under the MIT software license, see the accompanying
+// file COPYING or http://www.opensource.org/licenses/mit-license.php.
+
+#include <clientversion.h>
+#include <chainparams.h>
+#include <checkqueue.h>
+#include <consensus/tx_verify.h>
+#include <consensus/validation.h>
+#include <core_io.h>
+#include <validation.h> // For CheckTransaction
+#include <pegins.h>
+#include <policy/policy.h>
+#include <script/script.h>
+#include <script/script_error.h>
+#include <utilstrencodings.h>
+#include <validation.h>
+#include <streams.h>
+#include <test/test_bitcoin.h>
+#include <util.h>
+
+#include <boost/algorithm/string/classification.hpp>
+#include <boost/algorithm/string/split.hpp>
+#include <boost/test/unit_test.hpp>
+
+std::vector<std::vector<unsigned char> > witness_stack = {
+    ParseHex("00ca9a3b00000000"),
+    ParseHex("e48a1a02a8f799892fda58347c2d794144311d4307dbfd10f77ffe28088c60be"),
+    ParseHex("06226e46111a0b59caaf126043eb5bbf28c34f3a5e332a1fc7b2b73cf188910f"),
+    ParseHex("00141eef6361cd1507a303834285d1521d6baf1b19ae"),
+    ParseHex("0200000001b399292c8100b8a1b66eb23896f799c1712390d560af0f70e81acd2d17a3b06e0000000049483045022100c3c749623486ea57ea93dfaf78d85590d78c7590a25768fe80f0ea4d6047419002202a0a00a90392b86c53c0fdda908c4591ba28040c16c25734c23b7df3c8b70acd01feffffff0228196bee000000001976a914470dd41542ee1a1bd75f1a838878648c8d65622488ac00ca9a3b0000000017a914cb60b1d7f76ba12b45a116c482c165a74c5d7e388765000000"),
+    ParseHex("000000205e3913a320cd2e3a2efa141e47419f54cb9e82320cf8dbc812fc19b9a1b2413a57f5e9fb4fa22de191454a241387f5d10cc794ee0fbf72ae2841baf3129a4eab8133025affff7f20000000000200000002f9d0be670007d38fceece999cb6144658a99c307ccc37f6d8f69129ed0f4545ff321df9790633bc33c67239c4174df8142ee616ee6a2e2788fe4820fe70e9bce0105")
+};
+
+//std::vector<unsigned char> pegin_transaction = ParseHex("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");
+std::vector<unsigned char> pegin_transaction = ParseHex("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");
+
+COutPoint prevout(uint256S("ce9b0ee70f82e48f78e2a2e66e61ee4281df74419c23673cc33b639097df21f3"), 1);
+
+// Needed for easier parent PoW check, and setting fedpegscript
+struct RegtestingSetup : public TestingSetup {
+        RegtestingSetup() : TestingSetup("custom", "512103dff4923d778550cc13ce0d887d737553b4b58f4e8e886507fc39f5e447b2186451ae") {}
+};
+
+BOOST_FIXTURE_TEST_SUITE(pegin_witness_tests, RegtestingSetup)
+
+BOOST_AUTO_TEST_CASE(witness_valid)
+{
+    CScriptWitness witness;
+    witness.stack = witness_stack;
+
+    BOOST_CHECK(IsValidPeginWitness(witness, prevout));
+
+    // Missing byte on each field to make claim ill-formatted
+    // This will break deserialization and other data-matching checks
+    for (unsigned int i = 0; i < witness.stack.size(); i++) {
+        //TODO(rebase) CA remove this exception
+        if (i == 1) {
+            continue;
+        }
+        witness.stack[i].pop_back();
+        BOOST_CHECK(!IsValidPeginWitness(witness, prevout));
+        witness.stack = witness_stack;
+        BOOST_CHECK(IsValidPeginWitness(witness, prevout));
+    }
+
+    // Test mismatched but valid nOut to proof
+    COutPoint fake_prevout = prevout;
+    fake_prevout.n = 0;
+    BOOST_CHECK(!IsValidPeginWitness(witness, fake_prevout));
+
+    // Test mistmatched but valid txid
+    fake_prevout = prevout;
+    fake_prevout.hash = uint256S("2f103ee04a5649eecb932b4da4ca9977f53a12bbe04d9d1eb5ccc0f4a06334");
+    BOOST_CHECK(!IsValidPeginWitness(witness, fake_prevout));
+
+    // Ensure that all witness stack sizes are handled
+    BOOST_CHECK(IsValidPeginWitness(witness, prevout));
+    for (unsigned int i = 0; i < witness.stack.size(); i++) {
+        witness.stack.pop_back();
+        BOOST_CHECK(!IsValidPeginWitness(witness, prevout));
+    }
+    witness.stack = witness_stack;
+
+    // Extra element causes failure
+    witness.stack.push_back(witness.stack.back());
+    BOOST_CHECK(!IsValidPeginWitness(witness, prevout));
+    witness.stack = witness_stack;
+
+    // Check validation of peg-in transaction's inputs and balance
+    CDataStream ssTx(pegin_transaction, SER_NETWORK, PROTOCOL_VERSION);
+    CTransactionRef txRef;
+    ssTx >> txRef;
+    CTransaction tx(*txRef);
+
+    // Only one(valid) input witness should exist, and should match
+    BOOST_CHECK(tx.vin[0].m_pegin_witness.stack == witness_stack);
+    BOOST_CHECK(tx.vin[0].m_is_pegin);
+    // Check that serialization doesn't cause issuance to become non-null
+    //TODO(rebase) CA
+    //BOOST_CHECK(tx.vin[0].assetIssuance.IsNull());
+    BOOST_CHECK(IsValidPeginWitness(tx.vin[0].m_pegin_witness, prevout));
+
+    std::set<std::pair<uint256, COutPoint> > setPeginsSpent;
+    CValidationState state;
+    CCoinsView coinsDummy;
+    CCoinsViewCache coins(&coinsDummy);
+    CAmount txfee;
+    BOOST_CHECK(Consensus::CheckTxInputs(tx, state, coins, 0, txfee, setPeginsSpent));
+    BOOST_CHECK(setPeginsSpent.size() == 1);
+    setPeginsSpent.clear();
+
+    // Strip pegin_witness
+    CMutableTransaction mtxn(tx);
+    mtxn.vin[0].m_pegin_witness.SetNull();
+    CTransaction tx2(mtxn);
+    BOOST_CHECK(!Consensus::CheckTxInputs(tx2, state, coins, 0, txfee, setPeginsSpent));
+    BOOST_CHECK(setPeginsSpent.empty());
+
+    // Invalidate peg-in (and spending) authorization by pegin marker.
+    // This only checks for peg-in authorization, with the only input marked
+    // as m_is_pegin
+    CMutableTransaction mtxn2(tx);
+    mtxn2.vin[0].m_is_pegin = false;
+    CTransaction tx3(mtxn2);
+    BOOST_CHECK(!Consensus::CheckTxInputs(tx3, state, coins, 0, txfee, setPeginsSpent));
+    BOOST_CHECK(setPeginsSpent.empty());
+
+
+    // TODO Test mixed pegin/non-pegin input case
+    // TODO Test spending authorization in conjunction with valid witness program in pegin auth
+
+}
+
+BOOST_AUTO_TEST_SUITE_END()
+