diff --git a/command/bridge/deploy/deploy.go b/command/bridge/deploy/deploy.go
index c5c6ec6c3b..b07edaada0 100644
--- a/command/bridge/deploy/deploy.go
+++ b/command/bridge/deploy/deploy.go
@@ -15,7 +15,7 @@ import (
 	"github.com/0xPolygon/polygon-edge/command"
 	"github.com/0xPolygon/polygon-edge/command/bridge/helper"
 	cmdHelper "github.com/0xPolygon/polygon-edge/command/helper"
-	"github.com/0xPolygon/polygon-edge/consensus/polybft"
+	polycfg "github.com/0xPolygon/polygon-edge/consensus/polybft/config"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/contractsapi"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/validator"
 	"github.com/0xPolygon/polygon-edge/crypto"
@@ -28,11 +28,11 @@ var (
 	params deployParams
 
 	// consensusCfg contains consensus protocol configuration parameters
-	consensusCfg polybft.PolyBFTConfig
+	consensusCfg polycfg.PolyBFT
 )
 
 type deploymentResultInfo struct {
-	BridgeCfg      *polybft.BridgeConfig
+	BridgeCfg      *polycfg.Bridge
 	CommandResults []command.CommandResult
 }
 
@@ -194,7 +194,7 @@ func runCommand(cmd *cobra.Command, _ []string) {
 	}
 
 	// write updated consensus configuration
-	chainConfig.Params.Engine[polybft.ConsensusName] = consensusCfg
+	chainConfig.Params.Engine[polycfg.ConsensusName] = consensusCfg
 
 	if err := cmdHelper.WriteGenesisConfigToDisk(chainConfig, params.genesisPath); err != nil {
 		outputter.SetError(fmt.Errorf("failed to save chain configuration bridge data: %w", err))
@@ -241,7 +241,7 @@ func deployContracts(
 
 	var (
 		internalChainID   = chainCfg.Params.ChainID
-		bridgeConfig      = &polybft.BridgeConfig{JSONRPCEndpoint: params.externalRPCAddress}
+		bridgeConfig      = &polycfg.Bridge{JSONRPCEndpoint: params.externalRPCAddress}
 		externalContracts []*contract
 		internalContracts []*contract
 	)
diff --git a/command/bridge/deploy/deploy_test.go b/command/bridge/deploy/deploy_test.go
index 9bb06b5dc7..274fa86367 100644
--- a/command/bridge/deploy/deploy_test.go
+++ b/command/bridge/deploy/deploy_test.go
@@ -14,7 +14,7 @@ import (
 	"github.com/0xPolygon/polygon-edge/chain"
 	"github.com/0xPolygon/polygon-edge/command"
 	"github.com/0xPolygon/polygon-edge/command/bridge/helper"
-	"github.com/0xPolygon/polygon-edge/consensus/polybft"
+	polycfg "github.com/0xPolygon/polygon-edge/consensus/polybft/config"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/validator"
 	"github.com/0xPolygon/polygon-edge/types"
 )
@@ -41,8 +41,8 @@ func TestDeployContracts_NoPanics(t *testing.T) {
 
 	outputter := command.InitializeOutputter(GetCommand())
 	params.proxyContractsAdmin = "0x5aaeb6053f3e94c9b9a09f33669435e7ef1beaed"
-	consensusCfg = polybft.PolyBFTConfig{
-		NativeTokenConfig: &polybft.TokenConfig{
+	consensusCfg = polycfg.PolyBFT{
+		NativeTokenConfig: &polycfg.Token{
 			Name:       "Test",
 			Symbol:     "TST",
 			Decimals:   18,
diff --git a/command/bridge/deploy/external_contracts.go b/command/bridge/deploy/external_contracts.go
index 45e3508a83..8c4a8ef3b2 100644
--- a/command/bridge/deploy/external_contracts.go
+++ b/command/bridge/deploy/external_contracts.go
@@ -5,7 +5,7 @@ import (
 	"math/big"
 
 	"github.com/0xPolygon/polygon-edge/command"
-	"github.com/0xPolygon/polygon-edge/consensus/polybft"
+	polycfg "github.com/0xPolygon/polygon-edge/consensus/polybft/config"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/contractsapi"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/validator"
 	"github.com/0xPolygon/polygon-edge/contracts"
@@ -16,7 +16,7 @@ import (
 )
 
 // initExternalContracts initializes the external contracts
-func initExternalContracts(bridgeCfg *polybft.BridgeConfig,
+func initExternalContracts(bridgeCfg *polycfg.Bridge,
 	externalChainClient *jsonrpc.EthClient, externalChainID *big.Int) ([]*contract, error) {
 	externalContracts := make([]*contract, 0)
 
@@ -35,7 +35,7 @@ func initExternalContracts(bridgeCfg *polybft.BridgeConfig,
 				name:     getContractName(false, erc20Name),
 				hasProxy: false,
 				artifact: contractsapi.RootERC20,
-				addressPopulatorFn: func(bc *polybft.BridgeConfig, dcr []*deployContractResult) {
+				addressPopulatorFn: func(bc *polycfg.Bridge, dcr []*deployContractResult) {
 					bc.ExternalNativeERC20Addr = dcr[0].Address
 				},
 			})
@@ -47,7 +47,7 @@ func initExternalContracts(bridgeCfg *polybft.BridgeConfig,
 		name:     blsName,
 		hasProxy: true,
 		artifact: contractsapi.BLS,
-		addressPopulatorFn: func(bc *polybft.BridgeConfig, dcr []*deployContractResult) {
+		addressPopulatorFn: func(bc *polycfg.Bridge, dcr []*deployContractResult) {
 			bc.BLSAddress = dcr[1].Address
 		},
 	})
@@ -57,7 +57,7 @@ func initExternalContracts(bridgeCfg *polybft.BridgeConfig,
 		name:     bn256G2Name,
 		hasProxy: true,
 		artifact: contractsapi.BLS256,
-		addressPopulatorFn: func(bc *polybft.BridgeConfig, dcr []*deployContractResult) {
+		addressPopulatorFn: func(bc *polycfg.Bridge, dcr []*deployContractResult) {
 			bc.BN256G2Address = dcr[1].Address
 		},
 	})
@@ -67,12 +67,12 @@ func initExternalContracts(bridgeCfg *polybft.BridgeConfig,
 		name:     getContractName(false, gatewayName),
 		hasProxy: true,
 		artifact: contractsapi.Gateway,
-		addressPopulatorFn: func(bc *polybft.BridgeConfig, dcr []*deployContractResult) {
+		addressPopulatorFn: func(bc *polycfg.Bridge, dcr []*deployContractResult) {
 			bc.ExternalGatewayAddr = dcr[1].Address
 		},
 		initializeFn: func(fmt command.OutputFormatter, relayer txrelayer.TxRelayer,
 			genesisValidators []*validator.GenesisValidator,
-			config *polybft.BridgeConfig,
+			config *polycfg.Bridge,
 			key crypto.Key,
 			destinationChainID int64) error {
 			validatorSet, err := getValidatorSet(fmt, genesisValidators)
@@ -96,12 +96,12 @@ func initExternalContracts(bridgeCfg *polybft.BridgeConfig,
 		name:     getContractName(false, erc20PredicateName),
 		hasProxy: true,
 		artifact: contractsapi.RootERC20Predicate,
-		addressPopulatorFn: func(bc *polybft.BridgeConfig, dcr []*deployContractResult) {
+		addressPopulatorFn: func(bc *polycfg.Bridge, dcr []*deployContractResult) {
 			bc.ExternalERC20PredicateAddr = dcr[1].Address
 		},
 		initializeFn: func(fmt command.OutputFormatter, relayer txrelayer.TxRelayer,
 			genesisValidators []*validator.GenesisValidator,
-			config *polybft.BridgeConfig,
+			config *polycfg.Bridge,
 			key crypto.Key,
 			destinationChainID int64) error {
 			input := &contractsapi.InitializeRootERC20PredicateFn{
@@ -123,12 +123,12 @@ func initExternalContracts(bridgeCfg *polybft.BridgeConfig,
 		name:     getContractName(false, erc20MintablePredicateName),
 		hasProxy: true,
 		artifact: contractsapi.ChildERC20Predicate,
-		addressPopulatorFn: func(bc *polybft.BridgeConfig, dcr []*deployContractResult) {
+		addressPopulatorFn: func(bc *polycfg.Bridge, dcr []*deployContractResult) {
 			bc.ExternalMintableERC20PredicateAddr = dcr[1].Address
 		},
 		initializeFn: func(fmt command.OutputFormatter, relayer txrelayer.TxRelayer,
 			genesisValidators []*validator.GenesisValidator,
-			config *polybft.BridgeConfig,
+			config *polycfg.Bridge,
 			key crypto.Key,
 			destinationChainID int64) error {
 			input := &contractsapi.InitializeChildERC20PredicateFn{
@@ -148,7 +148,7 @@ func initExternalContracts(bridgeCfg *polybft.BridgeConfig,
 		name:     getContractName(false, erc20TemplateName),
 		hasProxy: false,
 		artifact: contractsapi.ChildERC20,
-		addressPopulatorFn: func(bc *polybft.BridgeConfig, dcr []*deployContractResult) {
+		addressPopulatorFn: func(bc *polycfg.Bridge, dcr []*deployContractResult) {
 			bc.ExternalERC20Addr = dcr[0].Address
 		},
 	})
@@ -158,12 +158,12 @@ func initExternalContracts(bridgeCfg *polybft.BridgeConfig,
 		name:     getContractName(false, erc721PredicateName),
 		hasProxy: true,
 		artifact: contractsapi.RootERC721Predicate,
-		addressPopulatorFn: func(bc *polybft.BridgeConfig, dcr []*deployContractResult) {
+		addressPopulatorFn: func(bc *polycfg.Bridge, dcr []*deployContractResult) {
 			bc.ExternalERC721PredicateAddr = dcr[1].Address
 		},
 		initializeFn: func(fmt command.OutputFormatter, relayer txrelayer.TxRelayer,
 			genesisValidators []*validator.GenesisValidator,
-			config *polybft.BridgeConfig,
+			config *polycfg.Bridge,
 			key crypto.Key,
 			destinationChainID int64) error {
 			input := &contractsapi.InitializeRootERC721PredicateFn{
@@ -183,12 +183,12 @@ func initExternalContracts(bridgeCfg *polybft.BridgeConfig,
 		name:     getContractName(false, erc721MintablePredicateName),
 		hasProxy: true,
 		artifact: contractsapi.ChildERC721Predicate,
-		addressPopulatorFn: func(bc *polybft.BridgeConfig, dcr []*deployContractResult) {
+		addressPopulatorFn: func(bc *polycfg.Bridge, dcr []*deployContractResult) {
 			bc.ExternalMintableERC721PredicateAddr = dcr[1].Address
 		},
 		initializeFn: func(fmt command.OutputFormatter, relayer txrelayer.TxRelayer,
 			genesisValidators []*validator.GenesisValidator,
-			config *polybft.BridgeConfig,
+			config *polycfg.Bridge,
 			key crypto.Key,
 			destinationChainID int64) error {
 			input := &contractsapi.InitializeChildERC721PredicateFn{
@@ -208,7 +208,7 @@ func initExternalContracts(bridgeCfg *polybft.BridgeConfig,
 		name:     getContractName(false, erc721TemplateName),
 		hasProxy: false,
 		artifact: contractsapi.ChildERC721,
-		addressPopulatorFn: func(bc *polybft.BridgeConfig, dcr []*deployContractResult) {
+		addressPopulatorFn: func(bc *polycfg.Bridge, dcr []*deployContractResult) {
 			bc.ExternalERC721Addr = dcr[0].Address
 		},
 	})
@@ -218,12 +218,12 @@ func initExternalContracts(bridgeCfg *polybft.BridgeConfig,
 		name:     getContractName(false, erc1155PredicateName),
 		hasProxy: true,
 		artifact: contractsapi.RootERC1155Predicate,
-		addressPopulatorFn: func(bc *polybft.BridgeConfig, dcr []*deployContractResult) {
+		addressPopulatorFn: func(bc *polycfg.Bridge, dcr []*deployContractResult) {
 			bc.ExternalERC1155PredicateAddr = dcr[1].Address
 		},
 		initializeFn: func(fmt command.OutputFormatter, relayer txrelayer.TxRelayer,
 			genesisValidators []*validator.GenesisValidator,
-			config *polybft.BridgeConfig,
+			config *polycfg.Bridge,
 			key crypto.Key,
 			destinationChainID int64) error {
 			input := &contractsapi.InitializeRootERC1155PredicateFn{
@@ -243,12 +243,12 @@ func initExternalContracts(bridgeCfg *polybft.BridgeConfig,
 		name:     getContractName(false, erc1155MintablePredicateName),
 		hasProxy: true,
 		artifact: contractsapi.ChildERC1155Predicate,
-		addressPopulatorFn: func(bc *polybft.BridgeConfig, dcr []*deployContractResult) {
+		addressPopulatorFn: func(bc *polycfg.Bridge, dcr []*deployContractResult) {
 			bc.ExternalMintableERC1155PredicateAddr = dcr[1].Address
 		},
 		initializeFn: func(fmt command.OutputFormatter, relayer txrelayer.TxRelayer,
 			genesisValidators []*validator.GenesisValidator,
-			config *polybft.BridgeConfig,
+			config *polycfg.Bridge,
 			key crypto.Key,
 			destinationChainID int64) error {
 			input := &contractsapi.InitializeChildERC1155PredicateFn{
@@ -268,7 +268,7 @@ func initExternalContracts(bridgeCfg *polybft.BridgeConfig,
 		name:     getContractName(false, erc1155TemplateName),
 		hasProxy: false,
 		artifact: contractsapi.ChildERC1155,
-		addressPopulatorFn: func(bc *polybft.BridgeConfig, dcr []*deployContractResult) {
+		addressPopulatorFn: func(bc *polycfg.Bridge, dcr []*deployContractResult) {
 			bc.ExternalERC1155Addr = dcr[0].Address
 		},
 	})
@@ -280,12 +280,12 @@ func initExternalContracts(bridgeCfg *polybft.BridgeConfig,
 			name:     bladeManagerName,
 			artifact: contractsapi.BladeManager,
 			hasProxy: true,
-			addressPopulatorFn: func(bc *polybft.BridgeConfig, dcr []*deployContractResult) {
+			addressPopulatorFn: func(bc *polycfg.Bridge, dcr []*deployContractResult) {
 				bc.BladeManagerAddr = dcr[1].Address
 			},
 			initializeFn: func(fmt command.OutputFormatter, relayer txrelayer.TxRelayer,
 				genesisValidators []*validator.GenesisValidator,
-				config *polybft.BridgeConfig,
+				config *polycfg.Bridge,
 				key crypto.Key,
 				destinationChainID int64) error {
 				gvs := make([]*contractsapi.GenesisAccount, len(genesisValidators))
@@ -316,7 +316,7 @@ func initExternalContracts(bridgeCfg *polybft.BridgeConfig,
 // populateExistingNativeTokenAddr checks whether given token is deployed on the provided address.
 // If it is, then its address is set to the bridge config, otherwise an error is returned
 func populateExistingNativeTokenAddr(eth *jsonrpc.EthClient, tokenAddr, tokenName string,
-	bridgeCfg *polybft.BridgeConfig) error {
+	bridgeCfg *polycfg.Bridge) error {
 	addr := types.StringToAddress(tokenAddr)
 
 	code, err := eth.GetCode(addr, jsonrpc.LatestBlockNumberOrHash)
diff --git a/command/bridge/deploy/internal_contracts.go b/command/bridge/deploy/internal_contracts.go
index 84d5126bca..cebb06a7eb 100644
--- a/command/bridge/deploy/internal_contracts.go
+++ b/command/bridge/deploy/internal_contracts.go
@@ -6,7 +6,7 @@ import (
 
 	"github.com/0xPolygon/polygon-edge/chain"
 	"github.com/0xPolygon/polygon-edge/command"
-	"github.com/0xPolygon/polygon-edge/consensus/polybft"
+	polycfg "github.com/0xPolygon/polygon-edge/consensus/polybft/config"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/contractsapi"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/validator"
 	"github.com/0xPolygon/polygon-edge/contracts"
@@ -30,12 +30,12 @@ func initInternalContracts(chainCfg *chain.Chain) []*contract {
 		name:     getContractName(true, gatewayName),
 		hasProxy: true,
 		artifact: contractsapi.Gateway,
-		addressPopulatorFn: func(bc *polybft.BridgeConfig, dcr []*deployContractResult) {
+		addressPopulatorFn: func(bc *polycfg.Bridge, dcr []*deployContractResult) {
 			bc.InternalGatewayAddr = dcr[1].Address
 		},
 		initializeFn: func(fmt command.OutputFormatter, relayer txrelayer.TxRelayer,
 			genesisValidators []*validator.GenesisValidator,
-			config *polybft.BridgeConfig,
+			config *polycfg.Bridge,
 			key crypto.Key,
 			_ int64) error {
 			validatorSet, err := getValidatorSet(fmt, genesisValidators)
@@ -64,12 +64,12 @@ func initInternalContracts(chainCfg *chain.Chain) []*contract {
 		name:     getContractName(true, erc20PredicateName),
 		hasProxy: true,
 		artifact: contractArtifact,
-		addressPopulatorFn: func(bc *polybft.BridgeConfig, dcr []*deployContractResult) {
+		addressPopulatorFn: func(bc *polycfg.Bridge, dcr []*deployContractResult) {
 			bc.InternalERC20PredicateAddr = dcr[1].Address
 		},
 		initializeFn: func(fmt command.OutputFormatter, relayer txrelayer.TxRelayer,
 			genesisValidators []*validator.GenesisValidator,
-			config *polybft.BridgeConfig,
+			config *polycfg.Bridge,
 			key crypto.Key,
 			destinationChainID int64) error {
 			var input contractsapi.FunctionAbi
@@ -109,12 +109,12 @@ func initInternalContracts(chainCfg *chain.Chain) []*contract {
 		name:     getContractName(true, erc721PredicateName),
 		hasProxy: true,
 		artifact: contractArtifact,
-		addressPopulatorFn: func(bc *polybft.BridgeConfig, dcr []*deployContractResult) {
+		addressPopulatorFn: func(bc *polycfg.Bridge, dcr []*deployContractResult) {
 			bc.InternalERC721PredicateAddr = dcr[1].Address
 		},
 		initializeFn: func(fmt command.OutputFormatter, relayer txrelayer.TxRelayer,
 			genesisValidators []*validator.GenesisValidator,
-			config *polybft.BridgeConfig,
+			config *polycfg.Bridge,
 			key crypto.Key,
 			destinationChainID int64) error {
 			var input contractsapi.FunctionAbi
@@ -152,12 +152,12 @@ func initInternalContracts(chainCfg *chain.Chain) []*contract {
 		name:     getContractName(true, erc1155PredicateName),
 		hasProxy: true,
 		artifact: contractArtifact,
-		addressPopulatorFn: func(bc *polybft.BridgeConfig, dcr []*deployContractResult) {
+		addressPopulatorFn: func(bc *polycfg.Bridge, dcr []*deployContractResult) {
 			bc.InternalERC1155PredicateAddr = dcr[1].Address
 		},
 		initializeFn: func(fmt command.OutputFormatter, relayer txrelayer.TxRelayer,
 			genesisValidators []*validator.GenesisValidator,
-			config *polybft.BridgeConfig,
+			config *polycfg.Bridge,
 			key crypto.Key,
 			destinationChainID int64) error {
 			var input contractsapi.FunctionAbi
@@ -195,12 +195,12 @@ func initInternalContracts(chainCfg *chain.Chain) []*contract {
 		name:     getContractName(true, erc20MintablePredicateName),
 		hasProxy: true,
 		artifact: contractArtifact,
-		addressPopulatorFn: func(bc *polybft.BridgeConfig, dcr []*deployContractResult) {
+		addressPopulatorFn: func(bc *polycfg.Bridge, dcr []*deployContractResult) {
 			bc.InternalMintableERC20PredicateAddr = dcr[1].Address
 		},
 		initializeFn: func(fmt command.OutputFormatter, relayer txrelayer.TxRelayer,
 			genesisValidators []*validator.GenesisValidator,
-			config *polybft.BridgeConfig,
+			config *polycfg.Bridge,
 			key crypto.Key,
 			destinationChainID int64) error {
 			var input contractsapi.FunctionAbi
@@ -238,12 +238,12 @@ func initInternalContracts(chainCfg *chain.Chain) []*contract {
 		name:     getContractName(true, erc721MintablePredicateName),
 		hasProxy: true,
 		artifact: contractArtifact,
-		addressPopulatorFn: func(bc *polybft.BridgeConfig, dcr []*deployContractResult) {
+		addressPopulatorFn: func(bc *polycfg.Bridge, dcr []*deployContractResult) {
 			bc.InternalMintableERC721PredicateAddr = dcr[1].Address
 		},
 		initializeFn: func(fmt command.OutputFormatter, relayer txrelayer.TxRelayer,
 			genesisValidators []*validator.GenesisValidator,
-			config *polybft.BridgeConfig,
+			config *polycfg.Bridge,
 			key crypto.Key,
 			destinationChainID int64) error {
 			var input contractsapi.FunctionAbi
@@ -281,12 +281,12 @@ func initInternalContracts(chainCfg *chain.Chain) []*contract {
 		name:     getContractName(true, erc1155MintablePredicateName),
 		hasProxy: true,
 		artifact: contractArtifact,
-		addressPopulatorFn: func(bc *polybft.BridgeConfig, dcr []*deployContractResult) {
+		addressPopulatorFn: func(bc *polycfg.Bridge, dcr []*deployContractResult) {
 			bc.InternalMintableERC1155PredicateAddr = dcr[1].Address
 		},
 		initializeFn: func(fmt command.OutputFormatter, relayer txrelayer.TxRelayer,
 			genesisValidators []*validator.GenesisValidator,
-			config *polybft.BridgeConfig,
+			config *polycfg.Bridge,
 			key crypto.Key,
 			destinationChainID int64) error {
 			var input contractsapi.FunctionAbi
@@ -320,7 +320,7 @@ func initInternalContracts(chainCfg *chain.Chain) []*contract {
 // preAllocateInternalPredicates pre-allocates internal predicates in genesis
 // if the command is run in bootstrap mode
 func preAllocateInternalPredicates(o command.OutputFormatter, internalContracts []*contract,
-	chainCfg *chain.Chain, bridgeCfg *polybft.BridgeConfig) error {
+	chainCfg *chain.Chain, bridgeCfg *polycfg.Bridge) error {
 	predicateBaseProxyAddress := contracts.ChildBridgeContractsBaseAddress
 
 	if consensusCfg.Bridge != nil {
diff --git a/command/bridge/deploy/params.go b/command/bridge/deploy/params.go
index 9e3e85a8b6..b15650b78d 100644
--- a/command/bridge/deploy/params.go
+++ b/command/bridge/deploy/params.go
@@ -7,7 +7,7 @@ import (
 	"time"
 
 	"github.com/0xPolygon/polygon-edge/command/helper"
-	"github.com/0xPolygon/polygon-edge/consensus/polybft"
+	polycfg "github.com/0xPolygon/polygon-edge/consensus/polybft/config"
 )
 
 const (
@@ -38,7 +38,7 @@ func (ip *deployParams) validateFlags() error {
 		return fmt.Errorf("provided genesis path '%s' is invalid. Error: %w ", ip.genesisPath, err)
 	}
 
-	consensusCfg, err = polybft.LoadPolyBFTConfig(ip.genesisPath)
+	consensusCfg, err = polycfg.LoadPolyBFTConfig(ip.genesisPath)
 	if err != nil {
 		return err
 	}
diff --git a/command/bridge/deploy/types.go b/command/bridge/deploy/types.go
index 87bdc86287..4311509ebe 100644
--- a/command/bridge/deploy/types.go
+++ b/command/bridge/deploy/types.go
@@ -5,7 +5,7 @@ import (
 
 	"github.com/0xPolygon/polygon-edge/command"
 	"github.com/0xPolygon/polygon-edge/command/bridge/helper"
-	"github.com/0xPolygon/polygon-edge/consensus/polybft"
+	polycfg "github.com/0xPolygon/polygon-edge/consensus/polybft/config"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/validator"
 	"github.com/0xPolygon/polygon-edge/contracts"
 	"github.com/0xPolygon/polygon-edge/crypto"
@@ -36,10 +36,10 @@ const (
 	erc1155TemplateName          = "ERC1155Template"
 )
 
-type addressPopulator func(*polybft.BridgeConfig, []*deployContractResult)
+type addressPopulator func(*polycfg.Bridge, []*deployContractResult)
 type initializer func(command.OutputFormatter, txrelayer.TxRelayer,
 	[]*validator.GenesisValidator,
-	*polybft.BridgeConfig, crypto.Key, int64) error
+	*polycfg.Bridge, crypto.Key, int64) error
 
 // contract represents a contract to be deployed
 type contract struct {
@@ -52,7 +52,7 @@ type contract struct {
 
 // deploy deploys the contract and its proxy if it has one, and returns the deployment results
 func (c *contract) deploy(
-	bridgeCfg *polybft.BridgeConfig,
+	bridgeCfg *polycfg.Bridge,
 	txRelayer txrelayer.TxRelayer, deployerKey crypto.Key,
 	proxyAdmin types.Address) ([]*deployContractResult, error) {
 	txn := helper.CreateTransaction(types.ZeroAddress, nil, c.artifact.Bytecode, nil, true)
diff --git a/command/bridge/finalize/finalize.go b/command/bridge/finalize/finalize.go
index 3eeed01690..e04349c193 100644
--- a/command/bridge/finalize/finalize.go
+++ b/command/bridge/finalize/finalize.go
@@ -12,7 +12,7 @@ import (
 	"github.com/0xPolygon/polygon-edge/command/genesis"
 	"github.com/0xPolygon/polygon-edge/command/helper"
 	polybftsecrets "github.com/0xPolygon/polygon-edge/command/secrets/init"
-	"github.com/0xPolygon/polygon-edge/consensus/polybft"
+	polycfg "github.com/0xPolygon/polygon-edge/consensus/polybft/config"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/contractsapi"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/validator"
 	"github.com/0xPolygon/polygon-edge/helper/hex"
@@ -111,7 +111,7 @@ func runCommand(cmd *cobra.Command, _ []string) error {
 		return fmt.Errorf("failed to read chain configuration: %w", err)
 	}
 
-	consensusConfig, err := polybft.GetPolyBFTConfig(chainConfig.Params)
+	consensusConfig, err := polycfg.GetPolyBFTConfig(chainConfig.Params)
 	if err != nil {
 		return fmt.Errorf("failed to retrieve consensus configuration: %w", err)
 	}
@@ -200,7 +200,7 @@ func runCommand(cmd *cobra.Command, _ []string) error {
 	}
 
 	chainConfig.Genesis.ExtraData = genesisExtraData
-	chainConfig.Params.Engine[polybft.ConsensusName] = consensusConfig
+	chainConfig.Params.Engine[polycfg.ConsensusName] = consensusConfig
 
 	// save updated stake and genesis extra to genesis file on disk
 	if err := helper.WriteGenesisConfigToDisk(chainConfig, params.genesisPath); err != nil {
diff --git a/command/bridge/helper/utils.go b/command/bridge/helper/utils.go
index 8e30596bec..ad35beffb6 100644
--- a/command/bridge/helper/utils.go
+++ b/command/bridge/helper/utils.go
@@ -13,8 +13,8 @@ import (
 	"github.com/docker/go-connections/nat"
 
 	polybftsecrets "github.com/0xPolygon/polygon-edge/command/secrets/init"
-	"github.com/0xPolygon/polygon-edge/consensus/polybft"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/contractsapi"
+	systemstate "github.com/0xPolygon/polygon-edge/consensus/polybft/system_state"
 	polybftWallet "github.com/0xPolygon/polygon-edge/consensus/polybft/wallet"
 	"github.com/0xPolygon/polygon-edge/contracts"
 	"github.com/0xPolygon/polygon-edge/crypto"
@@ -43,10 +43,8 @@ const (
 
 var (
 	ErrExternalChainNotFound = errors.New("external chain not found")
-	errTestModeSecrets       = errors.New("external chain test mode does not imply specifying secrets parameters")
-
-	ErrNoAddressesProvided = errors.New("no addresses provided")
-	ErrInconsistentLength  = errors.New("addresses and amounts must be equal length")
+	ErrNoAddressesProvided   = errors.New("no addresses provided")
+	ErrInconsistentLength    = errors.New("addresses and amounts must be equal length")
 
 	externalChainAccountKey *crypto.ECDSAKey
 )
@@ -156,7 +154,7 @@ func GetECDSAKey(privateKey, accountDir, accountConfig string) (crypto.Key, erro
 // GetValidatorInfo queries SupernetManager smart contract on root
 // and retrieves validator info for given address
 func GetValidatorInfo(validatorAddr types.Address, supernetManagerAddr, stakeManagerAddr types.Address,
-	txRelayer txrelayer.TxRelayer) (*polybft.ValidatorInfo, error) {
+	txRelayer txrelayer.TxRelayer) (*systemstate.ValidatorInfo, error) {
 	caller := contracts.SystemCaller
 	getValidatorMethod := contractsapi.StakeManager.Abi.GetMethod("stakeOf")
 
@@ -191,7 +189,7 @@ func GetValidatorInfo(validatorAddr types.Address, supernetManagerAddr, stakeMan
 	}
 
 	//nolint:forcetypeassert
-	validatorInfo := &polybft.ValidatorInfo{
+	validatorInfo := &systemstate.ValidatorInfo{
 		Address:       validatorAddr,
 		IsActive:      innerMap["isActive"].(bool),
 		IsWhitelisted: innerMap["isWhitelisted"].(bool),
diff --git a/command/bridge/premine/premine.go b/command/bridge/premine/premine.go
index 730bd44114..aafb83c06d 100644
--- a/command/bridge/premine/premine.go
+++ b/command/bridge/premine/premine.go
@@ -10,7 +10,7 @@ import (
 	bridgeHelper "github.com/0xPolygon/polygon-edge/command/bridge/helper"
 	"github.com/0xPolygon/polygon-edge/command/helper"
 	polybftsecrets "github.com/0xPolygon/polygon-edge/command/secrets/init"
-	"github.com/0xPolygon/polygon-edge/consensus/polybft"
+	polycfg "github.com/0xPolygon/polygon-edge/consensus/polybft/config"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/contractsapi"
 	"github.com/0xPolygon/polygon-edge/txrelayer"
 	"github.com/0xPolygon/polygon-edge/types"
@@ -131,7 +131,7 @@ func runCommand(cmd *cobra.Command, _ []string) error {
 		return fmt.Errorf("failed to read chain configuration: %w", err)
 	}
 
-	consensusConfig, err := polybft.GetPolyBFTConfig(chainConfig.Params)
+	consensusConfig, err := polycfg.GetPolyBFTConfig(chainConfig.Params)
 	if err != nil {
 		return fmt.Errorf("failed to retrieve consensus configuration: %w", err)
 	}
diff --git a/command/genesis/params.go b/command/genesis/params.go
index cb0d734e6d..98d93e13f8 100644
--- a/command/genesis/params.go
+++ b/command/genesis/params.go
@@ -10,7 +10,7 @@ import (
 	"github.com/0xPolygon/polygon-edge/chain"
 	"github.com/0xPolygon/polygon-edge/command"
 	"github.com/0xPolygon/polygon-edge/command/helper"
-	"github.com/0xPolygon/polygon-edge/consensus/polybft"
+	polycfg "github.com/0xPolygon/polygon-edge/consensus/polybft/config"
 	"github.com/0xPolygon/polygon-edge/server"
 	"github.com/0xPolygon/polygon-edge/types"
 )
@@ -50,14 +50,12 @@ var (
 	errInvalidEpochSize         = errors.New("epoch size must be greater than 1")
 	errRewardWalletAmountZero   = errors.New("reward wallet amount can not be zero or negative")
 	errReserveAccMustBePremined = errors.New("it is mandatory to premine reserve account (0x0 address)")
-	errBlockTrackerPollInterval = errors.New("block tracker poll interval must be greater than 0")
 	errBaseFeeChangeDenomZero   = errors.New("base fee change denominator must be greater than 0")
 	errBaseFeeEMZero            = errors.New("base fee elasticity multiplier must be greater than 0")
 	errBaseFeeZero              = errors.New("base fee  must be greater than 0")
 	errRewardWalletNotDefined   = errors.New("reward wallet address must be defined")
 	errRewardWalletZero         = errors.New("reward wallet address must not be zero address")
 	errInvalidVotingPeriod      = errors.New("voting period can not be zero")
-	errStakeTokenIsZeroAddress  = errors.New("stake token address must not be zero address")
 )
 
 type genesisParams struct {
@@ -110,7 +108,7 @@ type genesisParams struct {
 	bridgeBlockListEnabled           []string
 
 	nativeTokenConfigRaw string
-	nativeTokenConfig    *polybft.TokenConfig
+	nativeTokenConfig    *polycfg.Token
 
 	premineInfos []*helper.PremineInfo
 	stakeInfos   map[types.Address]*big.Int
@@ -308,16 +306,6 @@ func (p *genesisParams) parsePremineInfo() error {
 	return nil
 }
 
-// validateBlockTrackerPollInterval validates block tracker block interval
-// which can not be 0
-func (p *genesisParams) validateBlockTrackerPollInterval() error {
-	if p.blockTrackerPollInterval == 0 {
-		return helper.ErrBlockTrackerPollInterval
-	}
-
-	return nil
-}
-
 func (p *genesisParams) validateGenesisBaseFeeConfig() error {
 	if p.baseFeeConfig == "" {
 		return nil
diff --git a/command/genesis/params_test.go b/command/genesis/params_test.go
index 018ae79783..cd4a9d5b3d 100644
--- a/command/genesis/params_test.go
+++ b/command/genesis/params_test.go
@@ -9,7 +9,7 @@ import (
 
 	"github.com/0xPolygon/polygon-edge/command"
 	"github.com/0xPolygon/polygon-edge/command/helper"
-	"github.com/0xPolygon/polygon-edge/consensus/polybft"
+	polycfg "github.com/0xPolygon/polygon-edge/consensus/polybft/config"
 	"github.com/0xPolygon/polygon-edge/types"
 )
 
@@ -19,13 +19,13 @@ func Test_extractNativeTokenMetadata(t *testing.T) {
 	cases := []struct {
 		name        string
 		rawConfig   string
-		expectedCfg *polybft.TokenConfig
+		expectedCfg *polycfg.Token
 		expectErr   bool
 	}{
 		{
 			name:        "default token config",
 			rawConfig:   "",
-			expectedCfg: polybft.DefaultTokenConfig,
+			expectedCfg: polycfg.DefaultTokenConfig,
 			expectErr:   false,
 		},
 		{
@@ -51,7 +51,7 @@ func Test_extractNativeTokenMetadata(t *testing.T) {
 		{
 			name:      "mintable valid config",
 			rawConfig: "MyToken:MTK:9:true",
-			expectedCfg: &polybft.TokenConfig{
+			expectedCfg: &polycfg.Token{
 				Name:       "MyToken",
 				Symbol:     "MTK",
 				Decimals:   9,
@@ -62,7 +62,7 @@ func Test_extractNativeTokenMetadata(t *testing.T) {
 		{
 			name:      "non-mintable valid config",
 			rawConfig: "MyToken:MTK:9:false:1",
-			expectedCfg: &polybft.TokenConfig{
+			expectedCfg: &polycfg.Token{
 				Name:       "MyToken",
 				Symbol:     "MTK",
 				Decimals:   9,
@@ -151,7 +151,7 @@ func Test_validatePremineInfo(t *testing.T) {
 		t.Run(c.name, func(t *testing.T) {
 			t.Parallel()
 
-			p := &genesisParams{premine: c.premineRaw, nativeTokenConfig: &polybft.TokenConfig{IsMintable: c.isTokenMintable}}
+			p := &genesisParams{premine: c.premineRaw, nativeTokenConfig: &polycfg.Token{IsMintable: c.isTokenMintable}}
 			err := p.parsePremineInfo()
 
 			if c.expectedParseErrMsg != "" {
@@ -222,7 +222,7 @@ func Test_validateRewardWallet(t *testing.T) {
 			p := &genesisParams{
 				rewardWallet:      c.rewardWallet,
 				epochReward:       c.epochReward,
-				nativeTokenConfig: &polybft.TokenConfig{},
+				nativeTokenConfig: &polycfg.Token{},
 			}
 			err := p.validateRewardWalletAndToken()
 			require.ErrorIs(t, err, c.expectValidateErr)
diff --git a/command/genesis/polybft_params.go b/command/genesis/polybft_params.go
index 40df7efb52..1a1047560b 100644
--- a/command/genesis/polybft_params.go
+++ b/command/genesis/polybft_params.go
@@ -15,7 +15,9 @@ import (
 	"github.com/0xPolygon/polygon-edge/command"
 	"github.com/0xPolygon/polygon-edge/command/helper"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft"
+	polycfg "github.com/0xPolygon/polygon-edge/consensus/polybft/config"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/contractsapi"
+	polytypes "github.com/0xPolygon/polygon-edge/consensus/polybft/types"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/validator"
 	"github.com/0xPolygon/polygon-edge/contracts"
 	"github.com/0xPolygon/polygon-edge/helper/common"
@@ -161,7 +163,7 @@ func (p *genesisParams) generateChainConfig(o command.OutputFormatter) error {
 		proposalQuorum = proposalQuorumMax
 	}
 
-	polyBftConfig := &polybft.PolyBFTConfig{
+	polyBftConfig := &polycfg.PolyBFT{
 		InitialValidatorSet: initialValidators,
 		BlockTime:           common.Duration{Duration: p.blockTime},
 		EpochSize:           p.epochSize,
@@ -175,7 +177,7 @@ func (p *genesisParams) generateChainConfig(o command.OutputFormatter) error {
 		MaxValidatorSetSize:  p.maxNumValidators,
 		CheckpointInterval:   p.checkpointInterval,
 		WithdrawalWaitPeriod: p.withdrawalWaitPeriod,
-		RewardConfig: &polybft.RewardsConfig{
+		RewardConfig: &polycfg.Rewards{
 			TokenAddress:  rewardTokenAddr,
 			WalletAddress: walletPremineInfo.Address,
 			WalletAmount:  walletPremineInfo.Amount,
@@ -184,7 +186,7 @@ func (p *genesisParams) generateChainConfig(o command.OutputFormatter) error {
 		BlockTrackerPollInterval: common.Duration{Duration: p.blockTrackerPollInterval},
 		ProxyContractsAdmin:      types.StringToAddress(p.proxyContractsAdmin),
 		BladeAdmin:               types.StringToAddress(p.bladeAdmin),
-		GovernanceConfig: &polybft.GovernanceConfig{
+		GovernanceConfig: &polycfg.Governance{
 			VotingDelay:              voteDelay,
 			VotingPeriod:             votingPeriod,
 			ProposalThreshold:        proposalThreshold,
@@ -196,7 +198,7 @@ func (p *genesisParams) generateChainConfig(o command.OutputFormatter) error {
 			ForkParamsAddr:    contracts.ForkParamsContract,
 		},
 		StakeTokenAddr: p.stakeTokenAddr,
-		Bridge:         make(map[uint64]*polybft.BridgeConfig),
+		Bridge:         make(map[uint64]*polycfg.Bridge),
 	}
 
 	// Disable london hardfork if burn contract address is not provided
@@ -296,7 +298,7 @@ func (p *genesisParams) generateChainConfig(o command.OutputFormatter) error {
 		Alloc:      allocs,
 		ExtraData:  genesisExtraData,
 		GasUsed:    command.DefaultGenesisGasUsed,
-		Mixhash:    polybft.PolyBFTMixDigest,
+		Mixhash:    polytypes.PolyBFTMixDigest,
 	}
 
 	if p.isBurnContractEnabled() {
@@ -671,7 +673,7 @@ func (p *genesisParams) isBurnContractEnabled() bool {
 
 // extractNativeTokenMetadata parses provided native token metadata (such as name, symbol and decimals count)
 func (p *genesisParams) extractNativeTokenMetadata() error {
-	tokenConfig, err := polybft.ParseRawTokenConfig(p.nativeTokenConfigRaw)
+	tokenConfig, err := polycfg.ParseRawTokenConfig(p.nativeTokenConfigRaw)
 	if err != nil {
 		return err
 	}
diff --git a/command/genesis/utils.go b/command/genesis/utils.go
index eaf67484e6..76e1bda06a 100644
--- a/command/genesis/utils.go
+++ b/command/genesis/utils.go
@@ -12,8 +12,9 @@ import (
 	"strings"
 
 	"github.com/0xPolygon/polygon-edge/command"
-	"github.com/0xPolygon/polygon-edge/consensus/polybft"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/bitmap"
+	polycfg "github.com/0xPolygon/polygon-edge/consensus/polybft/config"
+	polytypes "github.com/0xPolygon/polygon-edge/consensus/polybft/types"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/validator"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/wallet"
 	"github.com/0xPolygon/polygon-edge/helper/common"
@@ -66,7 +67,7 @@ func verifyGenesisExistence(genesisPath string) *GenesisGenError {
 }
 
 // parseBurnContractInfo parses provided burn contract information and returns burn contract block and address
-func parseBurnContractInfo(burnContractInfoRaw string) (*polybft.BurnContractInfo, error) {
+func parseBurnContractInfo(burnContractInfoRaw string) (*polycfg.BurnContractInfo, error) {
 	// <block>:<address>[:<burn destination address>]
 	burnContractParts := strings.Split(burnContractInfoRaw, ":")
 	if len(burnContractParts) < 2 || len(burnContractParts) > 3 {
@@ -88,7 +89,7 @@ func parseBurnContractInfo(burnContractInfoRaw string) (*polybft.BurnContractInf
 	}
 
 	if len(burnContractParts) == 2 {
-		return &polybft.BurnContractInfo{
+		return &polycfg.BurnContractInfo{
 			BlockNumber:        blockNum,
 			Address:            contractAddr,
 			DestinationAddress: types.ZeroAddress,
@@ -102,7 +103,7 @@ func parseBurnContractInfo(burnContractInfoRaw string) (*polybft.BurnContractInf
 		return nil, fmt.Errorf("failed to parse burn destination address %s: %w", destinationAddrRaw, err)
 	}
 
-	return &polybft.BurnContractInfo{
+	return &polycfg.BurnContractInfo{
 		BlockNumber:        blockNum,
 		Address:            contractAddr,
 		DestinationAddress: destinationAddr,
@@ -268,7 +269,7 @@ func GenerateExtraDataPolyBft(validators []*validator.ValidatorMetadata) ([]byte
 		Removed: bitmap.Bitmap{},
 	}
 
-	extra := polybft.Extra{Validators: delta, BlockMetaData: &polybft.BlockMetaData{}}
+	extra := polytypes.Extra{Validators: delta, BlockMetaData: &polytypes.BlockMetaData{}}
 
 	return extra.MarshalRLPTo(nil), nil
 }
diff --git a/command/validator/helper/helper.go b/command/validator/helper/helper.go
index 6fb8b1c335..43a4f01138 100644
--- a/command/validator/helper/helper.go
+++ b/command/validator/helper/helper.go
@@ -6,8 +6,8 @@ import (
 	"os"
 
 	polybftsecrets "github.com/0xPolygon/polygon-edge/command/secrets/init"
-	"github.com/0xPolygon/polygon-edge/consensus/polybft"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/contractsapi"
+	systemstate "github.com/0xPolygon/polygon-edge/consensus/polybft/system_state"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/wallet"
 	"github.com/0xPolygon/polygon-edge/contracts"
 	"github.com/0xPolygon/polygon-edge/helper/common"
@@ -58,7 +58,7 @@ func GetAccountFromDir(accountDir string) (*wallet.Account, error) {
 
 // GetValidatorInfo queries CustomSupernetManager, StakeManager and RewardPool smart contracts
 // to retrieve validator info for given address
-func GetValidatorInfo(validatorAddr types.Address, childRelayer txrelayer.TxRelayer) (*polybft.ValidatorInfo, error) {
+func GetValidatorInfo(validatorAddr types.Address, childRelayer txrelayer.TxRelayer) (*systemstate.ValidatorInfo, error) {
 	getValidatorMethod := contractsapi.StakeManager.Abi.GetMethod("getValidator")
 
 	encode, err := getValidatorMethod.Encode([]interface{}{validatorAddr})
@@ -92,7 +92,7 @@ func GetValidatorInfo(validatorAddr types.Address, childRelayer txrelayer.TxRela
 	}
 
 	//nolint:forcetypeassert
-	validatorInfo := &polybft.ValidatorInfo{
+	validatorInfo := &systemstate.ValidatorInfo{
 		Address:       validatorAddr,
 		IsActive:      innerMap["isActive"].(bool),
 		IsWhitelisted: innerMap["isWhitelisted"].(bool),
diff --git a/consensus/polybft/block_builder.go b/consensus/polybft/blockchain/block_builder.go
similarity index 85%
rename from consensus/polybft/block_builder.go
rename to consensus/polybft/blockchain/block_builder.go
index 8c0eee2552..ceff2ee765 100644
--- a/consensus/polybft/block_builder.go
+++ b/consensus/polybft/blockchain/block_builder.go
@@ -1,4 +1,4 @@
-package polybft
+package blockchain
 
 import (
 	"bytes"
@@ -6,15 +6,13 @@ import (
 	"time"
 
 	"github.com/0xPolygon/polygon-edge/consensus"
+	polytypes "github.com/0xPolygon/polygon-edge/consensus/polybft/types"
 	"github.com/0xPolygon/polygon-edge/state"
 	"github.com/0xPolygon/polygon-edge/txpool"
 	"github.com/0xPolygon/polygon-edge/types"
 	hcf "github.com/hashicorp/go-hclog"
 )
 
-//nolint:godox
-// TODO: Add opentracing (to be fixed in EVM-540)
-
 // BlockBuilderParams are fields for the block that cannot be changed
 type BlockBuilderParams struct {
 	// Parent block
@@ -36,21 +34,21 @@ type BlockBuilderParams struct {
 	Logger hcf.Logger
 
 	// txPoolInterface implementation
-	TxPool txPoolInterface
+	TxPool polytypes.TxPool
 
 	// BaseFee is the base fee
 	BaseFee uint64
 }
 
-func NewBlockBuilder(params *BlockBuilderParams) *BlockBuilder {
-	return &BlockBuilder{
+func NewBlockBuilder(params *BlockBuilderParams) polytypes.BlockBuilder {
+	return &BlockBuilderImpl{
 		params: params,
 	}
 }
 
-var _ blockBuilder = &BlockBuilder{}
+var _ polytypes.BlockBuilder = &BlockBuilderImpl{}
 
-type BlockBuilder struct {
+type BlockBuilderImpl struct {
 	// input params for the block
 	params *BlockBuilderParams
 
@@ -68,7 +66,7 @@ type BlockBuilder struct {
 }
 
 // Init initializes block builder before adding transactions and actual block building
-func (b *BlockBuilder) Reset() error {
+func (b *BlockBuilderImpl) Reset() error {
 	// set the timestamp
 	parentTime := time.Unix(int64(b.params.Parent.Timestamp), 0)
 	headerTime := parentTime.Add(b.params.BlockTime)
@@ -104,12 +102,12 @@ func (b *BlockBuilder) Reset() error {
 }
 
 // Block returns the built block if nil, it is not built yet
-func (b *BlockBuilder) Block() *types.Block {
+func (b *BlockBuilderImpl) Block() *types.Block {
 	return b.block
 }
 
 // Build creates the state and the final block
-func (b *BlockBuilder) Build(handler func(h *types.Header)) (*types.FullBlock, error) {
+func (b *BlockBuilderImpl) Build(handler func(h *types.Header)) (*types.FullBlock, error) {
 	if handler != nil {
 		handler(b.header)
 	}
@@ -139,7 +137,7 @@ func (b *BlockBuilder) Build(handler func(h *types.Header)) (*types.FullBlock, e
 }
 
 // WriteTx applies given transaction to the state. If transaction apply fails, it reverts the saved snapshot.
-func (b *BlockBuilder) WriteTx(tx *types.Transaction) error {
+func (b *BlockBuilderImpl) WriteTx(tx *types.Transaction) error {
 	if tx.Gas() > b.params.GasLimit {
 		b.params.Logger.Info("Transaction gas limit exceedes block gas limit", "hash", tx.Hash(),
 			"tx gas limit", tx.Gas(), "block gas limt", b.params.GasLimit)
@@ -157,7 +155,7 @@ func (b *BlockBuilder) WriteTx(tx *types.Transaction) error {
 }
 
 // Fill fills the block with transactions from the txpool
-func (b *BlockBuilder) Fill() {
+func (b *BlockBuilderImpl) Fill() {
 	var buf bytes.Buffer
 
 	blockTimer := time.NewTimer(b.params.BlockTime)
@@ -196,11 +194,11 @@ write:
 }
 
 // Receipts returns the collection of transaction receipts for given block
-func (b *BlockBuilder) Receipts() []*types.Receipt {
+func (b *BlockBuilderImpl) Receipts() []*types.Receipt {
 	return b.state.Receipts()
 }
 
-func (b *BlockBuilder) writeTxPoolTransaction(tx *types.Transaction) (bool, error) {
+func (b *BlockBuilderImpl) writeTxPoolTransaction(tx *types.Transaction) (bool, error) {
 	if tx == nil {
 		return true, nil
 	}
@@ -227,6 +225,6 @@ func (b *BlockBuilder) writeTxPoolTransaction(tx *types.Transaction) (bool, erro
 }
 
 // GetState returns Transition reference
-func (b *BlockBuilder) GetState() *state.Transition {
+func (b *BlockBuilderImpl) GetState() *state.Transition {
 	return b.state
 }
diff --git a/consensus/polybft/block_builder_test.go b/consensus/polybft/blockchain/block_builder_test.go
similarity index 95%
rename from consensus/polybft/block_builder_test.go
rename to consensus/polybft/blockchain/block_builder_test.go
index 29efff6c11..2f8820cf11 100644
--- a/consensus/polybft/block_builder_test.go
+++ b/consensus/polybft/blockchain/block_builder_test.go
@@ -1,4 +1,4 @@
-package polybft
+package blockchain
 
 import (
 	"math/big"
@@ -6,6 +6,7 @@ import (
 	"time"
 
 	"github.com/0xPolygon/polygon-edge/chain"
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/helpers"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/wallet"
 	"github.com/0xPolygon/polygon-edge/crypto"
 	"github.com/0xPolygon/polygon-edge/helper/common"
@@ -75,7 +76,7 @@ func TestBlockBuilder_BuildBlockTxOneFailedTxAndOneTakesTooMuchGas(t *testing.T)
 	// Gas Limit is important to be high for tx pool
 	parentHeader := &types.Header{StateRoot: hash, GasLimit: 1e15}
 
-	txPool := &txPoolMock{}
+	txPool := &helpers.TxPoolMock{}
 	txPool.On("Prepare").Once()
 
 	for i, acc := range accounts {
@@ -113,7 +114,7 @@ func TestBlockBuilder_BuildBlockTxOneFailedTxAndOneTakesTooMuchGas(t *testing.T)
 		}
 	}
 
-	bb := NewBlockBuilder(&BlockBuilderParams{
+	b := NewBlockBuilder(&BlockBuilderParams{
 		BlockTime: time.Millisecond * 200,
 		Parent:    parentHeader,
 		Coinbase:  types.ZeroAddress,
@@ -123,6 +124,8 @@ func TestBlockBuilder_BuildBlockTxOneFailedTxAndOneTakesTooMuchGas(t *testing.T)
 		Logger:    logger,
 	})
 
+	bb := b.(*BlockBuilderImpl)
+
 	require.NoError(t, bb.Reset())
 
 	bb.Fill()
diff --git a/consensus/polybft/blockchain_wrapper.go b/consensus/polybft/blockchain/blockchain_wrapper.go
similarity index 60%
rename from consensus/polybft/blockchain_wrapper.go
rename to consensus/polybft/blockchain/blockchain_wrapper.go
index 09b290f5d9..106a755079 100644
--- a/consensus/polybft/blockchain_wrapper.go
+++ b/consensus/polybft/blockchain/blockchain_wrapper.go
@@ -1,4 +1,4 @@
-package polybft
+package blockchain
 
 import (
 	"errors"
@@ -10,6 +10,9 @@ import (
 
 	"github.com/0xPolygon/polygon-edge/blockchain"
 	"github.com/0xPolygon/polygon-edge/consensus"
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/metrics"
+	systemstate "github.com/0xPolygon/polygon-edge/consensus/polybft/system_state"
+	polytypes "github.com/0xPolygon/polygon-edge/consensus/polybft/types"
 	"github.com/0xPolygon/polygon-edge/contracts"
 	"github.com/0xPolygon/polygon-edge/state"
 	"github.com/0xPolygon/polygon-edge/types"
@@ -25,69 +28,36 @@ var (
 	errSendTxnUnsupported = errors.New("system state does not support send transactions")
 )
 
-// blockchain is an interface that wraps the methods called on blockchain
-type blockchainBackend interface {
-	// CurrentHeader returns the header of blockchain block head
-	CurrentHeader() *types.Header
+var _ polytypes.Blockchain = &BlockchainWrapper{}
 
-	// CommitBlock commits a block to the chain.
-	CommitBlock(block *types.FullBlock) error
-
-	// NewBlockBuilder is a factory method that returns a block builder on top of 'parent'.
-	NewBlockBuilder(parent *types.Header, coinbase types.Address,
-		txPool txPoolInterface, blockTime time.Duration, logger hclog.Logger) (blockBuilder, error)
-
-	// ProcessBlock builds a final block from given 'block' on top of 'parent'.
-	ProcessBlock(parent *types.Header, block *types.Block) (*types.FullBlock, error)
-
-	// GetStateProviderForBlock returns a reference to make queries to the state at 'block'.
-	GetStateProviderForBlock(block *types.Header) (contract.Provider, error)
-
-	// GetStateProvider returns a reference to make queries to the provided state.
-	GetStateProvider(transition *state.Transition) contract.Provider
-
-	// GetHeaderByNumber returns a reference to block header for the given block number.
-	GetHeaderByNumber(number uint64) (*types.Header, bool)
-
-	// GetHeaderByHash returns a reference to block header for the given block hash
-	GetHeaderByHash(hash types.Hash) (*types.Header, bool)
-
-	// GetSystemState creates a new instance of SystemState interface
-	GetSystemState(provider contract.Provider) SystemState
-
-	// SubscribeEvents subscribes to blockchain events
-	SubscribeEvents() blockchain.Subscription
-
-	// UnubscribeEvents unsubscribes from blockchain events
-	UnubscribeEvents(subscription blockchain.Subscription)
-
-	// GetChainID returns chain id of the current blockchain
-	GetChainID() uint64
-
-	// GetReceiptsByHash retrieves receipts by hash
-	GetReceiptsByHash(hash types.Hash) ([]*types.Receipt, error)
-}
-
-var _ blockchainBackend = &blockchainWrapper{}
-
-type blockchainWrapper struct {
+type BlockchainWrapper struct {
 	logger     hclog.Logger
 	executor   *state.Executor
 	blockchain *blockchain.Blockchain
 }
 
+func NewBlockchainWrapper(logger hclog.Logger,
+	blockchain *blockchain.Blockchain,
+	executor *state.Executor) *BlockchainWrapper {
+	return &BlockchainWrapper{
+		logger:     logger,
+		executor:   executor,
+		blockchain: blockchain,
+	}
+}
+
 // CurrentHeader returns the header of blockchain block head
-func (p *blockchainWrapper) CurrentHeader() *types.Header {
+func (p *BlockchainWrapper) CurrentHeader() *types.Header {
 	return p.blockchain.Header()
 }
 
 // CommitBlock commits a block to the chain
-func (p *blockchainWrapper) CommitBlock(block *types.FullBlock) error {
+func (p *BlockchainWrapper) CommitBlock(block *types.FullBlock) error {
 	return p.blockchain.WriteFullBlock(block, consensusSource)
 }
 
 // ProcessBlock builds a final block from given 'block' on top of 'parent'
-func (p *blockchainWrapper) ProcessBlock(parent *types.Header, block *types.Block) (*types.FullBlock, error) {
+func (p *BlockchainWrapper) ProcessBlock(parent *types.Header, block *types.Block) (*types.FullBlock, error) {
 	header := block.Header.Copy()
 	start := time.Now().UTC()
 
@@ -101,7 +71,7 @@ func (p *blockchainWrapper) ProcessBlock(parent *types.Header, block *types.Bloc
 		return nil, fmt.Errorf("failed to commit the state changes: %w", err)
 	}
 
-	updateBlockExecutionMetric(start)
+	metrics.UpdateBlockExecutionMetric(start)
 
 	if root != block.Header.StateRoot {
 		return nil, fmt.Errorf("incorrect state root: (%s, %s)", root, block.Header.StateRoot)
@@ -126,7 +96,7 @@ func (p *blockchainWrapper) ProcessBlock(parent *types.Header, block *types.Bloc
 }
 
 // GetStateProviderForBlock is an implementation of blockchainBackend interface
-func (p *blockchainWrapper) GetStateProviderForBlock(header *types.Header) (contract.Provider, error) {
+func (p *BlockchainWrapper) GetStateProviderForBlock(header *types.Header) (contract.Provider, error) {
 	transition, err := p.executor.BeginTxn(header.StateRoot, header, types.ZeroAddress)
 	if err != nil {
 		return nil, err
@@ -136,24 +106,24 @@ func (p *blockchainWrapper) GetStateProviderForBlock(header *types.Header) (cont
 }
 
 // GetStateProvider returns a reference to make queries to the provided state
-func (p *blockchainWrapper) GetStateProvider(transition *state.Transition) contract.Provider {
+func (p *BlockchainWrapper) GetStateProvider(transition *state.Transition) contract.Provider {
 	return NewStateProvider(transition)
 }
 
 // GetHeaderByNumber is an implementation of blockchainBackend interface
-func (p *blockchainWrapper) GetHeaderByNumber(number uint64) (*types.Header, bool) {
+func (p *BlockchainWrapper) GetHeaderByNumber(number uint64) (*types.Header, bool) {
 	return p.blockchain.GetHeaderByNumber(number)
 }
 
 // GetHeaderByHash is an implementation of blockchainBackend interface
-func (p *blockchainWrapper) GetHeaderByHash(hash types.Hash) (*types.Header, bool) {
+func (p *BlockchainWrapper) GetHeaderByHash(hash types.Hash) (*types.Header, bool) {
 	return p.blockchain.GetHeaderByHash(hash)
 }
 
 // NewBlockBuilder is an implementation of blockchainBackend interface
-func (p *blockchainWrapper) NewBlockBuilder(
+func (p *BlockchainWrapper) NewBlockBuilder(
 	parent *types.Header, coinbase types.Address,
-	txPool txPoolInterface, blockTime time.Duration, logger hclog.Logger) (blockBuilder, error) {
+	txPool polytypes.TxPool, blockTime time.Duration, logger hclog.Logger) (polytypes.BlockBuilder, error) {
 	gasLimit, err := p.blockchain.CalculateGasLimit(parent.Number + 1)
 	if err != nil {
 		return nil, err
@@ -172,23 +142,23 @@ func (p *blockchainWrapper) NewBlockBuilder(
 }
 
 // GetSystemState is an implementation of blockchainBackend interface
-func (p *blockchainWrapper) GetSystemState(provider contract.Provider) SystemState {
-	return NewSystemState(contracts.EpochManagerContract, contracts.BridgeStorageContract, provider)
+func (p *BlockchainWrapper) GetSystemState(provider contract.Provider) systemstate.SystemState {
+	return systemstate.NewSystemState(contracts.EpochManagerContract, contracts.BridgeStorageContract, provider)
 }
 
-func (p *blockchainWrapper) SubscribeEvents() blockchain.Subscription {
+func (p *BlockchainWrapper) SubscribeEvents() blockchain.Subscription {
 	return p.blockchain.SubscribeEvents()
 }
 
-func (p *blockchainWrapper) UnubscribeEvents(subscription blockchain.Subscription) {
+func (p *BlockchainWrapper) UnubscribeEvents(subscription blockchain.Subscription) {
 	p.blockchain.UnsubscribeEvents(subscription)
 }
 
-func (p *blockchainWrapper) GetChainID() uint64 {
+func (p *BlockchainWrapper) GetChainID() uint64 {
 	return uint64(p.blockchain.Config().ChainID)
 }
 
-func (p *blockchainWrapper) GetReceiptsByHash(hash types.Hash) ([]*types.Receipt, error) {
+func (p *BlockchainWrapper) GetReceiptsByHash(hash types.Hash) ([]*types.Receipt, error) {
 	return p.blockchain.GetReceiptsByHash(hash)
 }
 
diff --git a/consensus/polybft/bridge.go b/consensus/polybft/bridge/bridge.go
similarity index 55%
rename from consensus/polybft/bridge.go
rename to consensus/polybft/bridge/bridge.go
index ef8f848087..f7862ea4d7 100644
--- a/consensus/polybft/bridge.go
+++ b/consensus/polybft/bridge/bridge.go
@@ -1,61 +1,92 @@
-package polybft
+package bridge
 
 import (
 	"fmt"
 
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/config"
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/state"
+	polytypes "github.com/0xPolygon/polygon-edge/consensus/polybft/types"
 	"github.com/hashicorp/go-hclog"
+	"github.com/libp2p/go-libp2p/core/peer"
 	bolt "go.etcd.io/bbolt"
+	"google.golang.org/protobuf/proto"
 )
 
+// topic is an interface for p2p message gossiping
+type Topic interface {
+	Publish(obj proto.Message) error
+	Subscribe(handler func(obj interface{}, from peer.ID)) error
+}
+
 var _ Bridge = (*bridge)(nil)
 
 // bridge is a struct that manages different bridges
 type bridge struct {
 	bridgeManagers  map[uint64]BridgeManager
-	state           *State
+	state           *BridgeManagerStore
 	internalChainID uint64
 	relayer         BridgeEventRelayer
+	logger          hclog.Logger
 }
 
 // Bridge is an interface that defines functions that a bridge must implement
 type Bridge interface {
 	Close()
-	PostBlock(req *PostBlockRequest) error
-	PostEpoch(req *PostEpochRequest) error
+	PostBlock(req *polytypes.PostBlockRequest) error
+	PostEpoch(req *polytypes.PostEpochRequest) error
 	BridgeBatch(pendingBlockNumber uint64) ([]*BridgeBatchSigned, error)
 }
 
-var _ Bridge = (*dummyBridge)(nil)
+var _ Bridge = (*DummyBridge)(nil)
 
-type dummyBridge map[uint64]BridgeManager
+type DummyBridge struct{}
 
-func (d *dummyBridge) Close()                                {}
-func (d *dummyBridge) PostBlock(req *PostBlockRequest) error { return nil }
-func (d *dummyBridge) PostEpoch(req *PostEpochRequest) error { return nil }
-func (d *dummyBridge) BridgeBatch(pendingBlockNumber uint64) ([]*BridgeBatchSigned, error) {
+func (d *DummyBridge) Close()                                          {}
+func (d *DummyBridge) PostBlock(req *polytypes.PostBlockRequest) error { return nil }
+func (d *DummyBridge) PostEpoch(req *polytypes.PostEpochRequest) error { return nil }
+func (d *DummyBridge) BridgeBatch(pendingBlockNumber uint64) ([]*BridgeBatchSigned, error) {
 	return nil, nil
 }
-func (d *dummyBridge) InsertEpoch(epoch uint64, tx *bolt.Tx) error { return nil }
+func (d *DummyBridge) InsertEpoch(epoch uint64, tx *bolt.Tx) error { return nil }
 
 // newBridge creates a new instance of bridge
-func newBridge(runtime Runtime,
-	runtimeConfig *runtimeConfig,
-	eventProvider *EventProvider,
+func NewBridge(runtime Runtime,
+	state *state.State,
+	runtimeConfig *config.Runtime,
+	bridgeTopic Topic,
+	eventProvider *state.EventProvider,
+	blockchain polytypes.Blockchain,
 	logger hclog.Logger) (Bridge, error) {
-	internalChainID := runtimeConfig.blockchain.GetChainID()
+	if len(runtimeConfig.GenesisConfig.Bridge) == 0 {
+		return &DummyBridge{}, nil
+	}
+
+	internalChainID := blockchain.GetChainID()
+	chainIDs := make([]uint64, 0, len(runtimeConfig.GenesisConfig.Bridge)+1)
+	chainIDs = append(chainIDs, internalChainID)
+
+	for chainID := range runtimeConfig.GenesisConfig.Bridge {
+		chainIDs = append(chainIDs, chainID)
+	}
+
+	store, err := newBridgeManagerStore(state.DB(), chainIDs)
+	if err != nil {
+		return nil, fmt.Errorf("error creating bridge manager store, err: %w", err)
+	}
 
 	bridge := &bridge{
 		bridgeManagers:  make(map[uint64]BridgeManager),
-		state:           runtimeConfig.State,
+		state:           store,
 		internalChainID: internalChainID,
+		logger:          logger,
 	}
 
 	for externalChainID, cfg := range runtimeConfig.GenesisConfig.Bridge {
-		bridgeManager := newBridgeManager(logger, runtimeConfig.State, &bridgeEventManagerConfig{
+		bridgeManager := newBridgeManager(logger, store, &bridgeEventManagerConfig{
 			bridgeCfg:         cfg,
-			topic:             runtimeConfig.bridgeTopic,
+			topic:             bridgeTopic,
 			key:               runtimeConfig.Key,
-			maxNumberOfEvents: maxNumberOfEvents,
+			maxNumberOfEvents: maxNumberOfBatchEvents,
 		}, runtime, externalChainID, internalChainID)
 		bridge.bridgeManagers[externalChainID] = bridgeManager
 
@@ -64,7 +95,7 @@ func newBridge(runtime Runtime,
 		}
 	}
 
-	relayer, err := newBridgeEventRelayer(runtimeConfig, logger)
+	relayer, err := newBridgeEventRelayer(blockchain, runtimeConfig, logger)
 	if err != nil {
 		return nil, err
 	}
@@ -89,7 +120,7 @@ func (b *bridge) Close() {
 
 // PostBlock is a function executed on every block finalization (either by consensus or syncer)
 // and calls PostBlock in each bridge manager
-func (b bridge) PostBlock(req *PostBlockRequest) error {
+func (b bridge) PostBlock(req *polytypes.PostBlockRequest) error {
 	for chainID, bridgeManager := range b.bridgeManagers {
 		if err := bridgeManager.PostBlock(); err != nil {
 			return fmt.Errorf("erorr bridge post block, chainID: %d, err: %w", chainID, err)
@@ -101,8 +132,13 @@ func (b bridge) PostBlock(req *PostBlockRequest) error {
 
 // PostEpoch is a function executed on epoch ending / start of new epoch
 // and calls PostEpoch in each bridge manager
-func (b *bridge) PostEpoch(req *PostEpochRequest) error {
-	if err := b.state.EpochStore.insertEpoch(req.NewEpochID, req.DBTx, b.internalChainID); err != nil {
+func (b *bridge) PostEpoch(req *polytypes.PostEpochRequest) error {
+	if err := b.state.cleanEpochsFromDB(req.DBTx); err != nil {
+		// we just log this, as it is not critical
+		b.logger.Error("error cleaning epochs from db", "err", err)
+	}
+
+	if err := b.state.insertEpoch(req.NewEpochID, req.DBTx, b.internalChainID); err != nil {
 		return fmt.Errorf("error inserting epoch to internal, err: %w", err)
 	}
 
diff --git a/consensus/polybft/bridge_batch.go b/consensus/polybft/bridge/bridge_batch.go
similarity index 93%
rename from consensus/polybft/bridge_batch.go
rename to consensus/polybft/bridge/bridge_batch.go
index 45ce1bc88c..7d8b22a907 100644
--- a/consensus/polybft/bridge_batch.go
+++ b/consensus/polybft/bridge/bridge_batch.go
@@ -1,10 +1,12 @@
-package polybft
+package bridge
 
 import (
 	"fmt"
 
 	"github.com/0xPolygon/polygon-edge/bls"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/contractsapi"
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/helpers"
+	polytypes "github.com/0xPolygon/polygon-edge/consensus/polybft/types"
 	"github.com/0xPolygon/polygon-edge/crypto"
 	"github.com/0xPolygon/polygon-edge/types"
 )
@@ -60,7 +62,7 @@ var _ contractsapi.StateTransactionInput = &BridgeBatchSigned{}
 // BridgeBatchSigned encapsulates bridge batch with aggregated signatures
 type BridgeBatchSigned struct {
 	MessageBatch *contractsapi.BridgeMessageBatch
-	AggSignature Signature
+	AggSignature polytypes.Signature
 }
 
 // Hash calculates hash value for BridgeBatchSigned object.
@@ -107,7 +109,7 @@ func (bbs *BridgeBatchSigned) EncodeAbi() ([]byte, error) {
 
 // DecodeAbi contains logic for decoding given ABI data
 func (bbs *BridgeBatchSigned) DecodeAbi(txData []byte) error {
-	if len(txData) < abiMethodIDLength {
+	if len(txData) < helpers.AbiMethodIDLength {
 		return fmt.Errorf("invalid batch data, len = %d", len(txData))
 	}
 
@@ -125,7 +127,7 @@ func (bbs *BridgeBatchSigned) DecodeAbi(txData []byte) error {
 
 	*bbs = BridgeBatchSigned{
 		MessageBatch: commit.Batch,
-		AggSignature: Signature{
+		AggSignature: polytypes.Signature{
 			AggregatedSignature: signature,
 			Bitmap:              commit.Bitmap,
 		},
diff --git a/consensus/polybft/bridge_batch_test.go b/consensus/polybft/bridge/bridge_batch_test.go
similarity index 68%
rename from consensus/polybft/bridge_batch_test.go
rename to consensus/polybft/bridge/bridge_batch_test.go
index d8a96c33f5..e3ce839fe8 100644
--- a/consensus/polybft/bridge_batch_test.go
+++ b/consensus/polybft/bridge/bridge_batch_test.go
@@ -1,4 +1,4 @@
-package polybft
+package bridge
 
 import (
 	"math/big"
@@ -6,6 +6,7 @@ import (
 
 	"github.com/0xPolygon/polygon-edge/bls"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/contractsapi"
+	polytypes "github.com/0xPolygon/polygon-edge/consensus/polybft/types"
 	"github.com/stretchr/testify/require"
 )
 
@@ -36,7 +37,7 @@ func TestBridgeBatch_BridgeBatchEncodeDecode(t *testing.T) {
 	t.Parallel()
 
 	const epoch, eventsCount = uint64(100), 11
-	pendingBridgeBatch, _, _ := buildBridgeBatchAndBridgeEvents(t, eventsCount, epoch, uint64(2))
+	pendingBridgeBatch, _, _ := BuildBridgeBatchAndBridgeEvents(t, eventsCount, epoch, uint64(2))
 	blsKey1, err := bls.GenerateBlsKey()
 	require.NoError(t, err)
 
@@ -46,10 +47,10 @@ func TestBridgeBatch_BridgeBatchEncodeDecode(t *testing.T) {
 	data, err := pendingBridgeBatch.BridgeMessageBatch.EncodeAbi()
 	require.NoError(t, err)
 
-	signature1, err := blsKey1.Sign(data, domain)
+	signature1, err := blsKey1.Sign(data, TestDomain)
 	require.NoError(t, err)
 
-	signature2, err := blsKey2.Sign(data, domain)
+	signature2, err := blsKey2.Sign(data, TestDomain)
 	require.NoError(t, err)
 
 	signatures := bls.Signatures{signature1, signature2}
@@ -59,7 +60,7 @@ func TestBridgeBatch_BridgeBatchEncodeDecode(t *testing.T) {
 
 	expectedSignedBridgeBatchMsg := &BridgeBatchSigned{
 		MessageBatch: pendingBridgeBatch.BridgeMessageBatch,
-		AggSignature: Signature{
+		AggSignature: polytypes.Signature{
 			Bitmap:              []byte{5, 1},
 			AggregatedSignature: aggSig,
 		},
@@ -86,39 +87,6 @@ func newTestBridgeBatchSigned(t *testing.T, sourceChainID, destinationChainID ui
 			SourceChainID:      new(big.Int).SetUint64(sourceChainID),
 			DestinationChainID: new(big.Int).SetUint64(destinationChainID),
 		},
-		AggSignature: Signature{},
+		AggSignature: polytypes.Signature{},
 	}
 }
-
-func buildBridgeBatchAndBridgeEvents(t *testing.T, bridgeMessageCount int,
-	epoch, startIdx uint64) (*PendingBridgeBatch, *BridgeBatchSigned, []*contractsapi.BridgeMsgEvent) {
-	t.Helper()
-
-	bridgeMessageEvents := generateBridgeMessageEvents(t, bridgeMessageCount, startIdx)
-	pendingBridgeBatch, err := NewPendingBridgeBatch(epoch, bridgeMessageEvents)
-	require.NoError(t, err)
-
-	blsKey, err := bls.GenerateBlsKey()
-	require.NoError(t, err)
-
-	data, err := pendingBridgeBatch.BridgeMessageBatch.EncodeAbi()
-	require.NoError(t, err)
-
-	signature, err := blsKey.Sign(data, domain)
-	require.NoError(t, err)
-
-	signatures := bls.Signatures{signature}
-
-	aggSig, err := signatures.Aggregate().Marshal()
-	require.NoError(t, err)
-
-	bridgeBatchSigned := &BridgeBatchSigned{
-		MessageBatch: pendingBridgeBatch.BridgeMessageBatch,
-		AggSignature: Signature{
-			AggregatedSignature: aggSig,
-			Bitmap:              []byte{},
-		},
-	}
-
-	return pendingBridgeBatch, bridgeBatchSigned, bridgeMessageEvents
-}
diff --git a/consensus/polybft/bridge_event_relayer.go b/consensus/polybft/bridge/bridge_event_relayer.go
similarity index 89%
rename from consensus/polybft/bridge_event_relayer.go
rename to consensus/polybft/bridge/bridge_event_relayer.go
index c96eb80f63..cc51b3cff0 100644
--- a/consensus/polybft/bridge_event_relayer.go
+++ b/consensus/polybft/bridge/bridge_event_relayer.go
@@ -1,4 +1,4 @@
-package polybft
+package bridge
 
 import (
 	"errors"
@@ -8,7 +8,11 @@ import (
 	"path"
 	"strings"
 
