diff --git a/lib/encoding.js b/lib/encoding.js
index e225785d..6a054b12 100644
--- a/lib/encoding.js
+++ b/lib/encoding.js
@@ -2,14 +2,8 @@
 
 var bitcore = require('bitcore-lib');
 var BufferReader = bitcore.encoding.BufferReader;
-var Address = bitcore.Address;
-var PublicKey = bitcore.PublicKey;
-var constants = require('./constants');
-var $ = bitcore.util.preconditions;
 var utils = require('./utils');
 
-var exports = {};
-
 function Encoding(servicePrefix) {
   this.servicePrefix = servicePrefix;
 }
@@ -21,12 +15,6 @@ Encoding.prototype.getTerminalKey = function(startKey) {
 };
 
 Encoding.prototype.encodeAddressIndexKey = function(address, height, txid) {
-  var args = Array.prototype.slice.call(arguments);
-
-  if (!utils.hasRequiredArgsForEncoding(args)) {
-    return null;
-  }
-
   var prefix = new Buffer('00', 'hex');
   var buffers = [this.servicePrefix, prefix];
 
@@ -53,7 +41,7 @@ Encoding.prototype.encodeAddressIndexKey = function(address, height, txid) {
 
 Encoding.prototype.decodeAddressIndexKey = function(buffer) {
   var reader = new BufferReader(buffer);
-  var prefix = reader.read(3);
+  reader.read(3);
 
   var addressSize = reader.readUInt8();
   var address = reader.read(addressSize).toString('utf8');
@@ -67,6 +55,7 @@ Encoding.prototype.decodeAddressIndexKey = function(buffer) {
 };
 
 Encoding.prototype.encodeUtxoIndexKey = function(address, txid, outputIndex) {
+console.log('encodeUtxoIndexKey');
   var prefix = new Buffer('01', 'hex');
   var buffers = [this.servicePrefix, prefix];
 
@@ -93,7 +82,7 @@ Encoding.prototype.encodeUtxoIndexKey = function(address, txid, outputIndex) {
 
 Encoding.prototype.decodeUtxoIndexKey = function(buffer) {
   var reader = new BufferReader(buffer);
-  var prefix = reader.read(3);
+  reader.read(3);
 
   var addressSize = reader.readUInt8();
   var address = reader.read(addressSize).toString('utf8');
@@ -230,7 +219,7 @@ Encoding.prototype.encodeWalletTransactionKey = function(walletId, height, block
 
 Encoding.prototype.decodeWalletTransactionKey = function(buffer) {
   var reader = new BufferReader(buffer);
-  var prefix = reader.read(1);
+  reader.read(1);
 
   var walletSize = reader.readUInt8();
   var walletId = reader.read(walletSize).toString('utf8');
@@ -278,10 +267,10 @@ Encoding.prototype.encodeWalletUtxoKey = function(walletId, txid, outputIndex) {
 
 Encoding.prototype.decodeWalletUtxoKey = function(buffer) {
   var reader = new BufferReader(buffer);
-  var prefix = reader.read(1);
+  reader.read(1);
 
-  var walletIdSizeBuffer = reader.readUInt8();
-  var walletIdBuffer = reader.read(walletIdSizeBuffer).toString('utf8');
+  var walletIdSize = reader.readUInt8();
+  var walletId = reader.read(walletIdSize).toString('utf8');
   var txid = reader.read(32).toString('hex');
   var outputIndex = reader.readUInt32BE();
   return {
@@ -347,16 +336,16 @@ Encoding.prototype.encodeWalletUtxoSatoshisKey = function(walletId, satoshis, tx
 
 Encoding.prototype.decodeWalletUtxoSatoshisKey = function(buffer) {
   var reader = new BufferReader(buffer);
-  var prefix = reader.read(1);
+  reader.read(1);
 
   var walletIdSizeBuffer = reader.readUInt8();
-  var walletIdBuffer = reader.read(walletIdSizeBuffer).toString('utf8');
+  var walletId = reader.read(walletIdSizeBuffer).toString('utf8');
   var satoshis = reader.readDoubleBE();
   var txid = reader.read(32).toString('hex');
   var outputIndex = reader.readUInt32BE();
   return {
     walletId: walletId,
-    sathosis: sathosis,
+    satoshis: satoshis,
     txid: txid,
     outputIndex: outputIndex
   };
@@ -408,6 +397,21 @@ Encoding.prototype.encodeWalletValue = function(addresses, balance) {
 };
 