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/config"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/contractsapi"
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/state"
+	systemstate "github.com/0xPolygon/polygon-edge/consensus/polybft/system_state"
+	polytypes "github.com/0xPolygon/polygon-edge/consensus/polybft/types"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/wallet"
 	"github.com/0xPolygon/polygon-edge/contracts"
 	"github.com/0xPolygon/polygon-edge/crypto"
@@ -29,10 +33,10 @@ var (
 
 // BridgeEventRelayer is an interface that defines functions for bridge event relayer
 type BridgeEventRelayer interface {
-	EventSubscriber
+	state.EventSubscriber
 	AddLog(chainID *big.Int, eventLog *ethgo.Log) error
 	Close()
-	Start(runtimeCfg *runtimeConfig, eventProvider *EventProvider) error
+	Start(runtimeCfg *config.Runtime, eventProvider *state.EventProvider) error
 }
 
 var _ BridgeEventRelayer = (*dummyBridgeEventRelayer)(nil)
@@ -48,7 +52,7 @@ func (d *dummyBridgeEventRelayer) ProcessLog(header *types.Header, log *ethgo.Lo
 	return nil
 }
 func (d *dummyBridgeEventRelayer) Close() {}
-func (d *dummyBridgeEventRelayer) Start(runtimeCfg *runtimeConfig, eventProvider *EventProvider) error {
+func (d *dummyBridgeEventRelayer) Start(runtimeCfg *config.Runtime, eventProvider *state.EventProvider) error {
 	return nil
 }
 
@@ -58,15 +62,15 @@ type bridgeEventRelayerImpl struct {
 	key    crypto.Key
 	logger hclog.Logger
 
-	state *BridgeMessageStore
+	state *BridgeManagerStore
 
 	externalTxRelayers map[uint64]txrelayer.TxRelayer
 	internalTxRelayer  txrelayer.TxRelayer
 	internalChainID    *big.Int
 
-	blockchain blockchainBackend
+	blockchain polytypes.Blockchain
 
-	bridgeConfig  map[uint64]*BridgeConfig
+	bridgeConfig  map[uint64]*config.Bridge
 	eventTrackers []*tracker.EventTracker
 
 	eventCh chan contractsapi.StructAbi
@@ -76,18 +80,19 @@ type bridgeEventRelayerImpl struct {
 // newBridgeEventRelayer creates a new instance of bridge event relayer
 // if the node is not a relayer, it will return a dummy bridge event relayer
 func newBridgeEventRelayer(
-	runtimeConfig *runtimeConfig,
+	blockchain polytypes.Blockchain,
+	runtimeConfig *config.Runtime,
 	logger hclog.Logger,
 ) (BridgeEventRelayer, error) {
-	if !runtimeConfig.consensusConfig.IsRelayer {
+	if !runtimeConfig.ConsensusConfig.IsRelayer {
 		return &dummyBridgeEventRelayer{}, nil
 	}
 
 	relayer := &bridgeEventRelayerImpl{
 		key:             wallet.NewEcdsaSigner(runtimeConfig.Key),
 		logger:          logger.Named("bridge-relayer"),
-		internalChainID: big.NewInt(runtimeConfig.genesisParams.ChainID),
-		blockchain:      runtimeConfig.blockchain,
+		internalChainID: big.NewInt(runtimeConfig.ChainParams.ChainID),
+		blockchain:      blockchain,
 		eventCh:         make(chan contractsapi.StructAbi, eventChBuffer),
 		quitCh:          make(chan struct{}),
 	}
@@ -235,12 +240,12 @@ func (ber *bridgeEventRelayerImpl) sendCommitValidatorSet(event *contractsapi.Si
 }
 
 // Start starts the bridge relayer
-func (ber *bridgeEventRelayerImpl) Start(runtimeCfg *runtimeConfig, eventProvider *EventProvider) error {
+func (ber *bridgeEventRelayerImpl) Start(runtimeCfg *config.Runtime, eventProvider *state.EventProvider) error {
 	txRelayers := make(map[uint64]txrelayer.TxRelayer, len(runtimeCfg.GenesisConfig.Bridge))
 	trackers := make([]*tracker.EventTracker, 0, len(runtimeCfg.GenesisConfig.Bridge))
 
 	// create tx relayer for internal chain
-	internalChainTxRelayer, err := createBridgeTxRelayer(runtimeCfg.consensusConfig.RPCEndpoint, ber.logger)
+	internalChainTxRelayer, err := createBridgeTxRelayer(runtimeCfg.ConsensusConfig.RPCEndpoint, ber.logger)
 	if err != nil {
 		return fmt.Errorf("failed to create tx relayer for internal chain: %w", err)
 	}
@@ -278,9 +283,9 @@ func (ber *bridgeEventRelayerImpl) Start(runtimeCfg *runtimeConfig, eventProvide
 // startTrackerForChain starts a new instance of tracker.EventTracker
 // for listening to the events from an external chain
 func (ber *bridgeEventRelayerImpl) startTrackerForChain(chainID uint64,
-	bridgeCfg *BridgeConfig, runtimeCfg *runtimeConfig) (*tracker.EventTracker, error) {
+	bridgeCfg *config.Bridge, runtimeCfg *config.Runtime) (*tracker.EventTracker, error) {
 	store, err := store.NewBoltDBEventTrackerStore(
-		path.Join(runtimeCfg.DataDir, fmt.Sprintf("/bridge-event-relayer%d.db", chainID)))
+		path.Join(runtimeCfg.StateDataDir, fmt.Sprintf("/bridge-event-relayer%d.db", chainID)))
 	if err != nil {
 		return nil, err
 	}
@@ -290,9 +295,9 @@ func (ber *bridgeEventRelayerImpl) startTrackerForChain(chainID uint64,
 			EventSubscriber:        ber,
 			Logger:                 ber.logger,
 			RPCEndpoint:            bridgeCfg.JSONRPCEndpoint,
-			SyncBatchSize:          runtimeCfg.eventTracker.SyncBatchSize,
-			NumBlockConfirmations:  runtimeCfg.eventTracker.NumBlockConfirmations,
-			NumOfBlocksToReconcile: runtimeCfg.eventTracker.NumOfBlocksToReconcile,
+			SyncBatchSize:          runtimeCfg.EventTracker.SyncBatchSize,
+			NumBlockConfirmations:  runtimeCfg.EventTracker.NumBlockConfirmations,
+			NumOfBlocksToReconcile: runtimeCfg.EventTracker.NumOfBlocksToReconcile,
 			PollInterval:           runtimeCfg.GenesisConfig.BlockTrackerPollInterval.Duration,
 			LogFilter: map[ethgo.Address][]ethgo.Hash{
 				ethgo.Address(bridgeCfg.ExternalGatewayAddr): {
@@ -346,7 +351,7 @@ func (ber *bridgeEventRelayerImpl) ProcessLog(header *types.Header, log *ethgo.L
 		return err
 	}
 
-	systemState := NewSystemState(contracts.EpochManagerContract, contracts.BridgeStorageContract, provider)
+	systemState := systemstate.NewSystemState(contracts.EpochManagerContract, contracts.BridgeStorageContract, provider)
 
 	switch log.Topics[0] {
 	case bridgeMessageResultEvent.Sig():
@@ -441,20 +446,3 @@ func createBridgeTxRelayer(rpcEndpoint string, logger hclog.Logger) (txrelayer.T
 		txrelayer.WithIPAddress(rpcEndpoint), txrelayer.WithNoWaiting(),
 		txrelayer.WithWriter(logger.StandardWriter(&hclog.StandardLoggerOptions{})))
 }
-
-// convertLog converts types.Log to ethgo.Log
-func convertLog(log *types.Log) *ethgo.Log {
-	l := &ethgo.Log{
-		Address: ethgo.Address(log.Address),
-		Data:    make([]byte, len(log.Data)),
-		Topics:  make([]ethgo.Hash, len(log.Topics)),
-	}
-
-	copy(l.Data, log.Data)
-
-	for i, topic := range log.Topics {
-		l.Topics[i] = ethgo.Hash(topic)
-	}
-
-	return l
-}
diff --git a/consensus/polybft/bridge_manager.go b/consensus/polybft/bridge/bridge_manager.go
similarity index 88%
rename from consensus/polybft/bridge_manager.go
rename to consensus/polybft/bridge/bridge_manager.go
index a709e10820..02ba04a407 100644
--- a/consensus/polybft/bridge_manager.go
+++ b/consensus/polybft/bridge/bridge_manager.go
@@ -1,4 +1,4 @@
-package polybft
+package bridge
 
 import (
 	"encoding/hex"
@@ -15,35 +15,41 @@ import (
 	"github.com/hashicorp/go-hclog"
 	"github.com/libp2p/go-libp2p/core/peer"
 	bolt "go.etcd.io/bbolt"
-	"google.golang.org/protobuf/proto"
 
 	"github.com/0xPolygon/polygon-edge/bls"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/bitmap"
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/config"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/contractsapi"
 	polybftProto "github.com/0xPolygon/polygon-edge/consensus/polybft/proto"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/signer"
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/state"
+	systemstate "github.com/0xPolygon/polygon-edge/consensus/polybft/system_state"
+	polytypes "github.com/0xPolygon/polygon-edge/consensus/polybft/types"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/validator"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/wallet"
 	"github.com/0xPolygon/polygon-edge/types"
 )
 
 var (
-	errUnknownBridgeEvent = errors.New("unknown bridge event")
 	bridgeMessageEventSig = new(contractsapi.BridgeMsgEvent).Sig()
+	errUnknownBridgeEvent = errors.New("unknown bridge event")
+	errQuorumNotReached   = errors.New("quorum not reached for batch")
 )
 
+const maxNumberOfBatchEvents = 10
+
 type Runtime interface {
 	IsActiveValidator() bool
 }
 
 // BridgeManager is an interface that defines functions for bridge workflow
 type BridgeManager interface {
-	EventSubscriber
-	Start(runtimeCfg *runtimeConfig) error
+	state.EventSubscriber
+	Start(runtimeCfg *config.Runtime) error
 	AddLog(chainID *big.Int, eventLog *ethgo.Log) error
 	BridgeBatch(blockNumber uint64) (*BridgeBatchSigned, error)
 	PostBlock() error
-	PostEpoch(req *PostEpochRequest) error
+	PostEpoch(req *polytypes.PostEpochRequest) error
 	Close()
 }
 
@@ -52,13 +58,13 @@ var _ BridgeManager = (*dummyBridgeEventManager)(nil)
 // dummyBridgeEventManager is used when bridge is not enabled
 type dummyBridgeEventManager struct{}
 
-func (d *dummyBridgeEventManager) Start(runtimeCfg *runtimeConfig) error              { return nil }
+func (d *dummyBridgeEventManager) Start(runtimeCfg *config.Runtime) error             { return nil }
 func (d *dummyBridgeEventManager) AddLog(chainID *big.Int, eventLog *ethgo.Log) error { return nil }
 func (d *dummyBridgeEventManager) BridgeBatch(blockNumber uint64) (*BridgeBatchSigned, error) {
 	return nil, nil
 }
 func (d *dummyBridgeEventManager) PostBlock() error { return nil }
-func (d *dummyBridgeEventManager) PostEpoch(req *PostEpochRequest) error {
+func (d *dummyBridgeEventManager) PostEpoch(req *polytypes.PostEpochRequest) error {
 	return nil
 }
 
@@ -74,8 +80,8 @@ func (d *dummyBridgeEventManager) Close() {}
 
 // bridgeEventManagerConfig holds the configuration data of bridge event manager
 type bridgeEventManagerConfig struct {
-	bridgeCfg         *BridgeConfig
-	topic             topic
+	bridgeCfg         *config.Bridge
+	topic             Topic
 	key               *wallet.Key
 	maxNumberOfEvents uint64
 }
@@ -86,7 +92,7 @@ var _ BridgeManager = (*bridgeEventManager)(nil)
 // saving and querying bridge message events, and creating, and submitting new batches
 type bridgeEventManager struct {
 	logger hclog.Logger
-	state  *State
+	state  *BridgeManagerStore
 
 	config *bridgeEventManagerConfig
 
@@ -104,16 +110,10 @@ type bridgeEventManager struct {
 	tracker *tracker.EventTracker
 }
 
-// topic is an interface for p2p message gossiping
-type topic interface {
-	Publish(obj proto.Message) error
-	Subscribe(handler func(obj interface{}, from peer.ID)) error
-}
-
 // newBridgeManager creates a new instance of bridge event manager
 func newBridgeManager(
 	logger hclog.Logger,
-	state *State,
+	state *BridgeManagerStore,
 	config *bridgeEventManagerConfig,
 	runtime Runtime,
 	externalChainID, internalChainID uint64) *bridgeEventManager {
@@ -128,7 +128,7 @@ func newBridgeManager(
 }
 
 // Start starts the bridge event manager
-func (b *bridgeEventManager) Start(runtimeConfig *runtimeConfig) error {
+func (b *bridgeEventManager) Start(runtimeConfig *config.Runtime) error {
 	if err := b.initTransport(); err != nil {
 		return fmt.Errorf("failed to initialize bridge event transport layer. Error: %w", err)
 	}
@@ -149,8 +149,8 @@ func (b *bridgeEventManager) Close() {
 }
 
 // initTracker starts a new event tracker (to receive bridge events from external chain)
-func (b *bridgeEventManager) initTracker(runtimeCfg *runtimeConfig) (*tracker.EventTracker, error) {
-	store, err := store.NewBoltDBEventTrackerStore(path.Join(runtimeCfg.DataDir, "/bridge.db"))
+func (b *bridgeEventManager) initTracker(runtimeCfg *config.Runtime) (*tracker.EventTracker, error) {
+	store, err := store.NewBoltDBEventTrackerStore(path.Join(runtimeCfg.StateDataDir, "/bridge.db"))
 	if err != nil {
 		return nil, err
 	}
@@ -160,9 +160,9 @@ func (b *bridgeEventManager) initTracker(runtimeCfg *runtimeConfig) (*tracker.Ev
 			EventSubscriber:        b,
 			Logger:                 b.logger,
 			RPCEndpoint:            b.config.bridgeCfg.JSONRPCEndpoint,
-			SyncBatchSize:          runtimeCfg.eventTracker.SyncBatchSize,
-			NumBlockConfirmations:  runtimeCfg.eventTracker.NumBlockConfirmations,
-			NumOfBlocksToReconcile: runtimeCfg.eventTracker.NumOfBlocksToReconcile,
+			SyncBatchSize:          runtimeCfg.EventTracker.SyncBatchSize,
+			NumBlockConfirmations:  runtimeCfg.EventTracker.NumBlockConfirmations,
+			NumOfBlocksToReconcile: runtimeCfg.EventTracker.NumOfBlocksToReconcile,
 			PollInterval:           runtimeCfg.GenesisConfig.BlockTrackerPollInterval.Duration,
 			LogFilter: map[ethgo.Address][]ethgo.Hash{
 				ethgo.Address(b.config.bridgeCfg.ExternalGatewayAddr): {bridgeMessageEventSig},
@@ -224,7 +224,7 @@ func (b *bridgeEventManager) saveVote(vote *BridgeBatchVote) error {
 	}
 
 	if vote.EpochNumber == epoch+1 {
-		if err := b.state.EpochStore.insertEpoch(epoch+1, nil, vote.SourceChainID); err != nil {
+		if err := b.state.insertEpoch(epoch+1, nil, vote.SourceChainID); err != nil {
 			return fmt.Errorf("error saving msg vote from a future epoch: %d. Error: %w", epoch+1, err)
 		}
 	}
@@ -238,7 +238,7 @@ func (b *bridgeEventManager) saveVote(vote *BridgeBatchVote) error {
 		Signature: vote.Signature,
 	}
 
-	numSignatures, err := b.state.BridgeMessageStore.insertConsensusData(
+	numSignatures, err := b.state.insertConsensusData(
 		vote.EpochNumber,
 		vote.Hash,
 		msgVote,
@@ -309,7 +309,7 @@ func (b *bridgeEventManager) AddLog(chainID *big.Int, eventLog *ethgo.Log) error
 		return err
 	}
 
-	if err := b.state.BridgeMessageStore.insertBridgeMessageEvent(event); err != nil {
+	if err := b.state.insertBridgeMessageEvent(event); err != nil {
 		b.logger.Error("could not save bridge message event to boltDb", "err", err)
 
 		return err
@@ -367,7 +367,7 @@ func (b *bridgeEventManager) BridgeBatch(blockNumber uint64) (*BridgeBatchSigned
 // getAggSignatureForBridgeBatchMessage checks if pending batch has quorum,
 // and if it does, aggregates the signatures
 func (b *bridgeEventManager) getAggSignatureForBridgeBatchMessage(blockNumber uint64,
-	pendingBridgeBatch *PendingBridgeBatch) (Signature, error) {
+	pendingBridgeBatch *PendingBridgeBatch) (polytypes.Signature, error) {
 	validatorSet := b.validatorSet
 
 	validatorAddrToIndex := make(map[string]int, validatorSet.Len())
@@ -379,16 +379,16 @@ func (b *bridgeEventManager) getAggSignatureForBridgeBatchMessage(blockNumber ui
 
 	bridgeBatchHash, err := pendingBridgeBatch.Hash()
 	if err != nil {
-		return Signature{}, err
+		return polytypes.Signature{}, err
 	}
 
 	// get all the votes from the database for batch
-	votes, err := b.state.BridgeMessageStore.getMessageVotes(
+	votes, err := b.state.getMessageVotes(
 		pendingBridgeBatch.Epoch,
 		bridgeBatchHash.Bytes(),
 		pendingBridgeBatch.SourceChainID.Uint64())
 	if err != nil {
-		return Signature{}, err
+		return polytypes.Signature{}, err
 	}
 
 	var (
@@ -405,7 +405,7 @@ func (b *bridgeEventManager) getAggSignatureForBridgeBatchMessage(blockNumber ui
 
 		signature, err := bls.UnmarshalSignature(vote.Signature)
 		if err != nil {
-			return Signature{}, err
+			return polytypes.Signature{}, err
 		}
 
 		bmap.Set(uint64(index)) //nolint:gosec
@@ -415,15 +415,15 @@ func (b *bridgeEventManager) getAggSignatureForBridgeBatchMessage(blockNumber ui
 	}
 
 	if !validatorSet.HasQuorum(blockNumber, signers) {
-		return Signature{}, errQuorumNotReached
+		return polytypes.Signature{}, errQuorumNotReached
 	}
 
 	aggregatedSignature, err := signatures.Aggregate().Marshal()
 	if err != nil {
-		return Signature{}, err
+		return polytypes.Signature{}, err
 	}
 
-	result := Signature{
+	result := polytypes.Signature{
 		AggregatedSignature: aggregatedSignature,
 		Bitmap:              bmap,
 	}
@@ -433,8 +433,8 @@ func (b *bridgeEventManager) getAggSignatureForBridgeBatchMessage(blockNumber ui
 
 // PostEpoch notifies the bridge event manager that an epoch has changed,
 // so that it can discard any previous epoch bridge batch, and build a new one (since validator set changed)
-func (b *bridgeEventManager) PostEpoch(req *PostEpochRequest) error {
-	if err := b.state.EpochStore.insertEpoch(req.NewEpochID, req.DBTx, b.externalChainID); err != nil {
+func (b *bridgeEventManager) PostEpoch(req *polytypes.PostEpochRequest) error {
+	if err := b.state.insertEpoch(req.NewEpochID, req.DBTx, b.externalChainID); err != nil {
 		return fmt.Errorf("an error occurred while inserting new epoch in db, chainID: %d. Reason: %w",
 			b.externalChainID, err)
 	}
@@ -448,14 +448,14 @@ func (b *bridgeEventManager) PostEpoch(req *PostEpochRequest) error {
 	b.epoch = req.NewEpochID
 
 	// build a new batch at the end of the epoch
-	b.nextEventIDExternal, err = req.SystemState.GetNextCommittedIndex(b.externalChainID, External)
+	b.nextEventIDExternal, err = req.SystemState.GetNextCommittedIndex(b.externalChainID, systemstate.External)
 	if err != nil {
 		b.lock.Unlock()
 
 		return err
 	}
 
-	b.nextEventIDInternal, err = req.SystemState.GetNextCommittedIndex(b.internalChainID, Internal)
+	b.nextEventIDInternal, err = req.SystemState.GetNextCommittedIndex(b.internalChainID, systemstate.Internal)
 	if err != nil {
 		b.lock.Unlock()
 
@@ -506,7 +506,7 @@ func (b *bridgeEventManager) buildBridgeBatch(
 
 	// Since lock is reduced grab original values into local variables in order to keep them
 	epoch := b.epoch
-	bridgeMessageEvents, err := b.state.BridgeMessageStore.getBridgeMessageEventsForBridgeBatch(
+	bridgeMessageEvents, err := b.state.getBridgeMessageEventsForBridgeBatch(
 		nextBridgeEventIDIndex,
 		nextBridgeEventIDIndex+b.config.maxNumberOfEvents-1,
 		dbTx,
@@ -559,7 +559,7 @@ func (b *bridgeEventManager) buildBridgeBatch(
 		Signature: signature,
 	}
 
-	if _, err = b.state.BridgeMessageStore.insertConsensusData(
+	if _, err = b.state.insertConsensusData(
 		epoch,
 		hashBytes,
 		sig,
@@ -654,7 +654,7 @@ func (b *bridgeEventManager) ProcessLog(header *types.Header, log *ethgo.Log, db
 		}
 
 		if bridgeMessageResultEvent.Status {
-			return b.state.BridgeMessageStore.removeBridgeEvents(&bridgeMessageResultEvent)
+			return b.state.removeBridgeEvents(&bridgeMessageResultEvent)
 		}
 
 		return nil
@@ -668,7 +668,7 @@ func (b *bridgeEventManager) ProcessLog(header *types.Header, log *ethgo.Log, db
 			return nil
 		}
 
-		return b.state.BridgeMessageStore.insertBridgeMessageEvent(&bridgeMsgEvent)
+		return b.state.insertBridgeMessageEvent(&bridgeMsgEvent)
 	default:
 		return errUnknownBridgeEvent
 	}
diff --git a/consensus/polybft/bridge_manager_test.go b/consensus/polybft/bridge/bridge_manager_test.go
similarity index 87%
rename from consensus/polybft/bridge_manager_test.go
rename to consensus/polybft/bridge/bridge_manager_test.go
index 10002a6040..8be74e4eac 100644
--- a/consensus/polybft/bridge_manager_test.go
+++ b/consensus/polybft/bridge/bridge_manager_test.go
@@ -1,10 +1,13 @@
-package polybft
+package bridge
 
 import (
+	"fmt"
 	"math/big"
 	"math/rand"
 	"os"
+	"path"
 	"testing"
+	"time"
 
 	"github.com/Ethernal-Tech/ethgo"
 	"github.com/Ethernal-Tech/ethgo/abi"
@@ -14,21 +17,58 @@ import (
 	bolt "go.etcd.io/bbolt"
 	"google.golang.org/protobuf/proto"
 
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/config"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/contractsapi"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/signer"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/validator"
 	"github.com/0xPolygon/polygon-edge/helper/common"
 	"github.com/0xPolygon/polygon-edge/types"
+
+	polytypes "github.com/0xPolygon/polygon-edge/consensus/polybft/types"
 )
 
+var bigZero = big.NewInt(0)
+
+func newTestState(tb *testing.T) *BridgeManagerStore {
+	tb.Helper()
+
+	dir := fmt.Sprintf("/tmp/consensus-temp_%v", time.Now().UTC().Format(time.RFC3339Nano))
+	err := os.Mkdir(dir, 0775)
+
+	if err != nil {
+		tb.Fatal(err)
+	}
+
+	tb.Cleanup(func() {
+		if err := os.RemoveAll(dir); err != nil {
+			tb.Fatal(err)
+		}
+	})
+
+	db, err := bolt.Open(path.Join(dir, "my.db"), 0666, nil)
+	if err != nil {
+		tb.Fatal(err)
+	}
+
+	numOfBridges := uint64(1000)
+	chainIds := make([]uint64, 0, numOfBridges)
+	for i := uint64(0); i < numOfBridges; i++ {
+		chainIds = append(chainIds, i)
+	}
+
+	store, err := newBridgeManagerStore(db, chainIds)
+	if err != nil {
+		tb.Fatal(err)
+	}
+
+	return store
+}
+
 func newTestBridgeManager(t *testing.T, key *validator.TestValidator, runtime Runtime) *bridgeEventManager {
 	t.Helper()
 
-	tmpDir, err := os.MkdirTemp("/tmp", "test-data-dir-state-sync")
-	require.NoError(t, err)
-
 	state := newTestState(t)
-	require.NoError(t, state.EpochStore.insertEpoch(0, nil, 1))
+	require.NoError(t, state.insertEpoch(0, nil, 1))
 
 	topic := &mockTopic{}
 
@@ -38,13 +78,9 @@ func newTestBridgeManager(t *testing.T, key *validator.TestValidator, runtime Ru
 		&bridgeEventManagerConfig{
 			topic:             topic,
 			key:               key.Key(),
-			maxNumberOfEvents: maxNumberOfEvents,
+			maxNumberOfEvents: maxNumberOfBatchEvents,
 		}, runtime, 1, 0)
 
-	t.Cleanup(func() {
-		os.RemoveAll(tmpDir)
-	})
-
 	return s
 }
 
@@ -66,7 +102,7 @@ func TestBridgeEventManager_PostEpoch_BuildBridgeBatch(t *testing.T) {
 
 		// add 5 bridge messages starting in index 0, it will generate one smaller batch
 		for i := 0; i < 5; i++ {
-			require.NoError(t, s.state.BridgeMessageStore.insertBridgeMessageEvent(bridgeMessages10[i]))
+			require.NoError(t, s.state.insertBridgeMessageEvent(bridgeMessages10[i]))
 		}
 
 		require.NoError(t, s.buildExternalBridgeBatch(nil))
@@ -78,7 +114,7 @@ func TestBridgeEventManager_PostEpoch_BuildBridgeBatch(t *testing.T) {
 
 		// add the next 5 bridge messages, at that point, so that it generates a larger batch
 		for i := 5; i < 10; i++ {
-			require.NoError(t, s.state.BridgeMessageStore.insertBridgeMessageEvent(bridgeMessages10[i]))
+			require.NoError(t, s.state.insertBridgeMessageEvent(bridgeMessages10[i]))
 		}
 
 		require.NoError(t, s.buildExternalBridgeBatch(nil))
@@ -101,7 +137,7 @@ func TestBridgeEventManager_PostEpoch_BuildBridgeBatch(t *testing.T) {
 
 		// add 5 bridge messages starting in index 0, they will be saved to db
 		for i := 0; i < 5; i++ {
-			require.NoError(t, s.state.BridgeMessageStore.insertBridgeMessageEvent(bridgeMessages10[i]))
+			require.NoError(t, s.state.insertBridgeMessageEvent(bridgeMessages10[i]))
 		}
 
 		// I am not a validator so no batches should be built
@@ -160,12 +196,12 @@ func TestBridgeEventManager_MessagePool(t *testing.T) {
 		require.NoError(t, s.saveVote(msg))
 
 		// no votes for the current epoch
-		votes, err := s.state.BridgeMessageStore.getMessageVotes(0, msg.Hash, 1)
+		votes, err := s.state.getMessageVotes(0, msg.Hash, 1)
 		require.NoError(t, err)
 		require.Len(t, votes, 0)
 
 		// returns an error for the invalid epoch
-		_, err = s.state.BridgeMessageStore.getMessageVotes(1, msg.Hash, 0)
+		_, err = s.state.getMessageVotes(1, msg.Hash, 0)
 		require.Error(t, err)
 	})
 
@@ -216,18 +252,18 @@ func TestBridgeEventManager_MessagePool(t *testing.T) {
 		// vote with validator 1
 		require.NoError(t, s.saveVote(val1signed))
 
-		votes, err := s.state.BridgeMessageStore.getMessageVotes(0, msg.hash, 1)
+		votes, err := s.state.getMessageVotes(0, msg.hash, 1)
 		require.NoError(t, err)
 		require.Len(t, votes, 1)
 
 		// vote with validator 1 again (the votes do not increase)
 		require.NoError(t, s.saveVote(val1signed))
-		votes, _ = s.state.BridgeMessageStore.getMessageVotes(0, msg.hash, 1)
+		votes, _ = s.state.getMessageVotes(0, msg.hash, 1)
 		require.Len(t, votes, 1)
 
 		// vote with validator 2
 		require.NoError(t, s.saveVote(val2signed))
-		votes, _ = s.state.BridgeMessageStore.getMessageVotes(0, msg.hash, 1)
+		votes, _ = s.state.getMessageVotes(0, msg.hash, 1)
 		require.Len(t, votes, 2)
 	})
 }
@@ -305,10 +341,10 @@ func TestBridgeEventManager_RemoveProcessedEventsAndProofs(t *testing.T) {
 	bridgeMessageEvents := generateBridgeMessageEvents(t, bridgeMessageEventsCount, 0)
 
 	for _, event := range bridgeMessageEvents {
-		require.NoError(t, s.state.BridgeMessageStore.insertBridgeMessageEvent(event))
+		require.NoError(t, s.state.insertBridgeMessageEvent(event))
 	}
 
-	bridgeMessageEventsBefore, err := s.state.BridgeMessageStore.list()
+	bridgeMessageEventsBefore, err := s.state.list()
 	require.NoError(t, err)
 	require.Equal(t, bridgeMessageEventsCount, len(bridgeMessageEventsBefore))
 
@@ -318,7 +354,7 @@ func TestBridgeEventManager_RemoveProcessedEventsAndProofs(t *testing.T) {
 	}
 
 	// all bridge message events and their proofs should be removed from the store
-	stateSyncEventsAfter, err := s.state.BridgeMessageStore.list()
+	stateSyncEventsAfter, err := s.state.list()
 	require.NoError(t, err)
 	require.Equal(t, 0, len(stateSyncEventsAfter))
 }
@@ -339,7 +375,7 @@ func TestBridgeEventManager_AddLog_BuildBridgeBatches(t *testing.T) {
 
 		// empty log which is not an bridge message
 		require.NoError(t, s.AddLog(big.NewInt(1), &ethgo.Log{Data: bridgeMsgData}))
-		bridgeEvents, err := s.state.BridgeMessageStore.list()
+		bridgeEvents, err := s.state.list()
 
 		require.NoError(t, err)
 		require.Len(t, bridgeEvents, 0)
@@ -350,7 +386,7 @@ func TestBridgeEventManager_AddLog_BuildBridgeBatches(t *testing.T) {
 
 		// log with the bridge message topic but incorrect content
 		require.Error(t, s.AddLog(big.NewInt(1), &ethgo.Log{Topics: []ethgo.Hash{bridgeMessageEventID}, Data: bridgeMsgData}))
-		bridgeEvents, err = s.state.BridgeMessageStore.list()
+		bridgeEvents, err = s.state.list()
 
 		require.NoError(t, err)
 		require.Len(t, bridgeEvents, 0)
@@ -371,7 +407,7 @@ func TestBridgeEventManager_AddLog_BuildBridgeBatches(t *testing.T) {
 
 		require.NoError(t, s.AddLog(big.NewInt(1), goodLog))
 
-		bridgeEvents, err = s.state.BridgeMessageStore.getBridgeMessageEventsForBridgeBatch(0, 0, nil, 1, 0)
+		bridgeEvents, err = s.state.getBridgeMessageEventsForBridgeBatch(0, 0, nil, 1, 0)
 		require.NoError(t, err)
 		require.Len(t, bridgeEvents, 1)
 		require.Len(t, s.pendingBridgeBatches, 1)
@@ -429,7 +465,7 @@ func TestBridgeEventManager_AddLog_BuildBridgeBatches(t *testing.T) {
 		require.NoError(t, s.AddLog(big.NewInt(1), goodLog))
 
 		// node should have inserted given bridgeMsg event, but it shouldn't build any batch
-		bridgeMessages, err := s.state.BridgeMessageStore.getBridgeMessageEventsForBridgeBatch(0, 0, nil, 1, 0)
+		bridgeMessages, err := s.state.getBridgeMessageEventsForBridgeBatch(0, 0, nil, 1, 0)
 		require.NoError(t, err)
 		require.Len(t, bridgeMessages, 1)
 		require.Equal(t, uint64(0), bridgeMessages[0].ID.Uint64())
@@ -521,7 +557,7 @@ var _ BridgeManager = (*mockBridgeManager)(nil)
 
 type mockBridgeManager struct {
 	chainID uint64
-	state   *State
+	state   *BridgeManagerStore
 }
 
 func (*mockBridgeManager) AddLog(chainID *big.Int, eventLog *ethgo.Log) error {
@@ -540,8 +576,8 @@ func (*mockBridgeManager) PostBlock() error {
 }
 
 // PostEpoch implements BridgeManager.
-func (mbm *mockBridgeManager) PostEpoch(req *PostEpochRequest) error {
-	if err := mbm.state.EpochStore.insertEpoch(req.NewEpochID, req.DBTx, mbm.chainID); err != nil {
+func (mbm *mockBridgeManager) PostEpoch(req *polytypes.PostEpochRequest) error {
+	if err := mbm.state.insertEpoch(req.NewEpochID, req.DBTx, mbm.chainID); err != nil {
 		return err
 	}
 
@@ -554,7 +590,7 @@ func (*mockBridgeManager) ProcessLog(header *types.Header, log *ethgo.Log, dbTx
 }
 
 // Start implements BridgeManager.
-func (*mockBridgeManager) Start(runtimeCfg *runtimeConfig) error {
+func (*mockBridgeManager) Start(runtimeCfg *config.Runtime) error {
 	return nil
 }
 
diff --git a/consensus/polybft/state_store_bridge_message.go b/consensus/polybft/bridge/state_store_bridge_message.go
similarity index 59%
rename from consensus/polybft/state_store_bridge_message.go
rename to consensus/polybft/bridge/state_store_bridge_message.go
index c0482a3145..f8a05919f4 100644
--- a/consensus/polybft/state_store_bridge_message.go
+++ b/consensus/polybft/bridge/state_store_bridge_message.go
@@ -1,4 +1,4 @@
-package polybft
+package bridge
 
 import (
 	"encoding/json"
@@ -18,6 +18,8 @@ var (
 	bridgeBatchBucket = []byte("bridgeBatches")
 	// bucket to store message votes (signatures)
 	messageVotesBucket = []byte("votes")
+	// bucket to store epochs and all its nested buckets (message votes and message pool events)
+	epochsBucket = []byte("epochs")
 
 	// errNotEnoughBridgeEvents error message
 	errNotEnoughBridgeEvents = errors.New("there is either a gap or not enough bridge events")
@@ -25,6 +27,27 @@ var (
 	errNoBridgeBatchForBridgeEvent = errors.New("no bridge batch found for given bridge message events")
 )
 
+// BridgeBatchVoteConsensusData encapsulates sender identifier and its signature
+type BridgeBatchVoteConsensusData struct {
+	// Signer of the vote
+	Sender string
+	// Signature of the message
+	Signature []byte
+}
+
+// BridgeBatchVote represents the payload which is gossiped across the network
+type BridgeBatchVote struct {
+	*BridgeBatchVoteConsensusData
+	// Hash is encoded data
+	Hash []byte
+	// Number of epoch
+	EpochNumber uint64
+	// SourceChainID from bridge batch
+	SourceChainID uint64
+	// DestinationChainID from bridge batch
+	DestinationChainID uint64
+}
+
 /*
 Bolt DB schema:
 
@@ -34,46 +57,57 @@ bridge message events/
 bridge batches/
 |--> chainId --> bridgeBatches.Message[last].Id -> *BridgeBatchSigned (json marshalled)
 
-relayerEvents/
-|--> chainId --> RelayerEventData.EventID -> *RelayerEventData (json marshalled)
+bridge message votes /
+|--> chainId --> epoch -> hash -> *BridgeBatchVote (json marshalled)
 */
 
-type BridgeMessageStore struct {
+type BridgeManagerStore struct {
 	db       *bolt.DB
 	chainIDs []uint64
 }
 
-// initialize creates necessary buckets in DB if they don't already exist
-func (bms *BridgeMessageStore) initialize(tx *bolt.Tx) error {
+func newBridgeManagerStore(db *bolt.DB, chainIDs []uint64) (*BridgeManagerStore, error) {
 	var err error
 
-	var bridgeMessageBucket, bridgeBatchesBucket *bolt.Bucket
+	store := &BridgeManagerStore{db: db, chainIDs: chainIDs}
 
-	if bridgeMessageBucket, err = tx.CreateBucketIfNotExists(bridgeMessageEventsBucket); err != nil {
-		return fmt.Errorf("failed to create bucket=%s: %w", string(bridgeMessageEventsBucket), err)
-	}
+	return store, store.db.Update(func(tx *bolt.Tx) error {
+		var bridgeMessageBucket, bridgeBatchesBucket, epochBucket *bolt.Bucket
 
-	if bridgeBatchesBucket, err = tx.CreateBucketIfNotExists(bridgeBatchBucket); err != nil {
-		return fmt.Errorf("failed to create bucket=%s: %w", string(bridgeBatchBucket), err)
-	}
+		if bridgeMessageBucket, err = tx.CreateBucketIfNotExists(bridgeMessageEventsBucket); err != nil {
+			return fmt.Errorf("failed to create bucket=%s: %w", string(bridgeMessageEventsBucket), err)
+		}
 
-	for _, chainID := range bms.chainIDs {
-		chainIDBytes := common.EncodeUint64ToBytes(chainID)
+		if bridgeBatchesBucket, err = tx.CreateBucketIfNotExists(bridgeBatchBucket); err != nil {
+			return fmt.Errorf("failed to create bucket=%s: %w", string(bridgeBatchBucket), err)
+		}
 
-		if _, err := bridgeMessageBucket.CreateBucketIfNotExists(chainIDBytes); err != nil {
-			return fmt.Errorf("failed to create bucket chainID=%s: %w", string(bridgeMessageEventsBucket), err)
+		if epochBucket, err = tx.CreateBucketIfNotExists(epochsBucket); err != nil {
+			return fmt.Errorf("failed to create bucket=%s: %w", string(epochsBucket), err)
 		}
 
-		if _, err := bridgeBatchesBucket.CreateBucketIfNotExists(chainIDBytes); err != nil {
-			return fmt.Errorf("failed to create bucket chainID=%s: %w", string(bridgeBatchBucket), err)
+		for _, chainID := range chainIDs {
+			chainIDBytes := common.EncodeUint64ToBytes(chainID)
+
+			if _, err := bridgeMessageBucket.CreateBucketIfNotExists(chainIDBytes); err != nil {
+				return fmt.Errorf("failed to create bucket chainID=%s: %w", string(bridgeMessageEventsBucket), err)
+			}
+
+			if _, err := bridgeBatchesBucket.CreateBucketIfNotExists(chainIDBytes); err != nil {
+				return fmt.Errorf("failed to create bucket chainID=%s: %w", string(bridgeBatchBucket), err)
+			}
+
+			if _, err := epochBucket.CreateBucketIfNotExists(chainIDBytes); err != nil {
+				return fmt.Errorf("failed to create bucket chainID=%s: %w", string(epochsBucket), err)
+			}
 		}
-	}
 
-	return nil
+		return nil
+	})
 }
 
 // insertBridgeMessageEvent inserts a new bridge message event to state event bucket in db
-func (bms *BridgeMessageStore) insertBridgeMessageEvent(event *contractsapi.BridgeMsgEvent) error {
+func (bms *BridgeManagerStore) insertBridgeMessageEvent(event *contractsapi.BridgeMsgEvent) error {
 	return bms.db.Update(func(tx *bolt.Tx) error {
 		raw, err := json.Marshal(event)
 		if err != nil {
@@ -87,7 +121,7 @@ func (bms *BridgeMessageStore) insertBridgeMessageEvent(event *contractsapi.Brid
 }
 
 // removeBridgeEvents removes bridge events and their proofs from the buckets in db
-func (bms *BridgeMessageStore) removeBridgeEvents(
+func (bms *BridgeManagerStore) removeBridgeEvents(
 	bridgeMessageEventIDs *contractsapi.BridgeMessageResultEvent) error {
 	return bms.db.Update(func(tx *bolt.Tx) error {
 		eventsBucket := tx.Bucket(bridgeMessageEventsBucket).
@@ -105,7 +139,7 @@ func (bms *BridgeMessageStore) removeBridgeEvents(
 }
 
 // list iterates through all events in events bucket in db, un-marshals them, and returns as array
-func (bms *BridgeMessageStore) list() ([]*contractsapi.BridgeMsgEvent, error) {
+func (bms *BridgeManagerStore) list() ([]*contractsapi.BridgeMsgEvent, error) {
 	events := []*contractsapi.BridgeMsgEvent{}
 
 	for _, chainID := range bms.chainIDs {
@@ -131,7 +165,7 @@ func (bms *BridgeMessageStore) list() ([]*contractsapi.BridgeMsgEvent, error) {
 }
 
 // getBridgeMessageEventsForBridgeBatch returns bridge events for bridge batch
-func (bms *BridgeMessageStore) getBridgeMessageEventsForBridgeBatch(
+func (bms *BridgeManagerStore) getBridgeMessageEventsForBridgeBatch(
 	fromIndex, toIndex uint64, dbTx *bolt.Tx, sourceChainID, destinationChainID uint64) (
 	[]*contractsapi.BridgeMsgEvent, error) {
 	var (
@@ -173,7 +207,7 @@ func (bms *BridgeMessageStore) getBridgeMessageEventsForBridgeBatch(
 }
 
 // getBridgeBatchForBridgeEvents returns the bridgeBatch that contains given bridge event if it exists
-func (bms *BridgeMessageStore) getBridgeBatchForBridgeEvents(
+func (bms *BridgeManagerStore) getBridgeBatchForBridgeEvents(
 	bridgeMessageID,
 	chainID uint64) (*BridgeBatchSigned, error) {
 	var signedBridgeBatch *BridgeBatchSigned
@@ -201,7 +235,7 @@ func (bms *BridgeMessageStore) getBridgeBatchForBridgeEvents(
 }
 
 // insertBridgeBatchMessage inserts signed batch to db
-func (bms *BridgeMessageStore) insertBridgeBatchMessage(signedBridgeBatch *BridgeBatchSigned,
+func (bms *BridgeManagerStore) insertBridgeBatchMessage(signedBridgeBatch *BridgeBatchSigned,
 	dbTx *bolt.Tx) error {
 	insertFn := func(tx *bolt.Tx) error {
 		raw, err := json.Marshal(signedBridgeBatch)
@@ -236,7 +270,7 @@ func (bms *BridgeMessageStore) insertBridgeBatchMessage(signedBridgeBatch *Bridg
 }
 
 // insertConsensusData inserts given batch consensus data to corresponding bucket of given epoch
-func (bms *BridgeMessageStore) insertConsensusData(epoch uint64, key []byte,
+func (bms *BridgeManagerStore) insertConsensusData(epoch uint64, key []byte,
 	vote *BridgeBatchVoteConsensusData, dbTx *bolt.Tx, sourceChainID uint64) (int, error) {
 	var (
 		numOfSignatures int
@@ -289,7 +323,7 @@ func (bms *BridgeMessageStore) insertConsensusData(epoch uint64, key []byte,
 }
 
 // getMessageVotes gets all signatures from db associated with given epoch and hash
-func (bms *BridgeMessageStore) getMessageVotes(
+func (bms *BridgeManagerStore) getMessageVotes(
 	epoch uint64,
 	hash []byte,
 	sourceChainID uint64) ([]*BridgeBatchVoteConsensusData, error) {
@@ -314,7 +348,7 @@ func (bms *BridgeMessageStore) getMessageVotes(
 }
 
 // getMessageVotesLocked gets all signatures from db associated with given epoch and hash
-func (bms *BridgeMessageStore) getMessageVotesLocked(tx *bolt.Tx, epoch uint64,
+func (bms *BridgeManagerStore) getMessageVotesLocked(tx *bolt.Tx, epoch uint64,
 	hash []byte, sourceChainID uint64) ([]*BridgeBatchVoteConsensusData, error) {
 	bucket, err := getNestedBucketInEpoch(tx, epoch, messageVotesBucket, sourceChainID)
 	if err != nil {
@@ -333,3 +367,90 @@ func (bms *BridgeMessageStore) getMessageVotesLocked(tx *bolt.Tx, epoch uint64,
 
 	return signatures, nil
 }
+
+// getNestedBucketInEpoch returns a nested (child) bucket from db associated with given epoch
+func getNestedBucketInEpoch(tx *bolt.Tx, epoch uint64, bucketKey []byte, chainID uint64) (*bolt.Bucket, error) {
+	epochBucket, err := getEpochBucket(tx, epoch, chainID)
+	if err != nil {
+		return nil, err
+	}
+
+	bucket := epochBucket.Bucket(bucketKey)
+	if bucket == nil {
+		return nil, fmt.Errorf("could not find %v bucket for epoch: %v", string(bucketKey), epoch)
+	}
+
+	return bucket, nil
+}
+
+// getEpochBucket returns bucket from db associated with given epoch
+func getEpochBucket(tx *bolt.Tx, epoch uint64, chainID uint64) (*bolt.Bucket, error) {
+	epochBucket := tx.Bucket(epochsBucket).
+		Bucket(common.EncodeUint64ToBytes(chainID)).
+		Bucket(common.EncodeUint64ToBytes(epoch))
+	if epochBucket == nil {
+		return nil, fmt.Errorf("could not find bucket for epoch: %v", epoch)
+	}
+
+	return epochBucket, nil
+}
+
+// insertEpoch inserts a new epoch to db with its meta data
+func (s *BridgeManagerStore) insertEpoch(epoch uint64, dbTx *bolt.Tx, chainID uint64) error {
+	insertFn := func(tx *bolt.Tx) error {
+		chainIDBucket, err := tx.Bucket(epochsBucket).CreateBucketIfNotExists(common.EncodeUint64ToBytes(chainID))
+		if err != nil {
+			return err
+		}
+
+		epochBucket, err := chainIDBucket.CreateBucketIfNotExists(common.EncodeUint64ToBytes(epoch))
+		if err != nil {
+			return err
+		}
+
+		_, err = epochBucket.CreateBucketIfNotExists(messageVotesBucket)
+		if err != nil {
+			return err
+		}
+
+		return err
+	}
+
+	if dbTx == nil {
+		return s.db.Update(func(tx *bolt.Tx) error {
+			return insertFn(tx)
+		})
+	}
+
+	return insertFn(dbTx)
+}
+
+// cleanEpochsFromDB cleans epoch buckets from db
+func (s *BridgeManagerStore) cleanEpochsFromDB(dbTx *bolt.Tx) error {
+	cleanFn := func(tx *bolt.Tx) error {
+		if err := tx.DeleteBucket(epochsBucket); err != nil {
+			return err
+		}
+
+		epochBucket, err := tx.CreateBucket(epochsBucket)
+		if err != nil {
+			return err
+		}
+
+		for _, chainID := range s.chainIDs {
+			if _, err := epochBucket.CreateBucket(common.EncodeUint64ToBytes(chainID)); err != nil {
+				return err
+			}
+		}
+
+		return nil
+	}
+
+	if dbTx == nil {
+		return s.db.Update(func(tx *bolt.Tx) error {
+			return cleanFn(tx)
+		})
+	}
+
+	return cleanFn(dbTx)
+}
diff --git a/consensus/polybft/state_store_bridge_message_test.go b/consensus/polybft/bridge/state_store_bridge_message_test.go
similarity index 57%
rename from consensus/polybft/state_store_bridge_message_test.go
rename to consensus/polybft/bridge/state_store_bridge_message_test.go
index eb70e9097f..e12e6874a7 100644
--- a/consensus/polybft/state_store_bridge_message_test.go
+++ b/consensus/polybft/bridge/state_store_bridge_message_test.go
@@ -1,4 +1,4 @@
-package polybft
+package bridge
 
 import (
 	"bytes"
@@ -6,17 +6,13 @@ import (
 	"math/big"
 	"testing"
 
-	"github.com/0xPolygon/polygon-edge/bls"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/contractsapi"
-	"github.com/0xPolygon/polygon-edge/crypto"
 	"github.com/0xPolygon/polygon-edge/types"
 	"github.com/stretchr/testify/assert"
 	"github.com/stretchr/testify/require"
 	"go.etcd.io/bbolt"
 )
 
-var domain = crypto.Keccak256([]byte("DOMAIN"))
-
 func TestState_InsertEvent(t *testing.T) {
 	t.Parallel()
 
@@ -30,10 +26,10 @@ func TestState_InsertEvent(t *testing.T) {
 		DestinationChainID: bigZero,
 	}
 
-	err := state.BridgeMessageStore.insertBridgeMessageEvent(event1)
+	err := state.insertBridgeMessageEvent(event1)
 	assert.NoError(t, err)
 
-	events, err := state.BridgeMessageStore.list()
+	events, err := state.list()
 	assert.NoError(t, err)
 	assert.Len(t, events, 1)
 }
@@ -43,17 +39,17 @@ func TestState_Insert_And_Get_MessageVotes(t *testing.T) {
 
 	state := newTestState(t)
 	epoch := uint64(1)
-	assert.NoError(t, state.EpochStore.insertEpoch(epoch, nil, 0))
+	assert.NoError(t, state.insertEpoch(epoch, nil, 0))
 
 	hash := []byte{1, 2}
-	_, err := state.BridgeMessageStore.insertConsensusData(1, hash, &BridgeBatchVoteConsensusData{
+	_, err := state.insertConsensusData(1, hash, &BridgeBatchVoteConsensusData{
 		Sender:    "NODE_1",
 		Signature: []byte{1, 2},
 	}, nil, 0)
 
 	assert.NoError(t, err)
 
-	votes, err := state.BridgeMessageStore.getMessageVotes(epoch, hash, 0)
+	votes, err := state.getMessageVotes(epoch, hash, 0)
 	assert.NoError(t, err)
 	assert.Equal(t, 1, len(votes))
 	assert.Equal(t, "NODE_1", votes[0].Sender)
@@ -65,8 +61,8 @@ func TestState_getBridgeEventsForBridgeBatch_NotEnoughEvents(t *testing.T) {
 
 	state := newTestState(t)
 
-	for i := 0; i < maxNumberOfEvents-2; i++ {
-		assert.NoError(t, state.BridgeMessageStore.insertBridgeMessageEvent(&contractsapi.BridgeMsgEvent{
+	for i := 0; i < maxNumberOfBatchEvents-2; i++ {
+		assert.NoError(t, state.insertBridgeMessageEvent(&contractsapi.BridgeMsgEvent{
 			ID:                 big.NewInt(int64(i)),
 			Data:               []byte{1, 2},
 			SourceChainID:      big.NewInt(1),
@@ -74,7 +70,7 @@ func TestState_getBridgeEventsForBridgeBatch_NotEnoughEvents(t *testing.T) {
 		}))
 	}
 
-	_, err := state.BridgeMessageStore.getBridgeMessageEventsForBridgeBatch(0, maxNumberOfEvents-1, nil, 0, 0)
+	_, err := state.getBridgeMessageEventsForBridgeBatch(0, maxNumberOfBatchEvents-1, nil, 0, 0)
 	assert.ErrorIs(t, err, errNotEnoughBridgeEvents)
 }
 
@@ -83,8 +79,8 @@ func TestState_getBridgeEventsForBridgeBatch(t *testing.T) {
 
 	state := newTestState(t)
 
-	for i := 0; i < maxNumberOfEvents; i++ {
-		assert.NoError(t, state.BridgeMessageStore.insertBridgeMessageEvent(&contractsapi.BridgeMsgEvent{
+	for i := 0; i < maxNumberOfBatchEvents; i++ {
+		assert.NoError(t, state.insertBridgeMessageEvent(&contractsapi.BridgeMsgEvent{
 			ID:                 big.NewInt(int64(i)),
 			Data:               []byte{1, 2},
 			SourceChainID:      big.NewInt(1),
@@ -95,32 +91,32 @@ func TestState_getBridgeEventsForBridgeBatch(t *testing.T) {
 	t.Run("Return all - forced. Enough events", func(t *testing.T) {
 		t.Parallel()
 
-		events, err := state.BridgeMessageStore.getBridgeMessageEventsForBridgeBatch(0, maxNumberOfEvents-1, nil, 1, 0)
+		events, err := state.getBridgeMessageEventsForBridgeBatch(0, maxNumberOfBatchEvents-1, nil, 1, 0)
 		require.NoError(t, err)
-		require.Equal(t, maxNumberOfEvents, len(events))
+		require.Equal(t, maxNumberOfBatchEvents, len(events))
 	})
 
 	t.Run("Return all - forced. Not enough events", func(t *testing.T) {
 		t.Parallel()
 
-		_, err := state.BridgeMessageStore.getBridgeMessageEventsForBridgeBatch(0, maxNumberOfEvents+1, nil, 1, 0)
+		_, err := state.getBridgeMessageEventsForBridgeBatch(0, maxNumberOfBatchEvents+1, nil, 1, 0)
 		require.ErrorIs(t, err, errNotEnoughBridgeEvents)
 	})
 
 	t.Run("Return all you can. Enough events", func(t *testing.T) {
 		t.Parallel()
 
-		events, err := state.BridgeMessageStore.getBridgeMessageEventsForBridgeBatch(0, maxNumberOfEvents-1, nil, 1, 0)
+		events, err := state.getBridgeMessageEventsForBridgeBatch(0, maxNumberOfBatchEvents-1, nil, 1, 0)
 		assert.NoError(t, err)
-		assert.Equal(t, maxNumberOfEvents, len(events))
+		assert.Equal(t, maxNumberOfBatchEvents, len(events))
 	})
 
 	t.Run("Return all you can. Not enough events", func(t *testing.T) {
 		t.Parallel()
 
-		events, err := state.BridgeMessageStore.getBridgeMessageEventsForBridgeBatch(0, maxNumberOfEvents+1, nil, 1, 0)
+		events, err := state.getBridgeMessageEventsForBridgeBatch(0, maxNumberOfBatchEvents+1, nil, 1, 0)
 		assert.ErrorIs(t, err, errNotEnoughBridgeEvents)
-		assert.Equal(t, maxNumberOfEvents, len(events))
+		assert.Equal(t, maxNumberOfBatchEvents, len(events))
 	})
 }
 
@@ -157,7 +153,7 @@ func TestState_getBridgeBatchForBridgeEvents(t *testing.T) {
 	}
 
 	for _, c := range cases {
-		signedBridgeBatch, err := state.BridgeMessageStore.getBridgeBatchForBridgeEvents(c.bridgeMessageID, 1)
+		signedBridgeBatch, err := state.getBridgeBatchForBridgeEvents(c.bridgeMessageID, 1)
 
 		if c.hasBatch {
 			require.NoError(t, err, fmt.Sprintf("bridge event %v", c.bridgeMessageID))
@@ -202,7 +198,7 @@ func TestState_GetNestedBucketInEpoch(t *testing.T) {
 			)
 
 			s := newTestState(t)
-			require.NoError(t, s.EpochStore.insertEpoch(c.epochNumber, nil, 0))
+			require.NoError(t, s.insertEpoch(c.epochNumber, nil, 0))
 
 			err = s.db.View(func(tx *bbolt.Tx) error {
 				nestedBucket, err = getNestedBucketInEpoch(tx, c.epochNumber, c.bucketName, 0)
@@ -220,51 +216,11 @@ func TestState_GetNestedBucketInEpoch(t *testing.T) {
 	}
 }
 
-func createTestBridgeBatchMessage(t *testing.T, numberOfMessages, firstIndex uint64) *BridgeBatchSigned {
-	t.Helper()
-
-	messages := make([]*contractsapi.BridgeMessage, numberOfMessages)
-
-	for i := firstIndex; i < firstIndex+numberOfMessages; i++ {
-		messages[i-firstIndex] = &contractsapi.BridgeMessage{
-			ID:                 new(big.Int).SetUint64(i),
-			SourceChainID:      big.NewInt(1),
-			DestinationChainID: bigZero,
-			Sender:             types.Address{},
-			Receiver:           types.Address{},
-			Payload:            []byte{}}
-	}
-
-	msg := contractsapi.BridgeMessageBatch{
-		Messages:           messages,
-		SourceChainID:      big.NewInt(1),
-		DestinationChainID: big.NewInt(0),
-	}
-
-	blsKey, err := bls.GenerateBlsKey()
-	require.NoError(t, err)
-
-	data := generateRandomBytes(t)
-
-	signature, err := blsKey.Sign(data, domain)
-	require.NoError(t, err)
-
-	signatures := bls.Signatures{signature}
-
-	aggSig, err := signatures.Aggregate().Marshal()
-	require.NoError(t, err)
-
-	return &BridgeBatchSigned{
-		MessageBatch: &msg,
-		AggSignature: Signature{AggregatedSignature: aggSig},
-	}
-}
-
-func insertTestBridgeBatches(t *testing.T, state *State, numberOfBatches uint64) {
+func insertTestBridgeBatches(t *testing.T, state *BridgeManagerStore, numberOfBatches uint64) {
 	t.Helper()
 
 	for i := uint64(0); i <= numberOfBatches; i++ {
-		signedBridgeBatch := createTestBridgeBatchMessage(t, 10, 10*i)
-		require.NoError(t, state.BridgeMessageStore.insertBridgeBatchMessage(signedBridgeBatch, nil))
+		signedBridgeBatch := CreateTestBridgeBatchMessage(t, 10, 10*i)
+		require.NoError(t, state.insertBridgeBatchMessage(signedBridgeBatch, nil))
 	}
 }
diff --git a/consensus/polybft/bridge/test_helpers.go b/consensus/polybft/bridge/test_helpers.go
new file mode 100644
index 0000000000..951fa0f55f
--- /dev/null
+++ b/consensus/polybft/bridge/test_helpers.go
@@ -0,0 +1,108 @@
+package bridge
+
+import (
+	"fmt"
+	"math/big"
+	"testing"
+
+	"github.com/0xPolygon/polygon-edge/bls"
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/contractsapi"
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/helpers"
+	polytypes "github.com/0xPolygon/polygon-edge/consensus/polybft/types"
+	"github.com/0xPolygon/polygon-edge/crypto"
+	"github.com/0xPolygon/polygon-edge/types"
+	"github.com/stretchr/testify/require"
+)
+
+var TestDomain = crypto.Keccak256([]byte("DOMAIN"))
+
+func BuildBridgeBatchAndBridgeEvents(t *testing.T, bridgeMessageCount int,
+	epoch, startIdx uint64) (*PendingBridgeBatch, *BridgeBatchSigned, []*contractsapi.BridgeMsgEvent) {
+	t.Helper()
+
+	bridgeMessageEvents := generateBridgeMessageEvents(t, bridgeMessageCount, startIdx)
+	pendingBridgeBatch, err := NewPendingBridgeBatch(epoch, bridgeMessageEvents)
+	require.NoError(t, err)
+
+	blsKey, err := bls.GenerateBlsKey()
+	require.NoError(t, err)
+
+	data, err := pendingBridgeBatch.BridgeMessageBatch.EncodeAbi()
+	require.NoError(t, err)
+
+	signature, err := blsKey.Sign(data, TestDomain)
+	require.NoError(t, err)
+
+	signatures := bls.Signatures{signature}
+
+	aggSig, err := signatures.Aggregate().Marshal()
+	require.NoError(t, err)
+
+	bridgeBatchSigned := &BridgeBatchSigned{
+		MessageBatch: pendingBridgeBatch.BridgeMessageBatch,
+		AggSignature: polytypes.Signature{
+			AggregatedSignature: aggSig,
+			Bitmap:              []byte{},
+		},
+	}
+
+	return pendingBridgeBatch, bridgeBatchSigned, bridgeMessageEvents
+}
+
+func generateBridgeMessageEvents(t *testing.T, eventsCount int, startIdx uint64) []*contractsapi.BridgeMsgEvent {
+	t.Helper()
+
+	bridgeMessageEvents := make([]*contractsapi.BridgeMsgEvent, eventsCount)
+	for i := 0; i < eventsCount; i++ {
+		bridgeMessageEvents[i] = &contractsapi.BridgeMsgEvent{
+			ID:                 big.NewInt(int64(startIdx + uint64(i))),
+			Sender:             types.StringToAddress(fmt.Sprintf("0x5%d", i)),
+			Receiver:           types.StringToAddress(fmt.Sprintf("0x4%d", i)),
+			Data:               helpers.GenerateRandomBytes(t),
+			SourceChainID:      big.NewInt(1),
+			DestinationChainID: big.NewInt(0),
+		}
+	}
+
+	return bridgeMessageEvents
+}
+
+func CreateTestBridgeBatchMessage(t *testing.T, numberOfMessages, firstIndex uint64) *BridgeBatchSigned {
+	t.Helper()
+
+	messages := make([]*contractsapi.BridgeMessage, numberOfMessages)
+
+	for i := firstIndex; i < firstIndex+numberOfMessages; i++ {
+		messages[i-firstIndex] = &contractsapi.BridgeMessage{
+			ID:                 new(big.Int).SetUint64(i),
+			SourceChainID:      big.NewInt(1),
+			DestinationChainID: big.NewInt(0),
+			Sender:             types.Address{},
+			Receiver:           types.Address{},
+			Payload:            []byte{}}
+	}
+
+	msg := contractsapi.BridgeMessageBatch{
+		Messages:           messages,
+		SourceChainID:      big.NewInt(1),
+		DestinationChainID: big.NewInt(0),
+	}
+
+	blsKey, err := bls.GenerateBlsKey()
+	require.NoError(t, err)
+
+	data := helpers.GenerateRandomBytes(t)
+
+	signature, err := blsKey.Sign(data, TestDomain)
+	require.NoError(t, err)
+
+	signatures := bls.Signatures{signature}
+
+	aggSig, err := signatures.Aggregate().Marshal()
+	require.NoError(t, err)
+
+	return &BridgeBatchSigned{
+		MessageBatch: &msg,
+		AggSignature: polytypes.Signature{AggregatedSignature: aggSig},
+	}
+}
diff --git a/consensus/polybft/bridge_event_relayer_test.go b/consensus/polybft/bridge_event_relayer_test.go
deleted file mode 100644
index 7820da1be7..0000000000
--- a/consensus/polybft/bridge_event_relayer_test.go
+++ /dev/null
@@ -1,109 +0,0 @@
-package polybft
-
-/* func TestStateSyncRelayer_FullWorkflow(t *testing.T) {
-	t.Skip()
-	t.Parallel()
-
-	testKey := createTestKey(t)
-	bridgeMessageAddr := types.StringToAddress("0x56563")
-
-	headers := []*types.Header{
-		{Number: 2}, {Number: 3}, {Number: 4}, {Number: 5},
-	}
-
-	blockhainMock := &blockchainMock{}
-	dummyTxRelayer := newDummyStakeTxRelayer(t, nil)
-	state := newTestState(t)
-
-	stateSyncRelayer := newBridgeEventRelayer(
-		map[uint64]txrelayer.TxRelayer{1: dummyTxRelayer},
-		state.BridgeMessageStore,
-		blockhainMock,
-		testKey,
-		&relayerConfig{
-			maxAttemptsToSend:        6,
-			maxBlocksToWaitForResend: 1,
-			maxEventsPerBatch:        1,
-			eventExecutionAddr:       bridgeMessageAddr,
-		},
-		hclog.Default(),
-	)
-
-	for _, h := range headers {
-		blockhainMock.On("CurrentHeader").Return(h).Once()
-	}
-
-	// send first two events without errors
-	dummyTxRelayer.On("SendTransaction", mock.Anything, testKey).Return((*ethgo.Receipt)(nil), nil).Times(2)
-	// fail 3rd time
-	dummyTxRelayer.On("SendTransaction", mock.Anything, testKey).Return(
-		(*ethgo.Receipt)(nil), errors.New("e")).Once()
-	// send 3 events all at once at the end
-	dummyTxRelayer.On("SendTransaction", mock.Anything, testKey).Return((*ethgo.Receipt)(nil), nil).Once()
-
-	require.NoError(t, stateSyncRelayer.Init())
-
-	// post 1st block
-	require.NoError(t, stateSyncRelayer.PostBlock(&PostBlockRequest{}))
-
-	time.Sleep(time.Second * 2) // wait for some time
-
-	events, err := state.BridgeMessageStore.GetAllAvailableRelayerEvents(0)
-
-	require.NoError(t, err)
-	require.Len(t, events, 3)
-	require.Equal(t, uint64(1), events[0].EventID)
-	require.True(t, events[0].SentStatus)
-	require.False(t, events[1].SentStatus)
-	require.False(t, events[2].SentStatus)
-
-	require.NoError(t, stateSyncRelayer.PostBlock(&PostBlockRequest{}))
-
-	time.Sleep(time.Second * 2) // wait for some time
-
-	events, err = state.BridgeMessageStore.GetAllAvailableRelayerEvents(0)
-
-	require.NoError(t, err)
-	require.Len(t, events, 4)
-	require.True(t, events[0].SentStatus)
-	require.Equal(t, uint64(2), events[0].EventID)
-	require.False(t, events[1].SentStatus)
-	require.False(t, events[2].SentStatus)
-
-	time.Sleep(time.Second * 2) // wait for some time
-
-	events, err = state.BridgeMessageStore.GetAllAvailableRelayerEvents(0)
-
-	require.NoError(t, err)
-	require.Len(t, events, 3)
-	require.True(t, events[0].SentStatus)
-	require.Equal(t, uint64(3), events[0].EventID)
-	require.False(t, events[1].SentStatus)
-
-	// post 4th block - will not provide result, so one more SendTransaction will be triggered
-	stateSyncRelayer.config.maxEventsPerBatch = 3 // send all 3 left events at once
-
-	require.NoError(t, stateSyncRelayer.PostBlock(&PostBlockRequest{}))
-
-	time.Sleep(time.Second * 2) // wait for some time
-
-	events, err = state.BridgeMessageStore.GetAllAvailableRelayerEvents(0)
-
-	require.NoError(t, err)
-	require.Len(t, events, 3)
-	require.True(t, events[0].SentStatus && events[1].SentStatus && events[2].SentStatus)
-
-	time.Sleep(time.Second * 2) // wait for some time
-
-	events, err = state.BridgeMessageStore.GetAllAvailableRelayerEvents(0)
-
-	require.NoError(t, err)
-	require.Len(t, events, 0)
-
-	stateSyncRelayer.Close()
-	time.Sleep(time.Second)
-
-	blockhainMock.AssertExpectations(t)
-	dummyTxRelayer.AssertExpectations(t)
-}
-*/
diff --git a/consensus/polybft/polybft_config.go b/consensus/polybft/config/polybft_config.go
similarity index 89%
rename from consensus/polybft/polybft_config.go
rename to consensus/polybft/config/polybft_config.go
index 801db85afb..db05c0d1aa 100644
--- a/consensus/polybft/polybft_config.go
+++ b/consensus/polybft/config/polybft_config.go
@@ -1,4 +1,4 @@
-package polybft
+package config
 
 import (
 	"encoding/json"
@@ -24,7 +24,7 @@ const (
 )
 
 var (
-	DefaultTokenConfig = &TokenConfig{
+	DefaultTokenConfig = &Token{
 		Name:       defaultNativeTokenName,
 		Symbol:     defaultNativeTokenSymbol,
 		Decimals:   defaultNativeTokenDecimals,
@@ -35,13 +35,13 @@ var (
 		"(<name:symbol:decimals count:is minted on the local chain>)")
 )
 
-// PolyBFTConfig is the configuration file for the Polybft consensus protocol.
-type PolyBFTConfig struct {
+// PolyBFT is the configuration file for the Polybft consensus protocol.
+type PolyBFT struct {
 	// InitialValidatorSet are the genesis validators
 	InitialValidatorSet []*validator.GenesisValidator `json:"initialValidatorSet"`
 
 	// Bridge represent configuration for external bridges
-	Bridge map[uint64]*BridgeConfig `json:"bridge"`
+	Bridge map[uint64]*Bridge `json:"bridge"`
 
 	// EpochSize is size of epoch
 	EpochSize uint64 `json:"epochSize"`
@@ -59,7 +59,7 @@ type PolyBFTConfig struct {
 	Governance types.Address `json:"governance"`
 
 	// NativeTokenConfig defines name, symbol and decimal count of the native token
-	NativeTokenConfig *TokenConfig `json:"nativeTokenConfig"`
+	NativeTokenConfig *Token `json:"nativeTokenConfig"`
 
 	// InitialTrieRoot corresponds to pre-existing state root in case data gets migrated from a legacy system
 	InitialTrieRoot types.Hash `json:"initialTrieRoot"`
@@ -77,7 +77,7 @@ type PolyBFTConfig struct {
 	WithdrawalWaitPeriod uint64 `json:"withdrawalWaitPeriod"`
 
 	// RewardConfig defines rewards configuration
-	RewardConfig *RewardsConfig `json:"rewardConfig"`
+	RewardConfig *Rewards `json:"rewardConfig"`
 
 	// BlockTimeDrift defines the time slot in which a new block can be created
 	BlockTimeDrift uint64 `json:"blockTimeDrift"`
@@ -95,44 +95,44 @@ type PolyBFTConfig struct {
 	BladeAdmin types.Address `json:"bladeAdmin"`
 
 	// GovernanceConfig defines on chain governance configuration
-	GovernanceConfig *GovernanceConfig `json:"governanceConfig"`
+	GovernanceConfig *Governance `json:"governanceConfig"`
 
 	// StakeTokenAddr represents the stake token contract address
 	StakeTokenAddr types.Address `json:"stakeTokenAddr"`
 }
 
 // LoadPolyBFTConfig loads chain config from provided path and unmarshals PolyBFTConfig
-func LoadPolyBFTConfig(chainConfigFile string) (PolyBFTConfig, error) {
+func LoadPolyBFTConfig(chainConfigFile string) (PolyBFT, error) {
 	chainCfg, err := chain.ImportFromFile(chainConfigFile)
 	if err != nil {
-		return PolyBFTConfig{}, err
+		return PolyBFT{}, err
 	}
 
 	polybftConfig, err := GetPolyBFTConfig(chainCfg.Params)
 	if err != nil {
-		return PolyBFTConfig{}, err
+		return PolyBFT{}, err
 	}
 
 	return polybftConfig, err
 }
 
 // GetPolyBFTConfig deserializes provided chain config and returns PolyBFTConfig
-func GetPolyBFTConfig(chainParams *chain.Params) (PolyBFTConfig, error) {
+func GetPolyBFTConfig(chainParams *chain.Params) (PolyBFT, error) {
 	consensusConfigJSON, err := json.Marshal(chainParams.Engine[ConsensusName])
 	if err != nil {
-		return PolyBFTConfig{}, err
+		return PolyBFT{}, err
 	}
 
-	var polyBFTConfig PolyBFTConfig
+	var polyBFTConfig PolyBFT
 	if err = json.Unmarshal(consensusConfigJSON, &polyBFTConfig); err != nil {
-		return PolyBFTConfig{}, err
+		return PolyBFT{}, err
 	}
 
 	return polyBFTConfig, nil
 }
 
-// BridgeConfig is the external chain configuration, needed for bridging
-type BridgeConfig struct {
+// Bridge is the external chain configuration, needed for bridging
+type Bridge struct {
 	// External chain bridge contracts
 	ExternalGatewayAddr                  types.Address `json:"externalGatewayAddress"`
 	ExternalERC20PredicateAddr           types.Address `json:"externalERC20PredicateAddress"`
@@ -165,7 +165,7 @@ type BridgeConfig struct {
 }
 
 // GetHighestInternalAddress returns the highest address among all internal bridge contracts
-func (b *BridgeConfig) GetHighestInternalAddress() types.Address {
+func (b *Bridge) GetHighestInternalAddress() types.Address {
 	internalAddrs := b.getInternalContractAddrs()
 
 	if len(internalAddrs) == 0 {
@@ -184,7 +184,7 @@ func (b *BridgeConfig) GetHighestInternalAddress() types.Address {
 }
 
 // getInternalContractAddrs enumerates all the Internal bridge contract addresses
-func (b *BridgeConfig) getInternalContractAddrs() []types.Address {
+func (b *Bridge) getInternalContractAddrs() []types.Address {
 	return []types.Address{
 		b.InternalGatewayAddr,
 		b.InternalERC20PredicateAddr,
@@ -196,12 +196,12 @@ func (b *BridgeConfig) getInternalContractAddrs() []types.Address {
 	}
 }
 
-func (p *PolyBFTConfig) IsBridgeEnabled() bool {
+func (p *PolyBFT) IsBridgeEnabled() bool {
 	return len(p.Bridge) > 0
 }
 
-// TokenConfig is the configuration of native token used by edge network
-type TokenConfig struct {
+// Token is the configuration of native token used by edge network
+type Token struct {
 	Name       string `json:"name"`
 	Symbol     string `json:"symbol"`
 	Decimals   uint8  `json:"decimals"`
@@ -209,7 +209,7 @@ type TokenConfig struct {
 	ChainID    uint64 `json:"chainID"`
 }
 
-func ParseRawTokenConfig(rawConfig string) (*TokenConfig, error) {
+func ParseRawTokenConfig(rawConfig string) (*Token, error) {
 	if rawConfig == "" {
 		return DefaultTokenConfig, nil
 	}
@@ -256,7 +256,7 @@ func ParseRawTokenConfig(rawConfig string) (*TokenConfig, error) {
 		}
 	}
 
-	return &TokenConfig{
+	return &Token{
 		Name:       name,
 		Symbol:     symbol,
 		Decimals:   uint8(decimals),
@@ -265,7 +265,7 @@ func ParseRawTokenConfig(rawConfig string) (*TokenConfig, error) {
 	}, nil
 }
 
-type RewardsConfig struct {
+type Rewards struct {
 	// TokenAddress is the address of reward token on child chain
 	TokenAddress types.Address
 
@@ -276,7 +276,7 @@ type RewardsConfig struct {
 	WalletAmount *big.Int
 }
 
-func (r *RewardsConfig) MarshalJSON() ([]byte, error) {
+func (r *Rewards) MarshalJSON() ([]byte, error) {
 	raw := &rewardsConfigRaw{
 		TokenAddress:  r.TokenAddress,
 		WalletAddress: r.WalletAddress,
@@ -286,7 +286,7 @@ func (r *RewardsConfig) MarshalJSON() ([]byte, error) {
 	return json.Marshal(raw)
 }
 
-func (r *RewardsConfig) UnmarshalJSON(data []byte) error {
+func (r *Rewards) UnmarshalJSON(data []byte) error {
 	var (
 		raw rewardsConfigRaw
 		err error
@@ -307,7 +307,7 @@ func (r *RewardsConfig) UnmarshalJSON(data []byte) error {
 	return nil
 }
 
-type GovernanceConfig struct {
+type Governance struct {
 	// VotingDelay indicates number of blocks after proposal is submitted before voting starts
 	VotingDelay *big.Int
 	// VotingPeriod indicates number of blocks that the voting period for a proposal lasts
@@ -327,7 +327,7 @@ type GovernanceConfig struct {
 	ForkParamsAddr types.Address
 }
 
-func (g *GovernanceConfig) MarshalJSON() ([]byte, error) {
+func (g *Governance) MarshalJSON() ([]byte, error) {
 	raw := &governanceConfigRaw{
 		VotingDelay:              common.EncodeBigInt(g.VotingDelay),
 		VotingPeriod:             common.EncodeBigInt(g.VotingPeriod),
@@ -342,7 +342,7 @@ func (g *GovernanceConfig) MarshalJSON() ([]byte, error) {
 	return json.Marshal(raw)
 }
 
-func (g *GovernanceConfig) UnmarshalJSON(data []byte) error {
+func (g *Governance) UnmarshalJSON(data []byte) error {
 	var (
 		raw governanceConfigRaw
 		err error
diff --git a/consensus/polybft/polybft_config_test.go b/consensus/polybft/config/polybft_config_test.go
similarity index 97%
rename from consensus/polybft/polybft_config_test.go
rename to consensus/polybft/config/polybft_config_test.go
index 415c8b5ffe..136368a72a 100644
--- a/consensus/polybft/polybft_config_test.go
+++ b/consensus/polybft/config/polybft_config_test.go
@@ -1,4 +1,4 @@
-package polybft
+package config
 
 import (
 	"reflect"
@@ -16,7 +16,7 @@ func TestBridgeConfig_getInternalContractAddrs(t *testing.T) {
 	mockAddr := types.Address{0x1}
 
 	// Initialize a BridgeConfig struct with all Internal fields set to mockAddr
-	config := &BridgeConfig{
+	config := &Bridge{
 		InternalGatewayAddr:                  mockAddr,
 		InternalERC20PredicateAddr:           mockAddr,
 		InternalERC721PredicateAddr:          mockAddr,
diff --git a/consensus/polybft/config/runtime_config.go b/consensus/polybft/config/runtime_config.go
new file mode 100644
index 0000000000..09a011c6b5
--- /dev/null
+++ b/consensus/polybft/config/runtime_config.go
@@ -0,0 +1,18 @@
+package config
+
+import (
+	"github.com/0xPolygon/polygon-edge/chain"
+	"github.com/0xPolygon/polygon-edge/consensus"
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/wallet"
+)
+
+// RuntimeConfig is a struct that holds configuration data for given consensus runtime
+type Runtime struct {
+	ChainParams     *chain.Params
+	GenesisConfig   *PolyBFT
+	Forks           *chain.Forks
+	Key             *wallet.Key
+	ConsensusConfig *consensus.Config
+	EventTracker    *consensus.EventTracker
+	StateDataDir    string
+}
diff --git a/consensus/polybft/consensus_metrics.go b/consensus/polybft/consensus_metrics.go
deleted file mode 100644
index dc7ef5a10f..0000000000
--- a/consensus/polybft/consensus_metrics.go
+++ /dev/null
@@ -1,58 +0,0 @@
-package polybft
-
-import (
-	"time"
-
-	"github.com/0xPolygon/polygon-edge/types"
-	"github.com/armon/go-metrics"
-)
-
-const (
-	// consensusMetricsPrefix is a consensus-related metrics prefix
-	consensusMetricsPrefix = "consensus"
-)
-
-// updateBlockMetrics updates various metrics based on the given block
-// (such as block interval, number of transactions and block rounds metrics)
-func updateBlockMetrics(currentBlock *types.Block, parentHeader *types.Header) error {
-	if currentBlock.Number() > 1 {
-		parentTime := time.Unix(int64(parentHeader.Timestamp), 0)
-		headerTime := time.Unix(int64(currentBlock.Header.Timestamp), 0)
-		// update the block interval metric
-		metrics.SetGauge([]string{consensusMetricsPrefix, "block_interval"}, float32(headerTime.Sub(parentTime).Seconds()))
-	}
-
-	// update the number of transactions in the block metric
-	metrics.SetGauge([]string{consensusMetricsPrefix, "num_txs"}, float32(len(currentBlock.Transactions)))
-
-	extra, err := GetIbftExtra(currentBlock.Header.ExtraData)
-	if err != nil {
-		return err
-	}
-
-	// number of rounds needed to seal a block
-	metrics.SetGauge([]string{consensusMetricsPrefix, "rounds"}, float32(extra.BlockMetaData.BlockRound))
-	metrics.SetGauge([]string{consensusMetricsPrefix, "chain_head"}, float32(currentBlock.Number()))
-	metrics.IncrCounter([]string{consensusMetricsPrefix, "block_counter"}, float32(1))
-	metrics.SetGauge([]string{consensusMetricsPrefix, "block_space_used"}, float32(currentBlock.Header.GasUsed))
-
-	// Update the base fee metric
-	metrics.SetGauge([]string{consensusMetricsPrefix, "base_fee"}, float32(currentBlock.Header.BaseFee))
-
-	return nil
-}
-
-// updateEpochMetrics updates epoch-related metrics
-// (e.g. epoch number, validator set length)
-func updateEpochMetrics(epoch epochMetadata) {
-	// update epoch number metrics
-	metrics.SetGauge([]string{consensusMetricsPrefix, "epoch_number"}, float32(epoch.Number))
-	// update number of validators metrics
-	metrics.SetGauge([]string{consensusMetricsPrefix, "validators"}, float32(epoch.Validators.Len()))
-}
-
-// updateBlockExecutionMetric updates the block execution metric
-func updateBlockExecutionMetric(start time.Time) {
-	metrics.SetGauge([]string{consensusMetricsPrefix, "block_execution_time"},
-		float32(time.Now().UTC().Sub(start).Seconds()))
-}
diff --git a/consensus/polybft/consensus_runtime.go b/consensus/polybft/consensus_runtime.go
index 004853e835..83109f93ba 100644
--- a/consensus/polybft/consensus_runtime.go
+++ b/consensus/polybft/consensus_runtime.go
@@ -17,27 +17,28 @@ import (
 	protobuf "google.golang.org/protobuf/proto"
 
 	"github.com/0xPolygon/polygon-edge/chain"
-	"github.com/0xPolygon/polygon-edge/consensus"
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/bridge"
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/config"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/contractsapi"
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/governance"
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/helpers"
+	polymetrics "github.com/0xPolygon/polygon-edge/consensus/polybft/metrics"
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/proposer"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/signer"
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/stake"
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/state"
+	systemstate "github.com/0xPolygon/polygon-edge/consensus/polybft/system_state"
+	polytypes "github.com/0xPolygon/polygon-edge/consensus/polybft/types"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/validator"
-	"github.com/0xPolygon/polygon-edge/consensus/polybft/wallet"
 	"github.com/0xPolygon/polygon-edge/contracts"
 	"github.com/0xPolygon/polygon-edge/forkmanager"
 	"github.com/0xPolygon/polygon-edge/helper/common"
 	"github.com/0xPolygon/polygon-edge/types"
 )
 
-const (
-	maxNumberOfEvents = 10
-	stateFileName     = "consensusState.db"
-)
-
 var (
 	// errNotAValidator represents "node is not a validator" error message
 	errNotAValidator = errors.New("node is not a validator")
-	// errQuorumNotReached represents "quorum not reached for batch" error message
-	errQuorumNotReached = errors.New("quorum not reached for batch")
 )
 
 // txPoolInterface is an abstraction of transaction pool
@@ -66,7 +67,7 @@ type epochMetadata struct {
 
 	// CurrentClientConfig is the current client configuration for current epoch
 	// that is updated by governance proposals
-	CurrentClientConfig *PolyBFTConfig
+	CurrentClientConfig *config.PolyBFT
 }
 
 type guardedDataDTO struct {
@@ -77,32 +78,22 @@ type guardedDataDTO struct {
 	epoch *epochMetadata
 
 	// proposerSnapshot at the time of collecting data
-	proposerSnapshot *ProposerSnapshot
-}
-
-// runtimeConfig is a struct that holds configuration data for given consensus runtime
-type runtimeConfig struct {
-	genesisParams   *chain.Params
-	GenesisConfig   *PolyBFTConfig
-	Forks           *chain.Forks
-	DataDir         string
-	Key             *wallet.Key
-	State           *State
-	blockchain      blockchainBackend
-	polybftBackend  polybftBackend
-	txPool          txPoolInterface
-	bridgeTopic     topic
-	consensusConfig *consensus.Config
-	eventTracker    *consensus.EventTracker
+	proposerSnapshot *proposer.ProposerSnapshot
 }
 
 // consensusRuntime is a struct that provides consensus runtime features like epoch, state and event management
 type consensusRuntime struct {
 	// config represents wrapper around required parameters which are received from the outside
-	config *runtimeConfig
+	config *config.Runtime
+
+	blockchain polytypes.Blockchain
+
+	backend polytypes.Polybft
+
+	txPool polytypes.TxPool
 
 	// state is reference to the struct which encapsulates bridge events persistence logic
-	state *State
+	state *state.State
 
 	// fsm instance which is created for each `runSequence`
 	fsm *fsm
@@ -120,57 +111,67 @@ type consensusRuntime struct {
 	activeValidatorFlag atomic.Bool
 
 	// proposerCalculator is the object which manipulates with ProposerSnapshot
-	proposerCalculator *ProposerCalculator
+	proposerCalculator *proposer.ProposerCalculator
 
 	// manager for handling validator stake change and updating validator set
-	stakeManager StakeManager
+	stakeManager stake.StakeManager
 
-	eventProvider *EventProvider
+	eventProvider *state.EventProvider
 
 	// bridgeManagers handles storing, processing and executing bridge events
-	bridge Bridge
+	bridge bridge.Bridge
 
 	// governanceManager is used for handling governance events gotten from proposals execution
 	// also handles updating client configuration based on governance proposals
-	governanceManager GovernanceManager
+	governanceManager governance.GovernanceManager
 
 	// logger instance
 	logger hcf.Logger
 }
 
 // newConsensusRuntime creates and starts a new consensus runtime instance with event tracking
-func newConsensusRuntime(log hcf.Logger, config *runtimeConfig) (*consensusRuntime, error) {
-	dbTx, err := config.State.beginDBTransaction(true)
+func newConsensusRuntime(log hcf.Logger, config *config.Runtime,
+	st *state.State,
+	backend polytypes.Polybft,
+	blockchain polytypes.Blockchain,
+	txPool polytypes.TxPool,
+	bridgeTopic bridge.Topic,
+) (*consensusRuntime, error) {
+	dbTx, err := st.BeginDBTransaction(true)
 	if err != nil {
 		return nil, fmt.Errorf("could not begin dbTx to init consensus runtime: %w", err)
 	}
 
 	defer dbTx.Rollback() //nolint:errcheck
 
-	proposerCalculator, err := NewProposerCalculator(config, log.Named("proposer_calculator"), dbTx)
+	proposerCalculator, err := proposer.NewProposerCalculator(
+		config, log.Named("proposer_calculator"),
+		st, backend, blockchain, dbTx)
 	if err != nil {
 		return nil, fmt.Errorf("failed to create consensus runtime, error while creating proposer calculator %w", err)
 	}
 
 	runtime := &consensusRuntime{
-		state:              config.State,
+		state:              st,
 		config:             config,
-		lastBuiltBlock:     config.blockchain.CurrentHeader(),
+		lastBuiltBlock:     blockchain.CurrentHeader(),
 		proposerCalculator: proposerCalculator,
 		logger:             log.Named("consensus_runtime"),
-		eventProvider:      NewEventProvider(config.blockchain),
-	}
-
-	if runtime.IsBridgeEnabled() {
-		if runtime.bridge, err = newBridge(
-			runtime,
-			runtime.config,
-			runtime.eventProvider,
-			log.Named("bridge")); err != nil {
-			return nil, err
-		}
-	} else {
-		runtime.bridge = &dummyBridge{}
+		eventProvider:      state.NewEventProvider(blockchain),
+		backend:            backend,
+		blockchain:         blockchain,
+		txPool:             txPool,
+	}
+
+	if runtime.bridge, err = bridge.NewBridge(
+		runtime,
+		runtime.state,
+		runtime.config,
+		bridgeTopic,
+		runtime.eventProvider,
+		runtime.blockchain,
+		log.Named("bridge")); err != nil {
+		return nil, err
 	}
 
 	if err := runtime.initStakeManager(log, dbTx); err != nil {
@@ -203,12 +204,12 @@ func (c *consensusRuntime) close() {
 func (c *consensusRuntime) initStakeManager(logger hcf.Logger, dbTx *bolt.Tx) error {
 	var err error
 
-	c.stakeManager, err = newStakeManager(
+	c.stakeManager, err = stake.NewStakeManager(
 		logger.Named("stake-manager"),
 		c.state,
 		contracts.StakeManagerContract,
-		c.config.blockchain,
-		c.config.polybftBackend,
+		c.blockchain,
+		c.backend,
 		dbTx,
 	)
 
@@ -219,11 +220,11 @@ func (c *consensusRuntime) initStakeManager(logger hcf.Logger, dbTx *bolt.Tx) er
 
 // initGovernanceManager initializes governance manager
 func (c *consensusRuntime) initGovernanceManager(logger hcf.Logger, dbTx *bolt.Tx) error {
-	governanceManager, err := newGovernanceManager(
-		c.config.genesisParams,
+	governanceManager, err := governance.NewGovernanceManager(
+		c.config.ChainParams,
 		logger.Named("governance-manager"),
 		c.state,
-		c.config.blockchain,
+		c.blockchain,
 		dbTx,
 	)
 
@@ -278,12 +279,12 @@ func (c *consensusRuntime) OnBlockInserted(fullBlock *types.FullBlock) {
 		return
 	}
 
-	if err := updateBlockMetrics(fullBlock.Block, c.lastBuiltBlock); err != nil {
+	if err := polymetrics.UpdateBlockMetrics(fullBlock.Block, c.lastBuiltBlock); err != nil {
 		c.logger.Error("failed to update block metrics", "error", err)
 	}
 
 	// after the block has been written we reset the txpool so that the old transactions are removed
-	c.config.txPool.ResetWithBlock(fullBlock.Block)
+	c.txPool.ResetWithBlock(fullBlock.Block)
 
 	var (
 		epoch = c.epoch
@@ -294,7 +295,7 @@ func (c *consensusRuntime) OnBlockInserted(fullBlock *types.FullBlock) {
 	)
 
 	// begin DB transaction
-	dbTx, err := c.state.beginDBTransaction(true)
+	dbTx, err := c.state.BeginDBTransaction(true)
 	if err != nil {
 		c.logger.Error("failed to begin db transaction on block finalization",
 			"block", fullBlock.Block.Number(), "err", err)
@@ -304,7 +305,7 @@ func (c *consensusRuntime) OnBlockInserted(fullBlock *types.FullBlock) {
 
 	defer dbTx.Rollback() //nolint:errcheck
 
-	lastProcessedEventsBlock, err := c.state.getLastProcessedEventsBlock(dbTx)
+	lastProcessedEventsBlock, err := c.state.GetLastProcessedEventsBlock(dbTx)
 	if err != nil {
 		c.logger.Error("failed to get last processed events block on block finalization",
 			"block", fullBlock.Block.Number(), "err", err)
@@ -318,7 +319,7 @@ func (c *consensusRuntime) OnBlockInserted(fullBlock *types.FullBlock) {
 		return
 	}
 
-	postBlock := &PostBlockRequest{
+	postBlock := &polytypes.PostBlockRequest{
 		FullBlock:           fullBlock,
 		Epoch:               epoch.Number,
 		IsEpochEndingBlock:  isEndOfEpoch,
@@ -360,7 +361,7 @@ func (c *consensusRuntime) OnBlockInserted(fullBlock *types.FullBlock) {
 		}
 	}
 
-	if err := c.state.insertLastProcessedEventsBlock(fullBlock.Block.Number(), dbTx); err != nil {
+	if err := c.state.InsertLastProcessedEventsBlock(fullBlock.Block.Number(), dbTx); err != nil {
 		c.logger.Error("failed to update the last processed events block in db", "error", err)
 
 		return
@@ -397,10 +398,10 @@ func (c *consensusRuntime) FSM() error {
 		return errNotAValidator
 	}
 
-	blockBuilder, err := c.config.blockchain.NewBlockBuilder(
+	blockBuilder, err := c.blockchain.NewBlockBuilder(
 		parent,
 		c.config.Key.Address(),
-		c.config.txPool,
+		c.txPool,
 		epoch.CurrentClientConfig.BlockTime.Duration,
 		c.logger,
 	)
@@ -421,8 +422,8 @@ func (c *consensusRuntime) FSM() error {
 		config:              epoch.CurrentClientConfig,
 		forks:               c.config.Forks,
 		parent:              parent,
-		backend:             c.config.blockchain,
-		polybftBackend:      c.config.polybftBackend,
+		blockchain:          c.blockchain,
+		polybftBackend:      c.backend,
 		epochNumber:         epoch.Number,
 		blockBuilder:        blockBuilder,
 		validators:          valSet,
@@ -492,25 +493,18 @@ func (c *consensusRuntime) restartEpoch(header *types.Header, dbTx *bolt.Tx) (*e
 		}
 	}
 
-	validatorSet, err := c.config.polybftBackend.GetValidatorsWithTx(header.Number, nil, dbTx)
+	validatorSet, err := c.backend.GetValidatorsWithTx(header.Number, nil, dbTx)
 	if err != nil {
 		return nil, fmt.Errorf("restart epoch - cannot get validators: %w", err)
 	}
 
-	updateEpochMetrics(epochMetadata{
-		Number:     epochNumber,
-		Validators: validatorSet,
-	})
+	polymetrics.UpdateEpochMetrics(epochNumber, len(validatorSet))
 
 	firstBlockInEpoch, err := c.getFirstBlockOfEpoch(epochNumber, header)
 	if err != nil {
 		return nil, err
 	}
 
-	if err := c.state.EpochStore.cleanEpochsFromDB(dbTx); err != nil {
-		c.logger.Error("Could not clean previous epochs from db.", "error", err)
-	}
-
 	c.logger.Info(
 		"restartEpoch",
 		"block number", header.Number,
@@ -519,7 +513,7 @@ func (c *consensusRuntime) restartEpoch(header *types.Header, dbTx *bolt.Tx) (*e
 		"firstBlockInEpoch", firstBlockInEpoch,
 	)
 
-	reqObj := &PostEpochRequest{
+	reqObj := &polytypes.PostEpochRequest{
 		SystemState:       systemState,
 		NewEpochID:        epochNumber,
 		FirstBlockOfEpoch: firstBlockInEpoch,
@@ -541,12 +535,12 @@ func (c *consensusRuntime) restartEpoch(header *types.Header, dbTx *bolt.Tx) (*e
 		return nil, err
 	}
 
-	currentPolyConfig, err := GetPolyBFTConfig(currentParams)
+	currentPolyConfig, err := config.GetPolyBFTConfig(currentParams)
 	if err != nil {
 		return nil, err
 	}
 
-	c.config.polybftBackend.SetBlockTime(currentPolyConfig.BlockTime.Duration)
+	c.backend.SetBlockTime(currentPolyConfig.BlockTime.Duration)
 
 	return &epochMetadata{
 		Number:              epochNumber,
@@ -577,7 +571,7 @@ func (c *consensusRuntime) calculateDistributeRewardsInput(
 	lastFinalizedBlock *types.Header,
 	epochID uint64,
 ) (*contractsapi.DistributeRewardForEpochManagerFn, error) {
-	if !isRewardDistributionBlock(c.config.Forks, isFirstBlockOfEpoch, isEndOfEpoch, pendingBlockNumber) {
+	if !governance.IsRewardDistributionBlock(c.config.Forks, isFirstBlockOfEpoch, isEndOfEpoch, pendingBlockNumber) {
 		// we don't have to distribute rewards at this block
 		return nil, nil
 	}
@@ -596,7 +590,7 @@ func (c *consensusRuntime) calculateDistributeRewardsInput(
 		epochID--
 	}
 
-	getSealersForBlock := func(blockExtra *Extra, validators validator.AccountSet) error {
+	getSealersForBlock := func(blockExtra *polytypes.Extra, validators validator.AccountSet) error {
 		signers, err := validators.GetFilteredValidators(blockExtra.Parent.Bitmap)
 		if err != nil {
 			return err
@@ -611,19 +605,19 @@ func (c *consensusRuntime) calculateDistributeRewardsInput(
 		return nil
 	}
 
-	blockExtra, err := GetIbftExtra(blockHeader.ExtraData)
+	blockExtra, err := polytypes.GetIbftExtra(blockHeader.ExtraData)
 	if err != nil {
 		return nil, err
 	}
 
-	previousBlockHeader, previousBlockExtra, err := getBlockData(blockHeader.Number-1, c.config.blockchain)
+	previousBlockHeader, previousBlockExtra, err := helpers.GetBlockData(blockHeader.Number-1, c.blockchain)
 	if err != nil {
 		return nil, err
 	}
 
 	// calculate uptime starting from last block - 1 in epoch until first block in given epoch
 	for previousBlockExtra.BlockMetaData.EpochNumber == blockExtra.BlockMetaData.EpochNumber {
-		validators, err := c.config.polybftBackend.GetValidators(blockHeader.Number-1, nil)
+		validators, err := c.backend.GetValidators(blockHeader.Number-1, nil)
 		if err != nil {
 			return nil, err
 		}
@@ -632,24 +626,24 @@ func (c *consensusRuntime) calculateDistributeRewardsInput(
 			return nil, err
 		}
 
-		blockHeader, blockExtra, err = getBlockData(blockHeader.Number-1, c.config.blockchain)
+		blockHeader, blockExtra, err = helpers.GetBlockData(blockHeader.Number-1, c.blockchain)
 		if err != nil {
 			return nil, err
 		}
 
-		previousBlockHeader, previousBlockExtra, err = getBlockData(previousBlockHeader.Number-1, c.config.blockchain)
+		previousBlockHeader, previousBlockExtra, err = helpers.GetBlockData(previousBlockHeader.Number-1, c.blockchain)
 		if err != nil {
 			return nil, err
 		}
 	}
 
-	lookbackSize := getLookbackSizeForRewardDistribution(c.config.Forks, pendingBlockNumber)
+	lookbackSize := governance.GetLookbackSizeForRewardDistribution(c.config.Forks, pendingBlockNumber)
 
 	// calculate uptime for blocks from previous epoch that were not processed in previous uptime
 	// since we can not calculate uptime for the last block in epoch (because of parent signatures)
 	if blockHeader.Number > lookbackSize {
 		for i := uint64(0); i < lookbackSize; i++ {
-			validators, err := c.config.polybftBackend.GetValidators(blockHeader.Number-2, nil)
+			validators, err := c.backend.GetValidators(blockHeader.Number-2, nil)
 			if err != nil {
 				return nil, err
 			}
@@ -658,7 +652,7 @@ func (c *consensusRuntime) calculateDistributeRewardsInput(
 				return nil, err
 			}
 
-			blockHeader, blockExtra, err = getBlockData(blockHeader.Number-1, c.config.blockchain)
+			blockHeader, blockExtra, err = helpers.GetBlockData(blockHeader.Number-1, c.blockchain)
 			if err != nil {
 				return nil, err
 			}
@@ -716,13 +710,13 @@ func (c *consensusRuntime) isFixedSizeOfSprintMet(blockNumber uint64, epoch *epo
 }
 
 // getSystemState builds SystemState instance for the most current block header
-func (c *consensusRuntime) getSystemState(header *types.Header) (SystemState, error) {
-	provider, err := c.config.blockchain.GetStateProviderForBlock(header)
+func (c *consensusRuntime) getSystemState(header *types.Header) (systemstate.SystemState, error) {
+	provider, err := c.blockchain.GetStateProviderForBlock(header)
 	if err != nil {
 		return nil, err
 	}
 
-	return c.config.blockchain.GetSystemState(provider), nil
+	return c.blockchain.GetSystemState(provider), nil
 }
 
 func (c *consensusRuntime) IsValidProposal(rawProposal []byte) bool {
@@ -784,7 +778,7 @@ func (c *consensusRuntime) IsValidProposalHash(proposal *proto.Proposal, hash []
 		return false
 	}
 
-	extra, err := GetIbftExtra(block.Header.ExtraData)
+	extra, err := polytypes.GetIbftExtra(block.Header.ExtraData)
 	if err != nil {
 		c.logger.Error("failed to retrieve extra", "block number", block.Number(), "error", err)
 
@@ -890,7 +884,7 @@ func (c *consensusRuntime) BuildPrePrepareMessage(
 		return nil
 	}
 
-	extra, err := GetIbftExtra(block.Header.ExtraData)
+	extra, err := polytypes.GetIbftExtra(block.Header.ExtraData)
 	if err != nil {
 		c.logger.Error("failed to retrieve extra for block %d: %w", block.Number(), err)
 
@@ -993,9 +987,9 @@ func (c *consensusRuntime) RoundStarts(view *proto.View) error {
 	c.logger.Info("RoundStarts", "height", view.Height, "round", view.Round)
 
 	if view.Round > 0 {
-		c.config.txPool.ReinsertProposed()
+		c.txPool.ReinsertProposed()
 	} else {
-		c.config.txPool.ClearProposed()
+		c.txPool.ClearProposed()
 	}
 
 	return nil
@@ -1004,7 +998,7 @@ func (c *consensusRuntime) RoundStarts(view *proto.View) error {
 // SequenceCancelled represents sequence cancelled callback
 func (c *consensusRuntime) SequenceCancelled(view *proto.View) error {
 	c.logger.Info("SequenceCancelled", "height", view.Height, "round", view.Round)
-	c.config.txPool.ReinsertProposed()
+	c.txPool.ReinsertProposed()
 
 	return nil
 }
@@ -1047,7 +1041,7 @@ func (c *consensusRuntime) getFirstBlockOfEpoch(epochNumber uint64, latestHeader
 
 	blockHeader := latestHeader
 
-	blockExtra, err := GetIbftExtra(latestHeader.ExtraData)
+	blockExtra, err := polytypes.GetIbftExtra(latestHeader.ExtraData)
 	if err != nil {
 		return 0, err
 	}
@@ -1064,7 +1058,7 @@ func (c *consensusRuntime) getFirstBlockOfEpoch(epochNumber uint64, latestHeader
 
 	for blockExtra.BlockMetaData.EpochNumber == epoch {
 		firstBlockInEpoch = blockHeader.Number
-		blockHeader, blockExtra, err = getBlockData(blockHeader.Number-1, c.config.blockchain)
+		blockHeader, blockExtra, err = helpers.GetBlockData(blockHeader.Number-1, c.blockchain)
 
 		if err != nil {
 			return 0, err
diff --git a/consensus/polybft/consensus_runtime_test.go b/consensus/polybft/consensus_runtime_test.go
index 1218cd4a94..f51409f9e3 100644
--- a/consensus/polybft/consensus_runtime_test.go
+++ b/consensus/polybft/consensus_runtime_test.go
@@ -8,11 +8,19 @@ import (
 	"testing"
 	"time"
 
-	"github.com/0xPolygon/go-ibft/messages/proto"
+	ibftproto "github.com/0xPolygon/go-ibft/messages/proto"
 	"github.com/0xPolygon/polygon-edge/chain"
 	"github.com/0xPolygon/polygon-edge/consensus"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/bitmap"
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/bridge"
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/config"
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/governance"
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/helpers"
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/proposer"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/signer"
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/stake"
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/state"
+	polytypes "github.com/0xPolygon/polygon-edge/consensus/polybft/types"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/validator"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/wallet"
 	"github.com/0xPolygon/polygon-edge/contracts"
@@ -20,9 +28,11 @@ import (
 	"github.com/0xPolygon/polygon-edge/helper/common"
 	"github.com/0xPolygon/polygon-edge/types"
 	"github.com/hashicorp/go-hclog"
+	"github.com/libp2p/go-libp2p/core/peer"
 	"github.com/stretchr/testify/assert"
 	"github.com/stretchr/testify/mock"
 	"github.com/stretchr/testify/require"
+	"google.golang.org/protobuf/proto"
 )
 
 func init() {
@@ -48,7 +58,7 @@ func TestConsensusRuntime_isFixedSizeOfEpochMet_NotReachedEnd(t *testing.T) {
 		{10, 1, 1},
 	}
 
-	config := &runtimeConfig{GenesisConfig: &PolyBFTConfig{}}
+	config := &config.Runtime{GenesisConfig: &config.PolyBFT{}}
 	runtime := &consensusRuntime{
 		config:         config,
 		lastBuiltBlock: &types.Header{},
@@ -86,7 +96,7 @@ func TestConsensusRuntime_isFixedSizeOfEpochMet_ReachedEnd(t *testing.T) {
 		{10, 1, 10},
 	}
 
-	config := &runtimeConfig{GenesisConfig: &PolyBFTConfig{}}
+	config := &config.Runtime{GenesisConfig: &config.PolyBFT{}}
 	runtime := &consensusRuntime{
 		config: config,
 		epoch:  &epochMetadata{CurrentClientConfig: config.GenesisConfig},
@@ -123,7 +133,7 @@ func TestConsensusRuntime_isFixedSizeOfSprintMet_NotReachedEnd(t *testing.T) {
 		{10, 1, 1},
 	}
 
-	config := &runtimeConfig{GenesisConfig: &PolyBFTConfig{}}
+	config := &config.Runtime{GenesisConfig: &config.PolyBFT{}}
 	runtime := &consensusRuntime{
 		config: config,
 		epoch:  &epochMetadata{CurrentClientConfig: config.GenesisConfig},
@@ -161,7 +171,7 @@ func TestConsensusRuntime_isFixedSizeOfSprintMet_ReachedEnd(t *testing.T) {
 		{3, 3, 5},
 	}
 
-	config := &runtimeConfig{GenesisConfig: &PolyBFTConfig{}}
+	config := &config.Runtime{GenesisConfig: &config.PolyBFT{}}
 	runtime := &consensusRuntime{
 		config: config,
 		epoch:  &epochMetadata{CurrentClientConfig: config.GenesisConfig},
@@ -196,59 +206,62 @@ func TestConsensusRuntime_OnBlockInserted_EndOfEpoch(t *testing.T) {
 	})
 
 	newEpochNumber := currentEpochNumber + 1
-	systemStateMock := new(systemStateMock)
+	systemStateMock := new(helpers.SystemStateMock)
 	systemStateMock.On("GetEpoch").Return(newEpochNumber).Once()
 
-	blockchainMock := new(blockchainMock)
-	blockchainMock.On("GetStateProviderForBlock", mock.Anything).Return(new(stateProviderMock)).Once()
+	blockchainMock := new(helpers.BlockchainMock)
+	blockchainMock.On("GetStateProviderForBlock", mock.Anything).Return(new(helpers.StateProviderMock)).Once()
 	blockchainMock.On("GetSystemState", mock.Anything, mock.Anything).Return(systemStateMock)
-	blockchainMock.On("GetHeaderByNumber", mock.Anything).Return(headerMap.getHeader)
+	blockchainMock.On("GetHeaderByNumber", mock.Anything).Return(headerMap.GetHeader)
 
-	polybftBackendMock := new(polybftBackendMock)
+	polybftBackendMock := new(helpers.PolybftBackendMock)
 	polybftBackendMock.On("GetValidatorsWithTx", mock.Anything, mock.Anything, mock.Anything).Return(validatorSet).Times(3)
 	polybftBackendMock.On("SetBlockTime", mock.Anything).Once()
 
-	txPool := new(txPoolMock)
-	txPool.On("ResetWithBlock", mock.Anything).Once()
+	txPoolMock := new(helpers.TxPoolMock)
+	txPoolMock.On("ResetWithBlock", mock.Anything).Once()
 
-	snapshot := NewProposerSnapshot(epochSize-1, validatorSet)
-	polybftCfg := &PolyBFTConfig{EpochSize: epochSize}
-	config := &runtimeConfig{
-		GenesisConfig: &PolyBFTConfig{
+	snapshot := proposer.NewProposerSnapshot(epochSize-1, validatorSet)
+	polybftCfg := &config.PolyBFT{EpochSize: epochSize}
+	config := &config.Runtime{
+		GenesisConfig: &config.PolyBFT{
 			EpochSize: epochSize,
 		},
-		genesisParams:  &chain.Params{Engine: map[string]interface{}{ConsensusName: polybftCfg}},
-		blockchain:     blockchainMock,
-		polybftBackend: polybftBackendMock,
-		txPool:         txPool,
-		State:          newTestState(t),
+		ChainParams: &chain.Params{Engine: map[string]interface{}{config.ConsensusName: polybftCfg}},
 	}
-	require.NoError(t, config.State.insertLastProcessedEventsBlock(builtBlock.Number()-1, nil))
+	st := state.NewTestState(t)
+
+	require.NoError(t, st.InsertLastProcessedEventsBlock(builtBlock.Number()-1, nil))
+
+	proposerCalculator, err := proposer.NewProposerCalculatorFromSnapshot(snapshot, config, st,
+		polybftBackendMock, blockchainMock, hclog.NewNullLogger())
+	require.NoError(t, err)
 
 	runtime := &consensusRuntime{
-		proposerCalculator: NewProposerCalculatorFromSnapshot(snapshot, config, hclog.NewNullLogger()),
+		proposerCalculator: proposerCalculator,
 		logger:             hclog.NewNullLogger(),
-		state:              config.State,
+		state:              st,
 		config:             config,
+		blockchain:         blockchainMock,
+		backend:            polybftBackendMock,
+		txPool:             txPoolMock,
 		epoch: &epochMetadata{
 			Number:              currentEpochNumber,
 			FirstBlockInEpoch:   header.Number - epochSize + 1,
 			CurrentClientConfig: config.GenesisConfig,
 		},
 		lastBuiltBlock: &types.Header{Number: header.Number - 1},
-		stakeManager:   &dummyStakeManager{},
-		eventProvider:  NewEventProvider(blockchainMock),
-		governanceManager: &dummyGovernanceManager{
-			getClientConfigFn: func() (*chain.Params, error) {
-				return config.genesisParams, nil
+		stakeManager:   &stake.DummyStakeManager{},
+		eventProvider:  state.NewEventProvider(blockchainMock),
+		governanceManager: &governance.DummyGovernanceManager{
+			GetClientConfigFn: func() (*chain.Params, error) {
+				return config.ChainParams, nil
 			}},
 	}
 
-	runtime.bridge = createTestBridge(t, runtime.state)
+	runtime.bridge = &bridge.DummyBridge{}
 
 	runtime.OnBlockInserted(&types.FullBlock{Block: builtBlock})
-
-	require.True(t, runtime.state.EpochStore.isEpochInserted(currentEpochNumber+1, 1))
 	require.Equal(t, newEpochNumber, runtime.epoch.Number)
 
 	blockchainMock.AssertExpectations(t)
@@ -270,35 +283,35 @@ func TestConsensusRuntime_OnBlockInserted_MiddleOfEpoch(t *testing.T) {
 		Header: header,
 	})
 
-	blockchainMock := new(blockchainMock)
+	blockchainMock := new(helpers.BlockchainMock)
 	blockchainMock.On("GetHeaderByNumber", mock.Anything).Return(builtBlock.Header, true).Once()
 
-	polybftBackendMock := new(polybftBackendMock)
+	polybftBackendMock := new(helpers.PolybftBackendMock)
 	polybftBackendMock.On("GetValidatorsWithTx", mock.Anything, mock.Anything, mock.Anything).Return(nil).Once()
 
-	txPool := new(txPoolMock)
-	txPool.On("ResetWithHeaders", mock.Anything).Once()
+	txPoolMock := new(helpers.TxPoolMock)
+	txPoolMock.On("ResetWithHeaders", mock.Anything).Once()
 
-	snapshot := NewProposerSnapshot(blockNumber, []*validator.ValidatorMetadata{})
-	config := &runtimeConfig{
-		GenesisConfig: &PolyBFTConfig{EpochSize: epochSize},
-		blockchain:    blockchainMock,
-		txPool:        txPool,
+	snapshot := proposer.NewProposerSnapshot(blockNumber, []*validator.ValidatorMetadata{})
+	config := &config.Runtime{
+		GenesisConfig: &config.PolyBFT{EpochSize: epochSize},
 	}
 
+	proposerCalculator, err := proposer.NewProposerCalculatorFromSnapshot(snapshot, config, state.NewTestState(t),
+		polybftBackendMock, blockchainMock, hclog.NewNullLogger())
+	require.NoError(t, err)
+
 	runtime := &consensusRuntime{
 		lastBuiltBlock: header,
-		config: &runtimeConfig{
-			GenesisConfig: &PolyBFTConfig{EpochSize: epochSize},
-			blockchain:    blockchainMock,
-			txPool:        txPool,
-		},
+		blockchain:     blockchainMock,
+		txPool:         txPoolMock,
+		config:         config,
 		epoch: &epochMetadata{
 			Number:            epoch,
 			FirstBlockInEpoch: firstBlockInEpoch,
 		},
 		logger:             hclog.NewNullLogger(),
-		proposerCalculator: NewProposerCalculatorFromSnapshot(snapshot, config, hclog.NewNullLogger()),
+		proposerCalculator: proposerCalculator,
 	}
 	runtime.OnBlockInserted(&types.FullBlock{Block: builtBlock})
 
@@ -310,15 +323,20 @@ func TestConsensusRuntime_FSM_NotInValidatorSet(t *testing.T) {
 
 	validators := validator.NewTestValidatorsWithAliases(t, []string{"A", "B", "C", "D"})
 
-	snapshot := NewProposerSnapshot(1, nil)
-	config := &runtimeConfig{
-		GenesisConfig: &PolyBFTConfig{
+	snapshot := proposer.NewProposerSnapshot(1, nil)
+	config := &config.Runtime{
+		GenesisConfig: &config.PolyBFT{
 			EpochSize: 1,
 		},
-		Key: createTestKey(t),
+		Key: helpers.CreateTestKey(t),
 	}
+
+	proposerCalculator, err := proposer.NewProposerCalculatorFromSnapshot(snapshot, config, state.NewTestState(t),
+		new(helpers.PolybftBackendMock), new(helpers.BlockchainMock), hclog.NewNullLogger())
+	require.NoError(t, err)
+
 	runtime := &consensusRuntime{
-		proposerCalculator: NewProposerCalculatorFromSnapshot(snapshot, config, hclog.NewNullLogger()),
+		proposerCalculator: proposerCalculator,
 		config:             config,
 		epoch: &epochMetadata{
 			Number:     1,
@@ -328,15 +346,14 @@ func TestConsensusRuntime_FSM_NotInValidatorSet(t *testing.T) {
 	}
 	runtime.setIsActiveValidator(true)
 
-	err := runtime.FSM()
-	assert.ErrorIs(t, err, errNotAValidator)
+	assert.ErrorIs(t, runtime.FSM(), errNotAValidator)
 }
 
 func TestConsensusRuntime_FSM_NotEndOfEpoch_NotEndOfSprint(t *testing.T) {
 	t.Parallel()
 
-	extra := &Extra{
-		BlockMetaData: &BlockMetaData{},
+	extra := &polytypes.Extra{
+		BlockMetaData: &polytypes.BlockMetaData{},
 	}
 	lastBlock := &types.Header{
 		Number:    1,
@@ -344,21 +361,25 @@ func TestConsensusRuntime_FSM_NotEndOfEpoch_NotEndOfSprint(t *testing.T) {
 	}
 
 	validators := validator.NewTestValidators(t, 3)
-	blockchainMock := new(blockchainMock)
-	blockchainMock.On("NewBlockBuilder", mock.Anything).Return(&BlockBuilder{}, nil).Once()
+	blockchainMock := new(helpers.BlockchainMock)
+	blockchainMock.On("NewBlockBuilder", mock.Anything).Return(new(helpers.BlockBuilderMock), nil).Once()
 
-	snapshot := NewProposerSnapshot(1, nil)
-	config := &runtimeConfig{
-		GenesisConfig: &PolyBFTConfig{
+	snapshot := proposer.NewProposerSnapshot(1, nil)
+	config := &config.Runtime{
+		GenesisConfig: &config.PolyBFT{
 			EpochSize:  10,
 			SprintSize: 5,
 		},
-		Key:        wallet.NewKey(validators.GetPrivateIdentities()[0]),
-		blockchain: blockchainMock,
-		Forks:      chain.AllForksEnabled,
+		Key:   wallet.NewKey(validators.GetPrivateIdentities()[0]),
+		Forks: chain.AllForksEnabled,
 	}
+
+	proposerCalculator, err := proposer.NewProposerCalculatorFromSnapshot(snapshot, config, state.NewTestState(t),
+		new(helpers.PolybftBackendMock), blockchainMock, hclog.NewNullLogger())
+	require.NoError(t, err)
+
 	runtime := &consensusRuntime{
-		proposerCalculator: NewProposerCalculatorFromSnapshot(snapshot, config, hclog.NewNullLogger()),
+		proposerCalculator: proposerCalculator,
 		logger:             hclog.NewNullLogger(),
 		config:             config,
 		epoch: &epochMetadata{
@@ -367,14 +388,14 @@ func TestConsensusRuntime_FSM_NotEndOfEpoch_NotEndOfSprint(t *testing.T) {
 			FirstBlockInEpoch:   1,
 			CurrentClientConfig: config.GenesisConfig,
 		},
+		blockchain:     blockchainMock,
 		lastBuiltBlock: lastBlock,
-		state:          newTestState(t),
-		bridge:         &dummyBridge{},
+		state:          state.NewTestState(t),
+		bridge:         &bridge.DummyBridge{},
 	}
 	runtime.setIsActiveValidator(true)
 
-	err := runtime.FSM()
-	require.NoError(t, err)
+	require.NoError(t, runtime.FSM())
 
 	assert.True(t, runtime.IsActiveValidator())
 	assert.False(t, runtime.fsm.isEndOfEpoch)
@@ -385,7 +406,7 @@ func TestConsensusRuntime_FSM_NotEndOfEpoch_NotEndOfSprint(t *testing.T) {
 	assert.True(t, runtime.fsm.ValidatorSet().Includes(address))
 
 	assert.NotNil(t, runtime.fsm.blockBuilder)
-	assert.NotNil(t, runtime.fsm.backend)
+	assert.NotNil(t, runtime.fsm.blockchain)
 
 	blockchainMock.AssertExpectations(t)
 }
@@ -405,20 +426,18 @@ func TestConsensusRuntime_FSM_EndOfEpoch_BuildCommitEpoch(t *testing.T) {
 	validatorAccounts := validator.NewTestValidatorsWithAliases(t, []string{"A", "B", "C", "D", "E", "F"})
 	validators := validatorAccounts.GetPublicIdentities()
 
-	blockchainMock := new(blockchainMock)
-	blockchainMock.On("NewBlockBuilder", mock.Anything).Return(&BlockBuilder{}, nil).Once()
+	blockchainMock := new(helpers.BlockchainMock)
+	blockchainMock.On("NewBlockBuilder", mock.Anything).Return(new(helpers.BlockBuilderMock), nil).Once()
 
-	state := newTestState(t)
-	require.NoError(t, state.EpochStore.insertEpoch(epoch, nil, 0))
+	state := state.NewTestState(t)
 
-	config := &runtimeConfig{
-		GenesisConfig: &PolyBFTConfig{
+	config := &config.Runtime{
+		GenesisConfig: &config.PolyBFT{
 			EpochSize:  epochSize,
 			SprintSize: sprintSize,
 		},
-		Key:        validatorAccounts.GetValidator("A").Key(),
-		blockchain: blockchainMock,
-		Forks:      chain.AllForksEnabled,
+		Key:   validatorAccounts.GetValidator("A").Key(),
+		Forks: chain.AllForksEnabled,
 	}
 
 	metadata := &epochMetadata{
@@ -428,22 +447,26 @@ func TestConsensusRuntime_FSM_EndOfEpoch_BuildCommitEpoch(t *testing.T) {
 		CurrentClientConfig: config.GenesisConfig,
 	}
 
-	snapshot := NewProposerSnapshot(1, nil)
+	snapshot := proposer.NewProposerSnapshot(1, nil)
+	proposerCalculator, err := proposer.NewProposerCalculatorFromSnapshot(snapshot, config, state,
+		new(helpers.PolybftBackendMock), blockchainMock, hclog.NewNullLogger())
+	require.NoError(t, err)
+
 	runtime := &consensusRuntime{
-		proposerCalculator: NewProposerCalculatorFromSnapshot(snapshot, config, hclog.NewNullLogger()),
+		proposerCalculator: proposerCalculator,
 		logger:             hclog.NewNullLogger(),
 		state:              state,
 		epoch:              metadata,
 		config:             config,
 		lastBuiltBlock:     &types.Header{Number: 9},
-		stakeManager:       &dummyStakeManager{},
-		bridge:             &dummyBridge{},
+		stakeManager:       &stake.DummyStakeManager{},
+		bridge:             &bridge.DummyBridge{},
+		blockchain:         blockchainMock,
 	}
 
-	err := runtime.FSM()
-	fsm := runtime.fsm
+	assert.NoError(t, runtime.FSM())
 
-	assert.NoError(t, err)
+	fsm := runtime.fsm
 	assert.True(t, fsm.isEndOfEpoch)
 	assert.NotNil(t, fsm.commitEpochInput)
 	assert.NotEmpty(t, fsm.commitEpochInput)
@@ -457,7 +480,7 @@ func Test_NewConsensusRuntime(t *testing.T) {
 	_, err := os.Create("/tmp/consensusState.db")
 	require.NoError(t, err)
 
-	polyBftConfig := &PolyBFTConfig{
+	polyBftConfig := &config.PolyBFT{
 		/* 		Bridge: map[uint64]*BridgeConfig{0: {
 			StateSenderAddr:       types.Address{0x13},
 			CheckpointManagerAddr: types.Address{0x10},
@@ -470,52 +493,41 @@ func Test_NewConsensusRuntime(t *testing.T) {
 
 	validators := validator.NewTestValidators(t, 3).GetPublicIdentities()
 
-	systemStateMock := new(systemStateMock)
+	systemStateMock := new(helpers.SystemStateMock)
 	systemStateMock.On("GetEpoch").Return(uint64(1)).Once()
 	systemStateMock.On("GetNextCommittedIndex").Return(uint64(1)).Once()
 
-	blockchainMock := &blockchainMock{}
+	blockchainMock := new(helpers.BlockchainMock)
 	blockchainMock.On("CurrentHeader").Return(&types.Header{Number: 1, ExtraData: createTestExtraForAccounts(t, 1, validators, nil)})
-	blockchainMock.On("GetStateProviderForBlock", mock.Anything).Return(new(stateProviderMock)).Once()
+	blockchainMock.On("GetStateProviderForBlock", mock.Anything).Return(new(helpers.StateProviderMock)).Once()
 	blockchainMock.On("GetSystemState", mock.Anything, mock.Anything).Return(systemStateMock).Once()
 	blockchainMock.On("GetHeaderByNumber", uint64(0)).Return(&types.Header{Number: 0, ExtraData: createTestExtraForAccounts(t, 0, validators, nil)})
 	blockchainMock.On("GetHeaderByNumber", uint64(1)).Return(&types.Header{Number: 1, ExtraData: createTestExtraForAccounts(t, 1, validators, nil)})
 
-	polybftBackendMock := new(polybftBackendMock)
-	polybftBackendMock.On("GetValidatorsWithTx", mock.Anything, mock.Anything, mock.Anything).Return(validators).Times(3)
+	polybftBackendMock := new(helpers.PolybftBackendMock)
+	polybftBackendMock.On("GetValidatorsWithTx", mock.Anything, mock.Anything, mock.Anything).Return(validators).Times(4)
 	polybftBackendMock.On("SetBlockTime", mock.Anything).Once()
 
 	tmpDir := t.TempDir()
-	config := &runtimeConfig{
-		polybftBackend:  polybftBackendMock,
-		State:           newTestState(t),
-		genesisParams:   &chain.Params{Engine: map[string]interface{}{ConsensusName: polyBftConfig}},
-		GenesisConfig:   polyBftConfig,
-		DataDir:         tmpDir,
-		Key:             createTestKey(t),
-		blockchain:      blockchainMock,
-		bridgeTopic:     &mockTopic{},
-		consensusConfig: &consensus.Config{},
-		eventTracker:    &consensus.EventTracker{},
-		Forks:           chain.AllForksEnabled,
-	}
-
-	require.NoError(t, config.State.StakeStore.insertFullValidatorSet(validatorSetState{
-		BlockNumber: 1,
-	}, nil))
-
-	runtime, err := newConsensusRuntime(hclog.NewNullLogger(), config)
+	st := state.NewTestState(t)
+
+	config := &config.Runtime{
+		ChainParams:   &chain.Params{Engine: map[string]interface{}{config.ConsensusName: polyBftConfig}},
+		GenesisConfig: polyBftConfig,
+		StateDataDir:  tmpDir,
+		Key:           helpers.CreateTestKey(t),
+		EventTracker:  &consensus.EventTracker{},
+		Forks:         chain.AllForksEnabled,
+	}
+
+	runtime, err := newConsensusRuntime(hclog.NewNullLogger(), config, st, polybftBackendMock, blockchainMock, nil, &mockTopic{})
 	require.NoError(t, err)
 
 	assert.False(t, runtime.IsActiveValidator())
-	assert.Equal(t, runtime.config.DataDir, tmpDir)
+	assert.Equal(t, runtime.config.StateDataDir, tmpDir)
 	assert.Equal(t, uint64(10), runtime.config.GenesisConfig.SprintSize)
 	assert.Equal(t, uint64(10), runtime.config.GenesisConfig.EpochSize)
 	assert.Equal(t, "0x0000000000000000000000000000000000000101", contracts.EpochManagerContract.String())
-	// assert.Equal(t, "0x1300000000000000000000000000000000000000", runtime.config.GenesisConfig.Bridge[0].StateSenderAddr.String())
-	// assert.Equal(t, "0x1000000000000000000000000000000000000000", runtime.config.GenesisConfig.Bridge[0].CheckpointManagerAddr.String())
-	// assert.True(t, runtime.IsBridgeEnabled())
-	// systemStateMock.AssertExpectations(t)
 	blockchainMock.AssertExpectations(t)
 	polybftBackendMock.AssertExpectations(t)
 }
@@ -528,19 +540,22 @@ func TestConsensusRuntime_restartEpoch_SameEpochNumberAsTheLastOne(t *testing.T)
 	newCurrentHeader := &types.Header{Number: originalBlockNumber + 1}
 	validatorSet := validator.NewTestValidators(t, 3).GetPublicIdentities()
 
-	systemStateMock := new(systemStateMock)
+	systemStateMock := new(helpers.SystemStateMock)
 	systemStateMock.On("GetEpoch").Return(uint64(1), nil).Once()
 
-	blockchainMock := new(blockchainMock)
-	blockchainMock.On("GetStateProviderForBlock", mock.Anything).Return(new(stateProviderMock)).Once()
+	blockchainMock := new(helpers.BlockchainMock)
+	blockchainMock.On("GetStateProviderForBlock", mock.Anything).Return(new(helpers.StateProviderMock)).Once()
 	blockchainMock.On("GetSystemState", mock.Anything, mock.Anything).Return(systemStateMock).Once()
 
-	snapshot := NewProposerSnapshot(1, nil)
-	config := &runtimeConfig{
-		blockchain: blockchainMock,
-	}
+	snapshot := proposer.NewProposerSnapshot(1, nil)
+	config := &config.Runtime{}
+
+	proposerCalculator, err := proposer.NewProposerCalculatorFromSnapshot(snapshot, config, state.NewTestState(t),
+		new(helpers.PolybftBackendMock), blockchainMock, hclog.NewNullLogger())
+	require.NoError(t, err)
+
 	runtime := &consensusRuntime{
-		proposerCalculator: NewProposerCalculatorFromSnapshot(snapshot, config, hclog.NewNullLogger()),
+		proposerCalculator: proposerCalculator,
 		config:             config,
 		epoch: &epochMetadata{
 			Number:            1,
@@ -550,6 +565,7 @@ func TestConsensusRuntime_restartEpoch_SameEpochNumberAsTheLastOne(t *testing.T)
 		lastBuiltBlock: &types.Header{
 			Number: originalBlockNumber,
 		},
+		blockchain: blockchainMock,
 	}
 	runtime.setIsActiveValidator(true)
 
@@ -577,29 +593,29 @@ func TestConsensusRuntime_calculateCommitEpochInput_SecondEpoch(t *testing.T) {
 	)
 
 	validators := validator.NewTestValidatorsWithAliases(t, []string{"A", "B", "C", "D", "E"})
-	polybftConfig := &PolyBFTConfig{
+	polybftConfig := &config.PolyBFT{
 		EpochSize:  epochSize,
 		SprintSize: sprintSize,
 	}
 
 	lastBuiltBlock, headerMap := createTestBlocks(t, 20, epochSize, validators.GetPublicIdentities())
 
-	blockchainMock := new(blockchainMock)
-	blockchainMock.On("GetHeaderByNumber", mock.Anything).Return(headerMap.getHeader)
+	blockchainMock := new(helpers.BlockchainMock)
+	blockchainMock.On("GetHeaderByNumber", mock.Anything).Return(headerMap.GetHeader)
 
-	polybftBackendMock := new(polybftBackendMock)
+	polybftBackendMock := new(helpers.PolybftBackendMock)
 	polybftBackendMock.On("GetValidators", mock.Anything, mock.Anything).Return(validators.GetPublicIdentities()).Times(10)
 
-	config := &runtimeConfig{
-		GenesisConfig:  polybftConfig,
-		blockchain:     blockchainMock,
-		polybftBackend: polybftBackendMock,
-		Key:            validators.GetValidator("A").Key(),
-		Forks:          chain.AllForksEnabled,
+	config := &config.Runtime{
+		GenesisConfig: polybftConfig,
+		Key:           validators.GetValidator("A").Key(),
+		Forks:         chain.AllForksEnabled,
 	}
 
 	consensusRuntime := &consensusRuntime{
-		config: config,
+		config:     config,
+		blockchain: blockchainMock,
+		backend:    polybftBackendMock,
 		epoch: &epochMetadata{
 			Number:            currentEpoch,
 			Validators:        validators.GetPublicIdentities(),
@@ -672,7 +688,7 @@ func TestConsensusRuntime_IsValidValidator_BasicCases(t *testing.T) {
 			runtime, validatorAccounts := setupFn(t)
 			signer := validatorAccounts.GetValidator(c.signerAlias)
 			sender := validatorAccounts.GetValidator(c.senderAlias)
-			msg, err := signer.Key().SignIBFTMessage(&proto.IbftMessage{From: sender.Address().Bytes()})
+			msg, err := signer.Key().SignIBFTMessage(&ibftproto.IbftMessage{From: sender.Address().Bytes()})
 
 			require.NoError(t, err)
 			require.Equal(t, c.isValidSender, runtime.IsValidValidator(msg))
@@ -695,7 +711,7 @@ func TestConsensusRuntime_IsValidValidator_TamperSignature(t *testing.T) {
 
 	// provide invalid signature
 	sender := validatorAccounts.GetValidator("A")
-	msg := &proto.IbftMessage{
+	msg := &ibftproto.IbftMessage{
 		From:      sender.Address().Bytes(),
 		Signature: []byte{1, 2, 3, 4, 5},
 	}
@@ -719,12 +735,12 @@ func TestConsensusRuntime_TamperMessageContent(t *testing.T) {
 	proposalSignature, err := sender.Key().SignWithDomain(proposalHash, signer.DomainBridge)
 	require.NoError(t, err)
 
-	msg := &proto.IbftMessage{
-		View: &proto.View{},
+	msg := &ibftproto.IbftMessage{
+		View: &ibftproto.View{},
 		From: sender.Address().Bytes(),
-		Type: proto.MessageType_COMMIT,
-		Payload: &proto.IbftMessage_CommitData{
-			CommitData: &proto.CommitMessage{
+		Type: ibftproto.MessageType_COMMIT,
+		Payload: &ibftproto.IbftMessage_CommitData{
+			CommitData: &ibftproto.CommitMessage{
 				ProposalHash:  proposalHash,
 				CommittedSeal: proposalSignature,
 			},
@@ -737,8 +753,8 @@ func TestConsensusRuntime_TamperMessageContent(t *testing.T) {
 	assert.True(t, runtime.IsValidValidator(msg))
 
 	// modify message without signing it again
-	msg.Payload = &proto.IbftMessage_CommitData{
-		CommitData: &proto.CommitMessage{
+	msg.Payload = &ibftproto.IbftMessage_CommitData{
+		CommitData: &ibftproto.CommitMessage{
 			ProposalHash:  []byte{1, 3, 5, 7, 9}, // modification
 			CommittedSeal: proposalSignature,
 		},
@@ -750,8 +766,8 @@ func TestConsensusRuntime_TamperMessageContent(t *testing.T) {
 func TestConsensusRuntime_IsValidProposalHash(t *testing.T) {
 	t.Parallel()
 
-	extra := &Extra{
-		BlockMetaData: &BlockMetaData{
+	extra := &polytypes.Extra{
+		BlockMetaData: &polytypes.BlockMetaData{
 			EpochNumber: 1,
 			BlockRound:  1,
 		},
@@ -768,18 +784,19 @@ func TestConsensusRuntime_IsValidProposalHash(t *testing.T) {
 	require.NoError(t, err)
 
 	runtime := &consensusRuntime{
-		logger: hclog.NewNullLogger(),
-		config: &runtimeConfig{blockchain: new(blockchainMock)},
+		logger:     hclog.NewNullLogger(),
+		config:     &config.Runtime{},
+		blockchain: new(helpers.BlockchainMock),
 	}
 
-	require.True(t, runtime.IsValidProposalHash(&proto.Proposal{RawProposal: block.MarshalRLP()}, proposalHash.Bytes()))
+	require.True(t, runtime.IsValidProposalHash(&ibftproto.Proposal{RawProposal: block.MarshalRLP()}, proposalHash.Bytes()))
 }
 
 func TestConsensusRuntime_IsValidProposalHash_InvalidProposalHash(t *testing.T) {
 	t.Parallel()
 
-	extra := &Extra{
-		BlockMetaData: &BlockMetaData{
+	extra := &polytypes.Extra{
+		BlockMetaData: &polytypes.BlockMetaData{
 			EpochNumber: 1,
 			BlockRound:  1,
 		},
@@ -800,18 +817,19 @@ func TestConsensusRuntime_IsValidProposalHash_InvalidProposalHash(t *testing.T)
 	block.Header.ComputeHash()
 
 	runtime := &consensusRuntime{
-		logger: hclog.NewNullLogger(),
-		config: &runtimeConfig{blockchain: new(blockchainMock)},
+		logger:     hclog.NewNullLogger(),
+		config:     &config.Runtime{},
+		blockchain: new(helpers.BlockchainMock),
 	}
 
-	require.False(t, runtime.IsValidProposalHash(&proto.Proposal{RawProposal: block.MarshalRLP()}, proposalHash.Bytes()))
+	require.False(t, runtime.IsValidProposalHash(&ibftproto.Proposal{RawProposal: block.MarshalRLP()}, proposalHash.Bytes()))
 }
 
 func TestConsensusRuntime_IsValidProposalHash_InvalidExtra(t *testing.T) {
 	t.Parallel()
 
-	extra := &Extra{
-		BlockMetaData: &BlockMetaData{
+	extra := &polytypes.Extra{
+		BlockMetaData: &polytypes.BlockMetaData{
 			EpochNumber: 1,
 			BlockRound:  1,
 		},
@@ -829,33 +847,39 @@ func TestConsensusRuntime_IsValidProposalHash_InvalidExtra(t *testing.T) {
 	require.NoError(t, err)
 
 	runtime := &consensusRuntime{
-		logger: hclog.NewNullLogger(),
-		config: &runtimeConfig{blockchain: new(blockchainMock)},
+		logger:     hclog.NewNullLogger(),
+		config:     &config.Runtime{},
+		blockchain: new(helpers.BlockchainMock),
 	}
 
-	require.False(t, runtime.IsValidProposalHash(&proto.Proposal{RawProposal: block.MarshalRLP()}, proposalHash.Bytes()))
+	require.False(t, runtime.IsValidProposalHash(&ibftproto.Proposal{RawProposal: block.MarshalRLP()}, proposalHash.Bytes()))
 }
 
 func TestConsensusRuntime_BuildProposal_InvalidParent(t *testing.T) {
-	config := &runtimeConfig{}
-	snapshot := NewProposerSnapshot(1, nil)
+	config := &config.Runtime{}
+	snapshot := proposer.NewProposerSnapshot(1, nil)
+
+	proposerCalculator, err := proposer.NewProposerCalculatorFromSnapshot(snapshot, config, state.NewTestState(t),
+		new(helpers.PolybftBackendMock), new(helpers.BlockchainMock), hclog.NewNullLogger())
+	require.NoError(t, err)
+
 	runtime := &consensusRuntime{
 		logger:             hclog.NewNullLogger(),
 		lastBuiltBlock:     &types.Header{Number: 2},
 		epoch:              &epochMetadata{Number: 1},
 		config:             config,
-		proposerCalculator: NewProposerCalculatorFromSnapshot(snapshot, config, hclog.NewNullLogger()),
+		proposerCalculator: proposerCalculator,
 	}
 
-	require.Nil(t, runtime.BuildProposal(&proto.View{Round: 5}))
+	require.Nil(t, runtime.BuildProposal(&ibftproto.View{Round: 5}))
 }
 
 func TestConsensusRuntime_ID(t *testing.T) {
 	t.Parallel()
 
-	key1, key2 := createTestKey(t), createTestKey(t)
+	key1, key2 := helpers.CreateTestKey(t), helpers.CreateTestKey(t)
 	runtime := &consensusRuntime{
-		config: &runtimeConfig{Key: key1},
+		config: &config.Runtime{Key: key1},
 	}
 
 	require.Equal(t, runtime.ID(), key1.Address().Bytes())
@@ -896,26 +920,26 @@ func TestConsensusRuntime_GetVotingPowers(t *testing.T) {
 func TestConsensusRuntime_BuildRoundChangeMessage(t *testing.T) {
 	t.Parallel()
 
-	key := createTestKey(t)
-	view, rawProposal, certificate := &proto.View{}, []byte{1}, &proto.PreparedCertificate{}
+	key := helpers.CreateTestKey(t)
+	view, rawProposal, certificate := &ibftproto.View{}, []byte{1}, &ibftproto.PreparedCertificate{}
 
 	runtime := &consensusRuntime{
-		config: &runtimeConfig{
+		config: &config.Runtime{
 			Key: key,
 		},
 		logger: hclog.NewNullLogger(),
 	}
 
-	proposal := &proto.Proposal{
+	proposal := &ibftproto.Proposal{
 		RawProposal: rawProposal,
 		Round:       view.Round,
 	}
 
-	expected := proto.IbftMessage{
+	expected := ibftproto.IbftMessage{
 		View: view,
 		From: key.Address().Bytes(),
-		Type: proto.MessageType_ROUND_CHANGE,
-		Payload: &proto.IbftMessage_RoundChangeData{RoundChangeData: &proto.RoundChangeMessage{
+		Type: ibftproto.MessageType_ROUND_CHANGE,
+		Payload: &ibftproto.IbftMessage_RoundChangeData{RoundChangeData: &ibftproto.RoundChangeMessage{
 			LatestPreparedCertificate: certificate,
 			LastPreparedProposal:      proposal,
 		}},
@@ -930,11 +954,11 @@ func TestConsensusRuntime_BuildRoundChangeMessage(t *testing.T) {
 func TestConsensusRuntime_BuildCommitMessage(t *testing.T) {
 	t.Parallel()
 
-	key := createTestKey(t)
-	view, proposalHash := &proto.View{}, []byte{1, 2, 4}
+	key := helpers.CreateTestKey(t)
+	view, proposalHash := &ibftproto.View{}, []byte{1, 2, 4}
 
 	runtime := &consensusRuntime{
-		config: &runtimeConfig{
+		config: &config.Runtime{
 			Key: key,
 		},
 	}
@@ -942,12 +966,12 @@ func TestConsensusRuntime_BuildCommitMessage(t *testing.T) {
 	committedSeal, err := key.SignWithDomain(proposalHash, signer.DomainBridge)
 	require.NoError(t, err)
 
-	expected := proto.IbftMessage{
+	expected := ibftproto.IbftMessage{
 		View: view,
 		From: key.Address().Bytes(),
-		Type: proto.MessageType_COMMIT,
-		Payload: &proto.IbftMessage_CommitData{
-			CommitData: &proto.CommitMessage{
+		Type: ibftproto.MessageType_COMMIT,
+		Payload: &ibftproto.IbftMessage_CommitData{
+			CommitData: &ibftproto.CommitMessage{
 				ProposalHash:  proposalHash,
 				CommittedSeal: committedSeal,
 			},
@@ -965,7 +989,8 @@ func TestConsensusRuntime_BuildPrePrepareMessage_EmptyProposal(t *testing.T) {
 
 	runtime := &consensusRuntime{logger: hclog.NewNullLogger()}
 
-	assert.Nil(t, runtime.BuildPrePrepareMessage(nil, &proto.RoundChangeCertificate{}, &proto.View{Height: 1, Round: 0}))
+	assert.Nil(t, runtime.BuildPrePrepareMessage(nil, &ibftproto.RoundChangeCertificate{},
+		&ibftproto.View{Height: 1, Round: 0}))
 }
 
 func TestConsensusRuntime_IsValidProposalHash_EmptyProposal(t *testing.T) {
@@ -973,28 +998,28 @@ func TestConsensusRuntime_IsValidProposalHash_EmptyProposal(t *testing.T) {
 
 	runtime := &consensusRuntime{logger: hclog.NewNullLogger()}
 
-	assert.False(t, runtime.IsValidProposalHash(&proto.Proposal{}, []byte("hash")))
+	assert.False(t, runtime.IsValidProposalHash(&ibftproto.Proposal{}, []byte("hash")))
 }
 
 func TestConsensusRuntime_BuildPrepareMessage(t *testing.T) {
 	t.Parallel()
 
-	key := createTestKey(t)
-	view, proposalHash := &proto.View{}, []byte{1, 2, 4}
+	key := helpers.CreateTestKey(t)
+	view, proposalHash := &ibftproto.View{}, []byte{1, 2, 4}
 
 	runtime := &consensusRuntime{
-		config: &runtimeConfig{
+		config: &config.Runtime{
 			Key: key,
 		},
 		logger: hclog.NewNullLogger(),
 	}
 
-	expected := proto.IbftMessage{
+	expected := ibftproto.IbftMessage{
 		View: view,
 		From: key.Address().Bytes(),
-		Type: proto.MessageType_PREPARE,
-		Payload: &proto.IbftMessage_PrepareData{
-			PrepareData: &proto.PrepareMessage{
+		Type: ibftproto.MessageType_PREPARE,
+		Payload: &ibftproto.IbftMessage_PrepareData{
+			PrepareData: &ibftproto.PrepareMessage{
 				ProposalHash: proposalHash,
 			},
 		},
@@ -1024,17 +1049,16 @@ func TestConsensusRuntime_RoundStarts(t *testing.T) {
 	for _, c := range cases {
 		c := c
 		t.Run(c.funcName, func(t *testing.T) {
-			txPool := new(txPoolMock)
+			txPool := new(helpers.TxPoolMock)
 			txPool.On(c.funcName).Once()
 
 			runtime := &consensusRuntime{
-				config: &runtimeConfig{
-					txPool: txPool,
-				},
+				config: &config.Runtime{},
 				logger: hclog.NewNullLogger(),
+				txPool: txPool,
 			}
 
-			view := &proto.View{Round: c.round}
+			view := &ibftproto.View{Round: c.round}
 			require.NoError(t, runtime.RoundStarts(view))
 			txPool.AssertExpectations(t)
 		})
@@ -1042,30 +1066,29 @@ func TestConsensusRuntime_RoundStarts(t *testing.T) {
 }
 
 func TestConsensusRuntime_SequenceCancelled(t *testing.T) {
-	txPool := new(txPoolMock)
+	txPool := new(helpers.TxPoolMock)
 	txPool.On("ReinsertProposed").Once()
 
 	runtime := &consensusRuntime{
-		config: &runtimeConfig{
-			txPool: txPool,
-		},
+		config: &config.Runtime{},
 		logger: hclog.NewNullLogger(),
+		txPool: txPool,
 	}
 
-	view := &proto.View{}
+	view := &ibftproto.View{}
 	require.NoError(t, runtime.SequenceCancelled(view))
 	txPool.AssertExpectations(t)
 }
 
 func createTestBlocks(t *testing.T, numberOfBlocks, defaultEpochSize uint64,
-	validatorSet validator.AccountSet) (*types.Header, *testHeadersMap) {
+	validatorSet validator.AccountSet) (*types.Header, *helpers.TestHeadersMap) {
 	t.Helper()
 
-	headerMap := &testHeadersMap{}
+	headerMap := &helpers.TestHeadersMap{}
 	bitmaps := createTestBitmaps(t, validatorSet, numberOfBlocks)
 
-	extra := &Extra{
-		BlockMetaData: &BlockMetaData{EpochNumber: 0},
+	extra := &polytypes.Extra{
+		BlockMetaData: &polytypes.BlockMetaData{EpochNumber: 0},
 	}
 
 	genesisBlock := &types.Header{
@@ -1074,7 +1097,7 @@ func createTestBlocks(t *testing.T, numberOfBlocks, defaultEpochSize uint64,
 	}
 	parentHash := types.BytesToHash(big.NewInt(0).Bytes())
 
-	headerMap.addHeader(genesisBlock)
+	headerMap.AddHeader(genesisBlock)
 
 	var hash types.Hash
 
@@ -1091,7 +1114,7 @@ func createTestBlocks(t *testing.T, numberOfBlocks, defaultEpochSize uint64,
 			GasLimit:   types.StateTransactionGasLimit,
 		}
 
-		headerMap.addHeader(header)
+		headerMap.AddHeader(header)
 
 		parentHash = hash
 		blockHeader = header
@@ -1132,27 +1155,45 @@ func createTestExtraForAccounts(t *testing.T, epoch uint64, validators validator
 	t.Helper()
 
 	dummySignature := [64]byte{}
-	extraData := Extra{
+	extraData := polytypes.Extra{
 		Validators: &validator.ValidatorSetDelta{
 			Added:   validators,
 			Removed: bitmap.Bitmap{},
 		},
-		Parent:        &Signature{Bitmap: b, AggregatedSignature: dummySignature[:]},
-		Committed:     &Signature{Bitmap: b, AggregatedSignature: dummySignature[:]},
-		BlockMetaData: &BlockMetaData{EpochNumber: epoch},
+		Parent:        &polytypes.Signature{Bitmap: b, AggregatedSignature: dummySignature[:]},
+		Committed:     &polytypes.Signature{Bitmap: b, AggregatedSignature: dummySignature[:]},
+		BlockMetaData: &polytypes.BlockMetaData{EpochNumber: epoch},
 	}
 
 	return extraData.MarshalRLPTo(nil)
 }
 
-func createTestBridge(t *testing.T, state *State) Bridge {
-	t.Helper()
+var _ bridge.Topic = &mockTopic{}
 
-	manager := &mockBridgeManager{state: state, chainID: 1}
+type mockTopic struct {
+	published proto.Message
+}
+
+func (m *mockTopic) Publish(obj proto.Message) error {
+	m.published = obj
 
-	return &bridge{
-		bridgeManagers: map[uint64]BridgeManager{1: manager},
-		state:          state,
-		relayer:        &dummyBridgeEventRelayer{},
+	return nil
+}
+
+func (m *mockTopic) Subscribe(handler func(obj interface{}, from peer.ID)) error {
+	return nil
+}
+
+// getEpochNumber returns epoch number for given blockNumber and epochSize.
+// Epoch number is derived as a result of division of block number and epoch size.
+// Since epoch number is 1-based (0 block represents special case zero epoch),
+// we are incrementing result by one for non epoch-ending blocks.
+func getEpochNumber(t *testing.T, blockNumber, epochSize uint64) uint64 {
+	t.Helper()
+
+	if blockNumber%epochSize == 0 { // is end of period
+		return blockNumber / epochSize
 	}
+
+	return blockNumber/epochSize + 1
 }
diff --git a/consensus/polybft/contracts_initializer.go b/consensus/polybft/contracts_initializer.go
index e64a463d63..0499e066e3 100644
--- a/consensus/polybft/contracts_initializer.go
+++ b/consensus/polybft/contracts_initializer.go
@@ -6,6 +6,7 @@ import (
 
 	"github.com/0xPolygon/polygon-edge/bls"
 	"github.com/0xPolygon/polygon-edge/chain"
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/config"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/contractsapi"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/signer"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/validator"
@@ -20,7 +21,7 @@ const (
 	contractCallGasLimit = 100_000_000
 )
 
-func initStakeManager(polyBFTConfig PolyBFTConfig, transition *state.Transition) error {
+func initStakeManager(polyBFTConfig config.PolyBFT, transition *state.Transition) error {
 	startValidators := make([]*contractsapi.GenesisValidator, len(polyBFTConfig.InitialValidatorSet))
 
 	for i, validator := range polyBFTConfig.InitialValidatorSet {
@@ -76,7 +77,7 @@ func initStakeManager(polyBFTConfig PolyBFTConfig, transition *state.Transition)
 }
 