 Encoding.prototype.decodeWalletValue = function(buffer) {
+  var reader = new BufferReader(buffer);
+  var addressesLength = reader.readUInt32BE();
+  var addresses = [];
+  var addressSize = 0;
+  for(var i = 0; i < addressesLength.length; i++) {
+    addressSize = reader.readUInt8(addressSize);
+    addresses.push(reader.read(addressSize).toString('utf8'));
+  }
+  var balance = reader.readDoubleBE();
+
+  return {
+    addresses: addresses,
+    balance: balance
+  };
+
 };
 
 module.exports = Encoding;
diff --git a/lib/services/address/index.js b/lib/services/address/index.js
index 52ae4d6b..17931b98 100644
--- a/lib/services/address/index.js
+++ b/lib/services/address/index.js
@@ -230,6 +230,105 @@ AddressService.prototype.concurrentBlockHandler = function(block, connectBlock,
   });
 };
 
+AddressService.prototype.blockHandler = function(block, connectBlock, callback) {
+  var self = this;
+
+  var txs = block.transactions;
+  var height = block.__height;
+
+  var action = 'put';
+  var reverseAction = 'del';
+  if (!connectBlock) {
+    action = 'del';
+    reverseAction = 'put';
+  }
+
+  var operations = [];
+
+  async.eachSeries(txs, function(tx, next) {
+    var txid = tx.id;
+    var inputs = tx.inputs;
+    var outputs = tx.outputs;
+
+    // Subscription messages
+    var txmessages = {};
+
+    var outputLength = outputs.length;
+    for (var outputIndex = 0; outputIndex < outputLength; outputIndex++) {
+      var output = outputs[outputIndex];
+
+      var script = output.script;
+
+      if(!script) {
+        log.debug('Invalid script');
+        return next();
+      }
+
+      var address = self._getAddressString(script);
+
+      if(!address) {
+        return next();
+      }
+
+      var key = self.encoding.encodeUtxoIndexKey(address, txid, outputIndex);
+      var value = self.encoding.encodeUtxoIndexValue(output.satoshis, output.script);
+      operations.push({
+        type: action,
+        key: key,
+        value: value
+      });
+
+    }
+
+    if(tx.isCoinbase()) {
+      return next();
+    }
+
+    //TODO deal with P2PK
+    async.each(inputs, function(input, next) {
+      if(!input.script) {
+        log.debug('Invalid script');
+        return next();
+      }
+
+      var inputAddress = self._getAddressString(input.script);
+
+      if(!inputAddress) {
+        return next();
+      }
+
+      var inputKey = self.encoding.encodeUtxoIndexKey(inputAddress, input.prevTxId, input.outputIndex);
+      //common case is connecting blocks and deleting outputs spent by these inputs
+      if (connectBlock) {
+        operations.push({
+          type: 'del',
+          key: inputKey
+        });
+      } else { // uncommon and slower, this happens during a reorg
+        self.node.services.transaction.getTransaction(input.prevTxId, {}, function(err, tx) {
+          var utxo = tx.outputs[input.outputIndex];
+          var inputValue = self.encoding.encodeUtxoIndexValue(utxo.satoshis, utxo.script);
+          operations.push({
+            type: 'put',
+            key: inputKey,
+            value: inputValue
+          });
+        });
+      }
+    }, function(err) {
+      if(err) {
+        return next(err);
+      }
+      next();
+    });
+  }, function(err) {
+    //we are aync predicated on reorg sitch
+    setImmediate(function() {
+      callback(null, operations);
+    });
+  });
+};
+
 AddressService.prototype._getAddressString = function(script, output) {
   var address = script.toAddress();
   if(address) {
@@ -242,7 +341,7 @@ AddressService.prototype._getAddressString = function(script, output) {
       return pubkey.toString('hex');
     }
   } catch(e) {
-    log.warn('Error getting public key from: ', script.toASM(), script.toHex());
+    //log.warn('Error getting public key from: ', script.toASM(), script.toHex());
     // if there is an error, it's because a pubkey can not be extracted from the script
     // continue on and return null
   }
@@ -252,7 +351,7 @@ AddressService.prototype._getAddressString = function(script, output) {
     return output.script.getPublicKey().toString('hex');
   }
 
-  log.warn('No utxo given for script spending a P2PK: ', script.toASM(), script.toHex());
+  //log.warn('No utxo given for script spending a P2PK: ', script.toASM(), script.toHex());
   return null;
 };