 // initEpochManager initializes EpochManager SC
-func initEpochManager(polyBFTConfig PolyBFTConfig, transition *state.Transition) error {
+func initEpochManager(polyBFTConfig config.PolyBFT, transition *state.Transition) error {
 	initFn := &contractsapi.InitializeEpochManagerFn{
 		NewRewardToken:   polyBFTConfig.RewardConfig.TokenAddress,
 		NewRewardWallet:  polyBFTConfig.RewardConfig.WalletAddress,
@@ -95,7 +96,7 @@ func initEpochManager(polyBFTConfig PolyBFTConfig, transition *state.Transition)
 
 // getInitERC20PredicateInput builds initialization input parameters for child chain ERC20Predicate SC
 func getInitERC20PredicateInput(
-	config *BridgeConfig,
+	config *config.Bridge,
 	internalChainMintable bool,
 	destinationChainID *big.Int) ([]byte, error) {
 	var params contractsapi.StateTransactionInput
@@ -120,7 +121,7 @@ func getInitERC20PredicateInput(
 }
 
 // getInitERC20PredicateACLInput builds initialization input parameters for child chain ERC20PredicateAccessList SC
-func getInitERC20PredicateACLInput(config *BridgeConfig, owner types.Address,
+func getInitERC20PredicateACLInput(config *config.Bridge, owner types.Address,
 	useAllowList, useBlockList, internalChainMintable bool, destinationChainID *big.Int) ([]byte, error) {
 	var params contractsapi.StateTransactionInput
 	if internalChainMintable {
@@ -151,7 +152,7 @@ func getInitERC20PredicateACLInput(config *BridgeConfig, owner types.Address,
 
 // getInitERC721PredicateInput builds initialization input parameters for child chain ERC721Predicate SC
 func getInitERC721PredicateInput(
-	config *BridgeConfig,
+	config *config.Bridge,
 	childOriginatedTokens bool,
 	destinationChainID *big.Int) ([]byte, error) {
 	var params contractsapi.StateTransactionInput
@@ -176,7 +177,7 @@ func getInitERC721PredicateInput(
 
 // getInitERC721PredicateACLInput builds initialization input parameters
 // for child chain ERC721PredicateAccessList SC
-func getInitERC721PredicateACLInput(config *BridgeConfig, owner types.Address,
+func getInitERC721PredicateACLInput(config *config.Bridge, owner types.Address,
 	useAllowList, useBlockList, internalChainMintable bool, destinationChainID *big.Int) ([]byte, error) {
 	var params contractsapi.StateTransactionInput
 	if internalChainMintable {
@@ -206,7 +207,7 @@ func getInitERC721PredicateACLInput(config *BridgeConfig, owner types.Address,
 
 // getInitERC1155PredicateInput builds initialization input parameters for child chain ERC1155Predicate SC
 func getInitERC1155PredicateInput(
-	config *BridgeConfig,
+	config *config.Bridge,
 	internalChainMintable bool,
 	destinationChainID *big.Int) ([]byte, error) {
 	var params contractsapi.StateTransactionInput
@@ -231,7 +232,7 @@ func getInitERC1155PredicateInput(
 
 // getInitERC1155PredicateACLInput builds initialization input parameters
 // for child chain ERC1155PredicateAccessList SC
-func getInitERC1155PredicateACLInput(config *BridgeConfig, owner types.Address,
+func getInitERC1155PredicateACLInput(config *config.Bridge, owner types.Address,
 	useAllowList, useBlockList, internalChainMintable bool, destinationChainID *big.Int) ([]byte, error) {
 	var params contractsapi.StateTransactionInput
 	if internalChainMintable {
@@ -260,7 +261,7 @@ func getInitERC1155PredicateACLInput(config *BridgeConfig, owner types.Address,
 }
 
 // initNetworkParamsContract initializes NetworkParams contract on child chain
-func initNetworkParamsContract(baseFeeChangeDenom uint64, cfg PolyBFTConfig,
+func initNetworkParamsContract(baseFeeChangeDenom uint64, cfg config.PolyBFT,
 	transition *state.Transition) error {
 	initFn := &contractsapi.InitializeNetworkParamsFn{
 		InitParams: &contractsapi.InitParams{
@@ -293,7 +294,7 @@ func initNetworkParamsContract(baseFeeChangeDenom uint64, cfg PolyBFTConfig,
 }
 
 // initForkParamsContract initializes ForkParams contract on child chain
-func initForkParamsContract(cfg PolyBFTConfig, transition *state.Transition) error {
+func initForkParamsContract(cfg config.PolyBFT, transition *state.Transition) error {
 	initFn := &contractsapi.InitializeForkParamsFn{
 		NewOwner: cfg.GovernanceConfig.ChildTimelockAddr,
 	}
@@ -308,7 +309,7 @@ func initForkParamsContract(cfg PolyBFTConfig, transition *state.Transition) err
 }
 
 // initChildTimelock initializes ChildTimelock contract on child chain
-func initChildTimelock(cfg PolyBFTConfig, transition *state.Transition) error {
+func initChildTimelock(cfg config.PolyBFT, transition *state.Transition) error {
 	addresses := make([]types.Address, len(cfg.InitialValidatorSet)+1)
 	// we need to add child governor to list of proposers and executors as well
 	addresses[0] = cfg.GovernanceConfig.ChildGovernorAddr
@@ -334,7 +335,7 @@ func initChildTimelock(cfg PolyBFTConfig, transition *state.Transition) error {
 }
 
 // initChildGovernor initializes ChildGovernor contract on child chain
-func initChildGovernor(cfg PolyBFTConfig, transition *state.Transition) error {
+func initChildGovernor(cfg config.PolyBFT, transition *state.Transition) error {
 	addresses := make([]types.Address, len(cfg.InitialValidatorSet))
 	for i := 0; i < len(cfg.InitialValidatorSet); i++ {
 		addresses[i] = cfg.InitialValidatorSet[i].Address
@@ -357,7 +358,7 @@ func initChildGovernor(cfg PolyBFTConfig, transition *state.Transition) error {
 }
 
 // initBridgeStorageContract initializes BridgeStorage contract on blade chain
-func initBridgeStorageContract(cfg PolyBFTConfig, transition *state.Transition) error {
+func initBridgeStorageContract(cfg config.PolyBFT, transition *state.Transition) error {
 	validators, err := getValidatorStorageValidators(cfg.InitialValidatorSet)
 	if err != nil {
 		return fmt.Errorf("error while converting validators for bridge storage contract: %w", err)
@@ -379,7 +380,7 @@ func initBridgeStorageContract(cfg PolyBFTConfig, transition *state.Transition)
 }
 
 // initGatewayContract initializes Gateway contract on blade chain
-func initGatewayContract(cfg PolyBFTConfig, bridgeCfg *BridgeConfig,
+func initGatewayContract(cfg config.PolyBFT, bridgeCfg *config.Bridge,
 	transition *state.Transition, alloc map[types.Address]*chain.GenesisAccount) error {
 	implementationAddr := bridgeCfg.InternalGatewayAddr.IncrementBy(1)
 	if _, exists := alloc[implementationAddr]; !exists {
@@ -411,7 +412,7 @@ func initGatewayContract(cfg PolyBFTConfig, bridgeCfg *BridgeConfig,
 // initERC20ACLPredicateContract initializes ChildERC20Predicate with access list contract on blade chain
 func initERC20ACLPredicateContract(
 	transition *state.Transition,
-	bcfg *BridgeConfig,
+	bcfg *config.Bridge,
 	alloc map[types.Address]*chain.GenesisAccount,
 	owner types.Address,
 	useBridgeAllowList, useBridgeBlockList, childMintable bool,
@@ -441,7 +442,7 @@ func initERC20ACLPredicateContract(
 // initERC721ACLPredicateContract initializes ChildERC721Predicate with access list contract on blade chain
 func initERC721ACLPredicateContract(
 	transition *state.Transition,
-	bcfg *BridgeConfig,
+	bcfg *config.Bridge,
 	alloc map[types.Address]*chain.GenesisAccount,
 	owner types.Address,
 	useBridgeAllowList, useBridgeBlockList, childMintable bool,
@@ -471,7 +472,7 @@ func initERC721ACLPredicateContract(
 // initERC1155ACLPredicateContract initializes ChildERC1155Predicate with access list contract on blade chain
 func initERC1155ACLPredicateContract(
 	transition *state.Transition,
-	bcfg *BridgeConfig,
+	bcfg *config.Bridge,
 	alloc map[types.Address]*chain.GenesisAccount,
 	owner types.Address,
 	useBridgeAllowList, useBridgeBlockList, childMintable bool,
@@ -501,7 +502,7 @@ func initERC1155ACLPredicateContract(
 // initERC20PredicateContract initializes ChildERC20Predicate contract on blade chain
 func initERC20PredicateContract(
 	transition *state.Transition,
-	bcfg *BridgeConfig,
+	bcfg *config.Bridge,
 	alloc map[types.Address]*chain.GenesisAccount,
 	childMintable bool,
 	destinationChainID *big.Int,
@@ -529,7 +530,7 @@ func initERC20PredicateContract(
 // initERC721PredicateContract initializes ChildERC721Predicate contract on blade chain
 func initERC721PredicateContract(
 	transition *state.Transition,
-	bcfg *BridgeConfig,
+	bcfg *config.Bridge,
 	alloc map[types.Address]*chain.GenesisAccount,
 	childMintable bool,
 	destinationChainID *big.Int,
@@ -557,7 +558,7 @@ func initERC721PredicateContract(
 // initERC1155PredicateContract initializes ChildERC1155Predicate contract on blade chain
 func initERC1155PredicateContract(
 	transition *state.Transition,
-	bcfg *BridgeConfig,
+	bcfg *config.Bridge,
 	alloc map[types.Address]*chain.GenesisAccount,
 	childMintable bool,
 	destinationChainID *big.Int,
@@ -583,7 +584,7 @@ func initERC1155PredicateContract(
 }
 
 // mintRewardTokensToWallet mints configured amount of reward tokens to reward wallet address
-func mintRewardTokensToWallet(polyBFTConfig PolyBFTConfig, transition *state.Transition) error {
+func mintRewardTokensToWallet(polyBFTConfig config.PolyBFT, transition *state.Transition) error {
 	if isNativeRewardToken(polyBFTConfig.RewardConfig.TokenAddress) {
 		// if reward token is a native erc20 token, we don't need to mint an amount of tokens
 		// for given wallet address to it since this is done in premine
@@ -605,7 +606,7 @@ func mintRewardTokensToWallet(polyBFTConfig PolyBFTConfig, transition *state.Tra
 }
 
 // mintStakeToken mints configured amount of stake token to stake token address
-func mintStakeToken(polyBFTConfig PolyBFTConfig, transition *state.Transition) error {
+func mintStakeToken(polyBFTConfig config.PolyBFT, transition *state.Transition) error {
 	if IsNativeStakeToken(polyBFTConfig.StakeTokenAddr) {
 		return nil
 	}
@@ -632,7 +633,7 @@ func mintStakeToken(polyBFTConfig PolyBFTConfig, transition *state.Transition) e
 
 // approveEpochManagerAsSpender approves EpochManager contract as reward token spender
 // since EpochManager distributes rewards
-func approveEpochManagerAsSpender(polyBFTConfig PolyBFTConfig, transition *state.Transition) error {
+func approveEpochManagerAsSpender(polyBFTConfig config.PolyBFT, transition *state.Transition) error {
 	approveFn := &contractsapi.ApproveRootERC20Fn{
 		Spender: contracts.EpochManagerContract,
 		Amount:  polyBFTConfig.RewardConfig.WalletAmount,
diff --git a/consensus/polybft/extra_test.go b/consensus/polybft/extra_test.go
deleted file mode 100644
index d64e432b30..0000000000
--- a/consensus/polybft/extra_test.go
+++ /dev/null
@@ -1,665 +0,0 @@
-package polybft
-
-import (
-	"crypto/rand"
-	"errors"
-	"fmt"
-	"math/big"
-	mrand "math/rand"
-	"testing"
-
-	"github.com/0xPolygon/polygon-edge/bls"
-	"github.com/0xPolygon/polygon-edge/chain"
-	"github.com/0xPolygon/polygon-edge/consensus/polybft/bitmap"
-	"github.com/0xPolygon/polygon-edge/consensus/polybft/signer"
-	"github.com/0xPolygon/polygon-edge/consensus/polybft/validator"
-	"github.com/0xPolygon/polygon-edge/consensus/polybft/wallet"
-	"github.com/0xPolygon/polygon-edge/crypto"
-	"github.com/0xPolygon/polygon-edge/types"
-	"github.com/hashicorp/go-hclog"
-	"github.com/stretchr/testify/assert"
-	"github.com/stretchr/testify/mock"
-	"github.com/stretchr/testify/require"
-	"github.com/umbracle/fastrlp"
-)
-
-func TestExtra_Encoding(t *testing.T) {
-	t.Parallel()
-
-	digest := crypto.Keccak256([]byte("Dummy content to sign"))
-	keys := createRandomTestKeys(t, 2)
-	parentSig, err := keys[0].Sign(digest)
-	require.NoError(t, err)
-
-	committedSig, err := keys[1].Sign(digest)
-	require.NoError(t, err)
-
-	bmp := bitmap.Bitmap{}
-	bmp.Set(1)
-	bmp.Set(4)
-
-	addedValidators := validator.NewTestValidatorsWithAliases(t, []string{"A", "B", "C"}).GetPublicIdentities()
-
-	removedValidators := bitmap.Bitmap{}
-	removedValidators.Set(2)
-
-	// different extra data for marshall/unmarshall
-	var cases = []struct {
-		extra *Extra
-	}{
-		{
-			&Extra{},
-		},
-		{
-			&Extra{
-				Validators: &validator.ValidatorSetDelta{},
-				Parent:     &Signature{},
-				Committed:  &Signature{},
-			},
-		},
-		{
-			&Extra{
-				Validators: &validator.ValidatorSetDelta{},
-			},
-		},
-		{
-			&Extra{
-				Validators: &validator.ValidatorSetDelta{
-					Added: addedValidators,
-				},
-				Parent:    &Signature{},
-				Committed: &Signature{},
-			},
-		},
-		{
-			&Extra{
-				Validators: &validator.ValidatorSetDelta{
-					Removed: removedValidators,
-				},
-				Parent:    &Signature{AggregatedSignature: parentSig, Bitmap: bmp},
-				Committed: &Signature{},
-			},
-		},
-		{
-			&Extra{
-				Validators: &validator.ValidatorSetDelta{
-					Added:   addedValidators,
-					Updated: addedValidators[1:],
-					Removed: removedValidators,
-				},
-				Parent:    &Signature{},
-				Committed: &Signature{AggregatedSignature: committedSig, Bitmap: bmp},
-			},
-		},
-		{
-			&Extra{
-				Parent:    &Signature{AggregatedSignature: parentSig, Bitmap: bmp},
-				Committed: &Signature{AggregatedSignature: committedSig, Bitmap: bmp},
-			},
-		},
-		{
-			&Extra{
-				Parent:    &Signature{AggregatedSignature: parentSig, Bitmap: bmp},
-				Committed: &Signature{AggregatedSignature: committedSig, Bitmap: bmp},
-				BlockMetaData: &BlockMetaData{
-					BlockRound:  0,
-					EpochNumber: 3,
-				},
-			},
-		},
-	}
-
-	for _, c := range cases {
-		data := c.extra.MarshalRLPTo(nil)
-		extra := &Extra{}
-		assert.NoError(t, extra.UnmarshalRLP(data))
-		assert.Equal(t, c.extra, extra)
-	}
-}
-
-func TestExtra_UnmarshalRLPWith_NegativeCases(t *testing.T) {
-	t.Parallel()
-
-	t.Run("Incorrect RLP marshalled data type", func(t *testing.T) {
-		t.Parallel()
-
-		extra := &Extra{}
-		ar := &fastrlp.Arena{}
-		require.Error(t, extra.UnmarshalRLPWith(ar.NewBool(false)))
-	})
-
-	t.Run("Incorrect count of RLP marshalled array elements", func(t *testing.T) {
-		t.Parallel()
-
-		extra := &Extra{}
-		ar := &fastrlp.Arena{}
-		require.ErrorContains(t, extra.UnmarshalRLPWith(ar.NewArray()), "incorrect elements count to decode Extra, expected 4 but found 0")
-	})
-
-	t.Run("Incorrect ValidatorSetDelta marshalled", func(t *testing.T) {
-		t.Parallel()
-
-		extra := &Extra{}
-		ar := &fastrlp.Arena{}
-		extraMarshalled := ar.NewArray()
-		deltaMarshalled := ar.NewArray()
-		deltaMarshalled.Set(ar.NewBytes([]byte{0x73}))
-		extraMarshalled.Set(deltaMarshalled)       // ValidatorSetDelta
-		extraMarshalled.Set(ar.NewBytes([]byte{})) // Seal
-		extraMarshalled.Set(ar.NewBytes([]byte{})) // Parent
-		extraMarshalled.Set(ar.NewBytes([]byte{})) // Committed
-		require.Error(t, extra.UnmarshalRLPWith(extraMarshalled))
-	})
-
-	t.Run("Incorrect Seal marshalled", func(t *testing.T) {
-		t.Parallel()
-
-		extra := &Extra{}
-		ar := &fastrlp.Arena{}
-		extraMarshalled := ar.NewArray()
-		deltaMarshalled := new(validator.ValidatorSetDelta).MarshalRLPWith(ar)
-		extraMarshalled.Set(deltaMarshalled)       // ValidatorSetDelta
-		extraMarshalled.Set(ar.NewBytes([]byte{})) // Parent
-		extraMarshalled.Set(ar.NewBytes([]byte{})) // Committed
-		require.Error(t, extra.UnmarshalRLPWith(extraMarshalled))
-	})
-
-	t.Run("Incorrect Parent signatures marshalled", func(t *testing.T) {
-		t.Parallel()
-
-		extra := &Extra{}
-		ar := &fastrlp.Arena{}
-		extraMarshalled := ar.NewArray()
-		deltaMarshalled := new(validator.ValidatorSetDelta).MarshalRLPWith(ar)
-		extraMarshalled.Set(deltaMarshalled)       // ValidatorSetDelta
-		extraMarshalled.Set(ar.NewBytes([]byte{})) // Seal
-		// Parent
-		parentArr := ar.NewArray()
-		parentArr.Set(ar.NewBytes([]byte{}))
-		extraMarshalled.Set(parentArr)
-		extraMarshalled.Set(ar.NewBytes([]byte{})) // Committed
-		require.Error(t, extra.UnmarshalRLPWith(extraMarshalled))
-	})
-
-	t.Run("Incorrect Committed signatures marshalled", func(t *testing.T) {
-		t.Parallel()
-
-		extra := &Extra{}
-		ar := &fastrlp.Arena{}
-		extraMarshalled := ar.NewArray()
-		deltaMarshalled := new(validator.ValidatorSetDelta).MarshalRLPWith(ar)
-		extraMarshalled.Set(deltaMarshalled)       // ValidatorSetDelta
-		extraMarshalled.Set(ar.NewBytes([]byte{})) // Seal
-
-		// Parent
-		key, err := wallet.GenerateAccount()
-		require.NoError(t, err)
-
-		parentSignature := createSignature(t, []*wallet.Account{key}, types.BytesToHash([]byte("This is test hash")), signer.DomainBridge)
-		extraMarshalled.Set(parentSignature.MarshalRLPWith(ar))
-
-		// Committed
-		committedArr := ar.NewArray()
-		committedArr.Set(ar.NewBytes([]byte{}))
-		extraMarshalled.Set(committedArr)
-		require.Error(t, extra.UnmarshalRLPWith(extraMarshalled))
-	})
-
-	t.Run("Incorrect BlockMeta data marshalled", func(t *testing.T) {
-		t.Parallel()
-
-		ar := &fastrlp.Arena{}
-		extraMarshalled := ar.NewArray()
-		deltaMarshalled := new(validator.ValidatorSetDelta).MarshalRLPWith(ar)
-		extraMarshalled.Set(deltaMarshalled)       // ValidatorSetDelta
-		extraMarshalled.Set(ar.NewBytes([]byte{})) // Seal
-
-		// Parent
-		key, err := wallet.GenerateAccount()
-		require.NoError(t, err)
-
-		parentSignature := createSignature(t, []*wallet.Account{key}, types.BytesToHash(generateRandomBytes(t)), signer.DomainBridge)
-		extraMarshalled.Set(parentSignature.MarshalRLPWith(ar))
-
-		// Committed
-		committedSignature := createSignature(t, []*wallet.Account{key}, types.BytesToHash(generateRandomBytes(t)), signer.DomainBridge)
-		extraMarshalled.Set(committedSignature.MarshalRLPWith(ar))
-
-		// Block meta data
-		BlockMetaArr := ar.NewArray()
-		BlockMetaArr.Set(ar.NewBytes(generateRandomBytes(t)))
-		extraMarshalled.Set(BlockMetaArr)
-
-		extra := &Extra{}
-		require.Error(t, extra.UnmarshalRLPWith(extraMarshalled))
-	})
-}
-
-func TestExtra_ValidateFinalizedData_UnhappyPath(t *testing.T) {
-	t.Parallel()
-
-	const (
-		headerNum = 10
-		chainID   = uint64(20)
-	)
-
-	header := &types.Header{
-		Number: headerNum,
-		Hash:   types.BytesToHash(generateRandomBytes(t)),
-	}
-	parent := &types.Header{
-		Number: headerNum - 1,
-		Hash:   types.BytesToHash(generateRandomBytes(t)),
-	}
-
-	validators := validator.NewTestValidators(t, 6)
-
-	polyBackendMock := new(polybftBackendMock)
-	polyBackendMock.On("GetValidators", mock.Anything, mock.Anything).Return(nil, errors.New("validators not found"))
-
-	// missing Committed field
-	extra := &Extra{}
-	err := extra.ValidateFinalizedData(
-		header, parent, nil, chainID, nil, signer.DomainBridge, hclog.NewNullLogger())
-	require.ErrorContains(t, err, fmt.Sprintf("failed to verify signatures for block %d, because signatures are not present", headerNum))
-
-	// missing Block field
-	extra = &Extra{Committed: &Signature{}}
-	err = extra.ValidateFinalizedData(
-		header, parent, nil, chainID, polyBackendMock, signer.DomainBridge, hclog.NewNullLogger())
-	require.ErrorContains(t, err, fmt.Sprintf("failed to verify signatures for block %d, because block meta data are not present", headerNum))
-
-	blockMeta := &BlockMetaData{
-		EpochNumber: 10,
-		BlockRound:  2,
-	}
-	extra = &Extra{Committed: &Signature{}, BlockMetaData: blockMeta}
-	err = extra.ValidateFinalizedData(
-		header, parent, nil, chainID, polyBackendMock, signer.DomainBridge, hclog.NewNullLogger())
-	require.ErrorContains(t, err,
-		fmt.Sprintf("failed to validate header for block %d. could not retrieve block validators:validators not found", headerNum))
-
-	// failed to verify signatures (quorum not reached)
-	polyBackendMock = new(polybftBackendMock)
-	polyBackendMock.On("GetValidators", mock.Anything, mock.Anything).Return(validators.GetPublicIdentities())
-
-	noQuorumSignature := createSignature(t, validators.GetPrivateIdentities("0", "1"), types.BytesToHash([]byte("FooBar")), signer.DomainBridge)
-	extra = &Extra{Committed: noQuorumSignature, BlockMetaData: blockMeta}
-	blockMetaHash, err := blockMeta.Hash(header.Hash)
-	require.NoError(t, err)
-
-	err = extra.ValidateFinalizedData(
-		header, parent, nil, chainID, polyBackendMock, signer.DomainBridge, hclog.NewNullLogger())
-	require.ErrorContains(t, err,
-		fmt.Sprintf("failed to verify signatures for block %d (proposal hash %s): quorum not reached", headerNum, blockMetaHash))
-
-	// incorrect parent extra size
-	validSignature := createSignature(t, validators.GetPrivateIdentities(), blockMetaHash, signer.DomainBridge)
-	extra = &Extra{Committed: validSignature}
-	err = extra.ValidateFinalizedData(
-		header, parent, nil, chainID, polyBackendMock, signer.DomainBridge, hclog.NewNullLogger())
-	require.ErrorContains(t, err,
-		fmt.Sprintf("failed to verify signatures for block %d, because block meta data are not present", headerNum))
-}
-
-func TestExtra_ValidateParentSignatures(t *testing.T) {
-	t.Parallel()
-
-	const (
-		chainID   = 15
-		headerNum = 23
-	)
-
-	polyBackendMock := new(polybftBackendMock)
-	polyBackendMock.On("GetValidators", mock.Anything, mock.Anything).Return(nil, errors.New("no validators"))
-
-	// validation is skipped for blocks 0 and 1
-	extra := &Extra{}
-	err := extra.ValidateParentSignatures(
-		1, polyBackendMock, nil, nil, nil, signer.DomainBridge, hclog.NewNullLogger())
-	require.NoError(t, err)
-
-	// parent signatures not present
-	err = extra.ValidateParentSignatures(
-		headerNum, polyBackendMock, nil, nil, nil, signer.DomainBridge, hclog.NewNullLogger())
-	require.ErrorContains(t, err, fmt.Sprintf("failed to verify signatures for parent of block %d because signatures are not present", headerNum))
-
-	// validators not found
-	validators := validator.NewTestValidators(t, 5)
-	incorrectHash := types.BytesToHash([]byte("Hello World"))
-	invalidSig := createSignature(t, validators.GetPrivateIdentities(), incorrectHash, signer.DomainBridge)
-	extra = &Extra{Parent: invalidSig}
-	err = extra.ValidateParentSignatures(
-		headerNum, polyBackendMock, nil, nil, nil, signer.DomainBridge, hclog.NewNullLogger())
-	require.ErrorContains(t, err,
-		fmt.Sprintf("failed to validate header for block %d. could not retrieve parent validators: no validators", headerNum))
-
-	// incorrect hash is signed
-	polyBackendMock = new(polybftBackendMock)
-	polyBackendMock.On("GetValidators", mock.Anything, mock.Anything).Return(validators.GetPublicIdentities())
-
-	parent := &types.Header{Number: headerNum - 1, Hash: types.BytesToHash(generateRandomBytes(t))}
-	parentBlockMeta := &BlockMetaData{EpochNumber: 3, BlockRound: 5}
-	parentExtra := &Extra{BlockMetaData: parentBlockMeta}
-
-	parentBlockMetaHash, err := parentBlockMeta.Hash(parent.Hash)
-	require.NoError(t, err)
-
-	err = extra.ValidateParentSignatures(
-		headerNum, polyBackendMock, nil, parent, parentExtra, signer.DomainBridge, hclog.NewNullLogger())
-	require.ErrorContains(t, err,
-		fmt.Sprintf("failed to verify signatures for parent of block %d (proposal hash: %s): could not verify aggregated signature", headerNum, parentBlockMetaHash))
-
-	// valid signature provided
-	validSig := createSignature(t, validators.GetPrivateIdentities(), parentBlockMetaHash, signer.DomainBridge)
-	extra = &Extra{Parent: validSig}
-	err = extra.ValidateParentSignatures(
-		headerNum, polyBackendMock, nil, parent, parentExtra, signer.DomainBridge, hclog.NewNullLogger())
-	require.NoError(t, err)
-}
-
-func TestSignature_Verify(t *testing.T) {
-	t.Parallel()
-
-	t.Run("Valid signatures", func(t *testing.T) {
-		t.Parallel()
-
-		numValidators := 100
-		msgHash := types.Hash{0x1}
-
-		vals := validator.NewTestValidators(t, numValidators)
-		validatorsMetadata := vals.GetPublicIdentities()
-		validatorSet := vals.ToValidatorSet()
-
-		var signatures bls.Signatures
-
-		bitmap := bitmap.Bitmap{}
-		signers := make(map[types.Address]struct{}, len(validatorsMetadata))
-
-		for i, val := range vals.GetValidators() {
-			bitmap.Set(uint64(i))
-
-			tempSign, err := val.Account.Bls.Sign(msgHash[:], signer.DomainBridge)
-			require.NoError(t, err)
-
-			signatures = append(signatures, tempSign)
-			aggs, err := signatures.Aggregate().Marshal()
-			assert.NoError(t, err)
-
-			s := &Signature{
-				AggregatedSignature: aggs,
-				Bitmap:              bitmap,
-			}
-
-			err = s.Verify(10, validatorsMetadata, msgHash, signer.DomainBridge, hclog.NewNullLogger())
-			signers[val.Address()] = struct{}{}
-
-			if !validatorSet.HasQuorum(10, signers) {
-				assert.ErrorContains(t, err, "quorum not reached", "failed for %d", i)
-			} else {
-				assert.NoError(t, err)
-			}
-		}
-	})
-
-	t.Run("Invalid bitmap provided", func(t *testing.T) {
-		t.Parallel()
-
-		validatorSet := validator.NewTestValidators(t, 3).GetPublicIdentities()
-		bmp := bitmap.Bitmap{}
-
-		// Make bitmap invalid, by setting some flag larger than length of validator set to 1
-		bmp.Set(uint64(validatorSet.Len() + 1))
-		s := &Signature{Bitmap: bmp}
-
-		err := s.Verify(0, validatorSet, types.Hash{0x1}, signer.DomainBridge, hclog.NewNullLogger())
-		require.Error(t, err)
-	})
-}
-
-func TestSignature_UnmarshalRLPWith_NegativeCases(t *testing.T) {
-	t.Parallel()
-
-	t.Run("Incorrect RLP marshalled data type", func(t *testing.T) {
-		t.Parallel()
-
-		ar := &fastrlp.Arena{}
-		signature := Signature{}
-		require.ErrorContains(t, signature.UnmarshalRLPWith(ar.NewNull()), "array type expected for signature struct")
-	})
-
-	t.Run("Incorrect AggregatedSignature field data type", func(t *testing.T) {
-		t.Parallel()
-
-		ar := &fastrlp.Arena{}
-		signature := Signature{}
-		signatureMarshalled := ar.NewArray()
-		signatureMarshalled.Set(ar.NewNull())
-		signatureMarshalled.Set(ar.NewNull())
-		require.ErrorContains(t, signature.UnmarshalRLPWith(signatureMarshalled), "value is not of type bytes")
-	})
-
-	t.Run("Incorrect Bitmap field data type", func(t *testing.T) {
-		ar := &fastrlp.Arena{}
-		signature := Signature{}
-		signatureMarshalled := ar.NewArray()
-		signatureMarshalled.Set(ar.NewBytes([]byte{0x5, 0x90}))
-		signatureMarshalled.Set(ar.NewNull())
-		require.ErrorContains(t, signature.UnmarshalRLPWith(signatureMarshalled), "value is not of type bytes")
-	})
-}
-
-func TestSignature_VerifyRandom(t *testing.T) {
-	t.Parallel()
-
-	numValidators := 100
-	vals := validator.NewTestValidators(t, numValidators)
-	msgHash := types.Hash{0x1}
-
-	var signature bls.Signatures
-
-	bitmap := bitmap.Bitmap{}
-	valIndxsRnd := mrand.Perm(numValidators)[:numValidators*2/3+1]
-
-	accounts := vals.GetValidators()
-
-	for _, index := range valIndxsRnd {
-		bitmap.Set(uint64(index))
-
-		tempSign, err := accounts[index].Account.Bls.Sign(msgHash[:], signer.DomainBridge)
-		require.NoError(t, err)
-
-		signature = append(signature, tempSign)
-	}
-
-	aggs, err := signature.Aggregate().Marshal()
-	require.NoError(t, err)
-
-	s := &Signature{
-		AggregatedSignature: aggs,
-		Bitmap:              bitmap,
-	}
-
-	err = s.Verify(1, vals.GetPublicIdentities(), msgHash, signer.DomainBridge, hclog.NewNullLogger())
-	assert.NoError(t, err)
-}
-
-func TestExtra_InitGenesisValidatorsDelta(t *testing.T) {
-	t.Parallel()
-
-	t.Run("Happy path", func(t *testing.T) {
-		t.Parallel()
-
-		const validatorsCount = 7
-		vals := validator.NewTestValidators(t, validatorsCount)
-
-		delta := &validator.ValidatorSetDelta{
-			Added:   make(validator.AccountSet, validatorsCount),
-			Removed: bitmap.Bitmap{},
-		}
-
-		i := 0
-
-		for _, val := range vals.Validators {
-			delta.Added[i] = &validator.ValidatorMetadata{
-				Address:     val.Account.Ecdsa.Address(),
-				BlsKey:      val.Account.Bls.PublicKey(),
-				VotingPower: new(big.Int).SetUint64(val.VotingPower),
-			}
-
-			i++
-		}
-
-		extra := Extra{Validators: delta}
-
-		genesis := &chain.Genesis{
-			ExtraData: extra.MarshalRLPTo(nil),
-		}
-
-		genesisExtra, err := GetIbftExtra(genesis.ExtraData)
-		assert.NoError(t, err)
-		assert.Len(t, genesisExtra.Validators.Added, validatorsCount)
-		assert.Empty(t, genesisExtra.Validators.Removed)
-	})
-
-	t.Run("Invalid Extra data", func(t *testing.T) {
-		t.Parallel()
-
-		genesis := &chain.Genesis{
-			ExtraData: append(make([]byte, ExtraVanity), []byte{0x2, 0x3}...),
-		}
-
-		_, err := GetIbftExtra(genesis.ExtraData)
-
-		require.Error(t, err)
-	})
-}
-
-func Test_GetIbftExtraClean(t *testing.T) {
-	t.Parallel()
-
-	key, err := wallet.GenerateAccount()
-	require.NoError(t, err)
-
-	extra := &Extra{
-		Validators: &validator.ValidatorSetDelta{
-			Added: validator.AccountSet{
-				&validator.ValidatorMetadata{
-					Address:     types.BytesToAddress([]byte{11, 22}),
-					BlsKey:      key.Bls.PublicKey(),
-					VotingPower: new(big.Int).SetUint64(1000),
-					IsActive:    true,
-				},
-			},
-		},
-		Committed: &Signature{
-			AggregatedSignature: []byte{23, 24},
-			Bitmap:              []byte{11},
-		},
-		Parent: &Signature{
-			AggregatedSignature: []byte{0, 1},
-			Bitmap:              []byte{1},
-		},
-	}
-
-	extraClean, err := GetIbftExtraClean(extra.MarshalRLPTo(nil))
-	require.NoError(t, err)
-
-	extraTwo := &Extra{}
-	require.NoError(t, extraTwo.UnmarshalRLP(extraClean))
-	require.True(t, extra.Validators.Equals(extra.Validators))
-	require.Equal(t, extra.Parent.AggregatedSignature, extraTwo.Parent.AggregatedSignature)
-	require.Equal(t, extra.Parent.Bitmap, extraTwo.Parent.Bitmap)
-
-	require.Nil(t, extraTwo.Committed.AggregatedSignature)
-	require.Nil(t, extraTwo.Committed.Bitmap)
-}
-
-func Test_GetIbftExtraClean_Fail(t *testing.T) {
-	t.Parallel()
-
-	randomBytes := [ExtraVanity]byte{}
-	_, err := rand.Read(randomBytes[:])
-	require.NoError(t, err)
-
-	extra, err := GetIbftExtraClean(append(randomBytes[:], []byte{0x12, 0x6}...))
-	require.Error(t, err)
-	require.Nil(t, extra)
-}
-
-func TestBlockMetaData_Hash(t *testing.T) {
-	blockHash := types.BytesToHash(generateRandomBytes(t))
-	origBlockMeta := &BlockMetaData{
-		BlockRound:  0,
-		EpochNumber: 3,
-	}
-	copyBlockMeta := &BlockMetaData{}
-	*copyBlockMeta = *origBlockMeta
-
-	origHash, err := origBlockMeta.Hash(blockHash)
-	require.NoError(t, err)
-
-	copyHash, err := copyBlockMeta.Hash(blockHash)
-	require.NoError(t, err)
-
-	require.Equal(t, origHash, copyHash)
-}
-
-func TestBlockMetaData_Validate(t *testing.T) {
-	t.Parallel()
-
-	cases := []struct {
-		name              string
-		parentEpochNumber uint64
-		epochNumber       uint64
-		errString         string
-	}{
-		{
-			name:              "Invalid (gap in epoch numbers)",
-			parentEpochNumber: 2,
-			epochNumber:       6,
-			errString:         "invalid epoch number for epoch-beginning block",
-		},
-		{
-			name:              "Invalid (validator set and epoch numbers change)",
-			parentEpochNumber: 2,
-			epochNumber:       3,
-		},
-	}
-
-	for _, c := range cases {
-		c := c
-		t.Run(c.name, func(t *testing.T) {
-			t.Parallel()
-
-			blockMeta := &BlockMetaData{
-				EpochNumber: c.epochNumber,
-			}
-			parentBlockMeta := &BlockMetaData{EpochNumber: c.parentEpochNumber}
-			err := blockMeta.Validate(parentBlockMeta)
-
-			if c.errString != "" {
-				require.ErrorContains(t, err, c.errString)
-			} else {
-				require.NoError(t, err)
-			}
-		})
-	}
-}
-
-func TestBlockMetaData_Copy(t *testing.T) {
-	t.Parallel()
-
-	original := &BlockMetaData{
-		BlockRound:  1,
-		EpochNumber: 5,
-	}
-
-	copied := original.Copy()
-	require.Equal(t, original, copied)
-	require.NotSame(t, original, copied)
-
-	// alter arbitrary field on copied instance
-	copied.BlockRound = 10
-	require.NotEqual(t, original.BlockRound, copied.BlockRound)
-}
diff --git a/consensus/polybft/fsm.go b/consensus/polybft/fsm.go
index 2719547305..bfbd20223c 100644
--- a/consensus/polybft/fsm.go
+++ b/consensus/polybft/fsm.go
@@ -15,8 +15,14 @@ import (
 	"github.com/0xPolygon/polygon-edge/bls"
 	"github.com/0xPolygon/polygon-edge/chain"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/bitmap"
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/bridge"
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/config"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/contractsapi"
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/governance"
+	polymetrics "github.com/0xPolygon/polygon-edge/consensus/polybft/metrics"
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/proposer"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/signer"
+	polytypes "github.com/0xPolygon/polygon-edge/consensus/polybft/types"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/validator"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/wallet"
 	"github.com/0xPolygon/polygon-edge/contracts"
@@ -61,7 +67,7 @@ var (
 
 type fsm struct {
 	// PolyBFT consensus protocol configuration
-	config *PolyBFTConfig
+	config *config.PolyBFT
 
 	// forks holds forks configuration
 	forks *chain.Forks
@@ -69,17 +75,17 @@ type fsm struct {
 	// parent block header
 	parent *types.Header
 
-	// backend implements methods for retrieving data from block chain
-	backend blockchainBackend
+	// blockchain implements methods for retrieving data from block chain
+	blockchain polytypes.Blockchain
 
 	// polybftBackend implements methods needed from the polybft
-	polybftBackend polybftBackend
+	polybftBackend polytypes.Polybft
 
 	// validators is the list of validators for this round
 	validators validator.ValidatorSet
 
 	// proposerSnapshot keeps information about new proposer
-	proposerSnapshot *ProposerSnapshot
+	proposerSnapshot *proposer.ProposerSnapshot
 
 	// blockBuilder is the block builder for proposers
 	blockBuilder blockBuilder
@@ -106,7 +112,7 @@ type fsm struct {
 	isFirstBlockOfEpoch bool
 
 	// proposerBridgeBatchToRegister is a batch that is registered via state transaction by proposer
-	proposerBridgeBatchToRegister []*BridgeBatchSigned
+	proposerBridgeBatchToRegister []*bridge.BridgeBatchSigned
 
 	// logger instance
 	logger hclog.Logger
@@ -121,17 +127,17 @@ type fsm struct {
 // BuildProposal builds a proposal for the current round (used if proposer)
 func (f *fsm) BuildProposal(currentRound uint64) ([]byte, error) {
 	start := time.Now().UTC()
-	defer metrics.SetGauge([]string{consensusMetricsPrefix, "block_building_time"},
+	defer metrics.SetGauge([]string{polymetrics.ConsensusMetricsPrefix, "block_building_time"},
 		float32(time.Now().UTC().Sub(start).Seconds()))
 
 	parent := f.parent
 
-	extraParent, err := GetIbftExtra(parent.ExtraData)
+	extraParent, err := polytypes.GetIbftExtra(parent.ExtraData)
 	if err != nil {
 		return nil, err
 	}
 
-	extra := &Extra{Parent: extraParent.Committed}
+	extra := &polytypes.Extra{Parent: extraParent.Committed}
 	// for non-epoch ending blocks, currentValidatorsHash is the same as the nextValidatorsHash
 	nextValidators := f.validators.Accounts()
 
@@ -163,7 +169,7 @@ func (f *fsm) BuildProposal(currentRound uint64) ([]byte, error) {
 		}
 	}
 
-	if isRewardDistributionBlock(f.forks, f.isFirstBlockOfEpoch, f.isEndOfEpoch, f.Height()) {
+	if governance.IsRewardDistributionBlock(f.forks, f.isFirstBlockOfEpoch, f.isEndOfEpoch, f.Height()) {
 		tx, err := f.createDistributeRewardsTx()
 		if err != nil {
 			return nil, err
@@ -183,14 +189,14 @@ func (f *fsm) BuildProposal(currentRound uint64) ([]byte, error) {
 	// fill the block with transactions
 	f.blockBuilder.Fill()
 
-	extra.BlockMetaData = &BlockMetaData{
+	extra.BlockMetaData = &polytypes.BlockMetaData{
 		BlockRound:  currentRound,
 		EpochNumber: f.epochNumber,
 	}
 
 	stateBlock, err := f.blockBuilder.Build(func(h *types.Header) {
 		h.ExtraData = extra.MarshalRLPTo(nil)
-		h.MixHash = PolyBFTMixDigest
+		h.MixHash = polytypes.PolyBFTMixDigest
 	})
 
 	if err != nil {
@@ -250,7 +256,7 @@ func (f *fsm) applyBridgeBatchTx() error {
 }
 
 // createBridgeBatchTx builds bridge batch registration transaction
-func (f *fsm) createBridgeBatchTx(signedBridgeBatch *BridgeBatchSigned) (*types.Transaction, error) {
+func (f *fsm) createBridgeBatchTx(signedBridgeBatch *bridge.BridgeBatchSigned) (*types.Transaction, error) {
 	inputData, err := signedBridgeBatch.EncodeAbi()
 	if err != nil {
 		return nil, fmt.Errorf("failed to encode input data for bridge batch registration: %w", err)
@@ -260,7 +266,7 @@ func (f *fsm) createBridgeBatchTx(signedBridgeBatch *BridgeBatchSigned) (*types.
 }
 
 // applyValidatorSetCommitTx build validator set commit transaction and apply it
-func (f *fsm) applyValidatorSetCommitTx(nextValidators validator.AccountSet, extra *Extra) error {
+func (f *fsm) applyValidatorSetCommitTx(nextValidators validator.AccountSet, extra *polytypes.Extra) error {
 	commitValidatorSetInput, err := createCommitValidatorSetInput(nextValidators, extra)
 	if err != nil {
 		return err
@@ -338,12 +344,12 @@ func (f *fsm) Validate(proposal []byte) error {
 		)
 	}
 
-	extra, err := GetIbftExtra(block.Header.ExtraData)
+	extra, err := polytypes.GetIbftExtra(block.Header.ExtraData)
 	if err != nil {
 		return fmt.Errorf("cannot get extra data:%w", err)
 	}
 
-	parentExtra, err := GetIbftExtra(f.parent.ExtraData)
+	parentExtra, err := polytypes.GetIbftExtra(f.parent.ExtraData)
 	if err != nil {
 		return err
 	}
@@ -392,7 +398,7 @@ func (f *fsm) Validate(proposal []byte) error {
 		f.logger.Trace("[FSM.Validate]", "block num", block.Number(), "parent validators", validators)
 	}
 
-	stateBlock, err := f.backend.ProcessBlock(f.parent, &block)
+	stateBlock, err := f.blockchain.ProcessBlock(f.parent, &block)
 	if err != nil {
 		return err
 	}
@@ -461,7 +467,7 @@ func (f *fsm) VerifyStateTransactions(transactions []*types.Transaction) error {
 		}
 
 		switch stateTxData := decodedStateTx.(type) {
-		case *BridgeBatchSigned:
+		case *bridge.BridgeBatchSigned:
 			if !f.isEndOfSprint {
 				return errBridgeBatchTxInNonSprintBlock
 			}
@@ -533,7 +539,7 @@ func (f *fsm) VerifyStateTransactions(transactions []*types.Transaction) error {
 		}
 	}
 
-	if isRewardDistributionBlock(f.forks, f.isFirstBlockOfEpoch, f.isEndOfEpoch, f.Height()) {
+	if governance.IsRewardDistributionBlock(f.forks, f.isFirstBlockOfEpoch, f.isEndOfEpoch, f.Height()) {
 		if !distributeRewardsTxExists {
 			// this is a check if distribute rewards transaction is not in the list of transactions at all
 			// but it should be
@@ -561,7 +567,7 @@ func (f *fsm) Insert(proposal []byte, committedSeals []*messages.CommittedSeal)
 	// In this function we should try to return little to no errors since
 	// at this point everything we have to do is just commit something that
 	// we should have already computed beforehand.
-	extra, err := GetIbftExtra(newBlock.Block.Header.ExtraData)
+	extra, err := polytypes.GetIbftExtra(newBlock.Block.Header.ExtraData)
 	if err != nil {
 		return nil, fmt.Errorf("failed to insert proposal, due to not being able to extract extra data: %w", err)
 	}
@@ -602,7 +608,7 @@ func (f *fsm) Insert(proposal []byte, committedSeals []*messages.CommittedSeal)
 
 	// include aggregated signature of all committed seals
 	// also includes bitmap which contains all indexes from validator set which provides there seals
-	extra.Committed = &Signature{
+	extra.Committed = &polytypes.Signature{
 		AggregatedSignature: aggregatedSignature,
 		Bitmap:              bitmap,
 	}
@@ -610,7 +616,7 @@ func (f *fsm) Insert(proposal []byte, committedSeals []*messages.CommittedSeal)
 	// Write extra data to header
 	newBlock.Block.Header.ExtraData = extra.MarshalRLPTo(nil)
 
-	if err := f.backend.CommitBlock(newBlock); err != nil {
+	if err := f.blockchain.CommitBlock(newBlock); err != nil {
 		return nil, err
 	}
 
@@ -653,7 +659,7 @@ func (f *fsm) verifyCommitEpochTx(commitEpochTx *types.Transaction) error {
 // and compares its hash with the one extracted from the block.
 func (f *fsm) verifyDistributeRewardsTx(distributeRewardsTx *types.Transaction) error {
 	// we don't have distribute rewards tx if we just started the chain
-	if isRewardDistributionBlock(f.forks, f.isFirstBlockOfEpoch, f.isEndOfEpoch, f.Height()) {
+	if governance.IsRewardDistributionBlock(f.forks, f.isFirstBlockOfEpoch, f.isEndOfEpoch, f.Height()) {
 		localDistributeRewardsTx, err := f.createDistributeRewardsTx()
 		if err != nil {
 			return err
@@ -718,7 +724,7 @@ func (f *fsm) verifyCommitValidatorSetTx(commitValidatorSetTx *contractsapi.Comm
 
 // verifyBridgeBatchTx validates bridge batch transaction
 func verifyBridgeBatchTx(blockNumber uint64, txHash types.Hash,
-	signedBridgeBatch *BridgeBatchSigned,
+	signedBridgeBatch *bridge.BridgeBatchSigned,
 	validators validator.ValidatorSet) error {
 	signers, err := validators.Accounts().GetFilteredValidators(signedBridgeBatch.AggSignature.Bitmap)
 	if err != nil {
@@ -749,8 +755,8 @@ func verifyBridgeBatchTx(blockNumber uint64, txHash types.Hash,
 
 func validateHeaderFields(parent *types.Header, header *types.Header, blockTimeDrift uint64) error {
 	// header extra data must be higher or equal to ExtraVanity = 32 in order to be compliant with Ethereum blocks
-	if len(header.ExtraData) < ExtraVanity {
-		return fmt.Errorf("extra-data shorter than %d bytes (%d)", ExtraVanity, len(header.ExtraData))
+	if len(header.ExtraData) < polytypes.ExtraVanity {
+		return fmt.Errorf("extra-data shorter than %d bytes (%d)", polytypes.ExtraVanity, len(header.ExtraData))
 	}
 	// verify parent hash
 	if parent.Hash != header.ParentHash {
@@ -778,7 +784,7 @@ func validateHeaderFields(parent *types.Header, header *types.Header, blockTimeD
 		return fmt.Errorf("timestamp older than parent")
 	}
 	// verify mix digest
-	if header.MixHash != PolyBFTMixDigest {
+	if header.MixHash != polytypes.PolyBFTMixDigest {
 		return fmt.Errorf("mix digest is not correct")
 	}
 	// difficulty must be > 0
@@ -796,7 +802,7 @@ func validateHeaderFields(parent *types.Header, header *types.Header, blockTimeD
 // createCommitValidatorSetInput creates input for valdidatoeSetCommit
 func createCommitValidatorSetInput(
 	validators validator.AccountSet,
-	extra *Extra) (*contractsapi.CommitValidatorSetBridgeStorageFn, error) {
+	extra *polytypes.Extra) (*contractsapi.CommitValidatorSetBridgeStorageFn, error) {
 	signature, err := bls.UnmarshalSignature(extra.Committed.AggregatedSignature)
 	if err != nil {
 		return nil, err
diff --git a/consensus/polybft/fsm_test.go b/consensus/polybft/fsm_test.go
index 2afd8d8848..61360e94b2 100644
--- a/consensus/polybft/fsm_test.go
+++ b/consensus/polybft/fsm_test.go
@@ -14,8 +14,12 @@ import (
 	"github.com/0xPolygon/polygon-edge/chain"
 	"github.com/0xPolygon/polygon-edge/consensus"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/bitmap"
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/bridge"
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/config"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/contractsapi"
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/helpers"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/signer"
+	polytypes "github.com/0xPolygon/polygon-edge/consensus/polybft/types"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/validator"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/wallet"
 	"github.com/0xPolygon/polygon-edge/contracts"
@@ -65,7 +69,7 @@ func TestFSM_ValidateHeader(t *testing.T) {
 
 	// mix digest
 	require.ErrorContains(t, validateHeaderFields(parent, header, blockTimeDrift), "mix digest is not correct")
-	header.MixHash = PolyBFTMixDigest
+	header.MixHash = polytypes.PolyBFTMixDigest
 
 	// difficulty
 	header.Difficulty = 0
@@ -137,20 +141,18 @@ func TestFSM_BuildProposal_WithoutCommitEpochTxGood(t *testing.T) {
 	stateBlock := createDummyStateBlock(parentBlockNumber+1, parent.Hash, extra)
 	mBlockBuilder := newBlockBuilderMock(stateBlock)
 
-	blockchainMock := &blockchainMock{}
 	runtime := &consensusRuntime{
 		logger: hclog.NewNullLogger(),
-		config: &runtimeConfig{
-			Key:        wallet.NewKey(validators.GetPrivateIdentities()[0]),
-			blockchain: blockchainMock,
+		config: &config.Runtime{
+			Key: wallet.NewKey(validators.GetPrivateIdentities()[0]),
 		},
 	}
 
 	fsm := &fsm{
 		parent:       parent,
 		blockBuilder: mBlockBuilder,
-		config:       &PolyBFTConfig{},
-		backend:      blockchainMock,
+		config:       &config.PolyBFT{},
+		blockchain:   &helpers.BlockchainMock{},
 		validators:   validators.ToValidatorSet(),
 		logger:       hclog.NewNullLogger(),
 		forks:        &chain.Forks{chain.Governance: chain.NewFork(0)},
@@ -166,7 +168,7 @@ func TestFSM_BuildProposal_WithoutCommitEpochTxGood(t *testing.T) {
 	block := types.Block{}
 	require.NoError(t, block.UnmarshalRLP(proposal))
 
-	blockMeta := &BlockMetaData{
+	blockMeta := &polytypes.BlockMetaData{
 		BlockRound:  currentRound,
 		EpochNumber: fsm.epochNumber,
 	}
@@ -202,17 +204,19 @@ func TestFSM_BuildProposal_WithCommitEpochTxGood(t *testing.T) {
 	mBlockBuilder := newBlockBuilderMock(stateBlock)
 	mBlockBuilder.On("WriteTx", mock.Anything).Return(error(nil)).Once()
 
-	blockChainMock := new(blockchainMock)
+	blockChainMock := new(helpers.BlockchainMock)
 
 	runtime := &consensusRuntime{
 		logger: hclog.NewNullLogger(),
-		config: &runtimeConfig{
-			Key:        wallet.NewKey(validators.GetPrivateIdentities()[0]),
-			blockchain: blockChainMock,
+		config: &config.Runtime{
+			Key: wallet.NewKey(validators.GetPrivateIdentities()[0]),
 		},
 	}
 
-	fsm := &fsm{parent: parent, blockBuilder: mBlockBuilder, config: &PolyBFTConfig{}, backend: blockChainMock,
+	fsm := &fsm{parent: parent,
+		blockBuilder:     mBlockBuilder,
+		config:           &config.PolyBFT{},
+		blockchain:       blockChainMock,
 		isEndOfEpoch:     true,
 		validators:       validators.ToValidatorSet(),
 		commitEpochInput: createTestCommitEpochInput(t, 0, 10),
@@ -229,7 +233,7 @@ func TestFSM_BuildProposal_WithCommitEpochTxGood(t *testing.T) {
 
 	assert.Equal(t, stateBlock.Block.MarshalRLP(), proposal)
 
-	blockMeta := &BlockMetaData{
+	blockMeta := &polytypes.BlockMetaData{
 		BlockRound:  currentRound,
 		EpochNumber: fsm.epochNumber,
 	}
@@ -258,13 +262,13 @@ func TestFSM_BuildProposal_EpochEndingBlock_FailedToApplyStateTx(t *testing.T) {
 
 	parent := &types.Header{Number: parentBlockNumber, ExtraData: extra}
 
-	mBlockBuilder := new(blockBuilderMock)
+	mBlockBuilder := new(helpers.BlockBuilderMock)
 	mBlockBuilder.On("WriteTx", mock.Anything).Return(errors.New("error")).Once()
 	mBlockBuilder.On("Reset").Return(error(nil)).Once()
 
 	validatorSet := validator.NewValidatorSet(validators.GetPublicIdentities(), hclog.NewNullLogger())
 
-	fsm := &fsm{parent: parent, blockBuilder: mBlockBuilder, backend: &blockchainMock{},
+	fsm := &fsm{parent: parent, blockBuilder: mBlockBuilder, blockchain: &helpers.BlockchainMock{},
 		isEndOfEpoch:     true,
 		validators:       validatorSet,
 		commitEpochInput: createTestCommitEpochInput(t, 0, 10),
@@ -311,15 +315,15 @@ func TestFSM_BuildProposal_EpochEndingBlock_ValidatorsDeltaExists(t *testing.T)
 		Removed: *removedBitmap,
 	}
 
-	blockChainMock := new(blockchainMock)
+	blockChainMock := new(helpers.BlockchainMock)
 
 	validatorSet := validator.NewValidatorSet(validators, hclog.NewNullLogger())
 
 	fsm := &fsm{
 		parent:             parent,
 		blockBuilder:       blockBuilderMock,
-		config:             &PolyBFTConfig{},
-		backend:            blockChainMock,
+		config:             &config.PolyBFT{},
+		blockchain:         blockChainMock,
 		isEndOfEpoch:       true,
 		validators:         validatorSet,
 		commitEpochInput:   createTestCommitEpochInput(t, 0, 10),
@@ -332,7 +336,7 @@ func TestFSM_BuildProposal_EpochEndingBlock_ValidatorsDeltaExists(t *testing.T)
 	assert.NoError(t, err)
 	assert.NotNil(t, proposal)
 
-	blockExtra, err := GetIbftExtra(stateBlock.Block.Header.ExtraData)
+	blockExtra, err := polytypes.GetIbftExtra(stateBlock.Block.Header.ExtraData)
 	assert.NoError(t, err)
 	assert.Len(t, blockExtra.Validators.Added, 2)
 	assert.False(t, blockExtra.Validators.IsEmpty())
@@ -368,15 +372,15 @@ func TestFSM_BuildProposal_NonEpochEndingBlock_ValidatorsDeltaNil(t *testing.T)
 	parent.ComputeHash()
 	stateBlock := createDummyStateBlock(parentBlockNumber+1, parent.Hash, extra)
 
-	blockBuilderMock := &blockBuilderMock{}
+	blockBuilderMock := new(helpers.BlockBuilderMock)
 	blockBuilderMock.On("Build", mock.Anything).Return(stateBlock).Once()
 	blockBuilderMock.On("Fill").Once()
 	blockBuilderMock.On("Reset").Return(error(nil)).Once()
 
 	fsm := &fsm{parent: parent,
 		blockBuilder: blockBuilderMock,
-		config:       &PolyBFTConfig{},
-		backend:      &blockchainMock{},
+		config:       &config.PolyBFT{},
+		blockchain:   new(helpers.BlockchainMock),
 		isEndOfEpoch: false,
 		validators:   testValidators.ToValidatorSet(),
 		logger:       hclog.NewNullLogger(),
@@ -387,7 +391,7 @@ func TestFSM_BuildProposal_NonEpochEndingBlock_ValidatorsDeltaNil(t *testing.T)
 	assert.NoError(t, err)
 	assert.NotNil(t, proposal)
 
-	blockExtra, err := GetIbftExtra(stateBlock.Block.Header.ExtraData)
+	blockExtra, err := polytypes.GetIbftExtra(stateBlock.Block.Header.ExtraData)
 	assert.NoError(t, err)
 	assert.Nil(t, blockExtra.Validators)
 
@@ -415,13 +419,13 @@ func TestFSM_BuildProposal_EpochEndingBlock_FailToGetNextValidatorsHash(t *testi
 
 	parent := &types.Header{Number: parentBlockNumber, ExtraData: extra.MarshalRLPTo(nil)}
 
-	blockBuilderMock := new(blockBuilderMock)
+	blockBuilderMock := new(helpers.BlockBuilderMock)
 	blockBuilderMock.On("WriteTx", mock.Anything).Return(error(nil)).Once()
 	blockBuilderMock.On("Reset").Return(error(nil)).Once()
 
 	fsm := &fsm{parent: parent,
 		blockBuilder:       blockBuilderMock,
-		config:             &PolyBFTConfig{},
+		config:             &config.PolyBFT{},
 		isEndOfEpoch:       true,
 		validators:         testValidators.ToValidatorSet(),
 		commitEpochInput:   createTestCommitEpochInput(t, 0, 10),
@@ -628,21 +632,21 @@ func TestFSM_VerifyStateTransaction_BridgeBatches(t *testing.T) {
 		t.Parallel()
 
 		var (
-			pendingBridgeBatches [2]*PendingBridgeBatch
+			pendingBridgeBatches [2]*bridge.PendingBridgeBatch
 			bridgeMessageEvents  [2][]*contractsapi.BridgeMsgEvent
-			signedBridgeBatches  [2]*BridgeBatchSigned
+			signedBridgeBatches  [2]*bridge.BridgeBatchSigned
 		)
 
 		validators := validator.NewTestValidatorsWithAliases(t, []string{"A", "B", "C", "D", "E"})
-		pendingBridgeBatches[0], signedBridgeBatches[0], bridgeMessageEvents[0] = buildBridgeBatchAndBridgeEvents(t, 10, uint64(3), 2)
-		pendingBridgeBatches[1], signedBridgeBatches[1], bridgeMessageEvents[1] = buildBridgeBatchAndBridgeEvents(t, 10, uint64(3), 12)
+		pendingBridgeBatches[0], signedBridgeBatches[0], bridgeMessageEvents[0] = bridge.BuildBridgeBatchAndBridgeEvents(t, 10, uint64(3), 2)
+		pendingBridgeBatches[1], signedBridgeBatches[1], bridgeMessageEvents[1] = bridge.BuildBridgeBatchAndBridgeEvents(t, 10, uint64(3), 12)
 
 		executeForValidators := func(aliases ...string) error {
 			for _, sc := range signedBridgeBatches {
 				// add register batches state transaction
 				hash, err := sc.Hash()
 				require.NoError(t, err)
-				signature := createSignature(t, validators.GetPrivateIdentities(aliases...), hash, signer.DomainBridge)
+				signature := helpers.CreateSignature(t, validators.GetPrivateIdentities(aliases...), hash, signer.DomainBridge)
 				sc.AggSignature = *signature
 			}
 
@@ -695,7 +699,7 @@ func TestFSM_VerifyStateTransaction_BridgeBatches(t *testing.T) {
 			isEndOfSprint:                 true,
 			parent:                        &types.Header{Number: 9},
 			validators:                    validatorSet,
-			proposerBridgeBatchToRegister: []*BridgeBatchSigned{bridgeBatch},
+			proposerBridgeBatchToRegister: []*bridge.BridgeBatchSigned{bridgeBatch},
 			logger:                        hclog.NewNullLogger(),
 		}
 
@@ -712,9 +716,9 @@ func TestFSM_VerifyStateTransaction_BridgeBatches(t *testing.T) {
 		blsKey, err := bls.GenerateBlsKey()
 		require.NoError(t, err)
 
-		data := generateRandomBytes(t)
+		data := helpers.GenerateRandomBytes(t)
 
-		signature, err := blsKey.Sign(data, domain)
+		signature, err := blsKey.Sign(data, bridge.TestDomain)
 		require.NoError(t, err)
 
 		signatures := bls.Signatures{signature}
@@ -724,7 +728,7 @@ func TestFSM_VerifyStateTransaction_BridgeBatches(t *testing.T) {
 
 		validators := validator.NewTestValidators(t, 5)
 		bridgeBatch := createTestBridgeBatch(t, validators.GetPrivateIdentities())
-		bridgeBatch.AggSignature = Signature{
+		bridgeBatch.AggSignature = polytypes.Signature{
 			AggregatedSignature: aggSig,
 			Bitmap:              []byte{},
 		}
@@ -736,7 +740,7 @@ func TestFSM_VerifyStateTransaction_BridgeBatches(t *testing.T) {
 			isEndOfSprint:                 true,
 			parent:                        &types.Header{Number: 9},
 			validators:                    validatorSet,
-			proposerBridgeBatchToRegister: []*BridgeBatchSigned{bridgeBatch},
+			proposerBridgeBatchToRegister: []*bridge.BridgeBatchSigned{bridgeBatch},
 			commitEpochInput:              createTestCommitEpochInput(t, 0, 10),
 			distributeRewardsInput:        createTestDistributeRewardsInput(t, 0, nil, 10),
 			logger:                        hclog.NewNullLogger(),
@@ -760,7 +764,7 @@ func TestFSM_VerifyStateTransaction_BridgeBatches(t *testing.T) {
 
 		fsm := &fsm{}
 
-		encodedBatch, err := createTestBridgeBatchMessage(t, 0, 0).EncodeAbi()
+		encodedBatch, err := bridge.CreateTestBridgeBatchMessage(t, 0, 0).EncodeAbi()
 		require.NoError(t, err)
 
 		tx := createStateTransactionWithData(contracts.BridgeStorageContract, encodedBatch)
@@ -772,7 +776,7 @@ func TestFSM_VerifyStateTransaction_BridgeBatches(t *testing.T) {
 		t.Parallel()
 
 		validators := validator.NewTestValidatorsWithAliases(t, []string{"A", "B", "C", "D", "E", "F"})
-		_, bridgeBatchSigned, _ := buildBridgeBatchAndBridgeEvents(t, 10, uint64(3), 2)
+		_, bridgeBatchSigned, _ := bridge.BuildBridgeBatchAndBridgeEvents(t, 10, uint64(3), 2)
 
 		validatorSet := validator.NewValidatorSet(validators.GetPublicIdentities(), hclog.NewNullLogger())
 
@@ -787,7 +791,7 @@ func TestFSM_VerifyStateTransaction_BridgeBatches(t *testing.T) {
 
 		var txns []*types.Transaction
 
-		signature := createSignature(t, validators.GetPrivateIdentities("A", "B", "C", "D", "E"), hash, signer.DomainBridge)
+		signature := helpers.CreateSignature(t, validators.GetPrivateIdentities("A", "B", "C", "D", "E"), hash, signer.DomainBridge)
 		bridgeBatchSigned.AggSignature = *signature
 
 		inputData, err := bridgeBatchSigned.EncodeAbi()
@@ -827,8 +831,8 @@ func TestFSM_ValidateCommit_WrongValidator(t *testing.T) {
 	fsm := &fsm{
 		parent:       parent,
 		blockBuilder: mBlockBuilder,
-		config:       &PolyBFTConfig{},
-		backend:      &blockchainMock{},
+		config:       &config.PolyBFT{},
+		blockchain:   &helpers.BlockchainMock{},
 		validators:   validators.ToValidatorSet(),
 		logger:       hclog.NewNullLogger(),
 		forks:        &chain.Forks{chain.Governance: chain.NewFork(0)},
@@ -862,8 +866,8 @@ func TestFSM_ValidateCommit_InvalidHash(t *testing.T) {
 	fsm := &fsm{
 		parent:       parent,
 		blockBuilder: mBlockBuilder,
-		config:       &PolyBFTConfig{},
-		backend:      &blockchainMock{},
+		config:       &config.PolyBFT{},
+		blockchain:   &helpers.BlockchainMock{},
 		validators:   validators.ToValidatorSet(),
 		logger:       hclog.NewNullLogger(),
 		forks:        &chain.Forks{chain.Governance: chain.NewFork(0)},
@@ -898,8 +902,8 @@ func TestFSM_ValidateCommit_Good(t *testing.T) {
 	fsm := &fsm{
 		parent:       parent,
 		blockBuilder: mBlockBuilder,
-		config:       &PolyBFTConfig{},
-		backend:      &blockchainMock{},
+		config:       &config.PolyBFT{},
+		blockchain:   &helpers.BlockchainMock{},
 		validators:   validatorSet,
 		logger:       hclog.NewNullLogger(),
 		forks:        &chain.Forks{chain.Governance: chain.NewFork(0)},
@@ -935,7 +939,7 @@ func TestFSM_Validate_EpochEndingBlock_MismatchInDeltas(t *testing.T) {
 	}
 	parent.ComputeHash()
 
-	polybftBackendMock := new(polybftBackendMock)
+	polybftBackendMock := new(helpers.PolybftBackendMock)
 	polybftBackendMock.On("GetValidators", mock.Anything, mock.Anything).Return(validators.GetPublicIdentities(), nil).Once()
 
 	extra := createTestExtraObject(validators.GetPublicIdentities(), validator.AccountSet{}, 4, signaturesCount, signaturesCount)
@@ -943,11 +947,11 @@ func TestFSM_Validate_EpochEndingBlock_MismatchInDeltas(t *testing.T) {
 	require.NoError(t, err)
 
 	extra.Validators = &validator.ValidatorSetDelta{} // this will cause test to fail
-	extra.Parent = createSignature(t, validators.GetPrivateIdentities(), parentBlockMetaHash, signer.DomainBridge)
+	extra.Parent = helpers.CreateSignature(t, validators.GetPrivateIdentities(), parentBlockMetaHash, signer.DomainBridge)
 
 	stateBlock := createDummyStateBlock(parent.Number+1, types.Hash{100, 15}, extra.MarshalRLPTo(nil))
 
-	proposalHash, err := new(BlockMetaData).Hash(stateBlock.Block.Hash())
+	proposalHash, err := new(polytypes.BlockMetaData).Hash(stateBlock.Block.Hash())
 	require.NoError(t, err)
 
 	commitEpoch := createTestCommitEpochInput(t, 1, 10)
@@ -999,21 +1003,21 @@ func TestFSM_Validate_EpochEndingBlock_MismatchInDeltas(t *testing.T) {
 
 	proposal := stateBlock.Block.MarshalRLP()
 
-	blockchainMock := new(blockchainMock)
+	blockchainMock := new(helpers.BlockchainMock)
 	blockchainMock.On("ProcessBlock", mock.Anything, mock.Anything).
 		Return(stateBlock, error(nil)).
 		Maybe()
 
 	fsm := &fsm{
 		parent:             parent,
-		backend:            blockchainMock,
+		blockchain:         blockchainMock,
 		validators:         validators.ToValidatorSet(),
 		logger:             hclog.NewNullLogger(),
 		isEndOfEpoch:       true,
 		commitEpochInput:   commitEpoch,
 		polybftBackend:     polybftBackendMock,
 		newValidatorsDelta: newValidatorDelta,
-		config:             &PolyBFTConfig{BlockTimeDrift: 1},
+		config:             &config.PolyBFT{BlockTimeDrift: 1},
 		forks:              &chain.Forks{chain.Governance: chain.NewFork(0)},
 	}
 
@@ -1043,7 +1047,7 @@ func TestFSM_Validate_EpochEndingBlock_UpdatingValidatorSetInNonEpochEndingBlock
 	}
 	parent.ComputeHash()
 
-	polybftBackendMock := new(polybftBackendMock)
+	polybftBackendMock := new(helpers.PolybftBackendMock)
 	polybftBackendMock.On("GetValidators", mock.Anything, mock.Anything).Return(validators.GetPublicIdentities(), nil).Once()
 
 	// a new validator is added to delta which proposers block does not have
@@ -1064,11 +1068,11 @@ func TestFSM_Validate_EpochEndingBlock_UpdatingValidatorSetInNonEpochEndingBlock
 	require.NoError(t, err)
 
 	extra.Validators = newValidatorDelta // this will cause test to fail
-	extra.Parent = createSignature(t, validators.GetPrivateIdentities(), parentBlockMetaHash, signer.DomainBridge)
+	extra.Parent = helpers.CreateSignature(t, validators.GetPrivateIdentities(), parentBlockMetaHash, signer.DomainBridge)
 
 	stateBlock := createDummyStateBlock(parent.Number+1, types.Hash{100, 15}, extra.MarshalRLPTo(nil))
 
-	proposalHash, err := new(BlockMetaData).Hash(stateBlock.Block.Hash())
+	proposalHash, err := new(polytypes.BlockMetaData).Hash(stateBlock.Block.Hash())
 	require.NoError(t, err)
 
 	stateBlock.Block.Header.Hash = proposalHash
@@ -1077,18 +1081,18 @@ func TestFSM_Validate_EpochEndingBlock_UpdatingValidatorSetInNonEpochEndingBlock
 
 	proposal := stateBlock.Block.MarshalRLP()
 
-	blockchainMock := new(blockchainMock)
+	blockchainMock := new(helpers.BlockchainMock)
 	blockchainMock.On("ProcessBlock", mock.Anything, mock.Anything).
 		Return(stateBlock, error(nil)).
 		Maybe()
 
 	fsm := &fsm{
 		parent:         parent,
-		backend:        blockchainMock,
+		blockchain:     blockchainMock,
 		validators:     validators.ToValidatorSet(),
 		logger:         hclog.NewNullLogger(),
 		polybftBackend: polybftBackendMock,
-		config:         &PolyBFTConfig{BlockTimeDrift: 1},
+		config:         &config.PolyBFT{BlockTimeDrift: 1},
 		forks:          &chain.Forks{chain.Governance: chain.NewFork(0)},
 	}
 
@@ -1117,17 +1121,17 @@ func TestFSM_Validate_IncorrectHeaderParentHash(t *testing.T) {
 
 	fsm := &fsm{
 		parent:     parent,
-		backend:    &blockchainMock{},
+		blockchain: &helpers.BlockchainMock{},
 		validators: validators.ToValidatorSet(),
 		logger:     hclog.NewNullLogger(),
-		config: &PolyBFTConfig{
+		config: &config.PolyBFT{
 			BlockTimeDrift: 1,
 		},
 	}
 
 	stateBlock := createDummyStateBlock(parent.Number+1, types.Hash{100, 15}, parent.ExtraData)
 
-	hash, err := new(BlockMetaData).Hash(stateBlock.Block.Hash())
+	hash, err := new(polytypes.BlockMetaData).Hash(stateBlock.Block.Hash())
 	require.NoError(t, err)
 
 	stateBlock.Block.Header.Hash = hash
@@ -1160,13 +1164,13 @@ func TestFSM_Validate_InvalidNumber(t *testing.T) {
 		fsm := &fsm{
 			parent:       parent,
 			blockBuilder: mBlockBuilder,
-			backend:      &blockchainMock{},
+			blockchain:   &helpers.BlockchainMock{},
 			validators:   validators.ToValidatorSet(),
 			logger:       hclog.NewNullLogger(),
-			config:       &PolyBFTConfig{BlockTimeDrift: 1},
+			config:       &config.PolyBFT{BlockTimeDrift: 1},
 		}
 
-		proposalHash, err := new(BlockMetaData).Hash(stateBlock.Block.Hash())
+		proposalHash, err := new(polytypes.BlockMetaData).Hash(stateBlock.Block.Hash())
 		require.NoError(t, err)
 
 		stateBlock.Block.Header.Hash = proposalHash
@@ -1201,14 +1205,14 @@ func TestFSM_Validate_TimestampOlder(t *testing.T) {
 		stateBlock := &types.FullBlock{Block: consensus.BuildBlock(consensus.BuildBlockParams{Header: header})}
 		fsm := &fsm{
 			parent:     parent,
-			backend:    &blockchainMock{},
+			blockchain: &helpers.BlockchainMock{},
 			validators: validators.ToValidatorSet(),
 			logger:     hclog.NewNullLogger(),
-			config: &PolyBFTConfig{
+			config: &config.PolyBFT{
 				BlockTimeDrift: 1,
 			}}
 
-		blocMetaHash, err := new(BlockMetaData).Hash(header.Hash)
+		blocMetaHash, err := new(polytypes.BlockMetaData).Hash(header.Hash)
 		require.NoError(t, err)
 
 		stateBlock.Block.Header.Hash = blocMetaHash
@@ -1244,16 +1248,16 @@ func TestFSM_Validate_IncorrectMixHash(t *testing.T) {
 
 	fsm := &fsm{
 		parent:     parent,
-		backend:    &blockchainMock{},
+		blockchain: &helpers.BlockchainMock{},
 		validators: validators.ToValidatorSet(),
 		logger:     hclog.NewNullLogger(),
-		config: &PolyBFTConfig{
+		config: &config.PolyBFT{
 			BlockTimeDrift: 1,
 		},
 	}
 	rlpBlock := buildBlock.Block.MarshalRLP()
 
-	_, err := new(BlockMetaData).Hash(header.Hash)
+	_, err := new(polytypes.BlockMetaData).Hash(header.Hash)
 	require.NoError(t, err)
 
 	err = fsm.Validate(rlpBlock)
@@ -1269,7 +1273,7 @@ func TestFSM_Insert_Good(t *testing.T) {
 		signaturesCount   = 3
 	)
 
-	setupFn := func() (*fsm, []*messages.CommittedSeal, *types.FullBlock, *blockchainMock) {
+	setupFn := func() (*fsm, []*messages.CommittedSeal, *types.FullBlock, *helpers.BlockchainMock) {
 		validators := validator.NewTestValidators(t, accountCount)
 		allAccounts := validators.GetPrivateIdentities()
 		validatorsMetadata := validators.GetPublicIdentities()
@@ -1285,7 +1289,7 @@ func TestFSM_Insert_Good(t *testing.T) {
 		builtBlock := &types.FullBlock{Block: block}
 
 		builderMock := newBlockBuilderMock(builtBlock)
-		chainMock := &blockchainMock{}
+		chainMock := new(helpers.BlockchainMock)
 		chainMock.On("CommitBlock", mock.Anything).Return(error(nil)).Once()
 		chainMock.On("ProcessBlock", mock.Anything, mock.Anything).
 			Return(builtBlock, error(nil)).
@@ -1295,7 +1299,7 @@ func TestFSM_Insert_Good(t *testing.T) {
 			parent:       parent,
 			blockBuilder: builderMock,
 			target:       builtBlock,
-			backend:      chainMock,
+			blockchain:   chainMock,
 			validators:   validator.NewValidatorSet(validatorsMetadata[0:len(validatorsMetadata)-1], hclog.NewNullLogger()),
 			logger:       hclog.NewNullLogger(),
 		}
@@ -1346,7 +1350,7 @@ func TestFSM_Insert_Good(t *testing.T) {
 		fsm, seals, builtBlock, _ := setupFn()
 		proposal := builtBlock.Block.MarshalRLP()
 		fsm.target = builtBlock
-		fsm.target.Block.Header.Hash = types.BytesToHash(generateRandomBytes(t))
+		fsm.target.Block.Header.Hash = types.BytesToHash(helpers.GenerateRandomBytes(t))
 		_, err := fsm.Insert(proposal, seals)
 
 		require.ErrorIs(t, err, errProposalDontMatch)
@@ -1379,7 +1383,7 @@ func TestFSM_Insert_InvalidNode(t *testing.T) {
 
 	validatorSet := validator.NewValidatorSet(validatorsMetadata[0:len(validatorsMetadata)-1], hclog.NewNullLogger())
 
-	fsm := &fsm{parent: parent, blockBuilder: mBlockBuilder, backend: &blockchainMock{},
+	fsm := &fsm{parent: parent, blockBuilder: mBlockBuilder, blockchain: &helpers.BlockchainMock{},
 		validators: validatorSet,
 	}
 
@@ -1427,10 +1431,10 @@ func TestFSM_DecodeBridgeBatchStateTxs(t *testing.T) {
 		eventsSize = 40
 	)
 
-	_, signedBridgeBatch, _ := buildBridgeBatchAndBridgeEvents(t, eventsSize, uint64(3), from)
+	_, signedBridgeBatch, _ := bridge.BuildBridgeBatchAndBridgeEvents(t, eventsSize, uint64(3), from)
 
 	f := &fsm{
-		proposerBridgeBatchToRegister: []*BridgeBatchSigned{signedBridgeBatch},
+		proposerBridgeBatchToRegister: []*bridge.BridgeBatchSigned{signedBridgeBatch},
 		commitEpochInput:              createTestCommitEpochInput(t, 0, 10),
 		distributeRewardsInput:        createTestDistributeRewardsInput(t, 0, nil, 10),
 		logger:                        hclog.NewNullLogger(),
@@ -1443,7 +1447,7 @@ func TestFSM_DecodeBridgeBatchStateTxs(t *testing.T) {
 	decodedData, err := decodeStateTransaction(bridgeBatchTx.Input())
 	require.NoError(t, err)
 
-	decodedBridgeBatchMsg, ok := decodedData.(*BridgeBatchSigned)
+	decodedBridgeBatchMsg, ok := decodedData.(*bridge.BridgeBatchSigned)
 	require.True(t, ok)
 
 	numberOfMessages := len(signedBridgeBatch.MessageBatch.Messages)
@@ -1500,25 +1504,25 @@ func TestFSM_Validate_FailToVerifySignatures(t *testing.T) {
 
 	extra := createTestExtraObject(validatorsMetadata, validator.AccountSet{}, 4, signaturesCount, signaturesCount)
 
-	extra.BlockMetaData = &BlockMetaData{}
+	extra.BlockMetaData = &polytypes.BlockMetaData{}
 	parent := &types.Header{
 		Number:    parentBlockNumber,
 		ExtraData: extra.MarshalRLPTo(nil),
 	}
 	parent.ComputeHash()
 
-	polybftBackendMock := new(polybftBackendMock)
+	polybftBackendMock := new(helpers.PolybftBackendMock)
 	polybftBackendMock.On("GetValidators", mock.Anything, mock.Anything).Return(validatorsMetadata, nil).Once()
 
 	validatorSet := validator.NewValidatorSet(validatorsMetadata, hclog.NewNullLogger())
 
 	fsm := &fsm{
 		parent:         parent,
-		backend:        &blockchainMock{},
+		blockchain:     &helpers.BlockchainMock{},
 		polybftBackend: polybftBackendMock,
 		validators:     validatorSet,
 		logger:         hclog.NewNullLogger(),
-		config: &PolyBFTConfig{
+		config: &config.PolyBFT{
 			BlockTimeDrift: 1,
 		},
 	}
@@ -1528,13 +1532,13 @@ func TestFSM_Validate_FailToVerifySignatures(t *testing.T) {
 			Number:     parentBlockNumber + 1,
 			ParentHash: parent.Hash,
 			Timestamp:  parent.Timestamp + 1,
-			MixHash:    PolyBFTMixDigest,
+			MixHash:    polytypes.PolyBFTMixDigest,
 			Difficulty: 1,
 			ExtraData:  parent.ExtraData,
 		},
 	})
 
-	blockMetaHash, err := new(BlockMetaData).Hash(finalBlock.Hash())
+	blockMetaHash, err := new(polytypes.BlockMetaData).Hash(finalBlock.Hash())
 	require.NoError(t, err)
 
 	finalBlock.Header.Hash = blockMetaHash
@@ -1552,7 +1556,7 @@ func createDummyStateBlock(blockNumber uint64, parentHash types.Hash, extraData
 			ParentHash: parentHash,
 			Difficulty: 1,
 			ExtraData:  extraData,
-			MixHash:    PolyBFTMixDigest,
+			MixHash:    polytypes.PolyBFTMixDigest,
 		},
 	})
 
@@ -1571,7 +1575,7 @@ func createTestExtra(
 	return extraData.MarshalRLPTo(nil)
 }
 
-func createTestBridgeBatch(t *testing.T, accounts []*wallet.Account) *BridgeBatchSigned {
+func createTestBridgeBatch(t *testing.T, accounts []*wallet.Account) *bridge.BridgeBatchSigned {
 	t.Helper()
 
 	bitmap := bitmap.Bitmap{}
@@ -1583,14 +1587,14 @@ func createTestBridgeBatch(t *testing.T, accounts []*wallet.Account) *BridgeBatc
 			Sender:             accounts[i].Ecdsa.Address(),
 			Receiver:           accounts[0].Ecdsa.Address(),
 			Data:               []byte{},
-			SourceChainID:      bigZero,
+			SourceChainID:      big.NewInt(0),
 			DestinationChainID: big.NewInt(1),
 		}
 
 		bitmap.Set(uint64(i))
 	}
 
-	newPendingBridgeBatch, err := NewPendingBridgeBatch(1, bridgeMessageEvents)
+	newPendingBridgeBatch, err := bridge.NewPendingBridgeBatch(1, bridgeMessageEvents)
 	require.NoError(t, err)
 
 	hash, err := newPendingBridgeBatch.Hash()
@@ -1608,21 +1612,21 @@ func createTestBridgeBatch(t *testing.T, accounts []*wallet.Account) *BridgeBatc
 	aggregatedSignature, err := signatures.Aggregate().Marshal()
 	assert.NoError(t, err)
 
-	signature := Signature{
+	signature := polytypes.Signature{
 		AggregatedSignature: aggregatedSignature,
 		Bitmap:              bitmap,
 	}
 
 	assert.NoError(t, err)
 
-	return &BridgeBatchSigned{
+	return &bridge.BridgeBatchSigned{
 		MessageBatch: newPendingBridgeBatch.BridgeMessageBatch,
 		AggSignature: signature,
 	}
 }
 
-func newBlockBuilderMock(stateBlock *types.FullBlock) *blockBuilderMock {
-	mBlockBuilder := new(blockBuilderMock)
+func newBlockBuilderMock(stateBlock *types.FullBlock) *helpers.BlockBuilderMock {
+	mBlockBuilder := new(helpers.BlockBuilderMock)
 	mBlockBuilder.On("Build", mock.Anything).Return(stateBlock).Once()
 	mBlockBuilder.On("Fill", mock.Anything).Once()
 	mBlockBuilder.On("Reset", mock.Anything).Return(error(nil)).Once()
@@ -1634,11 +1638,11 @@ func createTestExtraObject(allAccounts,
 	previousValidatorSet validator.AccountSet,
 	validatorsCount,
 	committedSignaturesCount,
-	parentSignaturesCount int) *Extra {
+	parentSignaturesCount int) *polytypes.Extra {
 	accountCount := len(allAccounts)
 	dummySignature := [64]byte{}
 	bitmapCommitted, bitmapParent := bitmap.Bitmap{}, bitmap.Bitmap{}
-	extraData := &Extra{}
+	extraData := &polytypes.Extra{}
 	extraData.Validators = generateValidatorDelta(validatorsCount, allAccounts, previousValidatorSet)
 
 	for j := range rand.Perm(accountCount)[:committedSignaturesCount] {
@@ -1649,9 +1653,9 @@ func createTestExtraObject(allAccounts,
 		bitmapParent.Set(uint64(j))
 	}
 
-	extraData.Parent = &Signature{Bitmap: bitmapCommitted, AggregatedSignature: dummySignature[:]}
-	extraData.Committed = &Signature{Bitmap: bitmapParent, AggregatedSignature: dummySignature[:]}
-	extraData.BlockMetaData = &BlockMetaData{}
+	extraData.Parent = &polytypes.Signature{Bitmap: bitmapCommitted, AggregatedSignature: dummySignature[:]}
+	extraData.Committed = &polytypes.Signature{Bitmap: bitmapParent, AggregatedSignature: dummySignature[:]}
+	extraData.BlockMetaData = &polytypes.BlockMetaData{}
 
 	return extraData
 }
@@ -1680,3 +1684,16 @@ func generateValidatorDelta(validatorCount int, allAccounts, previousValidatorSe
 
 	return
 }
+
+func createTestCommitValidatorSetBridgeStorageInput(t *testing.T, validatorSet []*contractsapi.Validator,
+	signature [2]*big.Int, bitmap []byte) *contractsapi.CommitValidatorSetBridgeStorageFn {
+	t.Helper()
+
+	commitValidatorSet := &contractsapi.CommitValidatorSetBridgeStorageFn{
+		NewValidatorSet: validatorSet,
+		Signature:       signature,
+		Bitmap:          bitmap,
+	}
+
+	return commitValidatorSet
+}
diff --git a/consensus/polybft/governance_manager.go b/consensus/polybft/governance/governance_manager.go
similarity index 88%
rename from consensus/polybft/governance_manager.go
rename to consensus/polybft/governance/governance_manager.go
index 0c7cd21448..4d0c24ddfc 100644
--- a/consensus/polybft/governance_manager.go
+++ b/consensus/polybft/governance/governance_manager.go
@@ -1,4 +1,4 @@
-package polybft
+package governance
 
 import (
 	"encoding/json"
@@ -13,7 +13,10 @@ import (
 	bolt "go.etcd.io/bbolt"
 
 	"github.com/0xPolygon/polygon-edge/chain"
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/config"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/contractsapi"
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/state"
+	polytypes "github.com/0xPolygon/polygon-edge/consensus/polybft/types"
 	"github.com/0xPolygon/polygon-edge/contracts"
 	"github.com/0xPolygon/polygon-edge/crypto"
 	"github.com/0xPolygon/polygon-edge/forkmanager"
@@ -31,12 +34,12 @@ var (
 	stringABIType             = abi.MustNewType("tuple(string)")
 )
 
-// isRewardDistributionBlock indicates if reward distribution transaction
+// IsRewardDistributionBlock indicates if reward distribution transaction
 // should happen in given block
 // if governance fork is enabled, reward distribution is only present on the first block of epoch
 // and if we are not at the start of chain
 // if governance fork is not enabled, reward distribution is only present at the epoch ending block
-func isRewardDistributionBlock(forks *chain.Forks, isFirstBlockOfEpoch, isEndOfEpoch bool,
+func IsRewardDistributionBlock(forks *chain.Forks, isFirstBlockOfEpoch, isEndOfEpoch bool,
 	pendingBlockNumber uint64) bool {
 	if forks.IsActive(chain.Governance, pendingBlockNumber) {
 		return isFirstBlockOfEpoch && pendingBlockNumber > 1
@@ -45,9 +48,9 @@ func isRewardDistributionBlock(forks *chain.Forks, isFirstBlockOfEpoch, isEndOfE
 	return isEndOfEpoch
 }
 
-// getLookbackSizeForRewardDistribution returns lookback size for reward distribution
+// GetLookbackSizeForRewardDistribution returns lookback size for reward distribution
 // based on if governance fork is enabled or not
-func getLookbackSizeForRewardDistribution(forks *chain.Forks, blockNumber uint64) uint64 {
+func GetLookbackSizeForRewardDistribution(forks *chain.Forks, blockNumber uint64) uint64 {
 	if forks.IsActive(chain.Governance, blockNumber) {
 		return newRewardLookbackSize
 	}
@@ -58,36 +61,36 @@ func getLookbackSizeForRewardDistribution(forks *chain.Forks, blockNumber uint64
 // GovernanceManager interface provides functions for handling governance events
 // and updating client configuration based on executed governance proposals
 type GovernanceManager interface {
-	EventSubscriber
-	PostBlock(req *PostBlockRequest) error
-	PostEpoch(req *PostEpochRequest) error
+	state.EventSubscriber
+	PostBlock(req *polytypes.PostBlockRequest) error
+	PostEpoch(req *polytypes.PostEpochRequest) error
 	GetClientConfig(dbTx *bolt.Tx) (*chain.Params, error)
 }
 
-var _ GovernanceManager = (*dummyGovernanceManager)(nil)
+var _ GovernanceManager = (*DummyGovernanceManager)(nil)
 
 // dummyStakeManager is a dummy implementation of GovernanceManager interface
 // used only for unit testing
-type dummyGovernanceManager struct {
-	getClientConfigFn func() (*chain.Params, error)
+type DummyGovernanceManager struct {
+	GetClientConfigFn func() (*chain.Params, error)
 }
 
-func (d *dummyGovernanceManager) PostBlock(req *PostBlockRequest) error { return nil }
-func (d *dummyGovernanceManager) PostEpoch(req *PostEpochRequest) error { return nil }
-func (d *dummyGovernanceManager) GetClientConfig(dbTx *bolt.Tx) (*chain.Params, error) {
-	if d.getClientConfigFn != nil {
-		return d.getClientConfigFn()
+func (d *DummyGovernanceManager) PostBlock(req *polytypes.PostBlockRequest) error { return nil }
+func (d *DummyGovernanceManager) PostEpoch(req *polytypes.PostEpochRequest) error { return nil }
+func (d *DummyGovernanceManager) GetClientConfig(dbTx *bolt.Tx) (*chain.Params, error) {
+	if d.GetClientConfigFn != nil {
+		return d.GetClientConfigFn()
 	}
 
 	return nil, nil
 }
 
 // EventSubscriber implementation
-func (d *dummyGovernanceManager) GetLogFilters() map[types.Address][]types.Hash {
+func (d *DummyGovernanceManager) GetLogFilters() map[types.Address][]types.Hash {
 	return make(map[types.Address][]types.Hash)
 }
 
-func (d *dummyGovernanceManager) ProcessLog(header *types.Header, log *ethgo.Log, dbTx *bolt.Tx) error {
+func (d *DummyGovernanceManager) ProcessLog(header *types.Header, log *ethgo.Log, dbTx *bolt.Tx) error {
 	return nil
 }
 
@@ -97,20 +100,25 @@ var _ GovernanceManager = (*governanceManager)(nil)
 // and updates the client configuration based on executed governance proposals
 type governanceManager struct {
 	logger         hclog.Logger
-	state          *State
+	state          *GovernanceStore
 	allForksHashes map[types.Hash]string
 }
 
-// newGovernanceManager is a constructor function for governance manager
-func newGovernanceManager(genesisParams *chain.Params,
+// NewGovernanceManager is a constructor function for governance manager
+func NewGovernanceManager(genesisParams *chain.Params,
 	logger hclog.Logger,
-	state *State,
-	blockhain blockchainBackend,
-	dbTx *bolt.Tx) (*governanceManager, error) {
-	config, err := state.GovernanceStore.getClientConfig(dbTx)
+	state *state.State,
+	blockhain polytypes.Blockchain,
+	dbTx *bolt.Tx) (GovernanceManager, error) {
+	store, err := newGovernanceStoreWithTx(state.DB(), dbTx)
+	if err != nil {
+		return nil, fmt.Errorf("could not create governance store. Error: %w", err)
+	}
+
+	config, err := store.getClientConfig(dbTx)
 	if config == nil || errors.Is(err, errClientConfigNotFound) {
 		// insert initial config to db if not already inserted
-		if err = state.GovernanceStore.insertClientConfig(genesisParams, dbTx); err != nil {
+		if err = store.insertClientConfig(genesisParams, dbTx); err != nil {
 			return nil, err
 		}
 	} else if err != nil {
@@ -132,12 +140,12 @@ func newGovernanceManager(genesisParams *chain.Params,
 
 	g := &governanceManager{
 		logger:         logger,
-		state:          state,
+		state:          store,
 		allForksHashes: allForkNameHashes,
 	}
 
 	// get all forks we already have in db and activate them on startup
-	forksInDB, err := state.GovernanceStore.getAllForkEvents(dbTx)
+	forksInDB, err := store.getAllForkEvents(dbTx)
 	if err != nil {
 		return nil, fmt.Errorf("could not activate forks from db on startup. Error: %w", err)
 	}
@@ -153,11 +161,11 @@ func newGovernanceManager(genesisParams *chain.Params,
 
 // GetClientConfig returns latest client configuration from boltdb
 func (g *governanceManager) GetClientConfig(dbTx *bolt.Tx) (*chain.Params, error) {
-	return g.state.GovernanceStore.getClientConfig(dbTx)
+	return g.state.getClientConfig(dbTx)
 }
 
 // PostEpoch notifies the governance manager that an epoch has changed
-func (g *governanceManager) PostEpoch(req *PostEpochRequest) error {
+func (g *governanceManager) PostEpoch(req *polytypes.PostEpochRequest) error {
 	if !req.Forks.IsActive(chain.Governance, req.FirstBlockOfEpoch) {
 		// if governance fork is not enabled, do nothing
 		return nil
@@ -169,7 +177,7 @@ func (g *governanceManager) PostEpoch(req *PostEpochRequest) error {
 		"epoch", previousEpoch)
 
 	// get events that happened in the previous epoch
-	eventsRaw, err := g.state.GovernanceStore.getNetworkParamsEvents(previousEpoch, req.DBTx)
+	eventsRaw, err := g.state.getNetworkParamsEvents(previousEpoch, req.DBTx)
 	if err != nil {
 		return fmt.Errorf("could not get governance events on start of epoch: %d. %w",
 			req.NewEpochID, err)
@@ -184,12 +192,12 @@ func (g *governanceManager) PostEpoch(req *PostEpochRequest) error {
 	}
 
 	// get last saved config
-	latestChainParams, err := g.state.GovernanceStore.getClientConfig(req.DBTx)
+	latestChainParams, err := g.state.getClientConfig(req.DBTx)
 	if err != nil {
 		return err
 	}
 
-	latestPolybftConfig, err := GetPolyBFTConfig(latestChainParams)
+	latestPolybftConfig, err := config.GetPolyBFTConfig(latestChainParams)
 	if err != nil {
 		return err
 	}
@@ -348,15 +356,15 @@ func (g *governanceManager) PostEpoch(req *PostEpochRequest) error {
 		}
 	}
 
-	latestChainParams.Engine[ConsensusName] = latestPolybftConfig
+	latestChainParams.Engine[config.ConsensusName] = latestPolybftConfig
 
 	// save updated config to db
-	return g.state.GovernanceStore.insertClientConfig(latestChainParams, req.DBTx)
+	return g.state.insertClientConfig(latestChainParams, req.DBTx)
 }
 
 // PostBlock notifies governance manager that a block was finalized
 // so that he can extract governance events and save them to bolt db
-func (g *governanceManager) PostBlock(req *PostBlockRequest) error {
+func (g *governanceManager) PostBlock(req *polytypes.PostBlockRequest) error {
 	if !req.Forks.IsActive(chain.Governance, req.FullBlock.Block.Number()) {
 		// if governance fork is not enabled, do nothing
 		return nil
@@ -367,7 +375,7 @@ func (g *governanceManager) PostBlock(req *PostBlockRequest) error {
 
 	currentBlock := req.FullBlock.Block.Number()
 
-	forkEvents, err := g.state.GovernanceStore.getAllForkEvents(req.DBTx)
+	forkEvents, err := g.state.getAllForkEvents(req.DBTx)
 	if err != nil {
 		g.logger.Debug("Post block - Getting fork events failed.", "epoch", req.Epoch,
 			"block", currentBlock)
@@ -555,7 +563,7 @@ func (g *governanceManager) ProcessLog(header *types.Header, log *ethgo.Log, dbT
 		return nil
 	}
 
-	extra, err := GetIbftExtra(header.ExtraData)
+	extra, err := polytypes.GetIbftExtra(header.ExtraData)
 	if err != nil {
 		return err
 	}
@@ -566,7 +574,7 @@ func (g *governanceManager) ProcessLog(header *types.Header, log *ethgo.Log, dbT
 		"event", event,
 	)
 
-	return g.state.GovernanceStore.insertGovernanceEvent(
+	return g.state.insertGovernanceEvent(
 		extra.BlockMetaData.EpochNumber, event, dbTx)
 }
 
diff --git a/consensus/polybft/state_store_governance.go b/consensus/polybft/governance/state_store_governance.go
similarity index 89%
rename from consensus/polybft/state_store_governance.go
rename to consensus/polybft/governance/state_store_governance.go
index 325c7bddd7..8511170a8d 100644
--- a/consensus/polybft/state_store_governance.go
+++ b/consensus/polybft/governance/state_store_governance.go
@@ -1,4 +1,4 @@
-package polybft
+package governance
 
 import (
 	"bytes"
@@ -35,24 +35,42 @@ type GovernanceStore struct {
 	db *bolt.DB
 }
 
-// initialize creates necessary buckets in DB if they don't already exist
-func (g *GovernanceStore) initialize(tx *bolt.Tx) error {
+func newGovernanceStore(db *bolt.DB) (*GovernanceStore, error) {
+	var store *GovernanceStore
+
+	err := db.Update(func(tx *bolt.Tx) error {
+		s, err := newGovernanceStoreWithTx(db, tx)
+		if err != nil {
+			return err
+		}
+
+		store = s
+
+		return nil
+	})
+
+	return store, err
+}
+
+func newGovernanceStoreWithTx(db *bolt.DB, tx *bolt.Tx) (*GovernanceStore, error) {
+	store := &GovernanceStore{db: db}
+
 	if _, err := tx.CreateBucketIfNotExists(networkParamsEventsBucket); err != nil {
-		return fmt.Errorf("failed to create bucket=%s: %w",
+		return nil, fmt.Errorf("failed to create bucket=%s: %w",
 			string(networkParamsEventsBucket), err)
 	}
 
 	if _, err := tx.CreateBucketIfNotExists(forkParamsEventsBucket); err != nil {
-		return fmt.Errorf("failed to create bucket=%s: %w",
+		return nil, fmt.Errorf("failed to create bucket=%s: %w",
 			string(forkParamsEventsBucket), err)
 	}
 
 	if _, err := tx.CreateBucketIfNotExists(clientConfigBucket); err != nil {
-		return fmt.Errorf("failed to create bucket=%s: %w",
+		return nil, fmt.Errorf("failed to create bucket=%s: %w",
 			string(clientConfigBucket), err)
 	}
 
-	return nil
+	return store, nil
 }
 
 // insertGovernanceEvent inserts governance event to bolt db
diff --git a/consensus/polybft/state_store_governance_test.go b/consensus/polybft/governance/state_store_governance_test.go
similarity index 80%
rename from consensus/polybft/state_store_governance_test.go
rename to consensus/polybft/governance/state_store_governance_test.go
index bd043bf0e0..668807c56e 100644
--- a/consensus/polybft/state_store_governance_test.go
+++ b/consensus/polybft/governance/state_store_governance_test.go
@@ -1,19 +1,54 @@
-package polybft
+package governance
 
 import (
+	"fmt"
 	"math/big"
+	"os"
+	"path"
 	"testing"
 	"time"
 
 	"github.com/0xPolygon/polygon-edge/chain"
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/config"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/contractsapi"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/validator"
 	"github.com/0xPolygon/polygon-edge/contracts"
 	"github.com/0xPolygon/polygon-edge/helper/common"
 	"github.com/0xPolygon/polygon-edge/types"
 	"github.com/stretchr/testify/require"
+	bolt "go.etcd.io/bbolt"
 )
 
+// newTestState creates new instance of state used by tests.
+func newTestState(tb testing.TB) *GovernanceStore {
+	tb.Helper()
+
+	dir := fmt.Sprintf("/tmp/consensus-temp_%v", time.Now().UTC().Format(time.RFC3339Nano))
+	err := os.Mkdir(dir, 0775)
+
+	if err != nil {
+		tb.Fatal(err)
+	}
+
+	tb.Cleanup(func() {
+		if err := os.RemoveAll(dir); err != nil {
+			tb.Fatal(err)
+		}
+	})
+
+	db, err := bolt.Open(path.Join(dir, "my.db"), 0666, nil)
+	if err != nil {
+		tb.Fatal(err)
+	}
+
+	governanceStore, err := newGovernanceStore(db)
+	if err != nil {
+		tb.Fatal(err)
+	}
+
+	return governanceStore
+}
+
 func TestGovernanceStore_InsertAndGetEvents(t *testing.T) {
 	t.Parallel()
 
@@ -60,25 +95,25 @@ func TestGovernanceStore_InsertAndGetEvents(t *testing.T) {
 	allEvents = append(allEvents, forkParamsEvents...)
 
 	for _, e := range allEvents {
-		require.NoError(t, state.GovernanceStore.insertGovernanceEvent(epoch, e, nil))
+		require.NoError(t, state.insertGovernanceEvent(epoch, e, nil))
 	}
 
 	// test for an epoch that didn't have any events
-	eventsRaw, err := state.GovernanceStore.getNetworkParamsEvents(10, nil)
+	eventsRaw, err := state.getNetworkParamsEvents(10, nil)
 	require.NoError(t, err)
 	require.Len(t, eventsRaw, 0)
 
 	// fork events are not saved per epoch so we should have 2
-	forksInDB, err := state.GovernanceStore.getAllForkEvents(nil)
+	forksInDB, err := state.getAllForkEvents(nil)
 	require.NoError(t, err)
 	require.Len(t, forksInDB, len(forkParamsEvents))
 
 	// test for the epoch that had events
-	eventsRaw, err = state.GovernanceStore.getNetworkParamsEvents(epoch, nil)
+	eventsRaw, err = state.getNetworkParamsEvents(epoch, nil)
 	require.NoError(t, err)
 	require.Len(t, eventsRaw, len(networkParamsEvents))
 
-	forksInDB, err = state.GovernanceStore.getAllForkEvents(nil)
+	forksInDB, err = state.getAllForkEvents(nil)
 	require.NoError(t, err)
 	require.Len(t, forksInDB, len(forkParamsEvents))
 
@@ -86,14 +121,14 @@ func TestGovernanceStore_InsertAndGetEvents(t *testing.T) {
 	newFeatureEventTwo := &contractsapi.UpdatedFeatureEvent{Feature: types.BytesToHash([]byte("OxSomeFeature3")),
 		Block: big.NewInt(130_000)}
 
-	require.NoError(t, state.GovernanceStore.insertGovernanceEvent(epoch, sprintSizeEvent, nil))
-	require.NoError(t, state.GovernanceStore.insertGovernanceEvent(epoch, newFeatureEventTwo, nil))
+	require.NoError(t, state.insertGovernanceEvent(epoch, sprintSizeEvent, nil))
+	require.NoError(t, state.insertGovernanceEvent(epoch, newFeatureEventTwo, nil))
 
-	eventsRaw, err = state.GovernanceStore.getNetworkParamsEvents(epoch, nil)
+	eventsRaw, err = state.getNetworkParamsEvents(epoch, nil)
 	require.NoError(t, err)
 	require.Len(t, eventsRaw, len(networkParamsEvents)+1)
 
-	forksInDB, err = state.GovernanceStore.getAllForkEvents(nil)
+	forksInDB, err = state.getAllForkEvents(nil)
 	require.NoError(t, err)
 	require.Len(t, forksInDB, len(forkParamsEvents)+1)
 }
@@ -103,23 +138,23 @@ func TestGovernanceStore_InsertAndGetClientConfig(t *testing.T) {
 
 	initialPolyConfig := createTestPolybftConfig()
 	initialConfig := &chain.Params{
-		Engine:             map[string]interface{}{ConsensusName: initialPolyConfig},
+		Engine:             map[string]interface{}{config.ConsensusName: initialPolyConfig},
 		BaseFeeChangeDenom: 16,
 	}
 	state := newTestState(t)
 
 	// try get config when there is none
-	_, err := state.GovernanceStore.getClientConfig(nil)
+	_, err := state.getClientConfig(nil)
 	require.ErrorIs(t, err, errClientConfigNotFound)
 
 	// insert config
-	require.NoError(t, state.GovernanceStore.insertClientConfig(initialConfig, nil))
+	require.NoError(t, state.insertClientConfig(initialConfig, nil))
 
 	// now config should exist
-	configFromDB, err := state.GovernanceStore.getClientConfig(nil)
+	configFromDB, err := state.getClientConfig(nil)
 	require.NoError(t, err)
 
-	polyConfigFromDB, err := GetPolyBFTConfig(configFromDB)
+	polyConfigFromDB, err := config.GetPolyBFTConfig(configFromDB)
 	require.NoError(t, err)
 
 	// check some fields to make sure they are as expected
@@ -133,8 +168,8 @@ func TestGovernanceStore_InsertAndGetClientConfig(t *testing.T) {
 	require.Equal(t, configFromDB.BaseFeeChangeDenom, initialConfig.BaseFeeChangeDenom)
 }
 
-func createTestPolybftConfig() *PolyBFTConfig {
-	return &PolyBFTConfig{
+func createTestPolybftConfig() *config.PolyBFT {
+	return &config.PolyBFT{
 		InitialValidatorSet: []*validator.GenesisValidator{
 			{
 				Address: types.BytesToAddress([]byte{0, 1, 2}),
@@ -153,7 +188,7 @@ func createTestPolybftConfig() *PolyBFTConfig {
 				Stake:   big.NewInt(100),
 			},
 		},
-		Bridge: map[uint64]*BridgeConfig{0: {
+		Bridge: map[uint64]*config.Bridge{0: {
 			ExternalGatewayAddr:                  types.StringToAddress("0xGatewayAddr"),
 			ExternalERC20PredicateAddr:           types.StringToAddress("0xRootERC20PredicateAddr"),
 			ExternalMintableERC20PredicateAddr:   types.StringToAddress("0xChildMintableERC20PredicateAddr"),
@@ -180,19 +215,19 @@ func createTestPolybftConfig() *PolyBFTConfig {
 		CheckpointInterval:  900,
 		BlockTimeDrift:      10,
 		Governance:          types.ZeroAddress,
-		NativeTokenConfig: &TokenConfig{
+		NativeTokenConfig: &config.Token{
 			Name:     "Polygon_MATIC",
 			Symbol:   "MATIC",
 			Decimals: 18,
 		},
 		InitialTrieRoot:      types.ZeroHash,
 		WithdrawalWaitPeriod: 1,
-		RewardConfig: &RewardsConfig{
+		RewardConfig: &config.Rewards{
 			TokenAddress:  types.StringToAddress("0xRewardTokenAddr"),
 			WalletAddress: types.StringToAddress("0xRewardWalletAddr"),
 			WalletAmount:  big.NewInt(1_000_000),
 		},
-		GovernanceConfig: &GovernanceConfig{
+		GovernanceConfig: &config.Governance{
 			VotingDelay:              big.NewInt(1000),
 			VotingPeriod:             big.NewInt(10_0000),
 			ProposalThreshold:        big.NewInt(1000),
diff --git a/consensus/polybft/governance_manager_test.go b/consensus/polybft/governance_manager_test.go
deleted file mode 100644
index b0187c6ea9..0000000000
--- a/consensus/polybft/governance_manager_test.go
+++ /dev/null
@@ -1,143 +0,0 @@
-package polybft
-
-import (
-	"math/big"
-	"testing"
-
-	"github.com/0xPolygon/polygon-edge/chain"
-	"github.com/0xPolygon/polygon-edge/consensus/polybft/contractsapi"
-	"github.com/0xPolygon/polygon-edge/forkmanager"
-	"github.com/0xPolygon/polygon-edge/types"
-	"github.com/hashicorp/go-hclog"
-	"github.com/stretchr/testify/require"
-)
-
-func TestGovernanceManager_PostEpoch(t *testing.T) {
-	t.Parallel()
-
-	state := newTestState(t)
-	governanceManager := &governanceManager{
-		state:  state,
-		logger: hclog.NewNullLogger(),
-	}
-
-	// insert some governance event
-	baseFeeChangeDenomEvent := &contractsapi.NewBaseFeeChangeDenomEvent{BaseFeeChangeDenom: big.NewInt(100)}
-	epochRewardEvent := &contractsapi.NewEpochRewardEvent{Reward: big.NewInt(10000)}
-
-	require.NoError(t, state.GovernanceStore.insertGovernanceEvent(1, baseFeeChangeDenomEvent, nil))
-	require.NoError(t, state.GovernanceStore.insertGovernanceEvent(1, epochRewardEvent, nil))
-
-	// no initial config was saved, so we expect an error
-	require.ErrorIs(t, governanceManager.PostEpoch(&PostEpochRequest{
-		NewEpochID:        2,
-		FirstBlockOfEpoch: 21,
-		Forks:             &chain.Forks{chain.Governance: chain.NewFork(0)},
-	}),
-		errClientConfigNotFound)
-
-	params := &chain.Params{
-		BaseFeeChangeDenom: 8,
-		Engine:             map[string]interface{}{ConsensusName: createTestPolybftConfig()},
-	}
-
-	// insert initial config
-	require.NoError(t, state.GovernanceStore.insertClientConfig(params, nil))
-
-	// PostEpoch will now update config with new epoch reward value
-	require.NoError(t, governanceManager.PostEpoch(&PostEpochRequest{
-		NewEpochID:        2,
-		FirstBlockOfEpoch: 21,
-		Forks:             &chain.Forks{chain.Governance: chain.NewFork(0)},
-	}))
-
-	updatedConfig, err := state.GovernanceStore.getClientConfig(nil)
-	require.NoError(t, err)
-	require.Equal(t, baseFeeChangeDenomEvent.BaseFeeChangeDenom.Uint64(), updatedConfig.BaseFeeChangeDenom)
-
-	pbftConfig, err := GetPolyBFTConfig(updatedConfig)
-	require.NoError(t, err)
-
-	require.Equal(t, epochRewardEvent.Reward.Uint64(), pbftConfig.EpochReward)
-}
-
-func TestGovernanceManager_PostBlock(t *testing.T) {
-	t.Parallel()
-
-	genesisPolybftConfig := createTestPolybftConfig()
-
-	t.Run("Has no events in block", func(t *testing.T) {
-		t.Parallel()
-
-		state := newTestState(t)
-
-		// no governance events in receipts
-		req := &PostBlockRequest{
-			FullBlock: &types.FullBlock{Block: &types.Block{Header: &types.Header{Number: 5}},
-				Receipts: []*types.Receipt{},
-			},
-			Epoch: 1,
-			Forks: &chain.Forks{chain.Governance: chain.NewFork(0)},
-		}
-
-		blockchainMock := new(blockchainMock)
-		blockchainMock.On("CurrentHeader").Return(&types.Header{
-			Number: 0,
-		})
-
-		chainParams := &chain.Params{Engine: map[string]interface{}{ConsensusName: genesisPolybftConfig}}
-		governanceManager, err := newGovernanceManager(chainParams,
-			hclog.NewNullLogger(), state, blockchainMock, nil)
-		require.NoError(t, err)
-
-		require.NoError(t, governanceManager.PostBlock(req))
-
-		eventsRaw, err := state.GovernanceStore.getNetworkParamsEvents(1, nil)
-		require.NoError(t, err)
-		require.Len(t, eventsRaw, 0)
-	})
-
-	t.Run("Has new fork", func(t *testing.T) {
-		t.Parallel()
-
-		var (
-			newForkHash  = types.StringToHash("0xNewForkHash")
-			newForkBlock = big.NewInt(5)
-			newForkName  = "newFork"
-		)
-
-		state := newTestState(t)
-
-		req := &PostBlockRequest{
-			FullBlock: &types.FullBlock{Block: &types.Block{Header: &types.Header{Number: 5}}},
-			Epoch:     1,
-			Forks:     &chain.Forks{chain.Governance: chain.NewFork(0)},
-		}
-
-		blockchainMock := new(blockchainMock)
-		blockchainMock.On("CurrentHeader").Return(&types.Header{
-			Number: 4,
-		})
-
-		chainParams := &chain.Params{Engine: map[string]interface{}{ConsensusName: genesisPolybftConfig}}
-		governanceManager, err := newGovernanceManager(chainParams,
-			hclog.NewNullLogger(), state, blockchainMock, nil)
-		require.NoError(t, err)
-
-		// this cheats that we have this fork in code
-		governanceManager.allForksHashes[newForkHash] = newForkName
-
-		require.NoError(t, state.GovernanceStore.insertGovernanceEvent(1,
-			&contractsapi.NewFeatureEvent{
-				Feature: newForkHash, Block: newForkBlock,
-			}, nil))
-
-		// new fork should not be registered and enabled before PostBlock
-		require.False(t, forkmanager.GetInstance().IsForkEnabled(newForkName, newForkBlock.Uint64()))
-
-		require.NoError(t, governanceManager.PostBlock(req))
-
-		// new fork should be registered and enabled before PostBlock
-		require.True(t, forkmanager.GetInstance().IsForkEnabled(newForkName, newForkBlock.Uint64()))
-	})
-}
diff --git a/consensus/polybft/hash.go b/consensus/polybft/hash.go
index 7f769bc07c..54f039ffe2 100644
--- a/consensus/polybft/hash.go
+++ b/consensus/polybft/hash.go
@@ -3,6 +3,7 @@ package polybft
 import (
 	"sync"
 
+	polytypes "github.com/0xPolygon/polygon-edge/consensus/polybft/types"
 	"github.com/0xPolygon/polygon-edge/types"
 )
 
@@ -17,7 +18,7 @@ func setupHeaderHashFunc() {
 		types.HeaderHash = func(h *types.Header) types.Hash {
 			// when hashing the block for signing we have to remove from
 			// the extra field the seal and committed seal items
-			extra, err := GetIbftExtraClean(h.ExtraData)
+			extra, err := polytypes.GetIbftExtraClean(h.ExtraData)
 			if err != nil {
 				return types.ZeroHash
 			}
diff --git a/consensus/polybft/hash_test.go b/consensus/polybft/hash_test.go
index efebf09d3c..5b371a8e05 100644
--- a/consensus/polybft/hash_test.go
+++ b/consensus/polybft/hash_test.go
@@ -4,18 +4,20 @@ import (
 	"testing"
 
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/bitmap"
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/helpers"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/signer"
+	polytypes "github.com/0xPolygon/polygon-edge/consensus/polybft/types"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/validator"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/wallet"
 	"github.com/0xPolygon/polygon-edge/types"
-	"github.com/stretchr/testify/assert"
+	"github.com/stretchr/testify/require"
 )
 
 func Test_setupHeaderHashFunc(t *testing.T) {
-	extra := &Extra{
+	extra := &polytypes.Extra{
 		Validators: &validator.ValidatorSetDelta{Removed: bitmap.Bitmap{1}},
-		Parent:     createSignature(t, []*wallet.Account{generateTestAccount(t)}, types.ZeroHash, signer.DomainBridge),
-		Committed:  &Signature{},
+		Parent:     helpers.CreateSignature(t, []*wallet.Account{helpers.GenerateTestAccount(t)}, types.ZeroHash, signer.DomainBridge),
+		Committed:  &polytypes.Signature{},
 	}
 
 	header := &types.Header{
@@ -27,12 +29,17 @@ func Test_setupHeaderHashFunc(t *testing.T) {
 	header.ExtraData = extra.MarshalRLPTo(nil)
 	notFullExtraHash := types.HeaderHash(header)
 
-	extra.Committed = createSignature(t, []*wallet.Account{generateTestAccount(t)}, types.ZeroHash, signer.DomainBridge)
+	extra.Committed = helpers.CreateSignature(t, []*wallet.Account{helpers.GenerateTestAccount(t)}, types.ZeroHash, signer.DomainBridge)
 	header.ExtraData = extra.MarshalRLPTo(nil)
 	fullExtraHash := types.HeaderHash(header)
 
-	assert.Equal(t, notFullExtraHash, fullExtraHash)
+	require.Equal(t, notFullExtraHash, fullExtraHash)
 
 	header.ExtraData = []byte{1, 2, 3, 4, 100, 200, 255}
-	assert.Equal(t, types.ZeroHash, types.HeaderHash(header)) // to small extra data
+	require.Equal(t, types.ZeroHash, types.HeaderHash(header)) // to small extra data
+}
+
+func init() {
+	// setup custom hash header func
+	setupHeaderHashFunc()
 }
diff --git a/consensus/polybft/mocks_test.go b/consensus/polybft/helpers/mocks.go
similarity index 56%
rename from consensus/polybft/mocks_test.go
rename to consensus/polybft/helpers/mocks.go
index 09d01349d3..5d0b3e9c52 100644
--- a/consensus/polybft/mocks_test.go
+++ b/consensus/polybft/helpers/mocks.go
@@ -1,4 +1,4 @@
-package polybft
+package helpers
 
 import (
 	"math/big"
@@ -6,6 +6,8 @@ import (
 
 	"github.com/0xPolygon/polygon-edge/blockchain"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/contractsapi"
+	systemstate "github.com/0xPolygon/polygon-edge/consensus/polybft/system_state"
+	polytypes "github.com/0xPolygon/polygon-edge/consensus/polybft/types"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/validator"
 	"github.com/0xPolygon/polygon-edge/helper/progress"
 	"github.com/0xPolygon/polygon-edge/state"
@@ -18,52 +20,52 @@ import (
 	bolt "go.etcd.io/bbolt"
 )
 
-var _ blockchainBackend = (*blockchainMock)(nil)
+var _ polytypes.Blockchain = (*BlockchainMock)(nil)
 
-type blockchainMock struct {
+type BlockchainMock struct {
 	mock.Mock
 }
 
-func (m *blockchainMock) CurrentHeader() *types.Header {
+func (m *BlockchainMock) CurrentHeader() *types.Header {
 	args := m.Called()
 
 	return args.Get(0).(*types.Header)
 }
 
-func (m *blockchainMock) CommitBlock(block *types.FullBlock) error {
+func (m *BlockchainMock) CommitBlock(block *types.FullBlock) error {
 	args := m.Called(block)
 
 	return args.Error(0)
 }
 
-func (m *blockchainMock) NewBlockBuilder(parent *types.Header, coinbase types.Address,
-	txPool txPoolInterface, blockTime time.Duration, logger hclog.Logger) (blockBuilder, error) {
+func (m *BlockchainMock) NewBlockBuilder(parent *types.Header, coinbase types.Address,
+	txPool polytypes.TxPool, blockTime time.Duration, logger hclog.Logger) (polytypes.BlockBuilder, error) {
 	args := m.Called()
 
-	return args.Get(0).(blockBuilder), args.Error(1)
+	return args.Get(0).(polytypes.BlockBuilder), args.Error(1)
 }
 
-func (m *blockchainMock) ProcessBlock(parent *types.Header, block *types.Block) (*types.FullBlock, error) {
+func (m *BlockchainMock) ProcessBlock(parent *types.Header, block *types.Block) (*types.FullBlock, error) {
 	args := m.Called(parent, block)
 
 	return args.Get(0).(*types.FullBlock), args.Error(1)
 }
 
-func (m *blockchainMock) GetStateProviderForBlock(block *types.Header) (contract.Provider, error) {
+func (m *BlockchainMock) GetStateProviderForBlock(block *types.Header) (contract.Provider, error) {
 	args := m.Called(block)
 	stateProvider, _ := args.Get(0).(contract.Provider)
 
 	return stateProvider, nil
 }
 
-func (m *blockchainMock) GetStateProvider(transition *state.Transition) contract.Provider {
+func (m *BlockchainMock) GetStateProvider(transition *state.Transition) contract.Provider {
 	args := m.Called()
 	stateProvider, _ := args.Get(0).(contract.Provider)
 
 	return stateProvider
 }
 
-func (m *blockchainMock) GetHeaderByNumber(number uint64) (*types.Header, bool) {
+func (m *BlockchainMock) GetHeaderByNumber(number uint64) (*types.Header, bool) {
 	args := m.Called(number)
 
 	if len(args) == 1 {
@@ -86,7 +88,7 @@ func (m *blockchainMock) GetHeaderByNumber(number uint64) (*types.Header, bool)
 	panic("Unsupported mock for GetHeaderByNumber") //nolint:gocritic
 }
 
-func (m *blockchainMock) GetHeaderByHash(hash types.Hash) (*types.Header, bool) {
+func (m *BlockchainMock) GetHeaderByHash(hash types.Hash) (*types.Header, bool) {
 	args := m.Called(hash)
 	header, ok := args.Get(0).(*types.Header)
 
@@ -104,41 +106,41 @@ func (m *blockchainMock) GetHeaderByHash(hash types.Hash) (*types.Header, bool)
 	panic("Unsupported mock for GetHeaderByHash") //nolint:gocritic
 }
 
-func (m *blockchainMock) GetSystemState(provider contract.Provider) SystemState {
+func (m *BlockchainMock) GetSystemState(provider contract.Provider) systemstate.SystemState {
 	args := m.Called(provider)
 
-	return args.Get(0).(SystemState)
+	return args.Get(0).(systemstate.SystemState)
 }
 
-func (m *blockchainMock) SubscribeEvents() blockchain.Subscription {
+func (m *BlockchainMock) SubscribeEvents() blockchain.Subscription {
 	return nil
 }
 
-func (m *blockchainMock) UnubscribeEvents(blockchain.Subscription) {
+func (m *BlockchainMock) UnubscribeEvents(blockchain.Subscription) {
 }
 
-func (m *blockchainMock) CalculateGasLimit(number uint64) (uint64, error) {
+func (m *BlockchainMock) CalculateGasLimit(number uint64) (uint64, error) {
 	return 0, nil
 }
 
-func (m *blockchainMock) GetChainID() uint64 {
+func (m *BlockchainMock) GetChainID() uint64 {
 	return 0
 }
 
-func (m *blockchainMock) GetReceiptsByHash(hash types.Hash) ([]*types.Receipt, error) {
+func (m *BlockchainMock) GetReceiptsByHash(hash types.Hash) ([]*types.Receipt, error) {
 	args := m.Called(hash)
 
 	return args.Get(0).([]*types.Receipt), args.Error(1)
 }
 
-var _ polybftBackend = (*polybftBackendMock)(nil)
+var _ polytypes.Polybft = (*PolybftBackendMock)(nil)
 
-type polybftBackendMock struct {
+type PolybftBackendMock struct {
 	mock.Mock
 }
 
 // GetValidators retrieves validator set for the given block
-func (p *polybftBackendMock) GetValidators(blockNumber uint64, parents []*types.Header) (validator.AccountSet, error) {
+func (p *PolybftBackendMock) GetValidators(blockNumber uint64, parents []*types.Header) (validator.AccountSet, error) {
 	args := p.Called(blockNumber, parents)
 	if len(args) == 1 {
 		accountSet, _ := args.Get(0).(validator.AccountSet)
@@ -153,7 +155,7 @@ func (p *polybftBackendMock) GetValidators(blockNumber uint64, parents []*types.
 	panic("polybftBackendMock.GetValidators doesn't support such combination of arguments") //nolint:gocritic
 }
 
-func (p *polybftBackendMock) GetValidatorsWithTx(blockNumber uint64, parents []*types.Header,
+func (p *PolybftBackendMock) GetValidatorsWithTx(blockNumber uint64, parents []*types.Header,
 	dbTx *bolt.Tx) (validator.AccountSet, error) {
 	args := p.Called(blockNumber, parents, dbTx)
 	if len(args) == 1 {
@@ -169,17 +171,17 @@ func (p *polybftBackendMock) GetValidatorsWithTx(blockNumber uint64, parents []*
 	panic("polybftBackendMock.GetValidatorsWithTx doesn't support such combination of arguments") //nolint:gocritic
 }
 
-func (p *polybftBackendMock) SetBlockTime(blockTime time.Duration) {
+func (p *PolybftBackendMock) SetBlockTime(blockTime time.Duration) {
 	p.Called(blockTime)
 }
 
-var _ blockBuilder = (*blockBuilderMock)(nil)
+var _ polytypes.BlockBuilder = (*BlockBuilderMock)(nil)
 
-type blockBuilderMock struct {
+type BlockBuilderMock struct {
 	mock.Mock
 }
 
-func (m *blockBuilderMock) Reset() error {
+func (m *BlockBuilderMock) Reset() error {
 	args := m.Called()
 	if len(args) == 0 {
 		return nil
@@ -188,7 +190,7 @@ func (m *blockBuilderMock) Reset() error {
 	return args.Error(0)
 }
 
-func (m *blockBuilderMock) WriteTx(tx *types.Transaction) error {
+func (m *BlockBuilderMock) WriteTx(tx *types.Transaction) error {
 	args := m.Called(tx)
 	if len(args) == 0 {
 		return nil
@@ -197,18 +199,18 @@ func (m *blockBuilderMock) WriteTx(tx *types.Transaction) error {
 	return args.Error(0)
 }
 
-func (m *blockBuilderMock) Fill() {
+func (m *BlockBuilderMock) Fill() {
 	m.Called()
 }
 
 // Receipts returns the collection of transaction receipts for given block
-func (m *blockBuilderMock) Receipts() []*types.Receipt {
+func (m *BlockBuilderMock) Receipts() []*types.Receipt {
 	args := m.Called()
 
 	return args.Get(0).([]*types.Receipt)
 }
 
-func (m *blockBuilderMock) Build(handler func(*types.Header)) (*types.FullBlock, error) {
+func (m *BlockBuilderMock) Build(handler func(*types.Header)) (*types.FullBlock, error) {
 	args := m.Called(handler)
 	builtBlock := args.Get(0).(*types.FullBlock)
 
@@ -217,19 +219,19 @@ func (m *blockBuilderMock) Build(handler func(*types.Header)) (*types.FullBlock,
 	return builtBlock, nil
 }
 
-func (m *blockBuilderMock) GetState() *state.Transition {
+func (m *BlockBuilderMock) GetState() *state.Transition {
 	args := m.Called()
 
 	return args.Get(0).(*state.Transition)
 }
 
-var _ SystemState = (*systemStateMock)(nil)
+var _ systemstate.SystemState = (*SystemStateMock)(nil)
 
-type systemStateMock struct {
+type SystemStateMock struct {
 	mock.Mock
 }
 
-func (m *systemStateMock) GetNextCommittedIndex(chainID uint64, chainType ChainType) (uint64, error) {
+func (m *SystemStateMock) GetNextCommittedIndex(chainID uint64, chainType systemstate.ChainType) (uint64, error) {
 	args := m.Called()
 
 	if len(args) == 1 {
@@ -245,7 +247,7 @@ func (m *systemStateMock) GetNextCommittedIndex(chainID uint64, chainType ChainT
 	return 0, nil
 }
 
-func (m *systemStateMock) GetBridgeBatchByNumber(numberOfBatch *big.Int) (
+func (m *SystemStateMock) GetBridgeBatchByNumber(numberOfBatch *big.Int) (
 	*contractsapi.SignedBridgeMessageBatch, error) {
 	args := m.Called()
 	if len(args) == 1 {
@@ -261,7 +263,7 @@ func (m *systemStateMock) GetBridgeBatchByNumber(numberOfBatch *big.Int) (
 	return &contractsapi.SignedBridgeMessageBatch{}, nil
 }
 
-func (m *systemStateMock) GetValidatorSetByNumber(numberOfValidatorSet *big.Int) (
+func (m *SystemStateMock) GetValidatorSetByNumber(numberOfValidatorSet *big.Int) (
 	*contractsapi.SignedValidatorSet, error) {
 	args := m.Called()
 	if len(args) == 1 {
@@ -277,7 +279,7 @@ func (m *systemStateMock) GetValidatorSetByNumber(numberOfValidatorSet *big.Int)
 	return &contractsapi.SignedValidatorSet{}, nil
 }
 
-func (m *systemStateMock) GetEpoch() (uint64, error) {
+func (m *SystemStateMock) GetEpoch() (uint64, error) {
 	args := m.Called()
 	if len(args) == 1 {
 		epochNumber, _ := args.Get(0).(uint64)
@@ -297,156 +299,106 @@ func (m *systemStateMock) GetEpoch() (uint64, error) {
 	return 0, nil
 }
 
-var _ contract.Provider = (*stateProviderMock)(nil)
+var _ contract.Provider = (*StateProviderMock)(nil)
 
-type stateProviderMock struct {
+type StateProviderMock struct {
 	mock.Mock
 }
 
-func (s *stateProviderMock) Call(ethgo.Address, []byte, *contract.CallOpts) ([]byte, error) {
+func (s *StateProviderMock) Call(ethgo.Address, []byte, *contract.CallOpts) ([]byte, error) {
 	return nil, nil
 }
 
-func (s *stateProviderMock) Txn(ethgo.Address, ethgo.Key, []byte) (contract.Txn, error) {
+func (s *StateProviderMock) Txn(ethgo.Address, ethgo.Key, []byte) (contract.Txn, error) {
 	return nil, nil
 }
 
-var _ BridgeTransport = (*transportMock)(nil)
+var _ polytypes.TxPool = (*TxPoolMock)(nil)
 
-type transportMock struct {
+type TxPoolMock struct {
 	mock.Mock
 }
 
-func (t *transportMock) Multicast(msg interface{}) {
-	_ = t.Called(msg)
-}
-
-type testHeadersMap struct {
-	headersByNumber map[uint64]*types.Header
-}
-
-func (t *testHeadersMap) addHeader(header *types.Header) {
-	if t.headersByNumber == nil {
-		t.headersByNumber = map[uint64]*types.Header{}
-	}
-
-	t.headersByNumber[header.Number] = header
-}
-
-func (t *testHeadersMap) getHeader(number uint64) *types.Header {
-	return t.headersByNumber[number]
-}
-
-func (t *testHeadersMap) getHeaderByHash(hash types.Hash) *types.Header {
-	for _, header := range t.headersByNumber {
-		if header.Hash == hash {
-			return header
-		}
-	}
-
-	return nil
-}
-
-func (t *testHeadersMap) getHeaders() []*types.Header {
-	headers := make([]*types.Header, 0, len(t.headersByNumber))
-	for _, header := range t.headersByNumber {
-		headers = append(headers, header)
-	}
-
-	return headers
-}
-
-var _ txPoolInterface = (*txPoolMock)(nil)
-
-type txPoolMock struct {
-	mock.Mock
-}
-
-func (tp *txPoolMock) Prepare() {
+func (tp *TxPoolMock) Prepare() {
 	tp.Called()
 }
 
-func (tp *txPoolMock) Length() uint64 {
+func (tp *TxPoolMock) Length() uint64 {
 	args := tp.Called()
 
 	return args[0].(uint64)
 }
 
-func (tp *txPoolMock) Peek() *types.Transaction {
+func (tp *TxPoolMock) Peek() *types.Transaction {
 	args := tp.Called()
 
 	return args[0].(*types.Transaction)
 }
 
-func (tp *txPoolMock) Pop(tx *types.Transaction) {
+func (tp *TxPoolMock) Pop(tx *types.Transaction) {
 	tp.Called(tx)
 }
 
-func (tp *txPoolMock) Drop(tx *types.Transaction) {
+func (tp *TxPoolMock) Drop(tx *types.Transaction) {
 	tp.Called(tx)
 }
 
-func (tp *txPoolMock) Demote(tx *types.Transaction) {
+func (tp *TxPoolMock) Demote(tx *types.Transaction) {
 	tp.Called(tx)
 }
 
-func (tp *txPoolMock) SetSealing(v bool) {
+func (tp *TxPoolMock) SetSealing(v bool) {
 	tp.Called(v)
 }
 
-func (tp *txPoolMock) ResetWithBlock(fullBlock *types.Block) {
+func (tp *TxPoolMock) ResetWithBlock(fullBlock *types.Block) {
 	tp.Called(fullBlock)
 }
 
-func (tp *txPoolMock) ReinsertProposed() {
+func (tp *TxPoolMock) ReinsertProposed() {
 	tp.Called()
 }
 
-func (tp *txPoolMock) ClearProposed() {
+func (tp *TxPoolMock) ClearProposed() {
 	tp.Called()
 }
 
-var _ syncer.Syncer = (*syncerMock)(nil)
+var _ syncer.Syncer = (*SyncerMock)(nil)
 
-type syncerMock struct {
+type SyncerMock struct {
 	mock.Mock
 }
 
-func (tp *syncerMock) Start() error {
+func (tp *SyncerMock) Start() error {
 	args := tp.Called()
 
 	return args.Error(0)
 }
 
-func (tp *syncerMock) Close() error {
+func (tp *SyncerMock) Close() error {
 	args := tp.Called()
 
 	return args.Error(0)
 }
 
-func (tp *syncerMock) GetSyncProgression() *progress.Progression {
+func (tp *SyncerMock) GetSyncProgression() *progress.Progression {
 	args := tp.Called()
 
 	return args[0].(*progress.Progression)
 }
 
-func (tp *syncerMock) HasSyncPeer() bool {
+func (tp *SyncerMock) HasSyncPeer() bool {
 	args := tp.Called()
 
 	return args[0].(bool)
 }
 
-func (tp *syncerMock) Sync(func(*types.FullBlock) bool) error {
+func (tp *SyncerMock) Sync(func(*types.FullBlock) bool) error {
 	args := tp.Called()
 
 	return args.Error(0)
 }
 
-func (tp *syncerMock) UpdateBlockTimeout(time.Duration) {
+func (tp *SyncerMock) UpdateBlockTimeout(time.Duration) {
 	tp.Called()
 }
-
-func init() {
-	// setup custom hash header func
-	setupHeaderHashFunc()
-}
diff --git a/consensus/polybft/helpers/runtime_helpers.go b/consensus/polybft/helpers/runtime_helpers.go
new file mode 100644
index 0000000000..364cda3ec5
--- /dev/null
+++ b/consensus/polybft/helpers/runtime_helpers.go
@@ -0,0 +1,24 @@
+package helpers
+
+import (
+	"github.com/0xPolygon/polygon-edge/blockchain"
+	polytypes "github.com/0xPolygon/polygon-edge/consensus/polybft/types"
+	"github.com/0xPolygon/polygon-edge/types"
+)
+
+const AbiMethodIDLength = 4
+
+// GetBlockData returns block header and extra
+func GetBlockData(blockNumber uint64, blockchainBackend polytypes.Blockchain) (*types.Header, *polytypes.Extra, error) {
+	blockHeader, found := blockchainBackend.GetHeaderByNumber(blockNumber)
+	if !found {
+		return nil, nil, blockchain.ErrNoBlock
+	}
+
+	blockExtra, err := polytypes.GetIbftExtra(blockHeader.ExtraData)
+	if err != nil {
+		return nil, nil, err
+	}
+
+	return blockHeader, blockExtra, nil
+}
diff --git a/consensus/polybft/helpers/testing_helpers.go b/consensus/polybft/helpers/testing_helpers.go
new file mode 100644
index 0000000000..2cd9ddb258
--- /dev/null
+++ b/consensus/polybft/helpers/testing_helpers.go
@@ -0,0 +1,107 @@
+package helpers
+
+import (
+	"crypto/rand"
+	"testing"
+
+	"github.com/0xPolygon/polygon-edge/bls"
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/bitmap"
+	polytypes "github.com/0xPolygon/polygon-edge/consensus/polybft/types"
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/wallet"
+	"github.com/0xPolygon/polygon-edge/types"
+	"github.com/stretchr/testify/require"
+)
+
+// GenerateRandomBytes generates byte array with random data of 32 bytes length
+func GenerateRandomBytes(t *testing.T) (result []byte) {
+	t.Helper()
+
+	result = make([]byte, types.HashLength)
+	_, err := rand.Reader.Read(result)
+	require.NoError(t, err, "Cannot generate random byte array content.")
+
+	return
+}
+
+type TestHeadersMap struct {
+	HeadersByNumber map[uint64]*types.Header
+}
+
+func (t *TestHeadersMap) AddHeader(header *types.Header) {
+	if t.HeadersByNumber == nil {
+		t.HeadersByNumber = map[uint64]*types.Header{}
+	}
+
+	t.HeadersByNumber[header.Number] = header
+}
+
+func (t *TestHeadersMap) GetHeader(number uint64) *types.Header {
+	return t.HeadersByNumber[number]
+}
+
+func (t *TestHeadersMap) GetHeaderByHash(hash types.Hash) *types.Header {
+	for _, header := range t.HeadersByNumber {
+		if header.Hash == hash {
+			return header
+		}
+	}
+
+	return nil
+}
+
+func (t *TestHeadersMap) GetHeaders() []*types.Header {
+	headers := make([]*types.Header, 0, len(t.HeadersByNumber))
+	for _, header := range t.HeadersByNumber {
+		headers = append(headers, header)
+	}
+
+	return headers
+}
+
+func CreateTestKey(t *testing.T) *wallet.Key {
+	t.Helper()
+
+	return wallet.NewKey(GenerateTestAccount(t))
+}
+
+func CreateRandomTestKeys(t *testing.T, numberOfKeys int) []*wallet.Key {
+	t.Helper()
+
+	result := make([]*wallet.Key, numberOfKeys)
+
+	for i := 0; i < numberOfKeys; i++ {
+		result[i] = wallet.NewKey(GenerateTestAccount(t))
+	}
+
+	return result
+}
+
+func CreateSignature(t *testing.T, accounts []*wallet.Account, hash types.Hash, domain []byte) *polytypes.Signature {
+	t.Helper()
+
+	var signatures bls.Signatures
+
+	var bmp bitmap.Bitmap
+	for i, x := range accounts {
+		bmp.Set(uint64(i))
+
+		src, err := x.Bls.Sign(hash[:], domain)
+		require.NoError(t, err)
+
+		signatures = append(signatures, src)
+	}
+
+	aggs, err := signatures.Aggregate().Marshal()
+	require.NoError(t, err)
+
+	return &polytypes.Signature{AggregatedSignature: aggs, Bitmap: bmp}
+}
+
+func GenerateTestAccount(tb testing.TB) *wallet.Account {
+	tb.Helper()
+
+	acc, err := wallet.GenerateAccount()
+	require.NoError(tb, err)
+
+	return acc
+}
diff --git a/consensus/polybft/helpers_test.go b/consensus/polybft/helpers_test.go
deleted file mode 100644
index 6f56ef7f95..0000000000
--- a/consensus/polybft/helpers_test.go
+++ /dev/null
@@ -1,209 +0,0 @@
-package polybft
-
-import (
-	"crypto/rand"
-	"fmt"
-	"math/big"
-	"os"
-	"path"
-	"testing"
-	"time"
-
-	"github.com/0xPolygon/polygon-edge/bls"
-	"github.com/0xPolygon/polygon-edge/consensus/polybft/bitmap"
-	"github.com/0xPolygon/polygon-edge/consensus/polybft/contractsapi"
-	"github.com/0xPolygon/polygon-edge/consensus/polybft/validator"
-	"github.com/0xPolygon/polygon-edge/consensus/polybft/wallet"
-	"github.com/0xPolygon/polygon-edge/types"
-	"github.com/stretchr/testify/require"
-)
-
-func createTestKey(t *testing.T) *wallet.Key {
-	t.Helper()
-
-	return wallet.NewKey(generateTestAccount(t))
-}
-
-func createRandomTestKeys(t *testing.T, numberOfKeys int) []*wallet.Key {
-	t.Helper()
-
-	result := make([]*wallet.Key, numberOfKeys)
-
-	for i := 0; i < numberOfKeys; i++ {
-		result[i] = wallet.NewKey(generateTestAccount(t))
-	}
-
-	return result
-}
-
-func createSignature(t *testing.T, accounts []*wallet.Account, hash types.Hash, domain []byte) *Signature {
-	t.Helper()
-
-	var signatures bls.Signatures
-
-	var bmp bitmap.Bitmap
-	for i, x := range accounts {
-		bmp.Set(uint64(i))
-
-		src, err := x.Bls.Sign(hash[:], domain)
-		require.NoError(t, err)
-
-		signatures = append(signatures, src)
-	}
-
-	aggs, err := signatures.Aggregate().Marshal()
-	require.NoError(t, err)
-
-	return &Signature{AggregatedSignature: aggs, Bitmap: bmp}
-}
-
-func createTestCommitEpochInput(t *testing.T, epochID uint64,
-	epochSize uint64) *contractsapi.CommitEpochEpochManagerFn {
-	t.Helper()
-
-	var startBlock uint64 = 0
-	if epochID > 1 {
-		startBlock = (epochID - 1) * epochSize
-	}
-
-	commitEpoch := &contractsapi.CommitEpochEpochManagerFn{
-		ID: new(big.Int).SetUint64(epochID),
-		Epoch: &contractsapi.Epoch{
-			StartBlock: new(big.Int).SetUint64(startBlock + 1),
-			EndBlock:   new(big.Int).SetUint64(epochSize * epochID),
-			EpochRoot:  types.Hash{},
-		},
-		EpochSize: new(big.Int).SetUint64(epochSize),
-	}
-
-	return commitEpoch
-}
-
-func createTestCommitValidatorSetBridgeStorageInput(t *testing.T, validatorSet []*contractsapi.Validator,
-	signature [2]*big.Int, bitmap []byte) *contractsapi.CommitValidatorSetBridgeStorageFn {
-	t.Helper()
-
-	commitValidatorSet := &contractsapi.CommitValidatorSetBridgeStorageFn{
-		NewValidatorSet: validatorSet,
-		Signature:       signature,
-		Bitmap:          bitmap,
-	}
-
-	return commitValidatorSet
-}
-
-func createTestDistributeRewardsInput(t *testing.T, epochID uint64,
-	validatorSet validator.AccountSet, epochSize uint64) *contractsapi.DistributeRewardForEpochManagerFn {
-	t.Helper()
-
-	if validatorSet == nil {
-		validatorSet = validator.NewTestValidators(t, 5).GetPublicIdentities()
-	}
-
-	uptime := make([]*contractsapi.Uptime, len(validatorSet))
-
-	for i, v := range validatorSet {
-		uptime[i] = &contractsapi.Uptime{
-			Validator:    v.Address,
-			SignedBlocks: new(big.Int).SetUint64(epochSize),
-		}
-	}
-
-	return &contractsapi.DistributeRewardForEpochManagerFn{
-		EpochID:   new(big.Int).SetUint64(epochID),
-		Uptime:    uptime,
-		EpochSize: new(big.Int).SetUint64(epochSize),
-	}
-}
-
-func generateBridgeMessageEvents(t *testing.T, eventsCount int, startIdx uint64) []*contractsapi.BridgeMsgEvent {
-	t.Helper()
-
-	bridgeMessageEvents := make([]*contractsapi.BridgeMsgEvent, eventsCount)
-	for i := 0; i < eventsCount; i++ {
-		bridgeMessageEvents[i] = &contractsapi.BridgeMsgEvent{
-			ID:                 big.NewInt(int64(startIdx + uint64(i))),
-			Sender:             types.StringToAddress(fmt.Sprintf("0x5%d", i)),
-			Receiver:           types.StringToAddress(fmt.Sprintf("0x4%d", i)),
-			Data:               generateRandomBytes(t),
-			SourceChainID:      big.NewInt(1),
-			DestinationChainID: big.NewInt(0),
-		}
-	}
-
-	return bridgeMessageEvents
-}
-
-// generateRandomBytes generates byte array with random data of 32 bytes length
-func generateRandomBytes(t *testing.T) (result []byte) {
-	t.Helper()
-
-	result = make([]byte, types.HashLength)
-	_, err := rand.Reader.Read(result)
-	require.NoError(t, err, "Cannot generate random byte array content.")
-
-	return
-}
-
-// getEpochNumber returns epoch number for given blockNumber and epochSize.
-// Epoch number is derived as a result of division of block number and epoch size.
-// Since epoch number is 1-based (0 block represents special case zero epoch),
-// we are incrementing result by one for non epoch-ending blocks.
-func getEpochNumber(t *testing.T, blockNumber, epochSize uint64) uint64 {
-	t.Helper()
-
-	if isEndOfPeriod(blockNumber, epochSize) {
-		return blockNumber / epochSize
-	}
-
-	return blockNumber/epochSize + 1
-}
-
-// newTestState creates new instance of state used by tests.
-func newTestState(tb testing.TB) *State {
-	tb.Helper()
-
-	dir := fmt.Sprintf("/tmp/consensus-temp_%v", time.Now().UTC().Format(time.RFC3339Nano))
-	err := os.Mkdir(dir, 0775)
-
-	if err != nil {
-		tb.Fatal(err)
-	}
-
-	state, err := newState(path.Join(dir, "my.db"), make(chan struct{}), []uint64{0, 1})
-	if err != nil {
-		tb.Fatal(err)
-	}
-
-	tb.Cleanup(func() {
-		if err := os.RemoveAll(dir); err != nil {
-			tb.Fatal(err)
-		}
-	})
-
-	return state
-}
-
-func generateTestAccount(tb testing.TB) *wallet.Account {
-	tb.Helper()
-
-	acc, err := wallet.GenerateAccount()
-	require.NoError(tb, err)
-
-	return acc
-}
-
-// createTestBridgeConfig creates test bridge configuration with hard-coded addresses
-func createTestBridgeConfig() *BridgeConfig {
-	return &BridgeConfig{
-		ExternalGatewayAddr:                  types.StringToAddress("1"),
-		ExternalERC20PredicateAddr:           types.StringToAddress("2"),
-		ExternalMintableERC20PredicateAddr:   types.StringToAddress("3"),
-		ExternalNativeERC20Addr:              types.StringToAddress("4"),
-		ExternalERC721PredicateAddr:          types.StringToAddress("5"),
-		ExternalMintableERC721PredicateAddr:  types.StringToAddress("6"),
-		ExternalERC1155PredicateAddr:         types.StringToAddress("7"),
-		ExternalMintableERC1155PredicateAddr: types.StringToAddress("8"),
-		JSONRPCEndpoint:                      "http://localhost:8545",
-	}
-}
diff --git a/consensus/polybft/metrics/consensus_metrics.go b/consensus/polybft/metrics/consensus_metrics.go
new file mode 100644
index 0000000000..c178ba6e2b
--- /dev/null
+++ b/consensus/polybft/metrics/consensus_metrics.go
@@ -0,0 +1,59 @@
+package metrics
+
+import (
+	"time"
+
+	polytypes "github.com/0xPolygon/polygon-edge/consensus/polybft/types"
+	"github.com/0xPolygon/polygon-edge/types"
+	"github.com/armon/go-metrics"
+)
+
+const (
+	// ConsensusMetricsPrefix is a consensus-related metrics prefix
+	ConsensusMetricsPrefix = "consensus"
+)
+
+// UpdateBlockMetrics updates various metrics based on the given block
+// (such as block interval, number of transactions and block rounds metrics)
+func UpdateBlockMetrics(currentBlock *types.Block, parentHeader *types.Header) error {
+	if currentBlock.Number() > 1 {
+		parentTime := time.Unix(int64(parentHeader.Timestamp), 0)
+		headerTime := time.Unix(int64(currentBlock.Header.Timestamp), 0)
+		// update the block interval metric
+		metrics.SetGauge([]string{ConsensusMetricsPrefix, "block_interval"}, float32(headerTime.Sub(parentTime).Seconds()))
+	}
+
+	// update the number of transactions in the block metric
+	metrics.SetGauge([]string{ConsensusMetricsPrefix, "num_txs"}, float32(len(currentBlock.Transactions)))
+
+	extra, err := polytypes.GetIbftExtra(currentBlock.Header.ExtraData)
+	if err != nil {
+		return err
+	}
+
+	// number of rounds needed to seal a block
+	metrics.SetGauge([]string{ConsensusMetricsPrefix, "rounds"}, float32(extra.BlockMetaData.BlockRound))
+	metrics.SetGauge([]string{ConsensusMetricsPrefix, "chain_head"}, float32(currentBlock.Number()))
+	metrics.IncrCounter([]string{ConsensusMetricsPrefix, "block_counter"}, float32(1))
+	metrics.SetGauge([]string{ConsensusMetricsPrefix, "block_space_used"}, float32(currentBlock.Header.GasUsed))
+
+	// Update the base fee metric
+	metrics.SetGauge([]string{ConsensusMetricsPrefix, "base_fee"}, float32(currentBlock.Header.BaseFee))
+
+	return nil
+}
+
+// UpdateEpochMetrics updates epoch-related metrics
+// (e.g. epoch number, validator set length)
+func UpdateEpochMetrics(epoch uint64, validatorsLen int) {
+	// update epoch number metrics
+	metrics.SetGauge([]string{ConsensusMetricsPrefix, "epoch_number"}, float32(epoch))
+	// update number of validators metrics
+	metrics.SetGauge([]string{ConsensusMetricsPrefix, "validators"}, float32(validatorsLen))
+}
+
+// UpdateBlockExecutionMetric updates the block execution metric
+func UpdateBlockExecutionMetric(start time.Time) {
+	metrics.SetGauge([]string{ConsensusMetricsPrefix, "block_execution_time"},
+		float32(time.Now().UTC().Sub(start).Seconds()))
+}
diff --git a/consensus/polybft/polybft.go b/consensus/polybft/polybft.go
index 5ae188f9ae..ea01fd2cdf 100644
--- a/consensus/polybft/polybft.go
+++ b/consensus/polybft/polybft.go
@@ -15,9 +15,15 @@ import (
 	"github.com/0xPolygon/go-ibft/core"
 	"github.com/0xPolygon/polygon-edge/chain"
 	"github.com/0xPolygon/polygon-edge/consensus"
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/blockchain"
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/bridge"
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/config"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/contractsapi"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/signer"
+	polystate "github.com/0xPolygon/polygon-edge/consensus/polybft/state"
+	polytypes "github.com/0xPolygon/polygon-edge/consensus/polybft/types"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/validator"
+	vs "github.com/0xPolygon/polygon-edge/consensus/polybft/validator-snapshot"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/wallet"
 	"github.com/0xPolygon/polygon-edge/contracts"
 	"github.com/0xPolygon/polygon-edge/forkmanager"
@@ -38,20 +44,6 @@ const (
 	baseRoundTimeoutScaleFactor = 2
 )
 
-// polybftBackend is an interface defining polybft methods needed by fsm and sync tracker
-type polybftBackend interface {
-	// GetValidators retrieves validator set for the given block
-	GetValidators(blockNumber uint64, parents []*types.Header) (validator.AccountSet, error)
-
-	// GetValidators retrieves validator set for the given block
-	// Function expects that db tx is already open
-	GetValidatorsWithTx(blockNumber uint64, parents []*types.Header,
-		dbTx *bolt.Tx) (validator.AccountSet, error)
-
-	// SetBlockTime updates the block time
-	SetBlockTime(blockTime time.Duration)
-}
-
 // Factory is the factory function to create a discovery consensus
 func Factory(params *consensus.Params) (consensus.Consensus, error) {
 	logger := params.Logger.Named("polybft")
@@ -87,16 +79,16 @@ type Polybft struct {
 	ibft *IBFTConsensusWrapper
 
 	// state is reference to the struct which encapsulates consensus data persistence logic
-	state *State
+	state *polystate.State
 
 	// consensus parameters
 	config *consensus.Params
 
 	// genesisClientConfig is genesis configuration for polybft consensus protocol
-	genesisClientConfig *PolyBFTConfig
+	genesisClientConfig *config.PolyBFT
 
 	// blockchain is a reference to the blockchain object
-	blockchain blockchainBackend
+	blockchain polytypes.Blockchain
 
 	// runtime handles consensus runtime features like epoch, state and event management
 	runtime *consensusRuntime
@@ -117,7 +109,7 @@ type Polybft struct {
 	key *wallet.Key
 
 	// validatorsCache represents cache of validators snapshots
-	validatorsCache *validatorsSnapshotCache
+	validatorsCache *vs.ValidatorsSnapshotCache
 
 	// logger
 	logger hclog.Logger
@@ -126,9 +118,9 @@ type Polybft struct {
 	txPool txPoolInterface
 }
 
-func GenesisPostHookFactory(config *chain.Chain, engineName string) func(txn *state.Transition) error {
+func GenesisPostHookFactory(cfg *chain.Chain, engineName string) func(txn *state.Transition) error {
 	return func(transition *state.Transition) error {
-		polyBFTConfig, err := GetPolyBFTConfig(config.Params)
+		polyBFTConfig, err := config.GetPolyBFTConfig(cfg.Params)
 		if err != nil {
 			return err
 		}
@@ -138,7 +130,7 @@ func GenesisPostHookFactory(config *chain.Chain, engineName string) func(txn *st
 		// that is used for minting and burning native token
 		initialTotalSupply := big.NewInt(0)
 
-		for addr, alloc := range config.Genesis.Alloc {
+		for addr, alloc := range cfg.Genesis.Alloc {
 			if addr == types.ZeroAddress {
 				continue
 			}
@@ -148,12 +140,12 @@ func GenesisPostHookFactory(config *chain.Chain, engineName string) func(txn *st
 
 		proxyAddrMapping := contracts.GetProxyImplementationMapping()
 
-		burnContractAddress, isBurnContractSet := getBurnContractAddress(config, polyBFTConfig)
+		burnContractAddress, isBurnContractSet := getBurnContractAddress(cfg, polyBFTConfig)
 		if isBurnContractSet {
 			proxyAddrMapping[contracts.DefaultBurnContract] = burnContractAddress
 		}
 
-		if _, ok := config.Genesis.Alloc[contracts.RewardTokenContract]; ok {
+		if _, ok := cfg.Genesis.Alloc[contracts.RewardTokenContract]; ok {
 			proxyAddrMapping[contracts.RewardTokenContract] = contracts.RewardTokenContractV1
 		}
 
@@ -162,7 +154,7 @@ func GenesisPostHookFactory(config *chain.Chain, engineName string) func(txn *st
 		}
 
 		// initialize NetworkParams SC
-		if err = initNetworkParamsContract(config.Params.BaseFeeChangeDenom, polyBFTConfig, transition); err != nil {
+		if err = initNetworkParamsContract(cfg.Params.BaseFeeChangeDenom, polyBFTConfig, transition); err != nil {
 			return err
 		}
 
@@ -212,13 +204,13 @@ func GenesisPostHookFactory(config *chain.Chain, engineName string) func(txn *st
 			}
 
 			bridgeCfgMap := polyBFTConfig.Bridge
-			isBridgeAllowListEnabled := config.Params.IsBridgeAllowListEnabled()
-			isBridgeBlockListEnabled := config.Params.IsBridgeBlockListEnabled()
+			isBridgeAllowListEnabled := cfg.Params.IsBridgeAllowListEnabled()
+			isBridgeBlockListEnabled := cfg.Params.IsBridgeBlockListEnabled()
 
 			// initialize Predicate SCs
 			if isBridgeAllowListEnabled || isBridgeBlockListEnabled {
 				// The owner of the contract will be the allow list admin or the block list admin, if any of them is set.
-				owner := config.Params.GetBridgeOwner()
+				owner := cfg.Params.GetBridgeOwner()
 				useBridgeAllowList := isBridgeAllowListEnabled
 				useBridgeBlockList := isBridgeBlockListEnabled
 
@@ -226,47 +218,47 @@ func GenesisPostHookFactory(config *chain.Chain, engineName string) func(txn *st
 					chainIDBig := new(big.Int).SetUint64(chainID)
 
 					// initialize Gateway SC
-					if err = initGatewayContract(polyBFTConfig, chainBridgeCfg, transition, config.Genesis.Alloc); err != nil {
+					if err = initGatewayContract(polyBFTConfig, chainBridgeCfg, transition, cfg.Genesis.Alloc); err != nil {
 						return err
 					}
 
 					// initialize ChildERC20PredicateAccessList SC
-					if err = initERC20ACLPredicateContract(transition, chainBridgeCfg, config.Genesis.Alloc,
+					if err = initERC20ACLPredicateContract(transition, chainBridgeCfg, cfg.Genesis.Alloc,
 						owner, useBridgeAllowList, useBridgeBlockList, false, chainIDBig,
 						"ChildERC20PredicateAccessList"); err != nil {
 						return err
 					}
 
 					// initialize ChildERC721PredicateAccessList SC
-					if err = initERC721ACLPredicateContract(transition, chainBridgeCfg, config.Genesis.Alloc,
+					if err = initERC721ACLPredicateContract(transition, chainBridgeCfg, cfg.Genesis.Alloc,
 						owner, useBridgeAllowList, useBridgeBlockList, false, chainIDBig,
 						"ChildERC721PredicateAccessList"); err != nil {
 						return err
 					}
 
 					// initialize ChildERC1155PredicateAccessList SC
-					if err = initERC1155ACLPredicateContract(transition, chainBridgeCfg, config.Genesis.Alloc,
+					if err = initERC1155ACLPredicateContract(transition, chainBridgeCfg, cfg.Genesis.Alloc,
 						owner, useBridgeAllowList, useBridgeBlockList, false, chainIDBig,
 						"ChildERC1155PredicateAccessList"); err != nil {
 						return err
 					}
 
 					// initialize RootMintableERC20PredicateAccessList SC
-					if err = initERC20ACLPredicateContract(transition, chainBridgeCfg, config.Genesis.Alloc,
+					if err = initERC20ACLPredicateContract(transition, chainBridgeCfg, cfg.Genesis.Alloc,
 						owner, useBridgeAllowList, useBridgeBlockList, true, chainIDBig,
 						"RootERC20PredicateAccessList"); err != nil {
 						return err
 					}
 
 					// initialize RootMintableERC721PredicateAccessList SC
-					if err = initERC721ACLPredicateContract(transition, chainBridgeCfg, config.Genesis.Alloc,
+					if err = initERC721ACLPredicateContract(transition, chainBridgeCfg, cfg.Genesis.Alloc,
 						owner, useBridgeAllowList, useBridgeBlockList, true, chainIDBig,
 						"RootERC721PredicateAccessList"); err != nil {
 						return err
 					}
 
 					// initialize RootMintableERC1155PredicateAccessList SC
-					if err = initERC1155ACLPredicateContract(transition, chainBridgeCfg, config.Genesis.Alloc,
+					if err = initERC1155ACLPredicateContract(transition, chainBridgeCfg, cfg.Genesis.Alloc,
 						owner, useBridgeAllowList, useBridgeBlockList, true, chainIDBig,
 						"RootERC1155PredicateAccessList"); err != nil {
 						return err
@@ -277,42 +269,42 @@ func GenesisPostHookFactory(config *chain.Chain, engineName string) func(txn *st
 					destChainIDBig := new(big.Int).SetUint64(destChainID)
 
 					// initialize Gateway SC
-					if err = initGatewayContract(polyBFTConfig, chainBridgeCfg, transition, config.Genesis.Alloc); err != nil {
+					if err = initGatewayContract(polyBFTConfig, chainBridgeCfg, transition, cfg.Genesis.Alloc); err != nil {
 						return err
 					}
 
 					// initialize ChildERC20Predicate SC
-					if err = initERC20PredicateContract(transition, chainBridgeCfg, config.Genesis.Alloc,
+					if err = initERC20PredicateContract(transition, chainBridgeCfg, cfg.Genesis.Alloc,
 						false, destChainIDBig, "ChildERC20Predicate"); err != nil {
 						return err
 					}
 
 					// initialize ChildERC721Predicate SC
-					if err = initERC721PredicateContract(transition, chainBridgeCfg, config.Genesis.Alloc,
+					if err = initERC721PredicateContract(transition, chainBridgeCfg, cfg.Genesis.Alloc,
 						false, destChainIDBig, "ChildERC721Predicate"); err != nil {
 						return err
 					}
 
 					// initialize ChildERC1155Predicate SC
-					if err = initERC1155PredicateContract(transition, chainBridgeCfg, config.Genesis.Alloc,
+					if err = initERC1155PredicateContract(transition, chainBridgeCfg, cfg.Genesis.Alloc,
 						false, destChainIDBig, "ChildERC1155Predicate"); err != nil {
 						return err
 					}
 
 					// initialize RootMintableERC20Predicate SC
-					if err = initERC20PredicateContract(transition, chainBridgeCfg, config.Genesis.Alloc,
+					if err = initERC20PredicateContract(transition, chainBridgeCfg, cfg.Genesis.Alloc,
 						true, destChainIDBig, "RootERC20Predicate"); err != nil {
 						return err
 					}
 
 					// initialize RootMintableERC721Predicate SC
-					if err = initERC721PredicateContract(transition, chainBridgeCfg, config.Genesis.Alloc,
+					if err = initERC721PredicateContract(transition, chainBridgeCfg, cfg.Genesis.Alloc,
 						true, destChainIDBig, "RootERC721Predicate"); err != nil {
 						return err
 					}
 
 					// initialize RootMintableERC1155Predicate SC
-					if err = initERC1155PredicateContract(transition, chainBridgeCfg, config.Genesis.Alloc,
+					if err = initERC1155PredicateContract(transition, chainBridgeCfg, cfg.Genesis.Alloc,
 						true, destChainIDBig, "RootERC1155Predicate"); err != nil {
 						return err
 					}
@@ -371,7 +363,7 @@ func GenesisPostHookFactory(config *chain.Chain, engineName string) func(txn *st
 			if isBurnContractSet {
 				burnParams := &contractsapi.InitializeEIP1559BurnFn{
 					NewChildERC20Predicate: polyBFTConfig.Bridge[polyBFTConfig.NativeTokenConfig.ChainID].InternalERC20PredicateAddr,
-					NewBurnDestination:     config.Params.BurnContractDestinationAddress,
+					NewBurnDestination:     cfg.Params.BurnContractDestinationAddress,
 				}
 
 				input, err = burnParams.EncodeAbi()
@@ -397,8 +389,8 @@ func ForkManagerFactory(forks *chain.Forks) error {
 }
 
 // IsL1OriginatedTokenCheck checks if the token is originated from L1
-func IsL1OriginatedTokenCheck(config *chain.Params) (bool, error) {
-	polyBFTConfig, err := GetPolyBFTConfig(config)
+func IsL1OriginatedTokenCheck(cfg *chain.Params) (bool, error) {
+	polyBFTConfig, err := config.GetPolyBFTConfig(cfg)
 	if err != nil {
 		return false, err
 	}
@@ -428,11 +420,11 @@ func (p *Polybft) Initialize() error {
 	)
 
 	// set blockchain backend
-	p.blockchain = &blockchainWrapper{
-		logger:     p.logger.Named("blockchain_wrapper"),
-		blockchain: p.config.Blockchain,
-		executor:   p.config.Executor,
-	}
+	p.blockchain = blockchain.NewBlockchainWrapper(
+		p.logger.Named("blockchain_wrapper"),
+		p.config.Blockchain,
+		p.config.Executor,
+	)
 
 	// create bridge and consensus topics
 	if err = p.createTopics(); err != nil {
@@ -446,13 +438,15 @@ func (p *Polybft) Initialize() error {
 		return fmt.Errorf("failed to create data directory. Error: %w", err)
 	}
 
-	stt, err := newState(filepath.Join(p.dataDir, stateFileName), p.closeCh, p.getSupportedBridgeChainIDs())
+	p.state, err = polystate.NewState(p.dataDir, p.closeCh)
 	if err != nil {
 		return fmt.Errorf("failed to create state instance. Error: %w", err)
 	}
 
-	p.state = stt
-	p.validatorsCache = newValidatorsSnapshotCache(p.config.Logger, stt, p.blockchain)
+	p.validatorsCache, err = vs.NewValidatorsSnapshotCache(p.config.Logger, p.state, p.blockchain)
+	if err != nil {
+		return fmt.Errorf("failed to create validators cache. Error: %w", err)
+	}
 
 	// create runtime
 	if err := p.initRuntime(); err != nil {
@@ -468,8 +462,8 @@ func (p *Polybft) Initialize() error {
 	return nil
 }
 
-func ForkManagerInitialParamsFactory(config *chain.Chain) (*forkmanager.ForkParams, error) {
-	pbftConfig, err := GetPolyBFTConfig(config.Params)
+func ForkManagerInitialParamsFactory(cfg *chain.Chain) (*forkmanager.ForkParams, error) {
+	pbftConfig, err := config.GetPolyBFTConfig(cfg.Params)
 	if err != nil {
 		return nil, err
 	}
@@ -514,7 +508,7 @@ func (p *Polybft) Start() error {
 	}
 
 	// start state DB process
-	go p.state.startStatsReleasing()
+	go p.state.StartStatsReleasing()
 
 	/* 	// polybft rootchain metrics
 	   	go p.publishRootchainMetrics(p.logger.Named("rootchain_metrics")) */
@@ -524,22 +518,18 @@ func (p *Polybft) Start() error {
 
 // initRuntime creates consensus runtime
 func (p *Polybft) initRuntime() error {
-	runtimeConfig := &runtimeConfig{
-		genesisParams:   p.config.Config.Params,
+	runtimeConfig := &config.Runtime{
+		ChainParams:     p.config.Config.Params,
 		GenesisConfig:   p.genesisClientConfig,
 		Forks:           p.config.Config.Params.Forks,
 		Key:             p.key,
-		DataDir:         p.dataDir,
-		State:           p.state,
-		blockchain:      p.blockchain,
-		polybftBackend:  p,
-		txPool:          p.txPool,
-		bridgeTopic:     p.bridgeTopic,
-		consensusConfig: p.config.Config,
-		eventTracker:    p.config.EventTracker,
+		StateDataDir:    p.dataDir,
+		ConsensusConfig: p.config.Config,
+		EventTracker:    p.config.EventTracker,
 	}
 
-	runtime, err := newConsensusRuntime(p.logger, runtimeConfig)
+	runtime, err := newConsensusRuntime(p.logger, runtimeConfig, p.state, p,
+		p.blockchain, p.txPool, p.bridgeTopic)
 	if err != nil {
 		return err
 	}
@@ -668,9 +658,8 @@ func (p *Polybft) Close() error {
 
 	close(p.closeCh)
 	p.runtime.close()
-	p.state.db.Close()
 
-	return nil
+	return p.state.Close()
 }
 
 // GetSyncProgression retrieves the current sync progression, if any
@@ -703,7 +692,7 @@ func (p *Polybft) verifyHeaderImpl(parent, header *types.Header, blockTimeDrift
 	}
 
 	// decode the extra data
-	extra, err := GetIbftExtra(header.ExtraData)
+	extra, err := polytypes.GetIbftExtra(header.ExtraData)
 	if err != nil {
 		return fmt.Errorf("failed to verify header for block %d. get extra error = %w", header.Number, err)
 	}
@@ -765,7 +754,7 @@ func (p *Polybft) PreCommitState(block *types.Block, _ *state.Transition) error
 			return fmt.Errorf("unknown state transaction: tx=%v, error: %w", tx.Hash(), err)
 		}
 
-		if signedBridgeBatch, ok := decodedStateTx.(*BridgeBatchSigned); ok {
+		if signedBridgeBatch, ok := decodedStateTx.(*bridge.BridgeBatchSigned); ok {
 			if bridgeBatchTxExists {
 				return fmt.Errorf("only one bridge batch state tx is allowed per block: %v", tx.Hash())
 			}
@@ -796,18 +785,7 @@ func (p *Polybft) GetLatestChainConfig() (*chain.Params, error) {
 
 // FilterExtra is an implementation of Consensus interface
 func (p *Polybft) FilterExtra(extra []byte) ([]byte, error) {
-	return GetIbftExtraClean(extra)
-}
-
-// getSupportedBridgeChainIDs return list of all chainIDs
-func (p *Polybft) getSupportedBridgeChainIDs() []uint64 {
-	chainIDs := make([]uint64, 0, len(p.genesisClientConfig.Bridge))
-
-	for chainID := range p.genesisClientConfig.Bridge {
-		chainIDs = append(chainIDs, chainID)
-	}
-
-	return chainIDs
+	return polytypes.GetIbftExtraClean(extra)
 }
 
 // initProxies initializes proxy contracts, that allow upgradeability of contracts implementation
@@ -846,7 +824,7 @@ func initProxies(transition *state.Transition, admin types.Address,
 	return nil
 }
 
-func getBurnContractAddress(config *chain.Chain, polyBFTConfig PolyBFTConfig) (types.Address, bool) {
+func getBurnContractAddress(config *chain.Chain, polyBFTConfig config.PolyBFT) (types.Address, bool) {
 	if config.Params.BurnContract != nil &&
 		len(config.Params.BurnContract) == 1 &&
 		!polyBFTConfig.NativeTokenConfig.IsMintable {
diff --git a/consensus/polybft/polybft_test.go b/consensus/polybft/polybft_test.go
index 4a185fa97a..827c1ce0fc 100644
--- a/consensus/polybft/polybft_test.go
+++ b/consensus/polybft/polybft_test.go
@@ -8,8 +8,15 @@ import (
 
 	"github.com/0xPolygon/polygon-edge/chain"
 	"github.com/0xPolygon/polygon-edge/consensus"
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/bridge"
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/config"
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/helpers"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/signer"
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/state"
+	systemstate "github.com/0xPolygon/polygon-edge/consensus/polybft/system_state"
+	polytypes "github.com/0xPolygon/polygon-edge/consensus/polybft/types"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/validator"
+	vs "github.com/0xPolygon/polygon-edge/consensus/polybft/validator-snapshot"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/wallet"
 	"github.com/0xPolygon/polygon-edge/helper/progress"
 	"github.com/0xPolygon/polygon-edge/txpool"
@@ -19,7 +26,6 @@ import (
 	"github.com/stretchr/testify/assert"
 	"github.com/stretchr/testify/mock"
 	"github.com/stretchr/testify/require"
-	"go.etcd.io/bbolt"
 )
 
 // the test initializes polybft and chain mock (map of headers) after which a new header is verified
@@ -37,18 +43,18 @@ func TestPolybft_VerifyHeader(t *testing.T) {
 
 	updateHeaderExtra := func(header *types.Header,
 		validators *validator.ValidatorSetDelta,
-		parentSignature *Signature,
-		blockMeta *BlockMetaData,
-		committedAccounts []*wallet.Account) *Signature {
-		extra := &Extra{
+		parentSignature *polytypes.Signature,
+		blockMeta *polytypes.BlockMetaData,
+		committedAccounts []*wallet.Account) *polytypes.Signature {
+		extra := &polytypes.Extra{
 			Validators:    validators,
 			Parent:        parentSignature,
 			BlockMetaData: blockMeta,
-			Committed:     &Signature{},
+			Committed:     &polytypes.Signature{},
 		}
 
 		if extra.BlockMetaData == nil {
-			extra.BlockMetaData = &BlockMetaData{}
+			extra.BlockMetaData = &polytypes.BlockMetaData{}
 		}
 
 		header.ExtraData = extra.MarshalRLPTo(nil)
@@ -58,7 +64,7 @@ func TestPolybft_VerifyHeader(t *testing.T) {
 			blockMetaHash, err := extra.BlockMetaData.Hash(header.Hash)
 			require.NoError(t, err)
 
-			extra.Committed = createSignature(t, committedAccounts, blockMetaHash, signer.DomainBridge)
+			extra.Committed = helpers.CreateSignature(t, committedAccounts, blockMetaHash, signer.DomainBridge)
 			header.ExtraData = extra.MarshalRLPTo(nil)
 		}
 
@@ -69,7 +75,7 @@ func TestPolybft_VerifyHeader(t *testing.T) {
 	validators := validator.NewTestValidators(t, allValidatorsSize)
 
 	// create configuration
-	polyBftConfig := PolyBFTConfig{
+	polyBftConfig := config.PolyBFT{
 		InitialValidatorSet: validators.GetParamValidators(),
 		EpochSize:           fixedEpochSize,
 		SprintSize:          5,
@@ -84,7 +90,7 @@ func TestPolybft_VerifyHeader(t *testing.T) {
 	accountSetParent, accountSetCurrent := accounts[:len(accounts)-1], accounts[1:]
 
 	// create header map to simulate blockchain
-	headersMap := &testHeadersMap{}
+	headersMap := &helpers.TestHeadersMap{}
 
 	// create genesis header
 	genesisDelta, err := validator.CreateValidatorSetDelta(nil, validatorSetParent)
@@ -94,7 +100,7 @@ func TestPolybft_VerifyHeader(t *testing.T) {
 	updateHeaderExtra(genesisHeader, genesisDelta, nil, nil, nil)
 
 	// add genesis header to map
-	headersMap.addHeader(genesisHeader)
+	headersMap.AddHeader(genesisHeader)
 
 	// create headers from 1 to 9
 	for i := uint64(1); i < polyBftConfig.EpochSize; i++ {
@@ -102,28 +108,31 @@ func TestPolybft_VerifyHeader(t *testing.T) {
 		require.NoError(t, err)
 
 		header := &types.Header{Number: i}
-		updateHeaderExtra(header, delta, nil, &BlockMetaData{EpochNumber: 1}, nil)
+		updateHeaderExtra(header, delta, nil, &polytypes.BlockMetaData{EpochNumber: 1}, nil)
 
 		// add headers from 1 to 9 to map (blockchain imitation)
-		headersMap.addHeader(header)
+		headersMap.AddHeader(header)
 	}
 
 	// mock blockchain
-	blockchainMock := new(blockchainMock)
-	blockchainMock.On("GetHeaderByNumber", mock.Anything).Return(headersMap.getHeader)
-	blockchainMock.On("GetHeaderByHash", mock.Anything).Return(headersMap.getHeaderByHash)
+	blockchainMock := new(helpers.BlockchainMock)
+	blockchainMock.On("GetHeaderByNumber", mock.Anything).Return(headersMap.GetHeader)
+	blockchainMock.On("GetHeaderByHash", mock.Anything).Return(headersMap.GetHeaderByHash)
 
 	// create polybft with appropriate mocks
+	validatorSnapCache, err := vs.NewValidatorsSnapshotCache(
+		hclog.NewNullLogger(),
+		state.NewTestState(t),
+		blockchainMock,
+	)
+	require.NoError(t, err)
+
 	polybft := &Polybft{
 		closeCh:             make(chan struct{}),
 		logger:              hclog.NewNullLogger(),
 		genesisClientConfig: &polyBftConfig,
 		blockchain:          blockchainMock,
-		validatorsCache: newValidatorsSnapshotCache(
-			hclog.NewNullLogger(),
-			newTestState(t),
-			blockchainMock,
-		),
+		validatorsCache:     validatorSnapCache,
 		runtime: &consensusRuntime{
 			epoch: &epochMetadata{
 				CurrentClientConfig: &polyBftConfig,
@@ -139,10 +148,10 @@ func TestPolybft_VerifyHeader(t *testing.T) {
 		Number:    polyBftConfig.EpochSize,
 		Timestamp: uint64(time.Now().UTC().Unix()),
 	}
-	parentCommitment := updateHeaderExtra(parentHeader, parentDelta, nil, &BlockMetaData{EpochNumber: 1}, accountSetParent)
+	parentCommitment := updateHeaderExtra(parentHeader, parentDelta, nil, &polytypes.BlockMetaData{EpochNumber: 1}, accountSetParent)
 
 	// add parent header to map
-	headersMap.addHeader(parentHeader)
+	headersMap.AddHeader(parentHeader)
 
 	// create current header (block 11) with all appropriate fields required for validation
 	currentDelta, err := validator.CreateValidatorSetDelta(validatorSetCurrent, validatorSetCurrent)
@@ -152,11 +161,11 @@ func TestPolybft_VerifyHeader(t *testing.T) {
 		Number:     polyBftConfig.EpochSize + 1,
 		ParentHash: parentHeader.Hash,
 		Timestamp:  parentHeader.Timestamp + 1,
-		MixHash:    PolyBFTMixDigest,
+		MixHash:    polytypes.PolyBFTMixDigest,
 		Difficulty: 1,
 	}
 	updateHeaderExtra(currentHeader, currentDelta, nil,
-		&BlockMetaData{
+		&polytypes.BlockMetaData{
 			EpochNumber: 2,
 		}, nil)
 
@@ -165,7 +174,7 @@ func TestPolybft_VerifyHeader(t *testing.T) {
 
 	// omit Parent field (parent signature) intentionally
 	updateHeaderExtra(currentHeader, currentDelta, nil,
-		&BlockMetaData{
+		&polytypes.BlockMetaData{
 			EpochNumber: 1},
 		accountSetCurrent)
 
@@ -173,46 +182,52 @@ func TestPolybft_VerifyHeader(t *testing.T) {
 	assert.ErrorContains(t, polybft.VerifyHeader(currentHeader), "failed to verify signatures for parent of block")
 
 	updateHeaderExtra(currentHeader, currentDelta, parentCommitment,
-		&BlockMetaData{
+		&polytypes.BlockMetaData{
 			EpochNumber: 1},
 		accountSetCurrent)
 
 	assert.NoError(t, polybft.VerifyHeader(currentHeader))
 
+	validatorSnapCache, err = vs.NewValidatorsSnapshotCache(hclog.NewNullLogger(), state.NewTestState(t), blockchainMock)
+	require.NoError(t, err)
+
 	// clean validator snapshot cache (re-instantiate it), submit invalid validator set for parent signature and expect the following error
-	polybft.validatorsCache = newValidatorsSnapshotCache(hclog.NewNullLogger(), newTestState(t), blockchainMock)
-	assert.NoError(t, polybft.validatorsCache.storeSnapshot(
-		&validatorSnapshot{Epoch: 0, Snapshot: validatorSetCurrent}, nil)) // invalid validator set is submitted
-	assert.NoError(t, polybft.validatorsCache.storeSnapshot(
-		&validatorSnapshot{Epoch: 1, Snapshot: validatorSetCurrent}, nil))
+	polybft.validatorsCache = validatorSnapCache
+	assert.NoError(t, polybft.validatorsCache.StoreSnapshot(
+		&vs.ValidatorSnapshot{Epoch: 0, Snapshot: validatorSetCurrent}, nil)) // invalid validator set is submitted
+	assert.NoError(t, polybft.validatorsCache.StoreSnapshot(
+		&vs.ValidatorSnapshot{Epoch: 1, Snapshot: validatorSetCurrent}, nil))
 	assert.ErrorContains(t, polybft.VerifyHeader(currentHeader), "failed to verify signatures for parent of block")
 
 	// clean validators cache again and set valid snapshots
-	polybft.validatorsCache = newValidatorsSnapshotCache(hclog.NewNullLogger(), newTestState(t), blockchainMock)
-	assert.NoError(t, polybft.validatorsCache.storeSnapshot(
-		&validatorSnapshot{Epoch: 0, Snapshot: validatorSetParent}, nil))
-	assert.NoError(t, polybft.validatorsCache.storeSnapshot(
-		&validatorSnapshot{Epoch: 1, Snapshot: validatorSetCurrent}, nil))
+	validatorSnapCache, err = vs.NewValidatorsSnapshotCache(hclog.NewNullLogger(), state.NewTestState(t), blockchainMock)
+	require.NoError(t, err)
+
+	polybft.validatorsCache = validatorSnapCache
+	assert.NoError(t, polybft.validatorsCache.StoreSnapshot(
+		&vs.ValidatorSnapshot{Epoch: 0, Snapshot: validatorSetParent}, nil))
+	assert.NoError(t, polybft.validatorsCache.StoreSnapshot(
+		&vs.ValidatorSnapshot{Epoch: 1, Snapshot: validatorSetCurrent}, nil))
 	assert.NoError(t, polybft.VerifyHeader(currentHeader))
 
 	// add current header to the blockchain (headersMap) and try validating again
-	headersMap.addHeader(currentHeader)
+	headersMap.AddHeader(currentHeader)
 	assert.NoError(t, polybft.VerifyHeader(currentHeader))
 }
 
 func TestPolybft_Close(t *testing.T) {
 	t.Parallel()
 
-	syncer := &syncerMock{}
+	syncer := &helpers.SyncerMock{}
 	syncer.On("Close", mock.Anything).Return(error(nil)).Once()
 
 	polybft := Polybft{
 		closeCh: make(chan struct{}),
 		syncer:  syncer,
 		runtime: &consensusRuntime{
-			bridge: &dummyBridge{},
+			bridge: &bridge.DummyBridge{},
 		},
-		state: &State{db: &bbolt.DB{}},
+		state: state.NewTestState(t),
 	}
 
 	assert.NoError(t, polybft.Close())
@@ -242,7 +257,7 @@ func TestPolybft_GetSyncProgression(t *testing.T) {
 
 	result := &progress.Progression{}
 
-	syncer := &syncerMock{}
+	syncer := &helpers.SyncerMock{}
 	syncer.On("GetSyncProgression", mock.Anything).Return(result).Once()
 
 	polybft := Polybft{
@@ -295,22 +310,22 @@ func Test_GenesisPostHookFactory(t *testing.T) {
 	bridgeCfg := createTestBridgeConfig()
 	cases := []struct {
 		name            string
-		config          *PolyBFTConfig
+		config          *config.PolyBFT
 		bridgeAllowList *chain.AddressListConfig
 		expectedErr     error
 	}{
 		{
 			name: "access lists disabled",
-			config: &PolyBFTConfig{
+			config: &config.PolyBFT{
 				InitialValidatorSet: validators.GetParamValidators(),
-				Bridge:              map[uint64]*BridgeConfig{0: bridgeCfg},
+				Bridge:              map[uint64]*config.Bridge{0: bridgeCfg},
 				EpochSize:           epochSize,
-				RewardConfig:        &RewardsConfig{WalletAmount: ethgo.Ether(1000)},
-				NativeTokenConfig:   &TokenConfig{Name: "Test", Symbol: "TEST", Decimals: 18},
+				RewardConfig:        &config.Rewards{WalletAmount: ethgo.Ether(1000)},
+				NativeTokenConfig:   &config.Token{Name: "Test", Symbol: "TEST", Decimals: 18},
 				MaxValidatorSetSize: maxValidators,
 				BladeAdmin:          admin,
-				GovernanceConfig: &GovernanceConfig{
-					VotingDelay:              bigZero,
+				GovernanceConfig: &config.Governance{
+					VotingDelay:              big.NewInt(0),
 					VotingPeriod:             big.NewInt(10),
 					ProposalThreshold:        big.NewInt(25),
 					ProposalQuorumPercentage: 67,
@@ -319,16 +334,16 @@ func Test_GenesisPostHookFactory(t *testing.T) {
 		},
 		{
 			name: "access lists enabled",
-			config: &PolyBFTConfig{
+			config: &config.PolyBFT{
 				InitialValidatorSet: validators.GetParamValidators(),
-				Bridge:              map[uint64]*BridgeConfig{0: bridgeCfg},
+				Bridge:              map[uint64]*config.Bridge{0: bridgeCfg},
 				EpochSize:           epochSize,
-				RewardConfig:        &RewardsConfig{WalletAmount: ethgo.Ether(1000)},
-				NativeTokenConfig:   &TokenConfig{Name: "Test Mintable", Symbol: "TEST_MNT", Decimals: 18},
+				RewardConfig:        &config.Rewards{WalletAmount: ethgo.Ether(1000)},
+				NativeTokenConfig:   &config.Token{Name: "Test Mintable", Symbol: "TEST_MNT", Decimals: 18},
 				MaxValidatorSetSize: maxValidators,
 				BladeAdmin:          admin,
-				GovernanceConfig: &GovernanceConfig{
-					VotingDelay:              bigZero,
+				GovernanceConfig: &config.Governance{
+					VotingDelay:              big.NewInt(0),
 					VotingPeriod:             big.NewInt(10),
 					ProposalThreshold:        big.NewInt(25),
 					ProposalQuorumPercentage: 67,
@@ -347,14 +362,14 @@ func Test_GenesisPostHookFactory(t *testing.T) {
 			t.Parallel()
 
 			params := &chain.Params{
-				Engine:          map[string]interface{}{ConsensusName: tc.config},
+				Engine:          map[string]interface{}{config.ConsensusName: tc.config},
 				BridgeAllowList: tc.bridgeAllowList,
 			}
 			chainConfig := &chain.Chain{Params: params, Genesis: &chain.Genesis{Alloc: make(map[types.Address]*chain.GenesisAccount)}}
-			initHandler := GenesisPostHookFactory(chainConfig, ConsensusName)
+			initHandler := GenesisPostHookFactory(chainConfig, config.ConsensusName)
 			require.NotNil(t, initHandler)
 
-			transition := newTestTransition(t, nil)
+			transition := systemstate.NewTestTransition(t, nil)
 			if tc.expectedErr == nil {
 				require.NoError(t, initHandler(transition))
 			} else {
@@ -363,3 +378,18 @@ func Test_GenesisPostHookFactory(t *testing.T) {
 		})
 	}
 }
+
+// createTestBridgeConfig creates test bridge configuration with hard-coded addresses
+func createTestBridgeConfig() *config.Bridge {
+	return &config.Bridge{
+		ExternalGatewayAddr:                  types.StringToAddress("1"),
+		ExternalERC20PredicateAddr:           types.StringToAddress("2"),
+		ExternalMintableERC20PredicateAddr:   types.StringToAddress("3"),
+		ExternalNativeERC20Addr:              types.StringToAddress("4"),
+		ExternalERC721PredicateAddr:          types.StringToAddress("5"),
+		ExternalMintableERC721PredicateAddr:  types.StringToAddress("6"),
+		ExternalERC1155PredicateAddr:         types.StringToAddress("7"),
+		ExternalMintableERC1155PredicateAddr: types.StringToAddress("8"),
+		JSONRPCEndpoint:                      "http://localhost:8545",
+	}
+}
diff --git a/consensus/polybft/proposer_calculator.go b/consensus/polybft/proposer/proposer_calculator.go
similarity index 87%
rename from consensus/polybft/proposer_calculator.go
rename to consensus/polybft/proposer/proposer_calculator.go
index 115fa79e4b..a96df3ca2b 100644
--- a/consensus/polybft/proposer_calculator.go
+++ b/consensus/polybft/proposer/proposer_calculator.go
@@ -1,10 +1,14 @@
-package polybft
+package proposer
 
 import (
 	"bytes"
 	"fmt"
 	"math/big"
 
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/config"
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/helpers"
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/state"
+	polytypes "github.com/0xPolygon/polygon-edge/consensus/polybft/types"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/validator"
 	"github.com/0xPolygon/polygon-edge/helper/common"
 	"github.com/0xPolygon/polygon-edge/types"
@@ -39,15 +43,16 @@ type ProposerSnapshot struct {
 }
 
 // NewProposerSnapshotFromState create ProposerSnapshot from state if possible or from genesis block
-func NewProposerSnapshotFromState(config *runtimeConfig, dbTx *bolt.Tx) (*ProposerSnapshot, error) {
-	snapshot, err := config.State.ProposerSnapshotStore.getProposerSnapshot(dbTx)
+func NewProposerSnapshotFromState(proposerStore *ProposerSnapshotStore,
+	backend polytypes.Polybft, dbTx *bolt.Tx) (*ProposerSnapshot, error) {
+	snapshot, err := proposerStore.getProposerSnapshot(dbTx)
 	if err != nil {
 		return nil, err
 	}
 
 	if snapshot == nil {
 		// pick validator set from genesis block if snapshot is not saved in db
-		genesisValidatorsSet, err := config.polybftBackend.GetValidatorsWithTx(0, nil, dbTx)
+		genesisValidatorsSet, err := backend.GetValidatorsWithTx(0, nil, dbTx)
 		if err != nil {
 			return nil, err
 		}
@@ -156,34 +161,47 @@ type ProposerCalculator struct {
 	snapshot *ProposerSnapshot
 
 	// runtime configuration
-	config *runtimeConfig
+	config *config.Runtime
 
 	// state to save snapshot
-	state *State
+	state *ProposerSnapshotStore
+
+	// blockchain instance
+	blockchain polytypes.Blockchain
+
+	// polybft backend
+	backend polytypes.Polybft
 
 	// logger instance
 	logger hclog.Logger
 }
 
 // NewProposerCalculator creates a new proposer calculator object
-func NewProposerCalculator(config *runtimeConfig, logger hclog.Logger,
+func NewProposerCalculator(cfg *config.Runtime, logger hclog.Logger,
+	state *state.State, backend polytypes.Polybft, blockchain polytypes.Blockchain,
 	dbTx *bolt.Tx) (*ProposerCalculator, error) {
-	snap, err := NewProposerSnapshotFromState(config, dbTx)
+	proposerStore, err := newProposerSnapshotStoreWithDB(state.DB(), dbTx)
+	if err != nil {
+		return nil, fmt.Errorf("cannot create proposer snapshot store: %w", err)
+	}
 
+	snap, err := NewProposerSnapshotFromState(proposerStore, backend, dbTx)
 	if err != nil {
 		return nil, err
 	}
 
 	pc := &ProposerCalculator{
-		snapshot: snap,
-		config:   config,
-		state:    config.State,
-		logger:   logger,
+		snapshot:   snap,
+		config:     cfg,
+		state:      proposerStore,
+		logger:     logger,
+		backend:    backend,
+		blockchain: blockchain,
 	}
 
 	// If the node was previously stopped, leaving the proposer calculator in an inconsistent state,
 	// proposer calculator needs to be updated.
-	blockNumber := config.blockchain.CurrentHeader().Number
+	blockNumber := blockchain.CurrentHeader().Number
 	if pc.snapshot.Height <= blockNumber {
 		if err = pc.update(blockNumber, dbTx); err != nil {
 			return nil, err
@@ -194,14 +212,22 @@ func NewProposerCalculator(config *runtimeConfig, logger hclog.Logger,
 }
 
 // NewProposerCalculator creates a new proposer calculator object
-func NewProposerCalculatorFromSnapshot(pcs *ProposerSnapshot, config *runtimeConfig,
-	logger hclog.Logger) *ProposerCalculator {
-	return &ProposerCalculator{
-		snapshot: pcs.Copy(),
-		config:   config,
-		state:    config.State,
-		logger:   logger,
+func NewProposerCalculatorFromSnapshot(pcs *ProposerSnapshot, config *config.Runtime,
+	state *state.State, backend polytypes.Polybft, blockchain polytypes.Blockchain,
+	logger hclog.Logger) (*ProposerCalculator, error) {
+	store, err := newProposerSnapshotStore(state.DB())
+	if err != nil {
+		return nil, fmt.Errorf("cannot create proposer snapshot store: %w", err)
 	}
+
+	return &ProposerCalculator{
+		snapshot:   pcs.Copy(),
+		config:     config,
+		state:      store,
+		logger:     logger,
+		backend:    backend,
+		blockchain: blockchain,
+	}, nil
 }
 
 // Get copy of the proposers' snapshot
@@ -215,7 +241,7 @@ func (pc *ProposerCalculator) GetSnapshot() (*ProposerSnapshot, bool) {
 
 // PostBlock is called on every insert of finalized block (either from consensus or syncer)
 // It will update priorities and save the updated snapshot to db
-func (pc *ProposerCalculator) PostBlock(req *PostBlockRequest) error {
+func (pc *ProposerCalculator) PostBlock(req *polytypes.PostBlockRequest) error {
 	return pc.update(req.FullBlock.Block.Number(), req.DBTx)
 }
 
@@ -236,7 +262,7 @@ func (pc *ProposerCalculator) update(blockNumber uint64, dbTx *bolt.Tx) error {
 			"block", height, "validators", pc.snapshot.Validators)
 	}
 
-	if err := pc.state.ProposerSnapshotStore.writeProposerSnapshot(pc.snapshot, dbTx); err != nil {
+	if err := pc.state.writeProposerSnapshot(pc.snapshot, dbTx); err != nil {
 		return fmt.Errorf("cannot save proposers snapshot for block %d: %w", blockNumber, err)
 	}
 
@@ -253,7 +279,7 @@ func (pc *ProposerCalculator) updatePerBlock(blockNumber uint64, dbTx *bolt.Tx)
 			blockNumber, pc.snapshot.Height)
 	}
 
-	_, extra, err := getBlockData(blockNumber, pc.config.blockchain)
+	_, extra, err := helpers.GetBlockData(blockNumber, pc.blockchain)
 	if err != nil {
 		return fmt.Errorf("cannot get block header and extra while updating proposers snapshot %d: %w", blockNumber, err)
 	}
@@ -261,7 +287,7 @@ func (pc *ProposerCalculator) updatePerBlock(blockNumber uint64, dbTx *bolt.Tx)
 	var newValidatorSet validator.AccountSet = nil
 
 	if extra.Validators != nil && !extra.Validators.IsEmpty() {
-		newValidatorSet, err = pc.config.polybftBackend.GetValidatorsWithTx(blockNumber, nil, dbTx)
+		newValidatorSet, err = pc.backend.GetValidatorsWithTx(blockNumber, nil, dbTx)
 		if err != nil {
 			return fmt.Errorf("cannot get validators for block %d: %w", blockNumber, err)
 		}
diff --git a/consensus/polybft/state_store_proposer_snapshot.go b/consensus/polybft/proposer/state_store_proposer_snapshot.go
similarity index 71%
rename from consensus/polybft/state_store_proposer_snapshot.go
rename to consensus/polybft/proposer/state_store_proposer_snapshot.go
index abcae8456c..6f9b797123 100644
--- a/consensus/polybft/state_store_proposer_snapshot.go
+++ b/consensus/polybft/proposer/state_store_proposer_snapshot.go
@@ -1,4 +1,4 @@
-package polybft
+package proposer
 
 import (
 	"encoding/json"
@@ -26,12 +26,31 @@ type ProposerSnapshotStore struct {
 }
 
 // initialize creates necessary buckets in DB if they don't already exist
-func (s *ProposerSnapshotStore) initialize(tx *bolt.Tx) error {
-	if _, err := tx.CreateBucketIfNotExists(proposerSnapshotBucket); err != nil {
-		return fmt.Errorf("failed to create bucket=%s: %w", string(validatorSnapshotsBucket), err)
+func newProposerSnapshotStore(db *bolt.DB) (*ProposerSnapshotStore, error) {
+	var store *ProposerSnapshotStore
+
+	err := db.Update(func(tx *bolt.Tx) error {
+		s, err := newProposerSnapshotStoreWithDB(db, tx)
+		if err != nil {
+			return err
+		}
+
+		store = s
+
+		return nil
+	})
+
+	return store, err
+}
+
+func newProposerSnapshotStoreWithDB(db *bolt.DB, dbTx *bolt.Tx) (*ProposerSnapshotStore, error) {
+	store := &ProposerSnapshotStore{db: db}
+
+	if _, err := dbTx.CreateBucketIfNotExists(proposerSnapshotBucket); err != nil {
+		return nil, fmt.Errorf("failed to create bucket=%s: %w", string(proposerSnapshotBucket), err)
 	}
 
-	return nil
+	return store, nil
 }
 
 // getProposerSnapshot gets latest proposer snapshot
diff --git a/consensus/polybft/proposer/state_store_proposer_snapshot_test.go b/consensus/polybft/proposer/state_store_proposer_snapshot_test.go
new file mode 100644
index 0000000000..351a197f3d
--- /dev/null
+++ b/consensus/polybft/proposer/state_store_proposer_snapshot_test.go
@@ -0,0 +1,64 @@
+package proposer
+
+import (
+	"fmt"
+	"os"
+	"path"
+	"testing"
+	"time"
+
+	"github.com/stretchr/testify/require"
+	bolt "go.etcd.io/bbolt"
+)
+
+// newTestState creates new instance of state used by tests.
+func newTestState(tb testing.TB) *ProposerSnapshotStore {
+	tb.Helper()
+
+	dir := fmt.Sprintf("/tmp/consensus-temp_%v", time.Now().UTC().Format(time.RFC3339Nano))
+	err := os.Mkdir(dir, 0775)
+
+	if err != nil {
+		tb.Fatal(err)
+	}
+
+	tb.Cleanup(func() {
+		if err := os.RemoveAll(dir); err != nil {
+			tb.Fatal(err)
+		}
+	})
+
+	db, err := bolt.Open(path.Join(dir, "my.db"), 0666, nil)
+	if err != nil {
+		tb.Fatal(err)
+	}
+
+	stakeSTore, err := newProposerSnapshotStore(db)
+	if err != nil {
+		tb.Fatal(err)
+	}
+
+	return stakeSTore
+}
+
+func TestState_getProposerSnapshot_writeProposerSnapshot(t *testing.T) {
+	t.Parallel()
+
+	const (
+		height = uint64(100)
+		round  = uint64(5)
+	)
+
+	state := newTestState(t)
+
+	snap, err := state.getProposerSnapshot(nil)
+	require.NoError(t, err)
+	require.Nil(t, snap)
+
+	newSnapshot := &ProposerSnapshot{Height: height, Round: round}
+	require.NoError(t, state.writeProposerSnapshot(newSnapshot, nil))
+
+	snap, err = state.getProposerSnapshot(nil)
+	require.NoError(t, err)
+	require.Equal(t, newSnapshot, snap)
+}
diff --git a/consensus/polybft/proposer_calculator_test.go b/consensus/polybft/proposer_calculator_test.go
deleted file mode 100644
index 83018701c6..0000000000
--- a/consensus/polybft/proposer_calculator_test.go
+++ /dev/null
@@ -1,712 +0,0 @@
-package polybft
-
-import (
-	"bytes"
-	"math/big"
-	"testing"
-
-	"github.com/0xPolygon/polygon-edge/bls"
-	"github.com/0xPolygon/polygon-edge/consensus/polybft/validator"
-	"github.com/0xPolygon/polygon-edge/types"
-	"github.com/hashicorp/go-hclog"
-	"github.com/stretchr/testify/assert"
-	"github.com/stretchr/testify/require"
-)
-
-func TestProposerCalculator_SetIndex(t *testing.T) {
-	t.Parallel()
-
-	validators := validator.NewTestValidatorsWithAliases(t, []string{"A", "B", "C", "D", "E"}, []uint64{10, 100, 1, 50, 30})
-	metadata := validators.GetPublicIdentities()
-
-	vs := validators.ToValidatorSet()
-
-	snapshot := NewProposerSnapshot(1, metadata)
-
-	// validate no changes to validator set positions
-	for i, v := range vs.Accounts() {
-		assert.Equal(t, metadata[i].Address, v.Address)
-	}
-
-	proposer, err := snapshot.CalcProposer(0, 1)
-	require.NoError(t, err)
-	assert.Equal(t, proposer, metadata[1].Address)
-	// validate no changes to validator set positions
-	for i, v := range vs.Accounts() {
-		assert.Equal(t, metadata[i].Address, v.Address)
-	}
-}
-
-func TestProposerCalculator_RegularFlow(t *testing.T) {
-	t.Parallel()
-
-	validators := validator.NewTestValidatorsWithAliases(t, []string{"A", "B", "C", "D", "E"}, []uint64{1, 2, 3, 4, 5})
-	metadata := validators.GetPublicIdentities()
-
-	snapshot := NewProposerSnapshot(0, metadata)
-
-	currProposerAddress, err := snapshot.CalcProposer(0, 0)
-	require.NoError(t, err)
-	assert.Equal(t, metadata[4].Address, currProposerAddress)
-
-	proposerAddressR1, err := snapshot.CalcProposer(1, 0)
-	require.NoError(t, err)
-	assert.Equal(t, metadata[3].Address, proposerAddressR1)
-
-	proposerAddressR2, err := snapshot.CalcProposer(2, 0)
-	require.NoError(t, err)
-	assert.Equal(t, metadata[2].Address, proposerAddressR2)
-
-	proposerAddressR3, err := snapshot.CalcProposer(3, 0)
-	require.NoError(t, err)
-	assert.Equal(t, metadata[1].Address, proposerAddressR3)
-
-	proposerAddressR4, err := snapshot.CalcProposer(4, 0)
-	require.NoError(t, err)
-	assert.Equal(t, metadata[4].Address, proposerAddressR4)
-
-	proposerAddressR5, err := snapshot.CalcProposer(5, 0)
-	require.NoError(t, err)
-	assert.Equal(t, metadata[3].Address, proposerAddressR5)
-
-	proposerAddressR6, err := snapshot.CalcProposer(6, 0)
-	require.NoError(t, err)
-	assert.Equal(t, metadata[0].Address, proposerAddressR6)
-}
-
-func TestProposerCalculator_SamePriority(t *testing.T) {
-	t.Parallel()
-
-	keys, err := bls.CreateRandomBlsKeys(5)
-	require.NoError(t, err)
-
-	// at some point priorities will be the same and bytes address will be compared
-	vs := validator.NewValidatorSet([]*validator.ValidatorMetadata{
-		{
-			BlsKey:      keys[0].PublicKey(),
-			Address:     types.Address{0x1},
-			VotingPower: big.NewInt(1),
-		},
-		{
-			BlsKey:      keys[1].PublicKey(),
-			Address:     types.Address{0x2},
-			VotingPower: big.NewInt(2),
-		},
-		{
-			BlsKey:      keys[2].PublicKey(),
-			Address:     types.Address{0x3},
-			VotingPower: big.NewInt(3),
-		},
-	}, hclog.NewNullLogger())
-
-	snapshot := NewProposerSnapshot(0, vs.Accounts())
-
-	proposerR0, err := snapshot.CalcProposer(0, 0)
-	require.NoError(t, err)
-	assert.Equal(t, types.Address{0x3}, proposerR0)
-
-	proposerR1, err := snapshot.CalcProposer(1, 0)
-	require.NoError(t, err)
-	assert.Equal(t, types.Address{0x2}, proposerR1)
-
-	proposerR2, err := snapshot.CalcProposer(2, 0)
-	require.NoError(t, err)
-	assert.Equal(t, types.Address{0x1}, proposerR2)
-
-	proposerR2, err = snapshot.CalcProposer(2, 0) // call again same round
-	require.NoError(t, err)
-	assert.Equal(t, types.Address{0x1}, proposerR2)
-}
-
-func TestProposerCalculator_InversePriorityOrderWithExpectedListOfSelection(t *testing.T) {
-	t.Parallel()
-
-	const numberOfIteration = 99
-
-	keys, err := bls.CreateRandomBlsKeys(3)
-	require.NoError(t, err)
-
-	// priorities are from high to low vp in validator set
-	vset := validator.NewValidatorSet([]*validator.ValidatorMetadata{
-		{
-			BlsKey:      keys[0].PublicKey(),
-			Address:     types.Address{0x1},
-			VotingPower: big.NewInt(1000),
-		},
-		{
-			BlsKey:      keys[1].PublicKey(),
-			Address:     types.Address{0x2},
-			VotingPower: big.NewInt(300),
-		},
-		{
-			BlsKey:      keys[2].PublicKey(),
-			Address:     types.Address{0x3},
-			VotingPower: big.NewInt(330),
-		},
-	}, hclog.NewNullLogger())
-
-	snapshot := NewProposerSnapshot(4, vset.Accounts())
-
-	var proposers = make([]types.Address, numberOfIteration)
-
-	for i := uint64(0); i < numberOfIteration; i++ {
-		proposers[i], err = snapshot.CalcProposer(i, 4)
-		require.NoError(t, err)
-	}
-
-	// list of addresses in order that should be selected
-	expectedValidatorAddresses := []types.Address{
-		{0x1}, {0x3}, {0x1}, {0x2}, {0x1}, {0x1}, {0x3}, {0x1}, {0x2}, {0x1}, {0x1}, {0x3}, {0x1}, {0x1}, {0x2}, {0x1},
-		{0x3}, {0x1}, {0x1}, {0x2}, {0x1}, {0x1}, {0x3}, {0x1}, {0x2}, {0x1}, {0x1}, {0x3}, {0x1}, {0x2}, {0x1}, {0x1},
-		{0x3}, {0x1}, {0x1}, {0x2}, {0x1}, {0x3}, {0x1}, {0x1}, {0x2}, {0x1}, {0x3}, {0x1}, {0x1}, {0x2}, {0x1}, {0x3},
-		{0x1}, {0x1}, {0x2}, {0x1}, {0x3}, {0x1}, {0x1}, {0x1}, {0x3}, {0x2}, {0x1}, {0x1}, {0x1}, {0x3}, {0x1}, {0x2},
-		{0x1}, {0x1}, {0x3}, {0x1}, {0x2}, {0x1}, {0x1}, {0x3}, {0x1}, {0x2}, {0x1}, {0x1}, {0x3}, {0x1}, {0x2}, {0x1},
-		{0x1}, {0x3}, {0x1}, {0x1}, {0x2}, {0x1}, {0x3}, {0x1}, {0x1}, {0x2}, {0x1}, {0x3}, {0x1}, {0x1}, {0x2}, {0x1},
-		{0x3}, {0x1}, {0x1},
-	}
-
-	for i, p := range proposers {
-		assert.True(t, bytes.Equal(expectedValidatorAddresses[i].Bytes(), p.Bytes()))
-	}
-}
-
-func TestProposerCalculator_IncrementProposerPrioritySameVotingPower(t *testing.T) {
-	t.Parallel()
-
-	keys, err := bls.CreateRandomBlsKeys(3)
-	require.NoError(t, err)
-
-	vs := validator.NewValidatorSet([]*validator.ValidatorMetadata{
-		{
-			BlsKey:      keys[0].PublicKey(),
-			Address:     types.Address{0x1},
-			VotingPower: big.NewInt(1),
-		},
-		{
-			BlsKey:      keys[1].PublicKey(),
-			Address:     types.Address{0x2},
-			VotingPower: big.NewInt(1),
-		},
-		{
-			BlsKey:      keys[2].PublicKey(),
-			Address:     types.Address{0x3},
-			VotingPower: big.NewInt(1),
-		},
-	}, hclog.NewNullLogger())
-
-	snapshot := NewProposerSnapshot(0, vs.Accounts())
-
-	// when voting power is the same order is by address
-	currProposerAddress, err := snapshot.CalcProposer(0, 0)
-	require.NoError(t, err)
-	assert.Equal(t, types.Address{0x1}, currProposerAddress)
-
-	proposerAddresR1, err := snapshot.CalcProposer(1, 0)
-	require.NoError(t, err)
-	assert.Equal(t, types.Address{0x2}, proposerAddresR1)
-
-	proposerAddressR2, err := snapshot.CalcProposer(2, 0)
-	require.NoError(t, err)
-	assert.Equal(t, types.Address{0x3}, proposerAddressR2)
-
-	proposerAddressR3, err := snapshot.CalcProposer(3, 0)
-	require.NoError(t, err)
-	assert.Equal(t, types.Address{0x1}, proposerAddressR3)
-
-	proposerAddressR4, err := snapshot.CalcProposer(4, 0)
-	require.NoError(t, err)
-	assert.Equal(t, types.Address{0x2}, proposerAddressR4)
-}
-
-func TestProposerCalculator_AveragingInIncrementProposerPriorityWithVotingPower(t *testing.T) {
-	t.Parallel()
-
-	keys, err := bls.CreateRandomBlsKeys(3)
-	require.NoError(t, err)
-
-	// Other than TestAveragingInIncrementProposerPriority this is a more complete test showing
-	// how each ProposerPriority changes in relation to the validator's voting power respectively.
-	// average is zero in each round:
-	vp0 := int64(10)
-	vp1 := int64(1)
-	vp2 := int64(1)
-	total := vp0 + vp1 + vp2
-	avg := (vp0 + vp1 + vp2 - total) / 3
-	valz := []*validator.ValidatorMetadata{
-		{
-			BlsKey:      keys[0].PublicKey(),
-			Address:     types.Address{0x1},
-			VotingPower: big.NewInt(vp0),
-		},
-		{
-			BlsKey:      keys[1].PublicKey(),
-			Address:     types.Address{0x2},
-			VotingPower: big.NewInt(vp1),
-		},
-		{
-			BlsKey:      keys[2].PublicKey(),
-			Address:     types.Address{0x3},
-			VotingPower: big.NewInt(vp2),
-		},
-	}
-
-	tcs := []struct {
-		wantProposerPriority []int64
-		times                uint64
-		wantProposerIndex    int64
-	}{
-
-		0: {
-			[]int64{
-				// Acumm+VotingPower-Avg:
-				0 + vp0 - total - avg, // mostest will be subtracted by total voting power (12)
-				0 + vp1,
-				0 + vp2},
-			1,
-			0,
-		},
-		1: {
-			[]int64{
-				(0 + vp0 - total) + vp0 - total - avg, // this will be mostest on 2nd iter, too
-				(0 + vp1) + vp1,
-				(0 + vp2) + vp2},
-			2,
-			0,
-		}, // increment twice -> expect average to be subtracted twice
-		2: {
-			[]int64{
-				0 + 3*(vp0-total) - avg, // still mostest
-				0 + 3*vp1,
-				0 + 3*vp2},
-			3,
-			0,
-		},
-		3: {
-			[]int64{
-				0 + 4*(vp0-total), // still mostest
-				0 + 4*vp1,
-				0 + 4*vp2},
-			4,
-			0,
-		},
-		4: {
-			[]int64{
-				0 + 4*(vp0-total) + vp0, // 4 iters was mostest
-				0 + 5*vp1 - total,       // now this val is mostest for the 1st time (hence -12==totalVotingPower)
-				0 + 5*vp2},
-			5,
-			1,
-		},
-		5: {
-			[]int64{
-				0 + 6*vp0 - 5*total, // mostest again
-				0 + 6*vp1 - total,   // mostest once up to here
-				0 + 6*vp2},
-			6,
-			0,
-		},
-		6: {
-			[]int64{
-				0 + 7*vp0 - 6*total, // in 7 iters this val is mostest 6 times
-				0 + 7*vp1 - total,   // in 7 iters this val is mostest 1 time
-				0 + 7*vp2},
-			7,
-			0,
-		},
-		7: {
-			[]int64{
-				0 + 8*vp0 - 7*total, // mostest again
-				0 + 8*vp1 - total,
-				0 + 8*vp2},
-			8,
-			0,
-		},
-		8: {
-			[]int64{
-				0 + 9*vp0 - 7*total,
-				0 + 9*vp1 - total,
-				0 + 9*vp2 - total}, // mostest
-			9,
-			2,
-		},
-		9: {
-			[]int64{
-				0 + 10*vp0 - 8*total, // after 10 iters this is mostest again
-				0 + 10*vp1 - total,   // after 6 iters this val is "mostest" once and not in between
-				0 + 10*vp2 - total},  // in between 10 iters this val is "mostest" once
-			10,
-			0,
-		},
-		10: {
-			[]int64{
-				0 + 11*vp0 - 9*total,
-				0 + 11*vp1 - total,  // after 6 iters this val is "mostest" once and not in between
-				0 + 11*vp2 - total}, // after 10 iters this val is "mostest" once
-			11,
-			0,
-		},
-	}
-
-	for i, tc := range tcs {
-		snap := NewProposerSnapshot(1, valz)
-
-		_, err := incrementProposerPriorityNTimes(snap, tc.times)
-		require.NoError(t, err)
-
-		address, _ := snap.GetLatestProposer(tc.times-1, 1)
-
-		assert.Equal(t, snap.Validators[tc.wantProposerIndex].Metadata.Address, address,
-			"test case: %v",
-			i)
-
-		for valIdx, val := range snap.Validators {
-			assert.Equal(t,
-				tc.wantProposerPriority[valIdx],
-				val.ProposerPriority.Int64(),
-				"test case: %v, validator: %v",
-				i,
-				valIdx)
-		}
-	}
-}
-
-func TestProposerCalculator_UpdatesForNewValidatorSet(t *testing.T) {
-	t.Parallel()
-
-	keys, err := bls.CreateRandomBlsKeys(2)
-	require.NoError(t, err)
-
-	v1 := &validator.ValidatorMetadata{Address: types.Address{0x1}, BlsKey: keys[0].PublicKey(), VotingPower: big.NewInt(100)}
-	v2 := &validator.ValidatorMetadata{Address: types.Address{0x2}, BlsKey: keys[1].PublicKey(), VotingPower: big.NewInt(100)}
-
-	accountSet := []*validator.ValidatorMetadata{v1, v2}
-	vs := validator.NewValidatorSet(accountSet, hclog.NewNullLogger())
-
-	snapshot := NewProposerSnapshot(0, vs.Accounts())
-
-	_, err = snapshot.CalcProposer(1, 0)
-	require.NoError(t, err)
-
-	// verify that the capacity and length of validators is the same
-	assert.Equal(t, len(vs.Accounts()), cap(snapshot.Validators))
-	// verify that validator priorities are centered
-	valsCount := int64(len(snapshot.Validators))
-
-	sum := big.NewInt(0)
-	for _, val := range snapshot.Validators {
-		// mind overflow
-		sum = new(big.Int).Add(sum, val.ProposerPriority)
-	}
-
-	assert.True(t, sum.Cmp(big.NewInt(valsCount)) < 0 && sum.Cmp(big.NewInt(-valsCount)) > 0,
-		"expected total priority in (-%d, %d). Got %d", valsCount, valsCount, sum)
-
-	// verify that priorities are scaled
-	diff := computeMaxMinPriorityDiff(snapshot.Validators)
-	totalVotingPower := vs.TotalVotingPower()
-	diffMax := new(big.Int).Mul(priorityWindowSizeFactor, &totalVotingPower)
-	assert.True(t, diff.Cmp(diffMax) <= 0, "expected priority distance < %d. Got %d", diffMax, diff)
-}
-
-func TestProposerCalculator_GetLatestProposer(t *testing.T) {
-	t.Parallel()
-
-	const (
-		bestIdx = 5
-		count   = 10
-	)
-
-	validatorSet := validator.NewTestValidators(t, count).GetPublicIdentities()
-	snapshot := NewProposerSnapshot(0, validatorSet)
-	snapshot.Validators[bestIdx].ProposerPriority = big.NewInt(1000000)
-
-	// not set
-	_, err := snapshot.GetLatestProposer(0, 0)
-	assert.Error(t, err)
-
-	_, err = snapshot.CalcProposer(0, 0)
-	assert.NoError(t, err)
-
-	// wrong round
-	_, err = snapshot.GetLatestProposer(1, 0)
-	assert.Error(t, err)
-
-	// wrong height
-	_, err = snapshot.GetLatestProposer(0, 1)
-	assert.Error(t, err)
-
-	// ok
-	address, err := snapshot.GetLatestProposer(0, 0)
-	assert.NoError(t, err)
-
-	proposerAddress := validatorSet[bestIdx].Address
-	assert.Equal(t, proposerAddress, address)
-}
-
-func TestProposerCalculator_UpdateValidatorsSameVpUpdatedAndNewAdded(t *testing.T) {
-	t.Parallel()
-
-	keys, err := bls.CreateRandomBlsKeys(8)
-	require.NoError(t, err)
-
-	v1 := &validator.ValidatorMetadata{Address: types.Address{0x1}, BlsKey: keys[0].PublicKey(), VotingPower: big.NewInt(100)}
-	v2 := &validator.ValidatorMetadata{Address: types.Address{0x2}, BlsKey: keys[1].PublicKey(), VotingPower: big.NewInt(100)}
-	v3 := &validator.ValidatorMetadata{Address: types.Address{0x3}, BlsKey: keys[2].PublicKey(), VotingPower: big.NewInt(100)}
-	v4 := &validator.ValidatorMetadata{Address: types.Address{0x4}, BlsKey: keys[3].PublicKey(), VotingPower: big.NewInt(100)}
-	v5 := &validator.ValidatorMetadata{Address: types.Address{0x5}, BlsKey: keys[4].PublicKey(), VotingPower: big.NewInt(100)}
-
-	vs := validator.NewValidatorSet([]*validator.ValidatorMetadata{v1, v2, v3, v4, v5}, hclog.NewNullLogger())
-
-	snapshot := NewProposerSnapshot(0, vs.Accounts())
-
-	// iterate one cycle should bring back priority to 0
-	_, err = incrementProposerPriorityNTimes(snapshot, 5)
-	require.NoError(t, err)
-
-	for _, v := range snapshot.Validators {
-		assert.True(t, v.ProposerPriority.Cmp(big.NewInt(0)) == 0)
-	}
-
-	// updated old validators
-	u1 := &validator.ValidatorMetadata{Address: types.Address{0x1}, BlsKey: keys[1].PublicKey(), VotingPower: big.NewInt(10)}
-	u2 := &validator.ValidatorMetadata{Address: types.Address{0x2}, BlsKey: keys[2].PublicKey(), VotingPower: big.NewInt(10)}
-	// added new validator
-	a1 := &validator.ValidatorMetadata{Address: types.Address{0x9}, BlsKey: keys[7].PublicKey(), VotingPower: big.NewInt(100)}
-
-	newAccountSet := []*validator.ValidatorMetadata{u1, u2, a1}
-
-	require.NoError(t, updateValidators(snapshot, newAccountSet))
-	assert.Equal(t, 3, len(snapshot.Validators))
-
-	// removedVp := sum(v3, v4, v5) = 300
-	// newVp := sum(u1, u2, a1) = 120
-	// sum(removedVp, newVp) = 420; priority(a1) = -1.125*420 = -472
-	// scale: difMax = 2 * 120; diff(-475, 0); ratio ~ 2
-	// priority(a1) = -472/2 = 236; u1 = 0, u2 = 0
-	// center: avg = 236/3 = 79; priority(a1)= 236 - 79
-
-	// check voting power after update
-	assert.Equal(t, big.NewInt(10), snapshot.Validators[0].Metadata.VotingPower)
-	assert.Equal(t, big.NewInt(10), snapshot.Validators[1].Metadata.VotingPower)
-	assert.Equal(t, big.NewInt(100), snapshot.Validators[2].Metadata.VotingPower)
-	// newly added validator
-	assert.Equal(t, big.NewInt(100), snapshot.Validators[2].Metadata.VotingPower)
-	assert.Equal(t, types.Address{0x9}, snapshot.Validators[2].Metadata.Address)
-	assert.Equal(t, big.NewInt(-157), snapshot.Validators[2].ProposerPriority) // a1
-	// check priority
-	assert.Equal(t, big.NewInt(79), snapshot.Validators[0].ProposerPriority) // u1
-	assert.Equal(t, big.NewInt(79), snapshot.Validators[1].ProposerPriority) // u2
-
-	_, err = incrementProposerPriorityNTimes(snapshot, 1)
-	require.NoError(t, err)
-
-	// 79 + 10 - (100+10+10)
-	assert.Equal(t, big.NewInt(-31), snapshot.Validators[0].ProposerPriority)
-	// 79 + 10
-	assert.Equal(t, big.NewInt(89), snapshot.Validators[1].ProposerPriority)
-	// -157+100
-	assert.Equal(t, big.NewInt(-57), snapshot.Validators[2].ProposerPriority)
-}
-
-func TestProposerCalculator_UpdateValidators(t *testing.T) {
-	t.Parallel()
-
-	keys, err := bls.CreateRandomBlsKeys(4)
-	require.NoError(t, err)
-
-	v1 := &validator.ValidatorMetadata{Address: types.Address{0x1}, BlsKey: keys[0].PublicKey(), VotingPower: big.NewInt(10)}
-	v2 := &validator.ValidatorMetadata{Address: types.Address{0x2}, BlsKey: keys[1].PublicKey(), VotingPower: big.NewInt(20)}
-	v3 := &validator.ValidatorMetadata{Address: types.Address{0x3}, BlsKey: keys[2].PublicKey(), VotingPower: big.NewInt(30)}
-
-	vs := validator.NewValidatorSet([]*validator.ValidatorMetadata{v1, v2, v3}, hclog.NewNullLogger())
-
-	snapshot := NewProposerSnapshot(0, vs.Accounts())
-	require.Equal(t, big.NewInt(60), snapshot.GetTotalVotingPower())
-	// 	init priority must be 0
-	require.Zero(t, snapshot.Validators[0].ProposerPriority.Int64())
-	require.Zero(t, snapshot.Validators[1].ProposerPriority.Int64())
-	require.Zero(t, snapshot.Validators[2].ProposerPriority.Int64())
-	// vp must be initialized
-	require.Equal(t, big.NewInt(10), snapshot.Validators[0].Metadata.VotingPower)
-	require.Equal(t, big.NewInt(20), snapshot.Validators[1].Metadata.VotingPower)
-	require.Equal(t, big.NewInt(30), snapshot.Validators[2].Metadata.VotingPower)
-
-	// increment once
-	_, err = incrementProposerPriorityNTimes(snapshot, 1)
-	require.NoError(t, err)
-
-	// updated
-	u1 := &validator.ValidatorMetadata{Address: types.Address{0x1}, BlsKey: keys[0].PublicKey(), VotingPower: big.NewInt(100)}
-	u2 := &validator.ValidatorMetadata{Address: types.Address{0x2}, BlsKey: keys[1].PublicKey(), VotingPower: big.NewInt(200)}
-	u3 := &validator.ValidatorMetadata{Address: types.Address{0x3}, BlsKey: keys[2].PublicKey(), VotingPower: big.NewInt(300)}
-	// added
-	a1 := &validator.ValidatorMetadata{Address: types.Address{0x4}, BlsKey: keys[3].PublicKey(), VotingPower: big.NewInt(400)}
-
-	require.NoError(t, updateValidators(snapshot, []*validator.ValidatorMetadata{u1, u2, u3, a1}))
-
-	require.Equal(t, 4, len(snapshot.Validators))
-	// priorities are from previous iteration
-	require.Equal(t, big.NewInt(292), snapshot.Validators[0].ProposerPriority)
-	require.Equal(t, big.NewInt(302), snapshot.Validators[1].ProposerPriority)
-	require.Equal(t, big.NewInt(252), snapshot.Validators[2].ProposerPriority)
-	// new added a1
-	require.Equal(t, types.Address{0x4}, snapshot.Validators[3].Metadata.Address)
-	require.Equal(t, big.NewInt(-843), snapshot.Validators[3].ProposerPriority)
-	// total vp is updated
-	require.Equal(t, big.NewInt(1000), snapshot.GetTotalVotingPower())
-}
-
-func TestProposerCalculator_ScaleAfterDelete(t *testing.T) {
-	t.Parallel()
-
-	keys, err := bls.CreateRandomBlsKeys(3)
-	require.NoError(t, err)
-
-	v1 := &validator.ValidatorMetadata{Address: types.Address{0x1}, BlsKey: keys[0].PublicKey(), VotingPower: big.NewInt(10)}
-	v2 := &validator.ValidatorMetadata{Address: types.Address{0x2}, BlsKey: keys[1].PublicKey(), VotingPower: big.NewInt(10)}
-	v3 := &validator.ValidatorMetadata{Address: types.Address{0x3}, BlsKey: keys[2].PublicKey(), VotingPower: big.NewInt(80000)}
-
-	vs := validator.NewValidatorSet([]*validator.ValidatorMetadata{v1, v2, v3}, hclog.NewNullLogger())
-
-	snapshot := NewProposerSnapshot(0, vs.Accounts())
-	assert.Equal(t, big.NewInt(80020), snapshot.GetTotalVotingPower())
-
-	_, err = incrementProposerPriorityNTimes(snapshot, 1)
-	require.NoError(t, err)
-
-	// priorities are from previous iteration
-	require.Equal(t, big.NewInt(10), snapshot.Validators[0].ProposerPriority)
-	require.Equal(t, big.NewInt(10), snapshot.Validators[1].ProposerPriority)
-	require.Equal(t, big.NewInt(-20), snapshot.Validators[2].ProposerPriority)
-
-	// another increment
-	proposer, err := incrementProposerPriorityNTimes(snapshot, 4000)
-	require.NoError(t, err)
-	// priorities are from previous iteration
-	assert.Equal(t, types.Address{0x3}, proposer.Metadata.Address)
-
-	// 	reduce validator voting power from 8k to 1
-	u1 := &validator.ValidatorMetadata{Address: types.Address{0x1}, BlsKey: keys[0].PublicKey(), VotingPower: big.NewInt(10)}
-	u2 := &validator.ValidatorMetadata{Address: types.Address{0x2}, BlsKey: keys[1].PublicKey(), VotingPower: big.NewInt(10)}
-
-	require.Equal(t, big.NewInt(-40010), snapshot.Validators[0].ProposerPriority)
-	require.Equal(t, big.NewInt(40010), snapshot.Validators[1].ProposerPriority)
-
-	require.NoError(t, updateValidators(snapshot, []*validator.ValidatorMetadata{u1, u2}))
-
-	// maxdiff = 2*tvp = 40
-	// diff(min,max) (-40010, 40010) = 80020
-	// ratio := (diff + diffMax - 1) / diffMax; (80020 + 20 - 1)/20 = 2001
-	// priority = priority / ratio; u1 = -40010 / 4001 ~ -19; u2 = 40010 / 4001 ~ 19
-	require.Equal(t, big.NewInt(-19), snapshot.Validators[0].ProposerPriority)
-	require.Equal(t, big.NewInt(19), snapshot.Validators[1].ProposerPriority)
-	require.Equal(t, big.NewInt(20), snapshot.GetTotalVotingPower())
-}
-
-func TestProposerCalculator_ShiftAfterUpdate(t *testing.T) {
-	t.Parallel()
-
-	keys, err := bls.CreateRandomBlsKeys(3)
-	require.NoError(t, err)
-
-	v1 := &validator.ValidatorMetadata{Address: types.Address{0x1}, BlsKey: keys[0].PublicKey(), VotingPower: big.NewInt(50)}
-	v2 := &validator.ValidatorMetadata{Address: types.Address{0x2}, BlsKey: keys[1].PublicKey(), VotingPower: big.NewInt(80)}
-	v3 := &validator.ValidatorMetadata{Address: types.Address{0x3}, BlsKey: keys[2].PublicKey(), VotingPower: big.NewInt(100000)}
-
-	vs := validator.NewValidatorSet([]*validator.ValidatorMetadata{v1, v2, v3}, hclog.NewNullLogger())
-
-	snapshot := NewProposerSnapshot(0, vs.Accounts())
-	assert.Equal(t, big.NewInt(100130), snapshot.GetTotalVotingPower())
-
-	_, err = incrementProposerPriorityNTimes(snapshot, 4000)
-	require.NoError(t, err)
-
-	// updates
-	u1 := &validator.ValidatorMetadata{Address: types.Address{0x1}, BlsKey: keys[0].PublicKey(), VotingPower: big.NewInt(5)}
-	u2 := &validator.ValidatorMetadata{Address: types.Address{0x2}, BlsKey: keys[1].PublicKey(), VotingPower: big.NewInt(8)}
-
-	require.NoError(t, updateValidators(snapshot, []*validator.ValidatorMetadata{u1, u2}))
-
-	// maxdiff = 2*tvp = 26
-	// diff(min,max) (-260, 19610) = 19870
-	// ratio := (diff + diffMax - 1) / diffMax; (19870 + 26 - 1)/26 =765
-	// scale priority = priority / ratio; p1 = 0; p2 = 25
-	// shift with avg=(25+0)/2=12; p = priority - avg; u1 = -12; u2= 13
-	require.Equal(t, big.NewInt(-12), snapshot.Validators[0].ProposerPriority)
-	require.Equal(t, big.NewInt(13), snapshot.Validators[1].ProposerPriority)
-	require.Equal(t, big.NewInt(13), snapshot.GetTotalVotingPower())
-}
-
-func TestProposerCalculator_UpdateValidatorSet(t *testing.T) {
-	t.Parallel()
-
-	keys, err := bls.CreateRandomBlsKeys(3)
-	require.NoError(t, err)
-
-	v1 := &validator.ValidatorMetadata{Address: types.Address{0x1}, BlsKey: keys[0].PublicKey(), VotingPower: big.NewInt(1)}
-	v2 := &validator.ValidatorMetadata{Address: types.Address{0x2}, BlsKey: keys[1].PublicKey(), VotingPower: big.NewInt(8)}
-	v3 := &validator.ValidatorMetadata{Address: types.Address{0x3}, BlsKey: keys[2].PublicKey(), VotingPower: big.NewInt(15)}
-
-	vs := validator.NewValidatorSet([]*validator.ValidatorMetadata{v1, v2, v3}, hclog.NewNullLogger())
-
-	snapshot := NewProposerSnapshot(0, vs.Accounts())
-	assert.Equal(t, big.NewInt(24), snapshot.GetTotalVotingPower())
-
-	_, err = incrementProposerPriorityNTimes(snapshot, 2)
-	require.NoError(t, err)
-
-	// modified validator
-	u1 := &validator.ValidatorMetadata{Address: types.Address{0x1}, BlsKey: keys[0].PublicKey(), VotingPower: big.NewInt(5)}
-	// added validator
-	a1 := &validator.ValidatorMetadata{Address: types.Address{0x4}, BlsKey: keys[1].PublicKey(), VotingPower: big.NewInt(8)}
-
-	require.NoError(t, updateValidators(snapshot, []*validator.ValidatorMetadata{u1, a1}))
-	// expecting 2 validators with updated voting power and total voting power
-	require.Equal(t, 2, len(snapshot.Validators))
-	require.Equal(t, types.Address{0x1}, snapshot.Validators[0].Metadata.Address)
-	require.Equal(t, big.NewInt(5), snapshot.Validators[0].Metadata.VotingPower)
-	require.Equal(t, big.NewInt(11), snapshot.Validators[0].ProposerPriority)
-
-	require.Equal(t, types.Address{0x4}, snapshot.Validators[1].Metadata.Address)
-	require.Equal(t, big.NewInt(8), snapshot.Validators[1].Metadata.VotingPower)
-	require.Equal(t, big.NewInt(-10), snapshot.Validators[1].ProposerPriority)
-	require.Equal(t, big.NewInt(13), snapshot.GetTotalVotingPower())
-}
-
-func TestProposerCalculator_AddValidator(t *testing.T) {
-	t.Parallel()
-
-	keys, err := bls.CreateRandomBlsKeys(3)
-	require.NoError(t, err)
-
-	v1 := &validator.ValidatorMetadata{Address: types.Address{0x1}, BlsKey: keys[0].PublicKey(), VotingPower: big.NewInt(3)}
-	v2 := &validator.ValidatorMetadata{Address: types.Address{0x2}, BlsKey: keys[1].PublicKey(), VotingPower: big.NewInt(1)}
-
-	vs := validator.NewValidatorSet([]*validator.ValidatorMetadata{v1, v2}, hclog.NewNullLogger())
-
-	snapshot := NewProposerSnapshot(0, vs.Accounts())
-	assert.Equal(t, big.NewInt(4), snapshot.GetTotalVotingPower())
-	proposer, err := incrementProposerPriorityNTimes(snapshot, 1)
-	require.NoError(t, err)
-	require.Equal(t, types.Address{0x1}, proposer.Metadata.Address)
-	require.Equal(t, big.NewInt(-1), snapshot.Validators[0].ProposerPriority)
-	require.Equal(t, big.NewInt(1), snapshot.Validators[1].ProposerPriority)
-
-	_, err = incrementProposerPriorityNTimes(snapshot, 1)
-	require.NoError(t, err)
-
-	require.Equal(t, big.NewInt(-2), snapshot.Validators[0].ProposerPriority)
-	require.Equal(t, big.NewInt(2), snapshot.Validators[1].ProposerPriority)
-
-	a1 := &validator.ValidatorMetadata{Address: types.Address{0x3}, BlsKey: keys[2].PublicKey(), VotingPower: big.NewInt(8)}
-
-	require.NoError(t, updateValidators(snapshot, []*validator.ValidatorMetadata{v1, v2, a1}))
-
-	// updated vp: 8+3+1 = 12
-	// added validator priority = -1.125*8 ~ -13
-	// scaling: max(-13, 3) = 16 < 2* 12; no scaling
-	// centring: avg = (13+3+1)/3=5; v1=-2+5, v2=2+5; u3=-13+5
-	require.Equal(t, big.NewInt(3), snapshot.Validators[0].ProposerPriority)
-	require.Equal(t, big.NewInt(7), snapshot.Validators[1].ProposerPriority)
-	require.Equal(t, big.NewInt(-8), snapshot.Validators[2].ProposerPriority)
-}
diff --git a/consensus/polybft/runtime_helpers.go b/consensus/polybft/runtime_helpers.go
deleted file mode 100644
index 2dc21f967e..0000000000
--- a/consensus/polybft/runtime_helpers.go
+++ /dev/null
@@ -1,50 +0,0 @@
-package polybft
-
-import (
-	"github.com/0xPolygon/polygon-edge/blockchain"
-	"github.com/0xPolygon/polygon-edge/types"
-)
-
-// isEndOfPeriod checks if an end of a period (either it be sprint or epoch)
-// is reached with the current block (the parent block of the current fsm iteration)
-func isEndOfPeriod(blockNumber, periodSize uint64) bool {
-	return blockNumber%periodSize == 0
-}
-
-// getBlockData returns block header and extra
-func getBlockData(blockNumber uint64, blockchainBackend blockchainBackend) (*types.Header, *Extra, error) {
-	blockHeader, found := blockchainBackend.GetHeaderByNumber(blockNumber)
-	if !found {
-		return nil, nil, blockchain.ErrNoBlock
-	}
-
-	blockExtra, err := GetIbftExtra(blockHeader.ExtraData)
-	if err != nil {
-		return nil, nil, err
-	}
-
-	return blockHeader, blockExtra, nil
-}
-
-// isEpochEndingBlock checks if given block is an epoch ending block
-func isEpochEndingBlock(blockNumber uint64, extra *Extra, blockchain blockchainBackend) (bool, error) {
-	if extra.Validators == nil {
-		// non epoch ending blocks have validator set delta as nil
-		return false, nil
-	}
-
-	if !extra.Validators.IsEmpty() {
-		// if validator set delta is not empty, the validator set was changed in this block
-		// meaning the epoch changed as well
-		return true, nil
-	}
-
-	_, nextBlockExtra, err := getBlockData(blockNumber+1, blockchain)
-	if err != nil {
-		return false, err
-	}
-
-	// validator set delta can be empty (no change in validator set happened)
-	// so we need to check if their epoch numbers are different
-	return extra.BlockMetaData.EpochNumber != nextBlockExtra.BlockMetaData.EpochNumber, nil
-}
diff --git a/consensus/polybft/runtime_helpers_test.go b/consensus/polybft/runtime_helpers_test.go
deleted file mode 100644
index 89bbd7b3e7..0000000000
--- a/consensus/polybft/runtime_helpers_test.go
+++ /dev/null
@@ -1,89 +0,0 @@
-package polybft
-
-import (
-	"testing"
-
-	"github.com/0xPolygon/polygon-edge/blockchain"
-	"github.com/0xPolygon/polygon-edge/consensus/polybft/bitmap"
-	"github.com/0xPolygon/polygon-edge/consensus/polybft/validator"
-	"github.com/0xPolygon/polygon-edge/types"
-	"github.com/stretchr/testify/mock"
-	"github.com/stretchr/testify/require"
-)
-
-func TestHelpers_isEpochEndingBlock_DeltaNotEmpty(t *testing.T) {
-	t.Parallel()
-
-	validators := validator.NewTestValidators(t, 3).GetPublicIdentities()
-
-	bitmap := bitmap.Bitmap{}
-	bitmap.Set(0)
-
-	delta := &validator.ValidatorSetDelta{
-		Added:   validators[1:],
-		Removed: bitmap,
-	}
-
-	extra := &Extra{Validators: delta}
-	blockNumber := uint64(20)
-
-	isEndOfEpoch, err := isEpochEndingBlock(blockNumber, extra, new(blockchainMock))
-	require.NoError(t, err)
-	require.True(t, isEndOfEpoch)
-}
-
-func TestHelpers_isEpochEndingBlock_NoBlock(t *testing.T) {
-	t.Parallel()
-
-	blockchainMock := new(blockchainMock)
-	blockchainMock.On("GetHeaderByNumber", mock.Anything).Return(&types.Header{}, false)
-
-	extra := &Extra{Validators: &validator.ValidatorSetDelta{}}
-	blockNumber := uint64(20)
-
-	isEndOfEpoch, err := isEpochEndingBlock(blockNumber, extra, blockchainMock)
-	require.ErrorIs(t, blockchain.ErrNoBlock, err)
-	require.False(t, isEndOfEpoch)
-}
-
-func TestHelpers_isEpochEndingBlock_EpochsNotTheSame(t *testing.T) {
-	t.Parallel()
-
-	blockchainMock := new(blockchainMock)
-
-	nextBlockExtra := &Extra{Validators: &validator.ValidatorSetDelta{}, BlockMetaData: &BlockMetaData{EpochNumber: 3}}
-	nextBlock := &types.Header{
-		Number:    21,
-		ExtraData: nextBlockExtra.MarshalRLPTo(nil),
-	}
-
-	blockchainMock.On("GetHeaderByNumber", mock.Anything).Return(nextBlock, true)
-
-	extra := &Extra{Validators: &validator.ValidatorSetDelta{}, BlockMetaData: &BlockMetaData{EpochNumber: 2}}
-	blockNumber := uint64(20)
-
-	isEndOfEpoch, err := isEpochEndingBlock(blockNumber, extra, blockchainMock)
-	require.NoError(t, err)
-	require.True(t, isEndOfEpoch)
-}
-
-func TestHelpers_isEpochEndingBlock_EpochsAreTheSame(t *testing.T) {
-	t.Parallel()
-
-	blockchainMock := new(blockchainMock)
-
-	nextBlockExtra := &Extra{Validators: &validator.ValidatorSetDelta{}, BlockMetaData: &BlockMetaData{EpochNumber: 2}}
-	nextBlock := &types.Header{
-		Number:    16,
-		ExtraData: nextBlockExtra.MarshalRLPTo(nil),
-	}
-
-	blockchainMock.On("GetHeaderByNumber", mock.Anything).Return(nextBlock, true)
-
-	extra := &Extra{Validators: &validator.ValidatorSetDelta{}, BlockMetaData: &BlockMetaData{EpochNumber: 2}}
-	blockNumber := uint64(15)
-
-	isEndOfEpoch, err := isEpochEndingBlock(blockNumber, extra, blockchainMock)
-	require.NoError(t, err)
-	require.False(t, isEndOfEpoch)
-}
diff --git a/consensus/polybft/sc_integration_test.go b/consensus/polybft/sc_integration_test.go
index eb074ca544..b51303f0b2 100644
--- a/consensus/polybft/sc_integration_test.go
+++ b/consensus/polybft/sc_integration_test.go
@@ -10,7 +10,9 @@ import (
 	"github.com/stretchr/testify/require"
 
 	"github.com/0xPolygon/polygon-edge/chain"
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/config"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/contractsapi"
+	systemstate "github.com/0xPolygon/polygon-edge/consensus/polybft/system_state"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/validator"
 	"github.com/0xPolygon/polygon-edge/contracts"
 	"github.com/0xPolygon/polygon-edge/helper/common"
@@ -82,7 +84,7 @@ func TestIntegration_CommitEpoch(t *testing.T) {
 			}
 		}
 
-		polyBFTConfig := PolyBFTConfig{
+		polyBFTConfig := config.PolyBFT{
 			InitialValidatorSet:  initValidators,
 			EpochSize:            24 * 60 * 60 / 2,
 			SprintSize:           5,
@@ -96,12 +98,12 @@ func TestIntegration_CommitEpoch(t *testing.T) {
 			BladeAdmin:           accSet.GetAddresses()[0],
 			// use 1st account as governance address
 			Governance: currentValidators.ToValidatorSet().Accounts().GetAddresses()[0],
-			RewardConfig: &RewardsConfig{
+			RewardConfig: &config.Rewards{
 				TokenAddress:  contracts.NativeERC20TokenContract,
 				WalletAddress: walletAddress,
 				WalletAmount:  new(big.Int).SetUint64(initialBalance),
 			},
-			GovernanceConfig: &GovernanceConfig{
+			GovernanceConfig: &config.Governance{
 				VotingDelay:              big.NewInt(10),
 				VotingPeriod:             big.NewInt(10),
 				ProposalThreshold:        big.NewInt(25),
@@ -114,7 +116,7 @@ func TestIntegration_CommitEpoch(t *testing.T) {
 			StakeTokenAddr: contracts.NativeERC20TokenContract,
 		}
 
-		transition := newTestTransition(t, alloc)
+		transition := systemstate.NewTestTransition(t, alloc)
 
 		// init NetworkParams
 		require.NoError(t, initNetworkParamsContract(2, polyBFTConfig, transition))
@@ -148,3 +150,49 @@ func TestIntegration_CommitEpoch(t *testing.T) {
 		t.Logf("Number of validators %d on commit epoch, Gas used %+v\n", accSet.Len(), result.GasUsed)
 	}
 }
+
+func createTestCommitEpochInput(t *testing.T, epochID uint64,
+	epochSize uint64) *contractsapi.CommitEpochEpochManagerFn {
+	t.Helper()
+
+	var startBlock uint64 = 0
+	if epochID > 1 {
+		startBlock = (epochID - 1) * epochSize
+	}
+
+	commitEpoch := &contractsapi.CommitEpochEpochManagerFn{
+		ID: new(big.Int).SetUint64(epochID),
+		Epoch: &contractsapi.Epoch{
+			StartBlock: new(big.Int).SetUint64(startBlock + 1),
+			EndBlock:   new(big.Int).SetUint64(epochSize * epochID),
+			EpochRoot:  types.Hash{},
+		},
+		EpochSize: new(big.Int).SetUint64(epochSize),
+	}
+
+	return commitEpoch
+}
+
+func createTestDistributeRewardsInput(t *testing.T, epochID uint64,
+	validatorSet validator.AccountSet, epochSize uint64) *contractsapi.DistributeRewardForEpochManagerFn {
+	t.Helper()
+
+	if validatorSet == nil {
+		validatorSet = validator.NewTestValidators(t, 5).GetPublicIdentities()
+	}
+
+	uptime := make([]*contractsapi.Uptime, len(validatorSet))
+
+	for i, v := range validatorSet {
+		uptime[i] = &contractsapi.Uptime{
+			Validator:    v.Address,
+			SignedBlocks: new(big.Int).SetUint64(epochSize),
+		}
+	}
+
+	return &contractsapi.DistributeRewardForEpochManagerFn{
+		EpochID:   new(big.Int).SetUint64(epochID),
+		Uptime:    uptime,
+		EpochSize: new(big.Int).SetUint64(epochSize),
+	}
+}
diff --git a/consensus/polybft/stake_manager.go b/consensus/polybft/stake/stake_manager.go
similarity index 66%
rename from consensus/polybft/stake_manager.go
rename to consensus/polybft/stake/stake_manager.go
index 0bfc993d30..a12d86cdcf 100644
--- a/consensus/polybft/stake_manager.go
+++ b/consensus/polybft/stake/stake_manager.go
@@ -1,62 +1,58 @@
-package polybft
+package stake
 
 import (
-	"bytes"
-	"encoding/json"
 	"errors"
 	"fmt"
 	"math/big"
-	"sort"
-	"strings"
 
 	"github.com/0xPolygon/polygon-edge/bls"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/bitmap"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/contractsapi"
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/state"
+	polytypes "github.com/0xPolygon/polygon-edge/consensus/polybft/types"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/validator"
-	"github.com/0xPolygon/polygon-edge/helper/hex"
 	"github.com/0xPolygon/polygon-edge/types"
 	"github.com/Ethernal-Tech/ethgo"
-	"github.com/Ethernal-Tech/ethgo/abi"
 	"github.com/Ethernal-Tech/ethgo/contract"
 	"github.com/hashicorp/go-hclog"
 	bolt "go.etcd.io/bbolt"
 )
 
 var (
-	bigZero          = big.NewInt(0)
-	validatorTypeABI = abi.MustNewType("tuple(uint256[4] blsKey," +
-		"uint256 stake, bool isWhitelisted, bool isActive)")
+	bigZero                     = big.NewInt(0)
 	errUnknownStakeManagerEvent = errors.New("unknown event from stake manager contract")
+	// error returned if full validator set does not exists in db
+	errNoFullValidatorSet = errors.New("full validator set not in db")
 )
 
 // StakeManager interface provides functions for handling stake change of validators
 // and updating validator set based on changed stake
 type StakeManager interface {
-	EventSubscriber
-	PostBlock(req *PostBlockRequest) error
+	state.EventSubscriber
+	PostBlock(req *polytypes.PostBlockRequest) error
 	UpdateValidatorSet(epoch uint64, maxValidatorSetSize uint64,
 		currentValidatorSet validator.AccountSet) (*validator.ValidatorSetDelta, error)
 }
 
-var _ StakeManager = (*dummyStakeManager)(nil)
+var _ StakeManager = (*DummyStakeManager)(nil)
 
-// dummyStakeManager is a dummy implementation of StakeManager interface
+// DummyStakeManager is a dummy implementation of StakeManager interface
 // used only for unit testing
-type dummyStakeManager struct{}
+type DummyStakeManager struct{}
 
-func (d *dummyStakeManager) PostBlock(req *PostBlockRequest) error { return nil }
+func (d *DummyStakeManager) PostBlock(req *polytypes.PostBlockRequest) error { return nil }
 
-func (d *dummyStakeManager) UpdateValidatorSet(epoch uint64, maxValidatorSetSize uint64,
+func (d *DummyStakeManager) UpdateValidatorSet(epoch uint64, maxValidatorSetSize uint64,
 	currentValidatorSet validator.AccountSet) (*validator.ValidatorSetDelta, error) {
 	return &validator.ValidatorSetDelta{}, nil
 }
 
 // EventSubscriber implementation
-func (d *dummyStakeManager) GetLogFilters() map[types.Address][]types.Hash {
+func (d *DummyStakeManager) GetLogFilters() map[types.Address][]types.Hash {
 	return make(map[types.Address][]types.Hash)
 }
 
-func (d *dummyStakeManager) ProcessLog(header *types.Header, log *ethgo.Log, dbTx *bolt.Tx) error {
+func (d *DummyStakeManager) ProcessLog(header *types.Header, log *ethgo.Log, dbTx *bolt.Tx) error {
 	return nil
 }
 
@@ -66,24 +62,29 @@ var _ StakeManager = (*stakeManager)(nil)
 // and calculates updated validator set based on changed stake
 type stakeManager struct {
 	logger                   hclog.Logger
-	state                    *State
+	state                    *StakeStore
 	stakeManagerContractAddr types.Address
-	polybftBackend           polybftBackend
-	blockchain               blockchainBackend
+	polybftBackend           polytypes.Polybft
+	blockchain               polytypes.Blockchain
 }
 
-// newStakeManager returns a new instance of stake manager
-func newStakeManager(
+// NewStakeManager returns a new instance of stake manager
+func NewStakeManager(
 	logger hclog.Logger,
-	state *State,
+	state *state.State,
 	stakeManagerAddr types.Address,
-	blockchain blockchainBackend,
-	polybftBackend polybftBackend,
+	blockchain polytypes.Blockchain,
+	polybftBackend polytypes.Polybft,
 	dbTx *bolt.Tx,
-) (*stakeManager, error) {
+) (StakeManager, error) {
+	stakeStore, err := newStakeStoreWithTx(state.DB(), dbTx)
+	if err != nil {
+		return nil, err
+	}
+
 	sm := &stakeManager{
 		logger:                   logger,
-		state:                    state,
+		state:                    stakeStore,
 		stakeManagerContractAddr: stakeManagerAddr,
 		polybftBackend:           polybftBackend,
 		blockchain:               blockchain,
@@ -104,7 +105,7 @@ func newStakeManager(
 // PostBlock is called on every insert of finalized block (either from consensus or syncer)
 // It will update the fullValidatorSet in db to the current block number
 // Note that EventSubscriber - AddLog will get all the transfer events that happened in block
-func (s *stakeManager) PostBlock(req *PostBlockRequest) error {
+func (s *stakeManager) PostBlock(req *polytypes.PostBlockRequest) error {
 	fullValidatorSet, err := s.getOrInitValidatorSet(req.DBTx)
 	if err != nil {
 		return err
@@ -122,30 +123,30 @@ func (s *stakeManager) PostBlock(req *PostBlockRequest) error {
 	fullValidatorSet.EpochID = req.Epoch
 	fullValidatorSet.BlockNumber = blockNumber
 
-	return s.state.StakeStore.insertFullValidatorSet(fullValidatorSet, req.DBTx)
+	return s.state.insertFullValidatorSet(fullValidatorSet, req.DBTx)
 }
 
-func (s *stakeManager) getOrInitValidatorSet(dbTx *bolt.Tx) (validatorSetState, error) {
-	validatorSet, err := s.state.StakeStore.getFullValidatorSet(dbTx)
+func (s *stakeManager) getOrInitValidatorSet(dbTx *bolt.Tx) (validator.ValidatorSetState, error) {
+	validatorSet, err := s.state.getFullValidatorSet(dbTx)
 	if err != nil {
 		if !errors.Is(err, errNoFullValidatorSet) {
-			return validatorSetState{}, err
+			return validator.ValidatorSetState{}, err
 		}
 
 		validators, err := s.polybftBackend.GetValidatorsWithTx(0, nil, dbTx)
 		if err != nil {
-			return validatorSetState{}, err
+			return validator.ValidatorSetState{}, err
 		}
 
-		validatorSet = validatorSetState{
+		validatorSet = validator.ValidatorSetState{
 			BlockNumber:          0,
 			EpochID:              0,
 			UpdatedAtBlockNumber: 0,
-			Validators:           newValidatorStakeMap(validators),
+			Validators:           validator.NewValidatorStakeMap(validators),
 		}
 
-		if err = s.state.StakeStore.insertFullValidatorSet(validatorSet, dbTx); err != nil {
-			return validatorSetState{}, err
+		if err = s.state.insertFullValidatorSet(validatorSet, dbTx); err != nil {
+			return validator.ValidatorSetState{}, err
 		}
 	}
 
@@ -153,7 +154,7 @@ func (s *stakeManager) getOrInitValidatorSet(dbTx *bolt.Tx) (validatorSetState,
 }
 
 func (s *stakeManager) updateWithReceipts(
-	fullValidatorSet *validatorSetState,
+	fullValidatorSet *validator.ValidatorSetState,
 	events []contractsapi.EventAbi,
 	blockNumber uint64) error {
 	if len(events) == 0 {
@@ -165,11 +166,11 @@ func (s *stakeManager) updateWithReceipts(
 		case *contractsapi.StakeAddedEvent:
 			s.logger.Debug("Stake added event", "to", stakeEvent.Validator, "amount", stakeEvent.Amount)
 
-			fullValidatorSet.Validators.addStake(stakeEvent.Validator, stakeEvent.Amount)
+			fullValidatorSet.Validators.AddStake(stakeEvent.Validator, stakeEvent.Amount)
 		case *contractsapi.StakeRemovedEvent:
 			s.logger.Debug("Stake removed event", "from", stakeEvent.Validator, "value", stakeEvent.Amount)
 
-			fullValidatorSet.Validators.removeStake(stakeEvent.Validator, stakeEvent.Amount)
+			fullValidatorSet.Validators.RemoveStake(stakeEvent.Validator, stakeEvent.Amount)
 		default:
 			// this should not happen, but lets log it if it does
 			s.logger.Warn("Found a stake event that represents neither stake nor unstake")
@@ -204,7 +205,7 @@ func (s *stakeManager) UpdateValidatorSet(epoch uint64, maxValidatorSetSize uint
 	oldValidatorSet validator.AccountSet) (*validator.ValidatorSetDelta, error) {
 	s.logger.Info("Calculating validators set update...", "epoch", epoch)
 
-	fullValidatorSet, err := s.state.StakeStore.getFullValidatorSet(nil)
+	fullValidatorSet, err := s.state.getFullValidatorSet(nil)
 	if err != nil {
 		return nil, fmt.Errorf("failed to get full validators set. Epoch: %d. Error: %w", epoch, err)
 	}
@@ -213,7 +214,7 @@ func (s *stakeManager) UpdateValidatorSet(epoch uint64, maxValidatorSetSize uint
 	stakeMap := fullValidatorSet.Validators
 
 	// slice of all validator set
-	newValidatorSet := stakeMap.getSorted(int(maxValidatorSetSize))
+	newValidatorSet := stakeMap.GetSorted(int(maxValidatorSetSize))
 	// set of all addresses that will be in next validator set
 	addressesSet := make(map[types.Address]struct{}, len(newValidatorSet))
 
@@ -368,101 +369,5 @@ func (s *stakeManager) ProcessLog(header *types.Header, log *ethgo.Log, dbTx *bo
 		return err
 	}
 
-	return s.state.StakeStore.insertFullValidatorSet(fullValidatorSet, dbTx)
-}
-
-type validatorSetState struct {
-	BlockNumber          uint64            `json:"block"`
-	EpochID              uint64            `json:"epoch"`
-	UpdatedAtBlockNumber uint64            `json:"updated_at_block"`
-	Validators           validatorStakeMap `json:"validators"`
-}
-
-func (vs validatorSetState) Marshal() ([]byte, error) {
-	return json.Marshal(vs)
-}
-
-func (vs *validatorSetState) Unmarshal(b []byte) error {
-	return json.Unmarshal(b, vs)
-}
-
-// validatorStakeMap holds ValidatorMetadata for each validator address
-type validatorStakeMap map[types.Address]*validator.ValidatorMetadata
-
-// newValidatorStakeMap returns a new instance of validatorStakeMap
-func newValidatorStakeMap(validatorSet validator.AccountSet) validatorStakeMap {
-	stakeMap := make(validatorStakeMap, len(validatorSet))
-
-	for _, v := range validatorSet {
-		stakeMap[v.Address] = v.Copy()
-	}
-
-	return stakeMap
-}
-
-// addStake adds given amount to a validator defined by address
-func (sc *validatorStakeMap) addStake(address types.Address, amount *big.Int) {
-	if metadata, exists := (*sc)[address]; exists {
-		metadata.VotingPower.Add(metadata.VotingPower, amount)
-		metadata.IsActive = metadata.VotingPower.Cmp(bigZero) > 0
-	} else {
-		(*sc)[address] = &validator.ValidatorMetadata{
-			VotingPower: new(big.Int).Set(amount),
-			Address:     address,
-			IsActive:    amount.Cmp(bigZero) > 0,
-		}
-	}
-}
-
-// removeStake removes given amount from validator defined by address
-func (sc *validatorStakeMap) removeStake(address types.Address, amount *big.Int) {
-	stakeData := (*sc)[address]
-	stakeData.VotingPower.Sub(stakeData.VotingPower, amount)
-	stakeData.IsActive = stakeData.VotingPower.Cmp(bigZero) > 0
-}
-
-// getSorted returns validators (*ValidatorMetadata) in sorted order
-func (sc validatorStakeMap) getSorted(maxValidatorSetSize int) validator.AccountSet {
-	activeValidators := make(validator.AccountSet, 0, len(sc))
-
-	for _, v := range sc {
-		if v.VotingPower.Cmp(bigZero) > 0 {
-			activeValidators = append(activeValidators, v)
-		}
-	}
-
-	sort.Slice(activeValidators, func(i, j int) bool {
-		v1, v2 := activeValidators[i], activeValidators[j]
-
-		switch v1.VotingPower.Cmp(v2.VotingPower) {
-		case 1:
-			return true
-		case 0:
-			return bytes.Compare(v1.Address[:], v2.Address[:]) < 0
-		default:
-			return false
-		}
-	})
-
-	if len(activeValidators) <= maxValidatorSetSize {
-		return activeValidators
-	}
-
-	return activeValidators[:maxValidatorSetSize]
-}
-
-func (sc validatorStakeMap) String() string {
-	var sb strings.Builder
-
-	for _, x := range sc.getSorted(len(sc)) {
-		bls := ""
-		if x.BlsKey != nil {
-			bls = hex.EncodeToString(x.BlsKey.Marshal())
-		}
-
-		sb.WriteString(fmt.Sprintf("%s:%s:%s:%t\n",
-			x.Address, x.VotingPower, bls, x.IsActive))
-	}
-
-	return sb.String()
+	return s.state.insertFullValidatorSet(fullValidatorSet, dbTx)
 }
diff --git a/consensus/polybft/state_store_stake.go b/consensus/polybft/stake/state_store_stake.go
similarity index 69%
rename from consensus/polybft/state_store_stake.go
rename to consensus/polybft/stake/state_store_stake.go
index 1734b63760..23d6564a58 100644
--- a/consensus/polybft/state_store_stake.go
+++ b/consensus/polybft/stake/state_store_stake.go
@@ -1,9 +1,9 @@
-package polybft
+package stake
 
 import (
-	"errors"
 	"fmt"
 
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/validator"
 	bolt "go.etcd.io/bbolt"
 )
 
@@ -12,27 +12,42 @@ var (
 	validatorSetBucket = []byte("fullValidatorSetBucket")
 	// key of the full validator set in bucket
 	fullValidatorSetKey = []byte("fullValidatorSet")
-	// error returned if full validator set does not exists in db
-	errNoFullValidatorSet = errors.New("full validator set not in db")
 )
 
 type StakeStore struct {
 	db *bolt.DB
 }
 
-// initialize creates necessary buckets in DB if they don't already exist
-func (s *StakeStore) initialize(tx *bolt.Tx) error {
-	if _, err := tx.CreateBucketIfNotExists(validatorSetBucket); err != nil {
-		return fmt.Errorf("failed to create bucket=%s: %w", string(epochsBucket), err)
+func newStakeStore(db *bolt.DB) (*StakeStore, error) {
+	var store *StakeStore
+	err := db.Update(func(tx *bolt.Tx) error {
+		s, err := newStakeStoreWithTx(db, tx)
+		if err != nil {
+			return err
+		}
+
+		store = s
+
+		return nil
+	})
+
+	return store, err
+}
+
+func newStakeStoreWithTx(db *bolt.DB, dbTx *bolt.Tx) (*StakeStore, error) {
+	store := &StakeStore{db: db}
+
+	if _, err := dbTx.CreateBucketIfNotExists(validatorSetBucket); err != nil {
+		return nil, fmt.Errorf("failed to create bucket=%s: %w", string(validatorSetBucket), err)
 	}
 
-	return nil
+	return store, nil
 }
 
 // insertFullValidatorSet inserts full validator set to its bucket (or updates it if exists)
 // If the passed tx is already open (not nil), it will use it to insert full validator set
 // If the passed tx is not open (it is nil), it will open a new transaction on db and insert full validator set
-func (s *StakeStore) insertFullValidatorSet(fullValidatorSet validatorSetState, dbTx *bolt.Tx) error {
+func (s *StakeStore) insertFullValidatorSet(fullValidatorSet validator.ValidatorSetState, dbTx *bolt.Tx) error {
 	insertFn := func(tx *bolt.Tx) error {
 		raw, err := fullValidatorSet.Marshal()
 		if err != nil {
@@ -54,9 +69,9 @@ func (s *StakeStore) insertFullValidatorSet(fullValidatorSet validatorSetState,
 // getFullValidatorSet returns full validator set from its bucket if exists
 // If the passed tx is already open (not nil), it will use it to get full validator set
 // If the passed tx is not open (it is nil), it will open a new transaction on db and get full validator set
-func (s *StakeStore) getFullValidatorSet(dbTx *bolt.Tx) (validatorSetState, error) {
+func (s *StakeStore) getFullValidatorSet(dbTx *bolt.Tx) (validator.ValidatorSetState, error) {
 	var (
-		fullValidatorSet validatorSetState
+		fullValidatorSet validator.ValidatorSetState
 		err              error
 	)
 
diff --git a/consensus/polybft/state_store_stake_test.go b/consensus/polybft/stake/state_store_stake_test.go
similarity index 51%
rename from consensus/polybft/state_store_stake_test.go
rename to consensus/polybft/stake/state_store_stake_test.go
index 758f9f9b14..b4089701f3 100644
--- a/consensus/polybft/state_store_stake_test.go
+++ b/consensus/polybft/stake/state_store_stake_test.go
@@ -1,18 +1,53 @@
-package polybft
+package stake
 
 import (
+	"fmt"
+	"os"
+	"path"
 	"testing"
+	"time"
 
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/validator"
 	"github.com/stretchr/testify/assert"
 	"github.com/stretchr/testify/require"
+	bolt "go.etcd.io/bbolt"
 )
 
+// newTestState creates new instance of state used by tests.
+func newTestState(tb testing.TB) *StakeStore {
+	tb.Helper()
+
+	dir := fmt.Sprintf("/tmp/consensus-temp_%v", time.Now().UTC().Format(time.RFC3339Nano))
+	err := os.Mkdir(dir, 0775)
+
+	if err != nil {
+		tb.Fatal(err)
+	}
+
+	tb.Cleanup(func() {
+		if err := os.RemoveAll(dir); err != nil {
+			tb.Fatal(err)
+		}
+	})
+
+	db, err := bolt.Open(path.Join(dir, "my.db"), 0666, nil)
+	if err != nil {
+		tb.Fatal(err)
+	}
+
+	stakeSTore, err := newStakeStore(db)
+	if err != nil {
+		tb.Fatal(err)
+	}
+
+	return stakeSTore
+}
+
 func TestState_Insert_And_Get_FullValidatorSet(t *testing.T) {
 	state := newTestState(t)
 
 	t.Run("No full validator set", func(t *testing.T) {
-		_, err := state.StakeStore.getFullValidatorSet(nil)
+		_, err := state.getFullValidatorSet(nil)
 
 		require.ErrorIs(t, err, errNoFullValidatorSet)
 	})
@@ -20,13 +55,13 @@ func TestState_Insert_And_Get_FullValidatorSet(t *testing.T) {
 	t.Run("Insert validator set", func(t *testing.T) {
 		validators := validator.NewTestValidators(t, 5).GetPublicIdentities()
 
-		assert.NoError(t, state.StakeStore.insertFullValidatorSet(validatorSetState{
+		assert.NoError(t, state.insertFullValidatorSet(validator.ValidatorSetState{
 			BlockNumber: 100,
 			EpochID:     10,
-			Validators:  newValidatorStakeMap(validators),
+			Validators:  validator.NewValidatorStakeMap(validators),
 		}, nil))
 
-		fullValidatorSet, err := state.StakeStore.getFullValidatorSet(nil)
+		fullValidatorSet, err := state.getFullValidatorSet(nil)
 		require.NoError(t, err)
 		assert.Equal(t, uint64(100), fullValidatorSet.BlockNumber)
 		assert.Equal(t, uint64(10), fullValidatorSet.EpochID)
@@ -36,13 +71,13 @@ func TestState_Insert_And_Get_FullValidatorSet(t *testing.T) {
 	t.Run("Update validator set", func(t *testing.T) {
 		validators := validator.NewTestValidators(t, 10).GetPublicIdentities()
 
-		assert.NoError(t, state.StakeStore.insertFullValidatorSet(validatorSetState{
+		assert.NoError(t, state.insertFullValidatorSet(validator.ValidatorSetState{
 			BlockNumber: 40,
 			EpochID:     4,
-			Validators:  newValidatorStakeMap(validators),
+			Validators:  validator.NewValidatorStakeMap(validators),
 		}, nil))
 
-		fullValidatorSet, err := state.StakeStore.getFullValidatorSet(nil)
+		fullValidatorSet, err := state.getFullValidatorSet(nil)
 		require.NoError(t, err)
 		assert.Len(t, fullValidatorSet.Validators, len(validators))
 		assert.Equal(t, uint64(40), fullValidatorSet.BlockNumber)
diff --git a/consensus/polybft/stake_manager_fuzz_test.go b/consensus/polybft/stake_manager_fuzz_test.go
deleted file mode 100644
index 4129de43f2..0000000000
--- a/consensus/polybft/stake_manager_fuzz_test.go
+++ /dev/null
@@ -1,237 +0,0 @@
-package polybft
-
-import (
-	"encoding/json"
-	"errors"
-	"fmt"
-	"math/big"
-	"reflect"
-	"testing"
-
-	"github.com/0xPolygon/polygon-edge/consensus/polybft/validator"
-	"github.com/0xPolygon/polygon-edge/types"
-	"github.com/hashicorp/go-hclog"
-	"github.com/stretchr/testify/mock"
-	"github.com/stretchr/testify/require"
-)
-
-type postBlockStructF struct {
-	EpochID     uint64
-	ValidatorID uint64
-	BlockID     uint64
-	StakeValue  uint64
-}
-
-type updateValidatorSetF struct {
-	EpochID     uint64
-	Index       uint64
-	VotingPower int64
-}
-
-func FuzzTestStakeManagerPostBlock(f *testing.F) {
-	var (
-		allAliases        = []string{"A", "B", "C", "D", "E", "F"}
-		initialSetAliases = []string{"A", "B", "C", "D", "E"}
-		validators        = validator.NewTestValidatorsWithAliases(f, allAliases)
-		state             = newTestState(f)
-	)
-
-	seeds := []postBlockStructF{
-		{
-			EpochID:     0,
-			ValidatorID: 1,
-			BlockID:     1,
-			StakeValue:  30,
-		},
-		{
-			EpochID:     5,
-			ValidatorID: 30,
-			BlockID:     4,
-			StakeValue:  60,
-		},
-		{
-			EpochID:     1,
-			ValidatorID: 42,
-			BlockID:     11,
-			StakeValue:  70,
-		},
-		{
-			EpochID:     7,
-			ValidatorID: 1,
-			BlockID:     2,
-			StakeValue:  10,
-		},
-	}
-
-	for _, seed := range seeds {
-		data, err := json.Marshal(seed)
-		if err != nil {
-			return
-		}
-
-		f.Add(data)
-	}
-
-	f.Fuzz(func(t *testing.T, input []byte) {
-		t.Parallel()
-
-		var data postBlockStructF
-		if err := json.Unmarshal(input, &data); err != nil {
-			t.Skip(err)
-		}
-
-		if err := ValidateStruct(data); err != nil {
-			t.Skip(err)
-		}
-
-		if data.ValidatorID > uint64(len(initialSetAliases)-1) {
-			t.Skip()
-		}
-
-		validatorSetAddr := types.StringToAddress("0x0001")
-
-		bcMock := new(blockchainMock)
-		for i := 0; i < int(data.BlockID); i++ {
-			bcMock.On("CurrentHeader").Return(&types.Header{Number: 0})
-			bcMock.On("GetHeaderByNumber", mock.Anything).Return(&types.Header{Hash: types.Hash{6, 4}}, true).Once()
-			bcMock.On("GetReceiptsByHash", mock.Anything).Return([]*types.Receipt{{}}, error(nil)).Once()
-		}
-
-		// insert initial full validator set
-		require.NoError(t, state.StakeStore.insertFullValidatorSet(validatorSetState{
-			Validators: newValidatorStakeMap(validators.GetPublicIdentities(initialSetAliases...)),
-		}, nil))
-
-		stakeManager, err := newStakeManager(
-			hclog.NewNullLogger(),
-			state,
-			types.StringToAddress("0x0002"),
-			bcMock,
-			nil,
-			nil,
-		)
-		require.NoError(t, err)
-
-		header := &types.Header{Number: data.BlockID}
-		require.NoError(t, stakeManager.ProcessLog(header, convertLog(createTestLogForStakeAddedEvent(
-			t,
-			validatorSetAddr,
-			validators.GetValidator(initialSetAliases[data.ValidatorID]).Address(),
-			data.StakeValue,
-		)), nil))
-
-		require.NoError(t, stakeManager.PostBlock(&PostBlockRequest{
-			FullBlock: &types.FullBlock{Block: &types.Block{Header: &types.Header{Number: data.BlockID}}},
-			Epoch:     data.EpochID,
-		}))
-	})
-}
-
-func FuzzTestStakeManagerUpdateValidatorSet(f *testing.F) {
-	var (
-		aliases             = []string{"A", "B", "C", "D", "E"}
-		stakes              = []uint64{10, 10, 10, 10, 10}
-		maxValidatorSetSize = uint64(10)
-	)
-
-	validators := validator.NewTestValidatorsWithAliases(f, aliases, stakes)
-	state := newTestState(f)
-
-	bcMock := new(blockchainMock)
-	bcMock.On("CurrentHeader").Return(&types.Header{Number: 0})
-
-	err := state.StakeStore.insertFullValidatorSet(validatorSetState{
-		Validators: newValidatorStakeMap(validators.GetPublicIdentities())}, nil)
-	require.NoError(f, err)
-
-	stakeManager, err := newStakeManager(
-		hclog.NewNullLogger(),
-		state,
-		types.StringToAddress("0x0001"),
-		bcMock,
-		nil,
-		nil,
-	)
-	require.NoError(f, err)
-
-	seeds := []updateValidatorSetF{
-		{
-			EpochID:     0,
-			Index:       1,
-			VotingPower: 30,
-		},
-		{
-			EpochID:     1,
-			Index:       4,
-			VotingPower: 1,
-		},
-		{
-			EpochID:     2,
-			Index:       3,
-			VotingPower: -2,
-		},
-	}
-
-	for _, seed := range seeds {
-		data, err := json.Marshal(seed)
-		if err != nil {
-			return
-		}
-
-		f.Add(data)
-	}
-
-	f.Fuzz(func(t *testing.T, input []byte) {
-		var data updateValidatorSetF
-		if err := json.Unmarshal(input, &data); err != nil {
-			t.Skip(err)
-		}
-
-		if err := ValidateStruct(data); err != nil {
-			t.Skip(err)
-		}
-
-		if data.Index > uint64(len(aliases)-1) {
-			t.Skip()
-		}
-
-		err := state.StakeStore.insertFullValidatorSet(validatorSetState{
-			Validators: newValidatorStakeMap(validators.GetPublicIdentities())}, nil)
-		require.NoError(t, err)
-
-		_, err = stakeManager.UpdateValidatorSet(data.EpochID, maxValidatorSetSize,
-			validators.GetPublicIdentities(aliases[data.Index:]...))
-		require.NoError(t, err)
-
-		fullValidatorSet := validators.GetPublicIdentities().Copy()
-		validatorToUpdate := fullValidatorSet[data.Index]
-		validatorToUpdate.VotingPower = big.NewInt(data.VotingPower)
-
-		_, err = stakeManager.UpdateValidatorSet(data.EpochID, maxValidatorSetSize,
-			validators.GetPublicIdentities())
-		require.NoError(t, err)
-	})
-}
-
-func ValidateStruct(s interface{}) (err error) {
-	structType := reflect.TypeOf(s)
-	if structType.Kind() != reflect.Struct {
-		return errors.New("input param should be a struct")
-	}
-
-	structVal := reflect.ValueOf(s)
-	fieldNum := structVal.NumField()
-
-	for i := 0; i < fieldNum; i++ {
-		field := structVal.Field(i)
-		fieldName := structType.Field(i).Name
-
-		isSet := field.IsValid() && !field.IsZero()
-
-		if !isSet {
-			err = fmt.Errorf("%w%s is not set; ", err, fieldName)
-		}
-	}
-
-	return err
-}
diff --git a/consensus/polybft/stake_manager_test.go b/consensus/polybft/stake_manager_test.go
deleted file mode 100644
index 50a9beb5dd..0000000000
--- a/consensus/polybft/stake_manager_test.go
+++ /dev/null
@@ -1,543 +0,0 @@
-package polybft
-
-import (
-	"math/big"
-	"testing"
-
-	"github.com/0xPolygon/polygon-edge/consensus/polybft/contractsapi"
-	"github.com/0xPolygon/polygon-edge/consensus/polybft/validator"
-	"github.com/0xPolygon/polygon-edge/crypto"
-	"github.com/0xPolygon/polygon-edge/helper/hex"
-	"github.com/0xPolygon/polygon-edge/jsonrpc"
-	"github.com/0xPolygon/polygon-edge/txrelayer"
-	"github.com/0xPolygon/polygon-edge/types"
-	"github.com/Ethernal-Tech/ethgo"
-	"github.com/Ethernal-Tech/ethgo/abi"
-	"github.com/hashicorp/go-hclog"
-	"github.com/stretchr/testify/mock"
-	"github.com/stretchr/testify/require"
-)
-
-func TestStakeManager_PostBlock(t *testing.T) {
-	t.Parallel()
-
-	var (
-		allAliases        = []string{"A", "B", "C", "D", "E", "F"}
-		initialSetAliases = []string{"A", "B", "C", "D", "E"}
-		epoch             = uint64(1)
-		block             = uint64(10)
-		newStake          = uint64(100)
-		firstValidator    = uint64(0)
-		secondValidator   = uint64(1)
-		stakeManagerAddr  = types.StringToAddress("0x0001")
-	)
-
-	t.Run("PostBlock - unstake to zero", func(t *testing.T) {
-		t.Parallel()
-
-		state := newTestState(t)
-
-		bcMock := new(blockchainMock)
-		bcMock.On("CurrentHeader").Return(&types.Header{Number: block - 1}, true).Once()
-		bcMock.On("GetStateProviderForBlock", mock.Anything).Return(nil).Times(len(allAliases))
-
-		validators := validator.NewTestValidatorsWithAliases(t, allAliases)
-
-		// insert initial full validator set
-		require.NoError(t, state.StakeStore.insertFullValidatorSet(validatorSetState{
-			Validators:  newValidatorStakeMap(validators.GetPublicIdentities(initialSetAliases...)),
-			BlockNumber: block - 1,
-		}, nil))
-
-		stakeManager, err := newStakeManager(
-			hclog.NewNullLogger(),
-			state,
-			stakeManagerAddr,
-			bcMock,
-			nil,
-			nil,
-		)
-		require.NoError(t, err)
-
-		header := &types.Header{Number: block}
-
-		require.NoError(t, stakeManager.ProcessLog(header, convertLog(createTestLogForStakeRemovedEvent(
-			t,
-			stakeManagerAddr,
-			validators.GetValidator(initialSetAliases[firstValidator]).Address(),
-			1, // initial validator stake was 1
-		)), nil))
-
-		req := &PostBlockRequest{
-			FullBlock: &types.FullBlock{Block: &types.Block{Header: header}},
-			Epoch:     epoch,
-		}
-
-		require.NoError(t, stakeManager.PostBlock(req))
-
-		fullValidatorSet, err := state.StakeStore.getFullValidatorSet(nil)
-		require.NoError(t, err)
-
-		var firstValidatorMeta *validator.ValidatorMetadata
-
-		for _, validator := range fullValidatorSet.Validators {
-			if validator.Address.String() == validators.GetValidator(initialSetAliases[firstValidator]).Address().String() {
-				firstValidatorMeta = validator
-			}
-		}
-
-		require.NotNil(t, firstValidatorMeta)
-		require.Equal(t, bigZero, firstValidatorMeta.VotingPower)
-		require.False(t, firstValidatorMeta.IsActive)
-	})
-	t.Run("PostBlock - add stake to one validator", func(t *testing.T) {
-		t.Parallel()
-
-		state := newTestState(t)
-
-		bcMock := new(blockchainMock)
-		bcMock.On("CurrentHeader").Return(&types.Header{Number: block - 1}, true).Once()
-
-		validators := validator.NewTestValidatorsWithAliases(t, allAliases)
-
-		// insert initial full validator set
-		require.NoError(t, state.StakeStore.insertFullValidatorSet(validatorSetState{
-			Validators:  newValidatorStakeMap(validators.GetPublicIdentities(initialSetAliases...)),
-			BlockNumber: block - 1,
-		}, nil))
-
-		stakeManager, err := newStakeManager(
-			hclog.NewNullLogger(),
-			state,
-			types.StringToAddress("0x0001"),
-			bcMock,
-			nil,
-			nil,
-		)
-		require.NoError(t, err)
-
-		header := &types.Header{Number: block}
-		require.NoError(t, stakeManager.ProcessLog(header, convertLog(createTestLogForStakeAddedEvent(
-			t,
-			stakeManagerAddr,
-			validators.GetValidator(initialSetAliases[secondValidator]).Address(),
-			250,
-		)), nil))
-
-		req := &PostBlockRequest{
-			FullBlock: &types.FullBlock{Block: &types.Block{Header: header}},
-			Epoch:     epoch,
-		}
-
-		require.NoError(t, stakeManager.PostBlock(req))
-
-		fullValidatorSet, err := state.StakeStore.getFullValidatorSet(nil)
-		require.NoError(t, err)
-
-		var firstValidator *validator.ValidatorMetadata
-
-		for _, validator := range fullValidatorSet.Validators {
-			if validator.Address.String() == validators.GetValidator(initialSetAliases[secondValidator]).Address().String() {
-				firstValidator = validator
-			}
-		}
-
-		require.NotNil(t, firstValidator)
-		require.Equal(t, big.NewInt(251), firstValidator.VotingPower) // 250 + initial 1
-		require.True(t, firstValidator.IsActive)
-	})
-
-	t.Run("PostBlock - add validator and stake", func(t *testing.T) {
-		t.Parallel()
-
-		state := newTestState(t)
-		validators := validator.NewTestValidatorsWithAliases(t, allAliases, []uint64{1, 2, 3, 4, 5, 6})
-
-		txRelayerMock := newDummyStakeTxRelayer(t, func() *validator.ValidatorMetadata {
-			return validators.GetValidator("F").ValidatorMetadata()
-		})
-		// just mock the call however, the dummy relayer should do its magic
-		txRelayerMock.On("Call", mock.Anything, mock.Anything, mock.Anything).
-			Return(nil, error(nil))
-
-		bcMock := new(blockchainMock)
-		bcMock.On("CurrentHeader").Return(&types.Header{Number: block - 1}, true)
-		bcMock.On("GetStateProviderForBlock", mock.Anything).Return(nil).Times(len(allAliases))
-
-		// insert initial full validator set
-		require.NoError(t, state.StakeStore.insertFullValidatorSet(validatorSetState{
-			Validators:  newValidatorStakeMap(validators.GetPublicIdentities(initialSetAliases...)),
-			BlockNumber: block - 1,
-		}, nil))
-
-		stakeManager, err := newStakeManager(
-			hclog.NewNullLogger(),
-			state,
-			types.StringToAddress("0x0001"),
-			bcMock,
-			nil,
-			nil,
-		)
-		require.NoError(t, err)
-
-		header := &types.Header{Number: block}
-
-		for i := 0; i < len(allAliases); i++ {
-			require.NoError(t, stakeManager.ProcessLog(header, convertLog(createTestLogForStakeAddedEvent(
-				t,
-				stakeManagerAddr,
-				validators.GetValidator(allAliases[i]).Address(),
-				newStake,
-			)), nil))
-		}
-
-		req := &PostBlockRequest{
-			FullBlock: &types.FullBlock{Block: &types.Block{Header: header}},
-			Epoch:     epoch,
-		}
-
-		require.NoError(t, stakeManager.PostBlock(req))
-
-		fullValidatorSet, err := state.StakeStore.getFullValidatorSet(nil)
-		require.NoError(t, err)
-		require.Len(t, fullValidatorSet.Validators, len(allAliases))
-
-		validatorsCount := validators.ToValidatorSet().Len()
-		for i, v := range fullValidatorSet.Validators.getSorted(validatorsCount) {
-			require.Equal(t, newStake+uint64(validatorsCount)-uint64(i)-1, v.VotingPower.Uint64())
-		}
-	})
-}
-
-func TestStakeManager_UpdateValidatorSet(t *testing.T) {
-	var (
-		aliases             = []string{"A", "B", "C", "D", "E"}
-		stakes              = []uint64{10, 10, 10, 10, 10}
-		epoch               = uint64(1)
-		maxValidatorSetSize = uint64(10)
-	)
-
-	validators := validator.NewTestValidatorsWithAliases(t, aliases, stakes)
-	state := newTestState(t)
-
-	bcMock := new(blockchainMock)
-	bcMock.On("CurrentHeader").Return(&types.Header{Number: 0}, true).Once()
-
-	require.NoError(t, state.StakeStore.insertFullValidatorSet(validatorSetState{
-		Validators: newValidatorStakeMap(validators.ToValidatorSet().Accounts()),
-	}, nil))
-
-	stakeManager, err := newStakeManager(
-		hclog.NewNullLogger(),
-		state,
-		types.StringToAddress("0x0001"),
-		bcMock,
-		nil,
-		nil,
-	)
-	require.NoError(t, err)
-
-	t.Run("UpdateValidatorSet - only update", func(t *testing.T) {
-		fullValidatorSet := validators.GetPublicIdentities().Copy()
-		validatorToUpdate := fullValidatorSet[0]
-		validatorToUpdate.VotingPower = big.NewInt(11)
-
-		require.NoError(t, state.StakeStore.insertFullValidatorSet(validatorSetState{
-			Validators: newValidatorStakeMap(fullValidatorSet),
-		}, nil))
-
-		updateDelta, err := stakeManager.UpdateValidatorSet(epoch, maxValidatorSetSize,
-			validators.GetPublicIdentities())
-		require.NoError(t, err)
-
-		require.Len(t, updateDelta.Added, 0)
-		require.Len(t, updateDelta.Updated, 1)
-		require.Len(t, updateDelta.Removed, 0)
-		require.Equal(t, updateDelta.Updated[0].Address, validatorToUpdate.Address)
-		require.Equal(t, updateDelta.Updated[0].VotingPower.Uint64(), validatorToUpdate.VotingPower.Uint64())
-	})
-
-	t.Run("UpdateValidatorSet - one unstake", func(t *testing.T) {
-		fullValidatorSet := validators.GetPublicIdentities(aliases[1:]...)
-
-		require.NoError(t, state.StakeStore.insertFullValidatorSet(validatorSetState{
-			Validators: newValidatorStakeMap(fullValidatorSet),
-		}, nil))
-
-		updateDelta, err := stakeManager.UpdateValidatorSet(epoch+1, maxValidatorSetSize,
-			validators.GetPublicIdentities())
-
-		require.NoError(t, err)
-		require.Len(t, updateDelta.Added, 0)
-		require.Len(t, updateDelta.Updated, 0)
-		require.Len(t, updateDelta.Removed, 1)
-	})
-
-	t.Run("UpdateValidatorSet - one new validator", func(t *testing.T) {
-		addedValidator := validators.GetValidator("A")
-
-		require.NoError(t, state.StakeStore.insertFullValidatorSet(validatorSetState{
-			Validators: newValidatorStakeMap(validators.GetPublicIdentities()),
-		}, nil))
-
-		updateDelta, err := stakeManager.UpdateValidatorSet(epoch+2, maxValidatorSetSize,
-			validators.GetPublicIdentities(aliases[1:]...))
-
-		require.NoError(t, err)
-		require.Len(t, updateDelta.Added, 1)
-		require.Len(t, updateDelta.Updated, 0)
-		require.Len(t, updateDelta.Removed, 0)
-		require.Equal(t, addedValidator.Address(), updateDelta.Added[0].Address)
-		require.Equal(t, addedValidator.VotingPower, updateDelta.Added[0].VotingPower.Uint64())
-	})
-	t.Run("UpdateValidatorSet - remove some stake", func(t *testing.T) {
-		fullValidatorSet := validators.GetPublicIdentities().Copy()
-		validatorToUpdate := fullValidatorSet[2]
-		validatorToUpdate.VotingPower = big.NewInt(5)
-
-		require.NoError(t, state.StakeStore.insertFullValidatorSet(validatorSetState{
-			Validators: newValidatorStakeMap(fullValidatorSet),
-		}, nil))
-
-		updateDelta, err := stakeManager.UpdateValidatorSet(epoch+3, maxValidatorSetSize,
-			validators.GetPublicIdentities())
-
-		require.NoError(t, err)
-		require.Len(t, updateDelta.Added, 0)
-		require.Len(t, updateDelta.Updated, 1)
-		require.Len(t, updateDelta.Removed, 0)
-		require.Equal(t, updateDelta.Updated[0].Address, validatorToUpdate.Address)
-		require.Equal(t, updateDelta.Updated[0].VotingPower.Uint64(), validatorToUpdate.VotingPower.Uint64())
-	})
-	t.Run("UpdateValidatorSet - remove entire stake", func(t *testing.T) {
-		fullValidatorSet := validators.GetPublicIdentities().Copy()
-		validatorToUpdate := fullValidatorSet[3]
-		validatorToUpdate.VotingPower = bigZero
-
-		require.NoError(t, state.StakeStore.insertFullValidatorSet(validatorSetState{
-			Validators: newValidatorStakeMap(fullValidatorSet),
-		}, nil))
-
-		updateDelta, err := stakeManager.UpdateValidatorSet(epoch+4, maxValidatorSetSize,
-			validators.GetPublicIdentities())
-
-		require.NoError(t, err)
-		require.Len(t, updateDelta.Added, 0)
-		require.Len(t, updateDelta.Updated, 0)
-		require.Len(t, updateDelta.Removed, 1)
-	})
-	t.Run("UpdateValidatorSet - voting power negative", func(t *testing.T) {
-		fullValidatorSet := validators.GetPublicIdentities().Copy()
-		validatorsToUpdate := fullValidatorSet[4]
-		validatorsToUpdate.VotingPower = bigZero
-
-		require.NoError(t, state.StakeStore.insertFullValidatorSet(validatorSetState{
-			Validators: newValidatorStakeMap(fullValidatorSet),
-		}, nil))
-
-		updateDelta, err := stakeManager.UpdateValidatorSet(epoch+5, maxValidatorSetSize,
-			validators.GetPublicIdentities())
-		require.NoError(t, err)
-		require.Len(t, updateDelta.Added, 0)
-		require.Len(t, updateDelta.Updated, 0)
-		require.Len(t, updateDelta.Removed, 1)
-	})
-
-	t.Run("UpdateValidatorSet - max validator set size reached", func(t *testing.T) {
-		// because we now have 5 validators, and the new validator has more stake
-		fullValidatorSet := validators.GetPublicIdentities().Copy()
-		validatorToAdd := fullValidatorSet[0]
-		validatorToAdd.VotingPower = big.NewInt(11)
-
-		require.NoError(t, state.StakeStore.insertFullValidatorSet(validatorSetState{
-			Validators: newValidatorStakeMap(fullValidatorSet),
-		}, nil))
-
-		updateDelta, err := stakeManager.UpdateValidatorSet(epoch+6, 4,
-			validators.GetPublicIdentities(aliases[1:]...))
-
-		require.NoError(t, err)
-		require.Len(t, updateDelta.Added, 1)
-		require.Len(t, updateDelta.Updated, 0)
-		require.Len(t, updateDelta.Removed, 1)
-		require.Equal(t, validatorToAdd.Address, updateDelta.Added[0].Address)
-		require.Equal(t, validatorToAdd.VotingPower.Uint64(), updateDelta.Added[0].VotingPower.Uint64())
-	})
-}
-
-func TestStakeCounter_ShouldBeDeterministic(t *testing.T) {
-	t.Parallel()
-
-	const timesToExecute = 100
-
-	stakes := [][]uint64{
-		{103, 102, 101, 51, 50, 30, 10},
-		{100, 100, 100, 50, 50, 30, 10},
-		{103, 102, 101, 51, 50, 30, 10},
-		{100, 100, 100, 50, 50, 30, 10},
-	}
-	maxValidatorSetSizes := []int{1000, 1000, 5, 6}
-
-	for ind, stake := range stakes {
-		maxValidatorSetSize := maxValidatorSetSizes[ind]
-
-		aliases := []string{"A", "B", "C", "D", "E", "F", "G"}
-		validators := validator.NewTestValidatorsWithAliases(t, aliases, stake)
-
-		test := func() []*validator.ValidatorMetadata {
-			stakeCounter := newValidatorStakeMap(validators.GetPublicIdentities("A", "B", "C", "D", "E"))
-
-			return stakeCounter.getSorted(maxValidatorSetSize)
-		}
-
-		initialSlice := test()
-
-		// stake counter and stake map should always be deterministic
-		for i := 0; i < timesToExecute; i++ {
-			currentSlice := test()
-
-			require.Len(t, currentSlice, len(initialSlice))
-
-			for i, si := range currentSlice {
-				initialSi := initialSlice[i]
-				require.Equal(t, si.Address, initialSi.Address)
-				require.Equal(t, si.VotingPower.Uint64(), initialSi.VotingPower.Uint64())
-			}
-		}
-	}
-}
-
-func TestStakeManager_UpdateOnInit(t *testing.T) {
-	t.Parallel()
-
-	var (
-		allAliases       = []string{"A", "B", "C", "D", "E", "F"}
-		stakeManagerAddr = types.StringToAddress("0xf001")
-	)
-
-	votingPowers := []uint64{1, 1, 1, 1, 5, 7}
-	validators := validator.NewTestValidatorsWithAliases(t, allAliases, votingPowers)
-	accountSet := validators.GetPublicIdentities(allAliases...)
-	state := newTestState(t)
-
-	polyBackendMock := new(polybftBackendMock)
-	polyBackendMock.On("GetValidatorsWithTx", uint64(0), []*types.Header(nil), mock.Anything).Return(accountSet, nil).Once()
-
-	_, err := newStakeManager(
-		hclog.NewNullLogger(),
-		state,
-		stakeManagerAddr,
-		nil,
-		polyBackendMock,
-		nil,
-	)
-	require.NoError(t, err)
-
-	fullValidatorSet, err := state.StakeStore.getFullValidatorSet(nil)
-	require.NoError(t, err)
-
-	require.Equal(t, uint64(0), fullValidatorSet.BlockNumber)
-	require.Equal(t, uint64(0), fullValidatorSet.UpdatedAtBlockNumber)
-	require.Equal(t, uint64(0), fullValidatorSet.EpochID)
-
-	for i, addr := range accountSet.GetAddresses() {
-		v, exists := fullValidatorSet.Validators[addr]
-
-		require.True(t, exists)
-		require.Equal(t, big.NewInt(int64(votingPowers[i])), v.VotingPower)
-	}
-}
-
-func createTestLogForStakeAddedEvent(t *testing.T, validatorSet, to types.Address, stake uint64) *types.Log {
-	t.Helper()
-
-	var stakeAddedEvent contractsapi.StakeAddedEvent
-
-	topics := make([]types.Hash, 2)
-	topics[0] = types.Hash(stakeAddedEvent.Sig())
-	topics[1] = types.BytesToHash(to.Bytes())
-	encodedData, err := abi.MustNewType("uint256").Encode(new(big.Int).SetUint64(stake))
-	require.NoError(t, err)
-
-	return &types.Log{
-		Address: validatorSet,
-		Topics:  topics,
-		Data:    encodedData,
-	}
-}
-
-func createTestLogForStakeRemovedEvent(t *testing.T, validatorSet, to types.Address, unstake uint64) *types.Log {
-	t.Helper()
-
-	var stakeRemovedEvent contractsapi.StakeRemovedEvent
-
-	topics := make([]types.Hash, 2)
-	topics[0] = types.Hash(stakeRemovedEvent.Sig())
-	topics[1] = types.BytesToHash(to.Bytes())
-	encodedData, err := abi.MustNewType("uint256").Encode(new(big.Int).SetUint64(unstake))
-	require.NoError(t, err)
-
-	return &types.Log{
-		Address: validatorSet,
-		Topics:  topics,
-		Data:    encodedData,
-	}
-}
-
-var _ txrelayer.TxRelayer = (*dummyStakeTxRelayer)(nil)
-
-type dummyStakeTxRelayer struct {
-	mock.Mock
-	callback func() *validator.ValidatorMetadata
-	t        *testing.T
-}
-
-func newDummyStakeTxRelayer(t *testing.T, callback func() *validator.ValidatorMetadata) *dummyStakeTxRelayer {
-	t.Helper()
-
-	return &dummyStakeTxRelayer{
-		t:        t,
-		callback: callback,
-	}
-}
-
-func (d *dummyStakeTxRelayer) Call(from types.Address, to types.Address, input []byte) (string, error) {
-	args := d.Called(from, to, input)
-
-	if d.callback != nil {
-		validatorMetaData := d.callback()
-		encoded, err := validatorTypeABI.Encode(map[string]interface{}{
-			"blsKey":        validatorMetaData.BlsKey.ToBigInt(),
-			"stake":         validatorMetaData.VotingPower,
-			"isWhitelisted": true,
-			"isActive":      true,
-		})
-
-		require.NoError(d.t, err)
-
-		return hex.EncodeToHex(encoded), nil
-	}
-
-	return args.String(0), args.Error(1)
-}
-
-func (d *dummyStakeTxRelayer) SendTransaction(transaction *types.Transaction, key crypto.Key) (*ethgo.Receipt, error) {
-	args := d.Called(transaction, key)
-
-	return args.Get(0).(*ethgo.Receipt), args.Error(1)
-}
-
-// SendTransactionLocal sends non-signed transaction (this is only for testing purposes)
-func (d *dummyStakeTxRelayer) SendTransactionLocal(txn *types.Transaction) (*ethgo.Receipt, error) {
-	args := d.Called(txn)
-
-	return args.Get(0).(*ethgo.Receipt), args.Error(1)
-}
-
-func (d *dummyStakeTxRelayer) Client() *jsonrpc.EthClient {
-	return nil
-}
-
-func (d *dummyStakeTxRelayer) GetTxnHashes() []types.Hash {
-	return nil
-}
diff --git a/consensus/polybft/state.go b/consensus/polybft/state/state.go
similarity index 53%
rename from consensus/polybft/state.go
rename to consensus/polybft/state/state.go
index 075d4702a5..5dffca91b6 100644
--- a/consensus/polybft/state.go
+++ b/consensus/polybft/state/state.go
@@ -1,4 +1,4 @@
-package polybft
+package state
 
 import (
 	"fmt"
@@ -37,69 +37,33 @@ type BridgeBatchVote struct {
 type State struct {
 	db    *bolt.DB
 	close chan struct{}
-
-	BridgeMessageStore    *BridgeMessageStore
-	EpochStore            *EpochStore
-	ProposerSnapshotStore *ProposerSnapshotStore
-	StakeStore            *StakeStore
-	GovernanceStore       *GovernanceStore
 }
 
-// newState creates new instance of State
-func newState(path string, closeCh chan struct{}, chainIDs []uint64) (*State, error) {
+// NewState creates new instance of State
+func NewState(path string, closeCh chan struct{}) (*State, error) {
 	db, err := bolt.Open(path, 0666, nil)
 	if err != nil {
 		return nil, err
 	}
 
 	s := &State{
-		db:                    db,
-		close:                 closeCh,
-		BridgeMessageStore:    &BridgeMessageStore{db: db, chainIDs: chainIDs},
-		EpochStore:            &EpochStore{db: db, chainIDs: chainIDs},
-		ProposerSnapshotStore: &ProposerSnapshotStore{db: db},
-		StakeStore:            &StakeStore{db: db},
-		GovernanceStore:       &GovernanceStore{db: db},
+		db:    db,
+		close: closeCh,
 	}
 
-	if err = s.initStorages(); err != nil {
-		return nil, err
-	}
-
-	return s, nil
-}
-
-// initStorages initializes data storages
-func (s *State) initStorages() error {
-	// init the buckets
-	return s.db.Update(func(tx *bolt.Tx) error {
-		if err := s.BridgeMessageStore.initialize(tx); err != nil {
-			return err
-		}
-
-		if err := s.EpochStore.initialize(tx); err != nil {
-			return err
-		}
-
-		if err := s.ProposerSnapshotStore.initialize(tx); err != nil {
-			return err
+	err = s.db.Update(func(tx *bolt.Tx) error {
+		if _, err := tx.CreateBucketIfNotExists(edgeEventsLastProcessedBlockBucket); err != nil {
+			return fmt.Errorf("cannot create bucket: %w", err)
 		}
 
-		if err := s.StakeStore.initialize(tx); err != nil {
-			return err
-		}
-
-		_, err := tx.CreateBucketIfNotExists(edgeEventsLastProcessedBlockBucket)
-		if err != nil {
-			return fmt.Errorf("failed to create bucket=%s: %w", string(edgeEventsLastProcessedBlockBucket), err)
-		}
-
-		return s.GovernanceStore.initialize(tx)
+		return nil
 	})
+
+	return s, err
 }
 
-// insertLastProcessedEventsBlock inserts the last processed block for events on Edge
-func (s *State) insertLastProcessedEventsBlock(block uint64, dbTx *bolt.Tx) error {
+// InsertLastProcessedEventsBlock inserts the last processed block for events on Edge
+func (s *State) InsertLastProcessedEventsBlock(block uint64, dbTx *bolt.Tx) error {
 	insertFn := func(tx *bolt.Tx) error {
 		return tx.Bucket(edgeEventsLastProcessedBlockBucket).Put(
 			edgeEventsLastProcessedBlockKey, common.EncodeUint64ToBytes(block))
@@ -114,8 +78,8 @@ func (s *State) insertLastProcessedEventsBlock(block uint64, dbTx *bolt.Tx) erro
 	return insertFn(dbTx)
 }
 
-// getLastProcessedEventsBlock gets the last processed block for events on Edge
-func (s *State) getLastProcessedEventsBlock(dbTx *bolt.Tx) (uint64, error) {
+// GetLastProcessedEventsBlock gets the last processed block for events on Edge
+func (s *State) GetLastProcessedEventsBlock(dbTx *bolt.Tx) (uint64, error) {
 	var (
 		lastProcessed uint64
 		err           error
@@ -141,14 +105,23 @@ func (s *State) getLastProcessedEventsBlock(dbTx *bolt.Tx) (uint64, error) {
 	return lastProcessed, err
 }
 
-// beginDBTransaction creates and begins a transaction on BoltDB
+func (s *State) DB() *bolt.DB {
+	return s.db
+}
+
+// Close closes the state
+func (s *State) Close() error {
+	return s.db.Close()
+}
+
+// BeginDBTransaction creates and begins a transaction on BoltDB
 // Note that transaction needs to be manually rollback or committed
-func (s *State) beginDBTransaction(isWriteTx bool) (*bolt.Tx, error) {
+func (s *State) BeginDBTransaction(isWriteTx bool) (*bolt.Tx, error) {
 	return s.db.Begin(isWriteTx)
 }
 
-// bucketStats returns stats for the given bucket in db
-func bucketStats(bucketName []byte, db *bolt.DB) (*bolt.BucketStats, error) {
+// BucketStats returns stats for the given bucket in db
+func BucketStats(bucketName []byte, db *bolt.DB) (*bolt.BucketStats, error) {
 	var stats *bolt.BucketStats
 
 	err := db.View(func(tx *bolt.Tx) error {
diff --git a/consensus/polybft/state_event_getter.go b/consensus/polybft/state/state_event_getter.go
similarity index 91%
rename from consensus/polybft/state_event_getter.go
rename to consensus/polybft/state/state_event_getter.go
index a972ebabf2..94ef36fe39 100644
--- a/consensus/polybft/state_event_getter.go
+++ b/consensus/polybft/state/state_event_getter.go
@@ -1,7 +1,8 @@
-package polybft
+package state
 
 import (
 	"github.com/0xPolygon/polygon-edge/blockchain"
+	polytypes "github.com/0xPolygon/polygon-edge/consensus/polybft/types"
 	"github.com/0xPolygon/polygon-edge/types"
 	"github.com/Ethernal-Tech/ethgo"
 	bolt "go.etcd.io/bbolt"
@@ -35,7 +36,7 @@ type EventProvider struct {
 }
 
 // NewEventProvider returns a new instance of eventProvider
-func NewEventProvider(blockchain blockchainBackend) *EventProvider {
+func NewEventProvider(blockchain polytypes.Blockchain) *EventProvider {
 	return &EventProvider{
 		receiptsGetter: receiptsGetter{
 			blockchain: blockchain,
@@ -145,7 +146,7 @@ func (e *EventProvider) getEventsFromReceipts(blockHeader *types.Header,
 type receiptsGetter struct {
 	// blockchain is an abstraction of blockchain that provides necessary functions
 	// for querying blockchain data (blocks, receipts, etc.)
-	blockchain blockchainBackend
+	blockchain polytypes.Blockchain
 }
 
 func (r *receiptsGetter) getReceiptsFromBlocksRange(from, to uint64,
@@ -168,3 +169,20 @@ func (r *receiptsGetter) getReceiptsFromBlocksRange(from, to uint64,
 
 	return nil
 }
+
+// convertLog converts types.Log to ethgo.Log
+func convertLog(log *types.Log) *ethgo.Log {
+	l := &ethgo.Log{
+		Address: ethgo.Address(log.Address),
+		Data:    make([]byte, len(log.Data)),
+		Topics:  make([]ethgo.Hash, len(log.Topics)),
+	}
+
+	copy(l.Data, log.Data)
+
+	for i, topic := range log.Topics {
+		l.Topics[i] = ethgo.Hash(topic)
+	}
+
+	return l
+}
diff --git a/consensus/polybft/stats.go b/consensus/polybft/state/stats.go
similarity index 97%
rename from consensus/polybft/stats.go
rename to consensus/polybft/state/stats.go
index 02ae335e0c..c6e43bd56b 100644
--- a/consensus/polybft/stats.go
+++ b/consensus/polybft/state/stats.go
@@ -1,4 +1,4 @@
-package polybft
+package state
 
 import (
 	"time"
@@ -7,8 +7,8 @@ import (
 	"github.com/prometheus/client_golang/prometheus"
 )
 
-// startStatsReleasing starts the process that releases BoltDB stats into prometheus periodically.
-func (s *State) startStatsReleasing() {
+// StartStatsReleasing starts the process that releases BoltDB stats into prometheus periodically.
+func (s *State) StartStatsReleasing() {
 	const (
 		statUpdatePeriod = 10 * time.Second
 		dbSubsystem      = "db"
diff --git a/consensus/polybft/state/test_helpers.go b/consensus/polybft/state/test_helpers.go
new file mode 100644
index 0000000000..d1ab568e1a
--- /dev/null
+++ b/consensus/polybft/state/test_helpers.go
@@ -0,0 +1,34 @@
+package state
+
+import (
+	"fmt"
+	"os"
+	"path"
+	"testing"
+	"time"
+)
+
+// newTestState creates new instance of state used by tests.
+func NewTestState(tb testing.TB) *State {
+	tb.Helper()
+
+	dir := fmt.Sprintf("/tmp/consensus-temp_%v", time.Now().UTC().Format(time.RFC3339Nano))
+	err := os.Mkdir(dir, 0775)
+
+	if err != nil {
+		tb.Fatal(err)
+	}
+
+	state, err := NewState(path.Join(dir, "my.db"), make(chan struct{}))
+	if err != nil {
+		tb.Fatal(err)
+	}
+
+	tb.Cleanup(func() {
+		if err := os.RemoveAll(dir); err != nil {
+			tb.Fatal(err)
+		}
+	})
+
+	return state
+}
diff --git a/consensus/polybft/state_store_epoch.go b/consensus/polybft/state_store_epoch.go
deleted file mode 100644
index a9d6a115b7..0000000000
--- a/consensus/polybft/state_store_epoch.go
+++ /dev/null
@@ -1,316 +0,0 @@
-package polybft
-
-import (
-	"encoding/json"
-	"fmt"
-
-	"github.com/0xPolygon/polygon-edge/helper/common"
-	bolt "go.etcd.io/bbolt"
-)
-
-const (
-	// validatorSnapshotLimit defines a maximum number of validator snapshots
-	// that can be stored in cache (both memory and db)
-	validatorSnapshotLimit = 100
-	// numberOfSnapshotsToLeaveInMemory defines a number of validator snapshots to leave in memory
-	numberOfSnapshotsToLeaveInMemory = 12
-	// numberOfSnapshotsToLeaveInDB defines a number of validator snapshots to leave in db
-	numberOfSnapshotsToLeaveInDB = 20
-)
-
-var (
-	// bucket to store epochs and all its nested buckets (message votes and message pool events)
-	epochsBucket = []byte("epochs")
-
-	// bucket to store validator snapshots
-	validatorSnapshotsBucket = []byte("validatorSnapshots")
-)
-
-/*
-Bolt DB schema:
-
-epochs/
-|--> chainID --> epochNumber --> messageVote
-
-validatorSnapshots/
-|--> epochNumber -> *AccountSet (json marshalled)
-*/
-
-type EpochStore struct {
-	db       *bolt.DB
-	chainIDs []uint64
-}
-
-// initialize creates necessary buckets in DB if they don't already exist
-func (s *EpochStore) initialize(tx *bolt.Tx) error {
-	var (
-		epochBucket *bolt.Bucket
-		err         error
-	)
-
-	if epochBucket, err = tx.CreateBucketIfNotExists(epochsBucket); err != nil {
-		return fmt.Errorf("failed to create bucket=%s: %w", string(epochsBucket), err)
-	}
-
-	if _, err := tx.CreateBucketIfNotExists(validatorSnapshotsBucket); err != nil {
-		return fmt.Errorf("failed to create bucket=%s: %w", string(validatorSnapshotsBucket), err)
-	}
-
-	for _, chainID := range s.chainIDs {
-		if _, err := epochBucket.CreateBucketIfNotExists(common.EncodeUint64ToBytes(chainID)); err != nil {
-			return fmt.Errorf("failed to create epoch bucket for chainID=%d err: %w", chainID, err)
-		}
-	}
-
-	return nil
-}
-
-// insertValidatorSnapshot inserts a validator snapshot for the given block to its bucket in db
-func (s *EpochStore) insertValidatorSnapshot(validatorSnapshot *validatorSnapshot, dbTx *bolt.Tx) error {
-	insertFn := func(tx *bolt.Tx) error {
-		raw, err := json.Marshal(validatorSnapshot)
-		if err != nil {
-			return err
-		}
-
-		return tx.Bucket(validatorSnapshotsBucket).Put(common.EncodeUint64ToBytes(validatorSnapshot.Epoch), raw)
-	}
-
-	if dbTx == nil {
-		return s.db.Update(func(tx *bolt.Tx) error {
-			return insertFn(tx)
-		})
-	}
-
-	return insertFn(dbTx)
-}
-
-// getValidatorSnapshot queries the validator snapshot for given block from db
-func (s *EpochStore) getValidatorSnapshot(epoch uint64) (*validatorSnapshot, error) {
-	var validatorSnapshot *validatorSnapshot
-
-	err := s.db.View(func(tx *bolt.Tx) error {
-		v := tx.Bucket(validatorSnapshotsBucket).Get(common.EncodeUint64ToBytes(epoch))
-		if v != nil {
-			return json.Unmarshal(v, &validatorSnapshot)
-		}
-
-		return nil
-	})
-
-	return validatorSnapshot, err
-}
-
-// getNearestOrEpochSnapshot returns the nearest or the exact epoch snapshot from db
-func (s *EpochStore) getNearestOrEpochSnapshot(epoch uint64, dbTx *bolt.Tx) (*validatorSnapshot, error) {
-	var (
-		snapshot *validatorSnapshot
-		err      error
-	)
-
-	getFn := func(tx *bolt.Tx) error {
-		for {
-			v := tx.Bucket(validatorSnapshotsBucket).Get(common.EncodeUint64ToBytes(epoch))
-			if v != nil {
-				return json.Unmarshal(v, &snapshot)
-			}
-
-			if epoch == 0 { // prevent uint64 underflow
-				break
-			}
-
-			epoch--
-		}
-
-		return nil
-	}
-
-	if dbTx == nil {
-		err = s.db.View(func(tx *bolt.Tx) error {
-			return getFn(tx)
-		})
-	} else {
-		err = getFn(dbTx)
-	}
-
-	return snapshot, err
-}
-
-// insertEpoch inserts a new epoch to db with its meta data
-func (s *EpochStore) insertEpoch(epoch uint64, dbTx *bolt.Tx, chainID uint64) error {
-	insertFn := func(tx *bolt.Tx) error {
-		chainIDBucket, err := tx.Bucket(epochsBucket).CreateBucketIfNotExists(common.EncodeUint64ToBytes(chainID))
-		if err != nil {
-			return err
-		}
-
-		epochBucket, err := chainIDBucket.CreateBucketIfNotExists(common.EncodeUint64ToBytes(epoch))
-		if err != nil {
-			return err
-		}
-
-		_, err = epochBucket.CreateBucketIfNotExists(messageVotesBucket)
-		if err != nil {
-			return err
-		}
-
-		return err
-	}
-
-	if dbTx == nil {
-		return s.db.Update(func(tx *bolt.Tx) error {
-			return insertFn(tx)
-		})
-	}
-
-	return insertFn(dbTx)
-}
-
-// isEpochInserted checks if given epoch is present in db
-func (s *EpochStore) isEpochInserted(epoch uint64, chainID uint64) bool {
-	return s.db.View(func(tx *bolt.Tx) error {
-		_, err := getEpochBucket(tx, epoch, chainID)
-
-		return err
-	}) == nil
-}
-
-// getEpochBucket returns bucket from db associated with given epoch
-func getEpochBucket(tx *bolt.Tx, epoch uint64, chainID uint64) (*bolt.Bucket, error) {
-	epochBucket := tx.Bucket(epochsBucket).
-		Bucket(common.EncodeUint64ToBytes(chainID)).
-		Bucket(common.EncodeUint64ToBytes(epoch))
-	if epochBucket == nil {
-		return nil, fmt.Errorf("could not find bucket for epoch: %v", epoch)
-	}
-
-	return epochBucket, nil
-}
-
-// cleanEpochsFromDB cleans epoch buckets from db
-func (s *EpochStore) cleanEpochsFromDB(dbTx *bolt.Tx) error {
-	cleanFn := func(tx *bolt.Tx) error {
-		if err := tx.DeleteBucket(epochsBucket); err != nil {
-			return err
-		}
-
-		epochBucket, err := tx.CreateBucket(epochsBucket)
-		if err != nil {
-			return err
-		}
-
-		for _, chainID := range s.chainIDs {
-			if _, err := epochBucket.CreateBucket(common.EncodeUint64ToBytes(chainID)); err != nil {
-				return err
-			}
-		}
-
-		return nil
-	}
-
-	if dbTx == nil {
-		return s.db.Update(func(tx *bolt.Tx) error {
-			return cleanFn(tx)
-		})
-	}
-
-	return cleanFn(dbTx)
-}
-
-// cleanValidatorSnapshotsFromDB cleans the validator snapshots bucket if a limit is reached,
-// but it leaves the latest (n) number of snapshots
-func (s *EpochStore) cleanValidatorSnapshotsFromDB(epoch uint64, dbTx *bolt.Tx) error {
-	cleanFn := func(tx *bolt.Tx) error {
-		bucket := tx.Bucket(validatorSnapshotsBucket)
-
-		// paired list
-		keys := make([][]byte, 0)
-		values := make([][]byte, 0)
-
-		for i := 0; i < numberOfSnapshotsToLeaveInDB; i++ { // exclude the last inserted we already appended
-			key := common.EncodeUint64ToBytes(epoch)
-			value := bucket.Get(key)
-
-			if value == nil {
-				continue
-			}
-
-			keys = append(keys, key)
-			values = append(values, value)
-			epoch--
-		}
-
-		// removing an entire bucket is much faster than removing all keys
-		// look at thread https://github.com/boltdb/bolt/issues/667
-		err := tx.DeleteBucket(validatorSnapshotsBucket)
-		if err != nil {
-			return err
-		}
-
-		bucket, err = tx.CreateBucket(validatorSnapshotsBucket)
-		if err != nil {
-			return err
-		}
-
-		// we start the loop in reverse so that the oldest of snapshots get inserted first in db
-		for i := len(keys) - 1; i >= 0; i-- {
-			if err := bucket.Put(keys[i], values[i]); err != nil {
-				return err
-			}
-		}
-
-		return nil
-	}
-
-	if dbTx == nil {
-		return s.db.Update(func(tx *bolt.Tx) error {
-			return cleanFn(tx)
-		})
-	}
-
-	return cleanFn(dbTx)
-}
-
-// removeAllValidatorSnapshots drops a validator snapshot bucket and re-creates it in bolt database
-func (s *EpochStore) removeAllValidatorSnapshots() error {
-	return s.db.Update(func(tx *bolt.Tx) error {
-		// removing an entire bucket is much faster than removing all keys
-		// look at thread https://github.com/boltdb/bolt/issues/667
-		err := tx.DeleteBucket(validatorSnapshotsBucket)
-		if err != nil {
-			return err
-		}
-
-		_, err = tx.CreateBucket(validatorSnapshotsBucket)
-		if err != nil {
-			return err
-		}
-
-		return nil
-	})
-}
-
-// epochsDBStats returns stats of epochs bucket in db
-func (s *EpochStore) epochsDBStats() (*bolt.BucketStats, error) {
-	return bucketStats(epochsBucket, s.db)
-}
-
-// validatorSnapshotsDBStats returns stats of validators snapshot bucket in db
-func (s *EpochStore) validatorSnapshotsDBStats() (*bolt.BucketStats, error) {
-	return bucketStats(validatorSnapshotsBucket, s.db)
-}
-
-// getNestedBucketInEpoch returns a nested (child) bucket from db associated with given epoch
-func getNestedBucketInEpoch(tx *bolt.Tx, epoch uint64, bucketKey []byte, chainID uint64) (*bolt.Bucket, error) {
-	epochBucket, err := getEpochBucket(tx, epoch, chainID)
-	if err != nil {
-		return nil, err
-	}
-
-	bucket := epochBucket.Bucket(bucketKey)
-	if bucket == nil {
-		return nil, fmt.Errorf("could not find %v bucket for epoch: %v", string(bucketKey), epoch)
-	}
-
-	return bucket, nil
-}
diff --git a/consensus/polybft/state_store_epoch_test.go b/consensus/polybft/state_store_epoch_test.go
deleted file mode 100644
index 511af4c416..0000000000
--- a/consensus/polybft/state_store_epoch_test.go
+++ /dev/null
@@ -1,236 +0,0 @@
-package polybft
-
-import (
-	"fmt"
-	"sync"
-	"testing"
-
-	"github.com/stretchr/testify/assert"
-	"github.com/stretchr/testify/require"
-
-	"github.com/0xPolygon/polygon-edge/bls"
-	"github.com/0xPolygon/polygon-edge/consensus/polybft/validator"
-	"github.com/0xPolygon/polygon-edge/types"
-)
-
-func TestState_insertAndGetValidatorSnapshot(t *testing.T) {
-	t.Parallel()
-
-	const (
-		epoch            = uint64(1)
-		epochEndingBlock = uint64(100)
-	)
-
-	state := newTestState(t)
-	keys, err := bls.CreateRandomBlsKeys(3)
-
-	require.NoError(t, err)
-
-	snapshot := validator.AccountSet{
-		&validator.ValidatorMetadata{Address: types.BytesToAddress([]byte{0x18}), BlsKey: keys[0].PublicKey()},
-		&validator.ValidatorMetadata{Address: types.BytesToAddress([]byte{0x23}), BlsKey: keys[1].PublicKey()},
-		&validator.ValidatorMetadata{Address: types.BytesToAddress([]byte{0x37}), BlsKey: keys[2].PublicKey()},
-	}
-
-	assert.NoError(t, state.EpochStore.insertValidatorSnapshot(
-		&validatorSnapshot{epoch, epochEndingBlock, snapshot}, nil))
-
-	snapshotFromDB, err := state.EpochStore.getValidatorSnapshot(epoch)
-
-	assert.NoError(t, err)
-	assert.Equal(t, snapshot.Len(), snapshotFromDB.Snapshot.Len())
-	assert.Equal(t, epoch, snapshotFromDB.Epoch)
-	assert.Equal(t, epochEndingBlock, snapshotFromDB.EpochEndingBlock)
-
-	for i, v := range snapshot {
-		assert.Equal(t, v.Address, snapshotFromDB.Snapshot[i].Address)
-		assert.Equal(t, v.BlsKey, snapshotFromDB.Snapshot[i].BlsKey)
-	}
-}
-
-func TestState_cleanValidatorSnapshotsFromDb(t *testing.T) {
-	t.Parallel()
-
-	fixedEpochSize := uint64(10)
-	state := newTestState(t)
-	keys, err := bls.CreateRandomBlsKeys(3)
-	require.NoError(t, err)
-
-	snapshot := validator.AccountSet{
-		&validator.ValidatorMetadata{Address: types.BytesToAddress([]byte{0x18}), BlsKey: keys[0].PublicKey()},
-		&validator.ValidatorMetadata{Address: types.BytesToAddress([]byte{0x23}), BlsKey: keys[1].PublicKey()},
-		&validator.ValidatorMetadata{Address: types.BytesToAddress([]byte{0x37}), BlsKey: keys[2].PublicKey()},
-	}
-
-	var epoch uint64
-	// add a couple of more snapshots above limit just to make sure we reached it
-	for i := 1; i <= validatorSnapshotLimit+2; i++ {
-		epoch = uint64(i)
-		assert.NoError(t, state.EpochStore.insertValidatorSnapshot(
-			&validatorSnapshot{epoch, epoch * fixedEpochSize, snapshot}, nil))
-	}
-
-	snapshotFromDB, err := state.EpochStore.getValidatorSnapshot(epoch)
-
-	assert.NoError(t, err)
-	assert.Equal(t, snapshot.Len(), snapshotFromDB.Snapshot.Len())
-	assert.Equal(t, epoch, snapshotFromDB.Epoch)
-	assert.Equal(t, epoch*fixedEpochSize, snapshotFromDB.EpochEndingBlock)
-
-	for i, v := range snapshot {
-		assert.Equal(t, v.Address, snapshotFromDB.Snapshot[i].Address)
-		assert.Equal(t, v.BlsKey, snapshotFromDB.Snapshot[i].BlsKey)
-	}
-
-	assert.NoError(t, state.EpochStore.cleanValidatorSnapshotsFromDB(epoch, nil))
-
-	// test that last (numberOfSnapshotsToLeaveInDb) of snapshots are left in db after cleanup
-	validatorSnapshotsBucketStats, err := state.EpochStore.validatorSnapshotsDBStats()
-	require.NoError(t, err)
-
-	assert.Equal(t, numberOfSnapshotsToLeaveInDB, validatorSnapshotsBucketStats.KeyN)
-
-	for i := 0; i < numberOfSnapshotsToLeaveInDB; i++ {
-		snapshotFromDB, err = state.EpochStore.getValidatorSnapshot(epoch)
-		assert.NoError(t, err)
-		assert.NotNil(t, snapshotFromDB)
-
-		epoch--
-	}
-}
-
-func TestState_InsertVoteConcurrent(t *testing.T) {
-	t.Parallel()
-
-	state := newTestState(t)
-	epoch := uint64(1)
-	assert.NoError(t, state.EpochStore.insertEpoch(epoch, nil, 0))
-
-	hash := []byte{1, 2}
-
-	var wg sync.WaitGroup
-
-	for i := 0; i < 100; i++ {
-		wg.Add(1)
-
-		go func(i int) {
-			defer wg.Done()
-
-			_, _ = state.BridgeMessageStore.insertConsensusData(epoch, hash, &BridgeBatchVoteConsensusData{
-				Sender:    fmt.Sprintf("NODE_%d", i),
-				Signature: []byte{1, 2},
-			}, nil, 0)
-		}(i)
-	}
-
-	wg.Wait()
-
-	signatures, err := state.BridgeMessageStore.getMessageVotes(epoch, hash, 0)
-	assert.NoError(t, err)
-	assert.Len(t, signatures, 100)
-}
-
-func TestState_Insert_And_Cleanup(t *testing.T) {
-	t.Parallel()
-
-	state := newTestState(t)
-	hash1 := []byte{1, 2}
-
-	for i := uint64(1); i <= 500; i++ {
-		epoch := i
-		err := state.EpochStore.insertEpoch(epoch, nil, 0)
-
-		assert.NoError(t, err)
-
-		_, _ = state.BridgeMessageStore.insertConsensusData(epoch, hash1,
-			&BridgeBatchVoteConsensusData{
-				Sender:    "NODE_1",
-				Signature: []byte{1, 2},
-			}, nil, 0)
-	}
-
-	stats, err := state.EpochStore.epochsDBStats()
-	require.NoError(t, err)
-
-	// BucketN returns number of all buckets inside root bucket (including nested buckets) + the root itself
-	// Since we inserted 500 epochs we expect to have 1000 buckets inside epochs root bucket
-	// (500 buckets for epochs + each epoch has 1 nested bucket for message votes)
-	assert.Equal(t, 1002, stats.BucketN-1)
-
-	assert.NoError(t, state.EpochStore.cleanEpochsFromDB(nil))
-
-	stats, err = state.EpochStore.epochsDBStats()
-	require.NoError(t, err)
-
-	assert.Equal(t, 2, stats.BucketN-1)
-
-	// there should be no votes for given epoch since we cleaned the db
-	votes, _ := state.BridgeMessageStore.getMessageVotes(1, hash1, 0)
-	assert.Nil(t, votes)
-
-	for i := uint64(501); i <= 1000; i++ {
-		epoch := i
-		err := state.EpochStore.insertEpoch(epoch, nil, 0)
-		assert.NoError(t, err)
-
-		_, _ = state.BridgeMessageStore.insertConsensusData(epoch, hash1,
-			&BridgeBatchVoteConsensusData{
-				Sender:    "NODE_1",
-				Signature: []byte{1, 2},
-			}, nil, 0)
-	}
-
-	stats, err = state.EpochStore.epochsDBStats()
-	require.NoError(t, err)
-
-	assert.Equal(t, 1002, stats.BucketN-1)
-
-	votes, _ = state.BridgeMessageStore.getMessageVotes(1000, hash1, 0)
-	assert.Equal(t, 1, len(votes))
-}
-
-func TestEpochStore_getNearestOrEpochSnapshot(t *testing.T) {
-	t.Parallel()
-
-	state := newTestState(t)
-	epoch := uint64(1)
-	tv := validator.NewTestValidators(t, 3)
-
-	// Insert a snapshot for epoch 1
-	snapshot := &validatorSnapshot{
-		Epoch:            epoch,
-		EpochEndingBlock: 100,
-		Snapshot:         tv.GetPublicIdentities(),
-	}
-
-	require.NoError(t, state.EpochStore.insertValidatorSnapshot(snapshot, nil))
-
-	t.Run("with existing dbTx", func(t *testing.T) {
-		t.Parallel()
-
-		dbTx, err := state.EpochStore.db.Begin(false)
-		require.NoError(t, err)
-
-		result, err := state.EpochStore.getNearestOrEpochSnapshot(epoch, dbTx)
-		assert.NoError(t, err)
-		assert.Equal(t, snapshot, result)
-
-		require.NoError(t, dbTx.Rollback())
-	})
-
-	t.Run("without existing dbTx", func(t *testing.T) {
-		t.Parallel()
-
-		result, err := state.EpochStore.getNearestOrEpochSnapshot(epoch, nil)
-		assert.NoError(t, err)
-		assert.Equal(t, snapshot, result)
-	})
-
-	t.Run("with non-existing epoch", func(t *testing.T) {
-		t.Parallel()
-
-		result, err := state.EpochStore.getNearestOrEpochSnapshot(2, nil)
-		assert.NoError(t, err)
-		assert.Equal(t, snapshot, result)
-	})
-}
diff --git a/consensus/polybft/state_store_proposer_snapshot_test.go b/consensus/polybft/state_store_proposer_snapshot_test.go
deleted file mode 100644
index e8657f2203..0000000000
--- a/consensus/polybft/state_store_proposer_snapshot_test.go
+++ /dev/null
@@ -1,29 +0,0 @@
-package polybft
-
-import (
-	"testing"
-
-	"github.com/stretchr/testify/require"
-)
-
-func TestState_getProposerSnapshot_writeProposerSnapshot(t *testing.T) {
-	t.Parallel()
-
-	const (
-		height = uint64(100)
-		round  = uint64(5)
-	)
-
-	state := newTestState(t)
-
-	snap, err := state.ProposerSnapshotStore.getProposerSnapshot(nil)
-	require.NoError(t, err)
-	require.Nil(t, snap)
-
-	newSnapshot := &ProposerSnapshot{Height: height, Round: round}
-	require.NoError(t, state.ProposerSnapshotStore.writeProposerSnapshot(newSnapshot, nil))
-
-	snap, err = state.ProposerSnapshotStore.getProposerSnapshot(nil)
-	require.NoError(t, err)
-	require.Equal(t, newSnapshot, snap)
-}
diff --git a/consensus/polybft/state_transaction.go b/consensus/polybft/state_transaction.go
index 0039f6d321..154a8e782a 100644
--- a/consensus/polybft/state_transaction.go
+++ b/consensus/polybft/state_transaction.go
@@ -4,17 +4,17 @@ import (
 	"bytes"
 	"fmt"
 
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/bridge"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/contractsapi"
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/helpers"
 )
 
-const abiMethodIDLength = 4
-
 func decodeStateTransaction(txData []byte) (contractsapi.StateTransactionInput, error) {
-	if len(txData) < abiMethodIDLength {
+	if len(txData) < helpers.AbiMethodIDLength {
 		return nil, fmt.Errorf("state transactions have input")
 	}
 
-	sig := txData[:abiMethodIDLength]
+	sig := txData[:helpers.AbiMethodIDLength]
 
 	var (
 		commitBridgeTxFn     contractsapi.CommitBatchBridgeStorageFn
@@ -26,7 +26,7 @@ func decodeStateTransaction(txData []byte) (contractsapi.StateTransactionInput,
 
 	if bytes.Equal(sig, commitBridgeTxFn.Sig()) {
 		// bridge batch
-		obj = &BridgeBatchSigned{}
+		obj = &bridge.BridgeBatchSigned{}
 	} else if bytes.Equal(sig, commitEpochFn.Sig()) {
 		// commit epoch
 		obj = &contractsapi.CommitEpochEpochManagerFn{}
diff --git a/consensus/polybft/system_state.go b/consensus/polybft/system_state/system_state.go
similarity index 76%
rename from consensus/polybft/system_state.go
rename to consensus/polybft/system_state/system_state.go
index 4c68cd1cf7..281b0fe441 100644
--- a/consensus/polybft/system_state.go
+++ b/consensus/polybft/system_state/system_state.go
@@ -1,15 +1,22 @@
-package polybft
+package systemstate
 
 import (
+	"errors"
 	"fmt"
 	"math/big"
 
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/contractsapi"
+	"github.com/0xPolygon/polygon-edge/contracts"
+	"github.com/0xPolygon/polygon-edge/state"
 	"github.com/0xPolygon/polygon-edge/types"
 	"github.com/Ethernal-Tech/ethgo"
 	"github.com/Ethernal-Tech/ethgo/contract"
 )
 
+var (
+	errSendTxnUnsupported = errors.New("system state does not support send transactions")
+)
+
 // ValidatorInfo is data transfer object which holds validator information,
 // provided by smart contract
 type ValidatorInfo struct {
@@ -143,3 +150,37 @@ func (s *SystemStateImpl) GetValidatorSetByNumber(numberOfValidatorSet *big.Int)
 
 	return validatorSet, err
 }
+
+var _ contract.Provider = &stateProvider{}
+
+type stateProvider struct {
+	transition *state.Transition
+}
+
+// NewStateProvider initializes EVM against given state and chain config and returns stateProvider instance
+// which is an abstraction for smart contract calls
+func NewStateProvider(transition *state.Transition) contract.Provider {
+	return &stateProvider{transition: transition}
+}
+
+// Call implements the contract.Provider interface to make contract calls directly to the state
+func (s *stateProvider) Call(addr ethgo.Address, input []byte, opts *contract.CallOpts) ([]byte, error) {
+	result := s.transition.Call2(
+		contracts.SystemCaller,
+		types.Address(addr),
+		input,
+		big.NewInt(0),
+		10000000,
+	)
+	if result.Failed() {
+		return nil, result.Err
+	}
+
+	return result.ReturnValue, nil
+}
+
+// Txn is part of the contract.Provider interface to make Ethereum transactions. We disable this function
+// since the system state does not make any transaction
+func (s *stateProvider) Txn(_ ethgo.Address, _ ethgo.Key, _ []byte) (contract.Txn, error) {
+	return nil, errSendTxnUnsupported
+}
diff --git a/consensus/polybft/system_state_test.go b/consensus/polybft/system_state/system_state_test.go
similarity index 75%
rename from consensus/polybft/system_state_test.go
rename to consensus/polybft/system_state/system_state_test.go
index f3bbd32e18..4041e9d486 100644
--- a/consensus/polybft/system_state_test.go
+++ b/consensus/polybft/system_state/system_state_test.go
@@ -1,21 +1,17 @@
-package polybft
+package systemstate
 
 import (
 	"encoding/hex"
 	"math/big"
 	"testing"
 
-	"github.com/0xPolygon/polygon-edge/chain"
 	"github.com/0xPolygon/polygon-edge/contracts"
-	"github.com/0xPolygon/polygon-edge/state"
-	itrie "github.com/0xPolygon/polygon-edge/state/immutable-trie"
 	"github.com/0xPolygon/polygon-edge/types"
 	"github.com/Ethernal-Tech/ethgo"
 	"github.com/Ethernal-Tech/ethgo/abi"
 	"github.com/Ethernal-Tech/ethgo/contract"
 	"github.com/Ethernal-Tech/ethgo/testutil"
 	"github.com/Ethernal-Tech/ethgo/wallet"
-	"github.com/hashicorp/go-hclog"
 	"github.com/stretchr/testify/assert"
 	"github.com/stretchr/testify/require"
 )
@@ -44,7 +40,7 @@ func TestSystemState_GetNextCommittedIndex(t *testing.T) {
 	bin, err := hex.DecodeString(solcContract.Bin)
 	require.NoError(t, err)
 
-	transition := newTestTransition(t, nil)
+	transition := NewTestTransition(t, nil)
 
 	// deploy a contract
 	result := transition.Create2(types.Address{}, bin, big.NewInt(0), 1000000000)
@@ -92,7 +88,7 @@ func TestSystemState_GetEpoch(t *testing.T) {
 	bin, err := hex.DecodeString(solcContract.Bin)
 	require.NoError(t, err)
 
-	transition := newTestTransition(t, nil)
+	transition := NewTestTransition(t, nil)
 
 	// deploy a contract
 	result := transition.Create2(types.Address{}, bin, big.NewInt(0), 1000000000)
@@ -120,7 +116,7 @@ func TestStateProvider_Txn_NotSupported(t *testing.T) {
 	t.Parallel()
 
 	provider := &stateProvider{
-		transition: newTestTransition(t, nil),
+		transition: NewTestTransition(t, nil),
 	}
 
 	key, err := wallet.GenerateKey()
@@ -129,34 +125,3 @@ func TestStateProvider_Txn_NotSupported(t *testing.T) {
 	_, err = provider.Txn(ethgo.ZeroAddress, key, []byte{0x1})
 	require.ErrorIs(t, err, errSendTxnUnsupported)
 }
-
-func newTestTransition(t *testing.T, alloc map[types.Address]*chain.GenesisAccount) *state.Transition {
-	t.Helper()
-
-	st := itrie.NewState(itrie.NewMemoryStorage())
-
-	ex := state.NewExecutor(&chain.Params{
-		Forks: chain.AllForksEnabled,
-		BurnContract: map[uint64]types.Address{
-			0: types.ZeroAddress,
-		},
-	}, st, hclog.NewNullLogger())
-
-	rootHash, err := ex.WriteGenesis(alloc, types.Hash{})
-	require.NoError(t, err)
-
-	ex.GetHash = func(h *types.Header) state.GetHashByNumber {
-		return func(i uint64) types.Hash {
-			return rootHash
-		}
-	}
-
-	transition, err := ex.BeginTxn(
-		rootHash,
-		&types.Header{},
-		types.ZeroAddress,
-	)
-	assert.NoError(t, err)
-
-	return transition
-}
diff --git a/consensus/polybft/system_state/test_helpers.go b/consensus/polybft/system_state/test_helpers.go
new file mode 100644
index 0000000000..e6f9bfb5c9
--- /dev/null
+++ b/consensus/polybft/system_state/test_helpers.go
@@ -0,0 +1,43 @@
+package systemstate
+
+import (
+	"testing"
+
+	"github.com/0xPolygon/polygon-edge/chain"
+	"github.com/0xPolygon/polygon-edge/state"
+	itrie "github.com/0xPolygon/polygon-edge/state/immutable-trie"
+	"github.com/0xPolygon/polygon-edge/types"
+	"github.com/hashicorp/go-hclog"
+	"github.com/stretchr/testify/require"
+)
+
+func NewTestTransition(t *testing.T, alloc map[types.Address]*chain.GenesisAccount) *state.Transition {
+	t.Helper()
+
+	st := itrie.NewState(itrie.NewMemoryStorage())
+
+	ex := state.NewExecutor(&chain.Params{
+		Forks: chain.AllForksEnabled,
+		BurnContract: map[uint64]types.Address{
+			0: types.ZeroAddress,
+		},
+	}, st, hclog.NewNullLogger())
+
+	rootHash, err := ex.WriteGenesis(alloc, types.Hash{})
+	require.NoError(t, err)
+
+	ex.GetHash = func(h *types.Header) state.GetHashByNumber {
+		return func(i uint64) types.Hash {
+			return rootHash
+		}
+	}
+
+	transition, err := ex.BeginTxn(
+		rootHash,
+		&types.Header{},
+		types.ZeroAddress,
+	)
+	require.NoError(t, err)
+
+	return transition
+}
diff --git a/consensus/polybft/extra.go b/consensus/polybft/types/extra.go
similarity index 98%
rename from consensus/polybft/extra.go
rename to consensus/polybft/types/extra.go
index 1bbfd34144..eb20d2ebe6 100644
--- a/consensus/polybft/extra.go
+++ b/consensus/polybft/types/extra.go
@@ -1,4 +1,4 @@
-package polybft
+package types
 
 import (
 	"fmt"
@@ -129,7 +129,7 @@ func (i *Extra) UnmarshalRLPWith(v *fastrlp.Value) error {
 
 // ValidateFinalizedData contains extra data validations for finalized headers
 func (i *Extra) ValidateFinalizedData(header *types.Header, parent *types.Header, parents []*types.Header,
-	chainID uint64, consensusBackend polybftBackend, domain []byte, logger hclog.Logger) error {
+	chainID uint64, consensusBackend Polybft, domain []byte, logger hclog.Logger) error {
 	// validate committed signatures
 	blockNumber := header.Number
 	if i.Committed == nil {
@@ -171,7 +171,7 @@ func (i *Extra) ValidateFinalizedData(header *types.Header, parent *types.Header
 }
 
 // ValidateParentSignatures validates signatures for parent block
-func (i *Extra) ValidateParentSignatures(blockNumber uint64, consensusBackend polybftBackend, parents []*types.Header,
+func (i *Extra) ValidateParentSignatures(blockNumber uint64, consensusBackend Polybft, parents []*types.Header,
 	parent *types.Header, parentExtra *Extra, domain []byte, logger hclog.Logger) error {
 	// skip block 1 because genesis does not have committed signatures
 	if blockNumber <= 1 {
diff --git a/consensus/polybft/handlers.go b/consensus/polybft/types/handlers.go
similarity index 84%
rename from consensus/polybft/handlers.go
rename to consensus/polybft/types/handlers.go
index f048daec49..a9e288dae4 100644
--- a/consensus/polybft/handlers.go
+++ b/consensus/polybft/types/handlers.go
@@ -1,7 +1,9 @@
-package polybft
+package types
 
 import (
 	"github.com/0xPolygon/polygon-edge/chain"
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/config"
+	systemstate "github.com/0xPolygon/polygon-edge/consensus/polybft/system_state"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/validator"
 	"github.com/0xPolygon/polygon-edge/types"
 	bolt "go.etcd.io/bbolt"
@@ -18,7 +20,7 @@ type PostBlockRequest struct {
 	// used to save necessary data on PostBlock
 	DBTx *bolt.Tx
 	// CurrentClientConfig is the latest client configuration
-	CurrentClientConfig *PolyBFTConfig
+	CurrentClientConfig *config.PolyBFT
 	// Forks holds forks configuration
 	Forks *chain.Forks
 }
@@ -32,7 +34,7 @@ type PostEpochRequest struct {
 
 	// SystemState is the state of the governance smart contracts
 	// after this block
-	SystemState SystemState
+	SystemState systemstate.SystemState
 
 	// ValidatorSet is the validator set for the new epoch
 	ValidatorSet validator.ValidatorSet
diff --git a/consensus/polybft/types/types.go b/consensus/polybft/types/types.go
new file mode 100644
index 0000000000..2485fd076d
--- /dev/null
+++ b/consensus/polybft/types/types.go
@@ -0,0 +1,94 @@
+package types
+
+import (
+	"time"
+
+	"github.com/0xPolygon/polygon-edge/blockchain"
+	systemstate "github.com/0xPolygon/polygon-edge/consensus/polybft/system_state"
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/validator"
+	"github.com/0xPolygon/polygon-edge/state"
+	"github.com/0xPolygon/polygon-edge/types"
+	"github.com/Ethernal-Tech/ethgo/contract"
+	"github.com/hashicorp/go-hclog"
+	bolt "go.etcd.io/bbolt"
+)
+
+// Polybft is the interface that provides the necessary functions
+// to interact with the polybft consensus
+type Polybft interface {
+	// GetValidators retrieves validator set for the given block
+	GetValidators(blockNumber uint64, parents []*types.Header) (validator.AccountSet, error)
+
+	// GetValidators retrieves validator set for the given block
+	// Function expects that db tx is already open
+	GetValidatorsWithTx(blockNumber uint64, parents []*types.Header,
+		dbTx *bolt.Tx) (validator.AccountSet, error)
+
+	// SetBlockTime updates the block time
+	SetBlockTime(blockTime time.Duration)
+}
+
+type BlockBuilder interface {
+	Reset() error
+	WriteTx(*types.Transaction) error
+	Fill()
+	Build(func(h *types.Header)) (*types.FullBlock, error)
+	GetState() *state.Transition
+	Receipts() []*types.Receipt
+}
+
+// blockchain is an interface that wraps the methods called on blockchain
+type Blockchain interface {
+	// CurrentHeader returns the header of blockchain block head
+	CurrentHeader() *types.Header
+
+	// CommitBlock commits a block to the chain.
+	CommitBlock(block *types.FullBlock) error
+
+	// NewBlockBuilder is a factory method that returns a block builder on top of 'parent'.
+	NewBlockBuilder(parent *types.Header, coinbase types.Address,
+		txPool TxPool, blockTime time.Duration, logger hclog.Logger) (BlockBuilder, error)
+
+	// ProcessBlock builds a final block from given 'block' on top of 'parent'.
+	ProcessBlock(parent *types.Header, block *types.Block) (*types.FullBlock, error)
+
+	// GetStateProviderForBlock returns a reference to make queries to the state at 'block'.
+	GetStateProviderForBlock(block *types.Header) (contract.Provider, error)
+
+	// GetStateProvider returns a reference to make queries to the provided state.
+	GetStateProvider(transition *state.Transition) contract.Provider
+
+	// GetHeaderByNumber returns a reference to block header for the given block number.
+	GetHeaderByNumber(number uint64) (*types.Header, bool)
+
+	// GetHeaderByHash returns a reference to block header for the given block hash
+	GetHeaderByHash(hash types.Hash) (*types.Header, bool)
+
+	// GetSystemState creates a new instance of SystemState interface
+	GetSystemState(provider contract.Provider) systemstate.SystemState
+
+	// SubscribeEvents subscribes to blockchain events
+	SubscribeEvents() blockchain.Subscription
+
+	// UnubscribeEvents unsubscribes from blockchain events
+	UnubscribeEvents(subscription blockchain.Subscription)
+
+	// GetChainID returns chain id of the current blockchain
+	GetChainID() uint64
+
+	// GetReceiptsByHash retrieves receipts by hash
+	GetReceiptsByHash(hash types.Hash) ([]*types.Receipt, error)
+}
+
+type TxPool interface {
+	Prepare()
+	Length() uint64
+	Peek() *types.Transaction
+	Pop(*types.Transaction)
+	Drop(*types.Transaction)
+	Demote(*types.Transaction)
+	SetSealing(bool)
+	ResetWithBlock(*types.Block)
+	ReinsertProposed()
+	ClearProposed()
+}
diff --git a/consensus/polybft/validator-snapshot/validator_snapshot_store.go b/consensus/polybft/validator-snapshot/validator_snapshot_store.go
new file mode 100644
index 0000000000..c164130257
--- /dev/null
+++ b/consensus/polybft/validator-snapshot/validator_snapshot_store.go
@@ -0,0 +1,186 @@
+package validator_snapshot
+
+import (
+	"encoding/json"
+	"fmt"
+
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/state"
+	"github.com/0xPolygon/polygon-edge/helper/common"
+	bolt "go.etcd.io/bbolt"
+)
+
+var (
+	// bucket to store validator snapshots
+	validatorSnapshotsBucket = []byte("validatorSnapshots")
+)
+
+type validatorSnapshotStore struct {
+	db *bolt.DB
+}
+
+func newValidatorSnapshotStore(db *bolt.DB) (*validatorSnapshotStore, error) {
+	store := &validatorSnapshotStore{db: db}
+
+	return store, store.db.Update(func(tx *bolt.Tx) error {
+		if _, err := tx.CreateBucketIfNotExists(validatorSnapshotsBucket); err != nil {
+			return fmt.Errorf("failed to create bucket=%s: %w", string(validatorSnapshotsBucket), err)
+		}
+
+		return nil
+	})
+}
+
+// insertValidatorSnapshot inserts a validator snapshot for the given block to its bucket in db
+func (s *validatorSnapshotStore) insertValidatorSnapshot(validatorSnapshot *ValidatorSnapshot, dbTx *bolt.Tx) error {
+	insertFn := func(tx *bolt.Tx) error {
+		raw, err := json.Marshal(validatorSnapshot)
+		if err != nil {
+			return err
+		}
+
+		return tx.Bucket(validatorSnapshotsBucket).Put(common.EncodeUint64ToBytes(validatorSnapshot.Epoch), raw)
+	}
+
+	if dbTx == nil {
+		return s.db.Update(func(tx *bolt.Tx) error {
+			return insertFn(tx)
+		})
+	}
+
+	return insertFn(dbTx)
+}
+
+// getValidatorSnapshot queries the validator snapshot for given block from db
+func (s *validatorSnapshotStore) getValidatorSnapshot(epoch uint64) (*ValidatorSnapshot, error) {
+	var validatorSnapshot *ValidatorSnapshot
+
+	err := s.db.View(func(tx *bolt.Tx) error {
+		v := tx.Bucket(validatorSnapshotsBucket).Get(common.EncodeUint64ToBytes(epoch))
+		if v != nil {
+			return json.Unmarshal(v, &validatorSnapshot)
+		}
+
+		return nil
+	})
+
+	return validatorSnapshot, err
+}
+
+// getNearestOrEpochSnapshot returns the nearest or the exact epoch snapshot from db
+func (s *validatorSnapshotStore) getNearestOrEpochSnapshot(epoch uint64, dbTx *bolt.Tx) (*ValidatorSnapshot, error) {
+	var (
+		snapshot *ValidatorSnapshot
+		err      error
+	)
+
+	getFn := func(tx *bolt.Tx) error {
+		for {
+			v := tx.Bucket(validatorSnapshotsBucket).Get(common.EncodeUint64ToBytes(epoch))
+			if v != nil {
+				return json.Unmarshal(v, &snapshot)
+			}
+
+			if epoch == 0 { // prevent uint64 underflow
+				break
+			}
+
+			epoch--
+		}
+
+		return nil
+	}
+
+	if dbTx == nil {
+		err = s.db.View(func(tx *bolt.Tx) error {
+			return getFn(tx)
+		})
+	} else {
+		err = getFn(dbTx)
+	}
+
+	return snapshot, err
+}
+
+// cleanValidatorSnapshotsFromDB cleans the validator snapshots bucket if a limit is reached,
+// but it leaves the latest (n) number of snapshots
+func (s *validatorSnapshotStore) cleanValidatorSnapshotsFromDB(epoch uint64, dbTx *bolt.Tx) error {
+	cleanFn := func(tx *bolt.Tx) error {
+		bucket := tx.Bucket(validatorSnapshotsBucket)
+
+		// paired list
+		keys := make([][]byte, 0)
+		values := make([][]byte, 0)
+
+		for i := 0; i < NumberOfSnapshotsToLeaveInDB; i++ { // exclude the last inserted we already appended
+			key := common.EncodeUint64ToBytes(epoch)
+			value := bucket.Get(key)
+
+			if value == nil {
+				continue
+			}
+
+			keys = append(keys, key)
+			values = append(values, value)
+			epoch--
+		}
+
+		// removing an entire bucket is much faster than removing all keys
+		// look at thread https://github.com/boltdb/bolt/issues/667
+		err := tx.DeleteBucket(validatorSnapshotsBucket)
+		if err != nil {
+			return err
+		}
+
+		bucket, err = tx.CreateBucket(validatorSnapshotsBucket)
+		if err != nil {
+			return err
+		}
+
+		// we start the loop in reverse so that the oldest of snapshots get inserted first in db
+		for i := len(keys) - 1; i >= 0; i-- {
+			if err := bucket.Put(keys[i], values[i]); err != nil {
+				return err
+			}
+		}
+
+		return nil
+	}
+
+	if dbTx == nil {
+		return s.db.Update(func(tx *bolt.Tx) error {
+			return cleanFn(tx)
+		})
+	}
+
+	return cleanFn(dbTx)
+}
+
+// removeAllValidatorSnapshots drops a validator snapshot bucket and re-creates it in bolt database
+func (s *validatorSnapshotStore) removeAllValidatorSnapshots() error {
+	return s.db.Update(func(tx *bolt.Tx) error {
+		// removing an entire bucket is much faster than removing all keys
+		// look at thread https://github.com/boltdb/bolt/issues/667
+		err := tx.DeleteBucket(validatorSnapshotsBucket)
+		if err != nil {
+			return err
+		}
+
+		_, err = tx.CreateBucket(validatorSnapshotsBucket)
+		if err != nil {
+			return err
+		}
+
+		return nil
+	})
+}
+
+// validatorSnapshotsDBStats returns stats of validators snapshot bucket in db
+func (s *validatorSnapshotStore) validatorSnapshotsDBStats() (*bolt.BucketStats, error) {
+	return state.BucketStats(validatorSnapshotsBucket, s.db)
+}
+
+// beginDBTransaction creates and begins a transaction on BoltDB
+// Note that transaction needs to be manually rollback or committed
+func (s *validatorSnapshotStore) beginDBTransaction(isWriteTx bool) (*bolt.Tx, error) {
+	return s.db.Begin(isWriteTx)
+}
diff --git a/consensus/polybft/validator-snapshot/validator_snapshot_store_test.go b/consensus/polybft/validator-snapshot/validator_snapshot_store_test.go
new file mode 100644
index 0000000000..df849acd69
--- /dev/null
+++ b/consensus/polybft/validator-snapshot/validator_snapshot_store_test.go
@@ -0,0 +1,186 @@
+package validator_snapshot
+
+import (
+	"fmt"
+	"os"
+	"path"
+	"testing"
+	"time"
+
+	"github.com/0xPolygon/polygon-edge/bls"
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/validator"
+	"github.com/0xPolygon/polygon-edge/types"
+	"github.com/stretchr/testify/assert"
+	"github.com/stretchr/testify/require"
+	bolt "go.etcd.io/bbolt"
+)
+
+// newTestState creates new instance of state used by tests.
+func newTestState(tb testing.TB) *validatorSnapshotStore {
+	tb.Helper()
+
+	dir := fmt.Sprintf("/tmp/consensus-temp_%v", time.Now().UTC().Format(time.RFC3339Nano))
+	err := os.Mkdir(dir, 0775)
+
+	if err != nil {
+		tb.Fatal(err)
+	}
+
+	tb.Cleanup(func() {
+		if err := os.RemoveAll(dir); err != nil {
+			tb.Fatal(err)
+		}
+	})
+
+	db, err := bolt.Open(path.Join(dir, "my.db"), 0666, nil)
+	if err != nil {
+		tb.Fatal(err)
+	}
+
+	validatorSnapshotStore, err := newValidatorSnapshotStore(db)
+	if err != nil {
+		tb.Fatal(err)
+	}
+
+	return validatorSnapshotStore
+}
+
+func TestState_insertAndGetValidatorSnapshot(t *testing.T) {
+	t.Parallel()
+
+	const (
+		epoch            = uint64(1)
+		epochEndingBlock = uint64(100)
+	)
+
+	state := newTestState(t)
+	keys, err := bls.CreateRandomBlsKeys(3)
+
+	require.NoError(t, err)
+
+	snapshot := validator.AccountSet{
+		&validator.ValidatorMetadata{Address: types.BytesToAddress([]byte{0x18}), BlsKey: keys[0].PublicKey()},
+		&validator.ValidatorMetadata{Address: types.BytesToAddress([]byte{0x23}), BlsKey: keys[1].PublicKey()},
+		&validator.ValidatorMetadata{Address: types.BytesToAddress([]byte{0x37}), BlsKey: keys[2].PublicKey()},
+	}
+
+	assert.NoError(t, state.insertValidatorSnapshot(
+		&ValidatorSnapshot{
+			Epoch:            epoch,
+			EpochEndingBlock: epochEndingBlock,
+			Snapshot:         snapshot,
+		}, nil))
+
+	snapshotFromDB, err := state.getValidatorSnapshot(epoch)
+
+	assert.NoError(t, err)
+	assert.Equal(t, snapshot.Len(), snapshotFromDB.Snapshot.Len())
+	assert.Equal(t, epoch, snapshotFromDB.Epoch)
+	assert.Equal(t, epochEndingBlock, snapshotFromDB.EpochEndingBlock)
+
+	for i, v := range snapshot {
+		assert.Equal(t, v.Address, snapshotFromDB.Snapshot[i].Address)
+		assert.Equal(t, v.BlsKey, snapshotFromDB.Snapshot[i].BlsKey)
+	}
+}
+
+func TestState_cleanValidatorSnapshotsFromDb(t *testing.T) {
+	t.Parallel()
+
+	fixedEpochSize := uint64(10)
+	state := newTestState(t)
+	keys, err := bls.CreateRandomBlsKeys(3)
+	require.NoError(t, err)
+
+	snapshot := validator.AccountSet{
+		&validator.ValidatorMetadata{Address: types.BytesToAddress([]byte{0x18}), BlsKey: keys[0].PublicKey()},
+		&validator.ValidatorMetadata{Address: types.BytesToAddress([]byte{0x23}), BlsKey: keys[1].PublicKey()},
+		&validator.ValidatorMetadata{Address: types.BytesToAddress([]byte{0x37}), BlsKey: keys[2].PublicKey()},
+	}
+
+	var epoch uint64
+	// add a couple of more snapshots above limit just to make sure we reached it
+	for i := 1; i <= ValidatorSnapshotLimit+2; i++ {
+		epoch = uint64(i)
+		assert.NoError(t, state.insertValidatorSnapshot(
+			&ValidatorSnapshot{
+				Epoch:            epoch,
+				EpochEndingBlock: epoch * fixedEpochSize,
+				Snapshot:         snapshot,
+			}, nil))
+	}
+
+	snapshotFromDB, err := state.getValidatorSnapshot(epoch)
+
+	assert.NoError(t, err)
+	assert.Equal(t, snapshot.Len(), snapshotFromDB.Snapshot.Len())
+	assert.Equal(t, epoch, snapshotFromDB.Epoch)
+	assert.Equal(t, epoch*fixedEpochSize, snapshotFromDB.EpochEndingBlock)
+
+	for i, v := range snapshot {
+		assert.Equal(t, v.Address, snapshotFromDB.Snapshot[i].Address)
+		assert.Equal(t, v.BlsKey, snapshotFromDB.Snapshot[i].BlsKey)
+	}
+
+	assert.NoError(t, state.cleanValidatorSnapshotsFromDB(epoch, nil))
+
+	// test that last (numberOfSnapshotsToLeaveInDb) of snapshots are left in db after cleanup
+	validatorSnapshotsBucketStats, err := state.validatorSnapshotsDBStats()
+	require.NoError(t, err)
+
+	assert.Equal(t, NumberOfSnapshotsToLeaveInDB, validatorSnapshotsBucketStats.KeyN)
+
+	for i := 0; i < NumberOfSnapshotsToLeaveInDB; i++ {
+		snapshotFromDB, err = state.getValidatorSnapshot(epoch)
+		assert.NoError(t, err)
+		assert.NotNil(t, snapshotFromDB)
+
+		epoch--
+	}
+}
+
+func TestEpochStore_getNearestOrEpochSnapshot(t *testing.T) {
+	t.Parallel()
+
+	state := newTestState(t)
+	epoch := uint64(1)
+	tv := validator.NewTestValidators(t, 3)
+
+	// Insert a snapshot for epoch 1
+	snapshot := &ValidatorSnapshot{
+		Epoch:            epoch,
+		EpochEndingBlock: 100,
+		Snapshot:         tv.GetPublicIdentities(),
+	}
+
+	require.NoError(t, state.insertValidatorSnapshot(snapshot, nil))
+
+	t.Run("with existing dbTx", func(t *testing.T) {
+		t.Parallel()
+
+		dbTx, err := state.beginDBTransaction(false)
+		require.NoError(t, err)
+
+		result, err := state.getNearestOrEpochSnapshot(epoch, dbTx)
+		assert.NoError(t, err)
+		assert.Equal(t, snapshot, result)
+
+		require.NoError(t, dbTx.Rollback())
+	})
+
+	t.Run("without existing dbTx", func(t *testing.T) {
+		t.Parallel()
+
+		result, err := state.getNearestOrEpochSnapshot(epoch, nil)
+		assert.NoError(t, err)
+		assert.Equal(t, snapshot, result)
+	})
+
+	t.Run("with non-existing epoch", func(t *testing.T) {
+		t.Parallel()
+
+		result, err := state.getNearestOrEpochSnapshot(2, nil)
+		assert.NoError(t, err)
+		assert.Equal(t, snapshot, result)
+	})
+}
diff --git a/consensus/polybft/validators_snapshot.go b/consensus/polybft/validator-snapshot/validators_snapshot.go
similarity index 71%
rename from consensus/polybft/validators_snapshot.go
rename to consensus/polybft/validator-snapshot/validators_snapshot.go
index e409e9424a..a8ae64cda1 100644
--- a/consensus/polybft/validators_snapshot.go
+++ b/consensus/polybft/validator-snapshot/validators_snapshot.go
@@ -1,4 +1,4 @@
-package polybft
+package validator_snapshot
 
 import (
 	"errors"
@@ -6,52 +6,70 @@ import (
 	"sync"
 
 	"github.com/0xPolygon/polygon-edge/blockchain"
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/helpers"
+	"github.com/0xPolygon/polygon-edge/consensus/polybft/state"
+	polytypes "github.com/0xPolygon/polygon-edge/consensus/polybft/types"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/validator"
 	"github.com/0xPolygon/polygon-edge/types"
 	"github.com/hashicorp/go-hclog"
 	bolt "go.etcd.io/bbolt"
 )
 
-type validatorSnapshot struct {
+const (
+	// ValidatorSnapshotLimit defines a maximum number of validator snapshots
+	// that can be stored in cache (both memory and db)
+	ValidatorSnapshotLimit = 100
+	// NumberOfSnapshotsToLeaveInMemory defines a number of validator snapshots to leave in memory
+	NumberOfSnapshotsToLeaveInMemory = 12
+	// NumberOfSnapshotsToLeaveInDB defines a number of validator snapshots to leave in db
+	NumberOfSnapshotsToLeaveInDB = 20
+)
+
+type ValidatorSnapshot struct {
 	Epoch            uint64               `json:"epoch"`
 	EpochEndingBlock uint64               `json:"epochEndingBlock"`
 	Snapshot         validator.AccountSet `json:"snapshot"`
 }
 
-func (vs *validatorSnapshot) copy() *validatorSnapshot {
+func (vs *ValidatorSnapshot) copy() *ValidatorSnapshot {
 	copiedAccountSet := vs.Snapshot.Copy()
 
-	return &validatorSnapshot{
+	return &ValidatorSnapshot{
 		Epoch:            vs.Epoch,
 		EpochEndingBlock: vs.EpochEndingBlock,
 		Snapshot:         copiedAccountSet,
 	}
 }
 
-type validatorsSnapshotCache struct {
-	snapshots  map[uint64]*validatorSnapshot
-	state      *State
-	blockchain blockchainBackend
+type ValidatorsSnapshotCache struct {
+	snapshots  map[uint64]*ValidatorSnapshot
+	state      *validatorSnapshotStore
+	blockchain polytypes.Blockchain
 	lock       sync.Mutex
 	logger     hclog.Logger
 }
 
-// newValidatorsSnapshotCache initializes a new instance of validatorsSnapshotCache
-func newValidatorsSnapshotCache(
-	logger hclog.Logger, state *State, blockchain blockchainBackend,
-) *validatorsSnapshotCache {
-	return &validatorsSnapshotCache{
-		snapshots:  map[uint64]*validatorSnapshot{},
-		state:      state,
+// NewValidatorsSnapshotCache initializes a new instance of validatorsSnapshotCache
+func NewValidatorsSnapshotCache(
+	logger hclog.Logger, state *state.State, blockchain polytypes.Blockchain,
+) (*ValidatorsSnapshotCache, error) {
+	vss, err := newValidatorSnapshotStore(state.DB())
+	if err != nil {
+		return nil, fmt.Errorf("failed to create validator snapshot store: %w", err)
+	}
+
+	return &ValidatorsSnapshotCache{
+		snapshots:  map[uint64]*ValidatorSnapshot{},
+		state:      vss,
 		blockchain: blockchain,
 		logger:     logger.Named("validators_snapshot"),
-	}
+	}, nil
 }
 
 // GetSnapshot tries to retrieve the most recent cached snapshot (if any) and
 // applies pending validator set deltas to it.
 // Otherwise, it builds a snapshot from scratch and applies pending validator set deltas.
-func (v *validatorsSnapshotCache) GetSnapshot(
+func (v *ValidatorsSnapshotCache) GetSnapshot(
 	blockNumber uint64, parents []*types.Header, dbTx *bolt.Tx) (validator.AccountSet, error) {
 	tx := dbTx
 	isPassedTxNil := dbTx == nil
@@ -78,7 +96,7 @@ func (v *validatorsSnapshotCache) GetSnapshot(
 		v.lock.Unlock()
 	}()
 
-	_, extra, err := getBlockData(blockNumber, v.blockchain)
+	_, extra, err := helpers.GetBlockData(blockNumber, v.blockchain)
 	if err != nil {
 		return nil, err
 	}
@@ -116,7 +134,7 @@ func (v *validatorsSnapshotCache) GetSnapshot(
 			return nil, fmt.Errorf("failed to compute snapshot for epoch 0: %w", err)
 		}
 
-		err = v.storeSnapshot(genesisBlockSnapshot, tx)
+		err = v.StoreSnapshot(genesisBlockSnapshot, tx)
 		if err != nil {
 			return nil, fmt.Errorf("failed to store validators snapshot for epoch 0: %w", err)
 		}
@@ -146,7 +164,7 @@ func (v *validatorsSnapshotCache) GetSnapshot(
 		}
 
 		latestValidatorSnapshot = intermediateSnapshot
-		if err = v.storeSnapshot(latestValidatorSnapshot, tx); err != nil {
+		if err = v.StoreSnapshot(latestValidatorSnapshot, tx); err != nil {
 			return nil, fmt.Errorf("failed to store validators snapshot for epoch %d: %w", latestValidatorSnapshot.Epoch, err)
 		}
 
@@ -173,11 +191,11 @@ func (v *validatorsSnapshotCache) GetSnapshot(
 }
 
 // computeSnapshot gets desired block header by block number, extracts its extra and applies given delta to the snapshot
-func (v *validatorsSnapshotCache) computeSnapshot(
-	existingSnapshot *validatorSnapshot,
+func (v *ValidatorsSnapshotCache) computeSnapshot(
+	existingSnapshot *ValidatorSnapshot,
 	nextEpochEndBlockNumber uint64,
 	parents []*types.Header,
-) (*validatorSnapshot, error) {
+) (*ValidatorSnapshot, error) {
 	var header *types.Header
 
 	v.logger.Trace("Compute snapshot started...", "BlockNumber", nextEpochEndBlockNumber)
@@ -203,7 +221,7 @@ func (v *validatorsSnapshotCache) computeSnapshot(
 		}
 	}
 
-	extra, err := GetIbftExtra(header.ExtraData)
+	extra, err := polytypes.GetIbftExtra(header.ExtraData)
 	if err != nil {
 		return nil, fmt.Errorf("failed to decode extra from the block#%d: %w", header.Number, err)
 	}
@@ -234,17 +252,17 @@ func (v *validatorsSnapshotCache) computeSnapshot(
 		"snapshot", snapshot.String(),
 		"delta", extra.Validators)
 
-	return &validatorSnapshot{
+	return &ValidatorSnapshot{
 		Epoch:            snapshotEpoch,
 		EpochEndingBlock: nextEpochEndBlockNumber,
 		Snapshot:         snapshot,
 	}, nil
 }
 
-// storeSnapshot stores given snapshot to the in-memory cache and database
-func (v *validatorsSnapshotCache) storeSnapshot(snapshot *validatorSnapshot, dbTx *bolt.Tx) error {
+// StoreSnapshot stores given snapshot to the in-memory cache and database
+func (v *ValidatorsSnapshotCache) StoreSnapshot(snapshot *ValidatorSnapshot, dbTx *bolt.Tx) error {
 	v.snapshots[snapshot.Epoch] = snapshot
-	if err := v.state.EpochStore.insertValidatorSnapshot(snapshot, dbTx); err != nil {
+	if err := v.state.insertValidatorSnapshot(snapshot, dbTx); err != nil {
 		return fmt.Errorf("failed to insert validator snapshot for epoch %d to the database: %w", snapshot.Epoch, err)
 	}
 
@@ -254,8 +272,8 @@ func (v *validatorsSnapshotCache) storeSnapshot(snapshot *validatorSnapshot, dbT
 }
 
 // Cleanup cleans the validators cache in memory and db
-func (v *validatorsSnapshotCache) cleanup(dbTx *bolt.Tx) error {
-	if len(v.snapshots) >= validatorSnapshotLimit {
+func (v *ValidatorsSnapshotCache) cleanup(dbTx *bolt.Tx) error {
+	if len(v.snapshots) >= ValidatorSnapshotLimit {
 		latestEpoch := uint64(0)
 
 		for e := range v.snapshots {
@@ -265,9 +283,9 @@ func (v *validatorsSnapshotCache) cleanup(dbTx *bolt.Tx) error {
 		}
 
 		startEpoch := latestEpoch
-		cache := make(map[uint64]*validatorSnapshot, numberOfSnapshotsToLeaveInMemory)
+		cache := make(map[uint64]*ValidatorSnapshot, NumberOfSnapshotsToLeaveInMemory)
 
-		for i := 0; i < numberOfSnapshotsToLeaveInMemory; i++ {
+		for i := 0; i < NumberOfSnapshotsToLeaveInMemory; i++ {
 			if snapshot, exists := v.snapshots[startEpoch]; exists {
 				cache[startEpoch] = snapshot
 			}
@@ -277,7 +295,7 @@ func (v *validatorsSnapshotCache) cleanup(dbTx *bolt.Tx) error {
 
 		v.snapshots = cache
 
-		return v.state.EpochStore.cleanValidatorSnapshotsFromDB(latestEpoch, dbTx)
+		return v.state.cleanValidatorSnapshotsFromDB(latestEpoch, dbTx)
 	}
 
 	return nil
@@ -285,8 +303,8 @@ func (v *validatorsSnapshotCache) cleanup(dbTx *bolt.Tx) error {
 
 // getLastCachedSnapshot gets the latest snapshot cached
 // If it doesn't have snapshot cached for desired epoch, it will return the latest one it has
-func (v *validatorsSnapshotCache) getLastCachedSnapshot(currentEpoch uint64,
-	dbTx *bolt.Tx) (*validatorSnapshot, error) {
+func (v *ValidatorsSnapshotCache) getLastCachedSnapshot(currentEpoch uint64,
+	dbTx *bolt.Tx) (*ValidatorSnapshot, error) {
 	epochToQuery := currentEpoch
 
 	cachedSnapshot := v.snapshots[currentEpoch]
@@ -310,7 +328,7 @@ func (v *validatorsSnapshotCache) getLastCachedSnapshot(currentEpoch uint64,
 		currentEpoch--
 	}
 
-	dbSnapshot, err := v.state.EpochStore.getNearestOrEpochSnapshot(epochToQuery, dbTx)
+	dbSnapshot, err := v.state.getNearestOrEpochSnapshot(epochToQuery, dbTx)
 	if err != nil {
 		return nil, err
 	}
@@ -330,10 +348,10 @@ func (v *validatorsSnapshotCache) getLastCachedSnapshot(currentEpoch uint64,
 
 // getNextEpochEndingBlock gets the epoch ending block of a newer epoch
 // It start checking the blocks from the provided epoch ending block of the previous epoch
-func (v *validatorsSnapshotCache) getNextEpochEndingBlock(latestEpochEndingBlock uint64) (uint64, error) {
+func (v *ValidatorsSnapshotCache) getNextEpochEndingBlock(latestEpochEndingBlock uint64) (uint64, error) {
 	blockNumber := latestEpochEndingBlock + 1 // get next block
 
-	_, extra, err := getBlockData(blockNumber, v.blockchain)
+	_, extra, err := helpers.GetBlockData(blockNumber, v.blockchain)
 	if err != nil {
 		return 0, err
 	}
@@ -344,7 +362,7 @@ func (v *validatorsSnapshotCache) getNextEpochEndingBlock(latestEpochEndingBlock
 	for startEpoch == epoch {
 		blockNumber++
 
-		_, extra, err = getBlockData(blockNumber, v.blockchain)
+		_, extra, err := helpers.GetBlockData(blockNumber, v.blockchain)
 		if err != nil {
 			if errors.Is(err, blockchain.ErrNoBlock) {
 				return blockNumber - 1, nil
@@ -358,3 +376,26 @@ func (v *validatorsSnapshotCache) getNextEpochEndingBlock(latestEpochEndingBlock
 
 	return blockNumber - 1, nil
 }
+
+// isEpochEndingBlock checks if given block is an epoch ending block
+func isEpochEndingBlock(blockNumber uint64, extra *polytypes.Extra, blockchain polytypes.Blockchain) (bool, error) {
+	if extra.Validators == nil {
+		// non epoch ending blocks have validator set delta as nil
+		return false, nil
+	}
+
+	if !extra.Validators.IsEmpty() {
+		// if validator set delta is not empty, the validator set was changed in this block
+		// meaning the epoch changed as well
+		return true, nil
+	}
+
+	_, nextBlockExtra, err := helpers.GetBlockData(blockNumber+1, blockchain)
+	if err != nil {
+		return false, err
+	}
+
+	// validator set delta can be empty (no change in validator set happened)
+	// so we need to check if their epoch numbers are different
+	return extra.BlockMetaData.EpochNumber != nextBlockExtra.BlockMetaData.EpochNumber, nil
+}
diff --git a/consensus/polybft/validator-snapshot/validators_snapshot_test.go b/consensus/polybft/validator-snapshot/validators_snapshot_test.go
new file mode 100644
index 0000000000..e3b0d5f365
--- /dev/null
+++ b/consensus/polybft/validator-snapshot/validators_snapshot_test.go
@@ -0,0 +1,425 @@
+package validator_snapshot
+
+// import (
+// 	"fmt"
+// 	"testing"
+// 	"time"
+
+// 	"github.com/0xPolygon/polygon-edge/consensus/polybft/helpers"
+// 	polytypes "github.com/0xPolygon/polygon-edge/consensus/polybft/types"
+// 	"github.com/0xPolygon/polygon-edge/consensus/polybft/validator"
+// 	"github.com/0xPolygon/polygon-edge/types"
+// 	"github.com/hashicorp/go-hclog"
+// 	"github.com/stretchr/testify/assert"
+// 	"github.com/stretchr/testify/mock"
+// 	"github.com/stretchr/testify/require"
+// )
+
+// func TestValidatorsSnapshotCache_GetSnapshot_Build(t *testing.T) {
+// 	t.Parallel()
+// 	assertions := require.New(t)
+
+// 	const (
+// 		totalValidators  = 10
+// 		validatorSetSize = 5
+// 		epochSize        = uint64(10)
+// 	)
+
+// 	allValidators := validator.NewTestValidators(t, totalValidators).GetPublicIdentities()
+
+// 	var oddValidators, evenValidators validator.AccountSet
+
+// 	for i := 0; i < totalValidators; i++ {
+// 		if i%2 == 0 {
+// 			evenValidators = append(evenValidators, allValidators[i])
+// 		} else {
+// 			oddValidators = append(oddValidators, allValidators[i])
+// 		}
+// 	}
+
+// 	headersMap := &helpers.TestHeadersMap{HeadersByNumber: make(map[uint64]*types.Header)}
+
+// 	createHeaders(t, headersMap, 0, epochSize-1, 1, nil, allValidators[:validatorSetSize])
+// 	createHeaders(t, headersMap, epochSize, 2*epochSize-1, 2, allValidators[:validatorSetSize], allValidators[validatorSetSize:])
+// 	createHeaders(t, headersMap, 2*epochSize, 3*epochSize-1, 3, allValidators[validatorSetSize:], oddValidators)
+// 	createHeaders(t, headersMap, 3*epochSize, 4*epochSize-1, 4, oddValidators, evenValidators)
+
+// 	var cases = []struct {
+// 		blockNumber       uint64
+// 		expectedSnapshot  validator.AccountSet
+// 		validatorsOverlap bool
+// 		parents           []*types.Header
+// 	}{
+// 		{4, allValidators[:validatorSetSize], false, nil},
+// 		{1 * epochSize, allValidators[validatorSetSize:], false, nil},
+// 		{13, allValidators[validatorSetSize:], false, nil},
+// 		{27, oddValidators, true, nil},
+// 		{36, evenValidators, true, nil},
+// 		{4, allValidators[:validatorSetSize], false, headersMap.GetHeaders()},
+// 		{13, allValidators[validatorSetSize:], false, headersMap.GetHeaders()},
+// 		{27, oddValidators, true, headersMap.GetHeaders()},
+// 		{36, evenValidators, true, headersMap.GetHeaders()},
+// 	}
+
+// 	blockchainMock := new(helpers.BlockchainMock)
+// 	blockchainMock.On("GetHeaderByNumber", mock.Anything).Return(headersMap.GetHeader)
+
+// 	testValidatorsCache := &testValidatorsCache{
+// 		validatorsSnapshotCache: newValidatorsSnapshotCache(hclog.NewNullLogger(), newTestState(t), blockchainMock),
+// 	}
+
+// 	for _, c := range cases {
+// 		snapshot, err := testValidatorsCache.GetSnapshot(c.blockNumber, c.parents, nil)
+
+// 		assertions.NoError(err)
+// 		assertions.Len(snapshot, c.expectedSnapshot.Len())
+
+// 		if c.validatorsOverlap {
+// 			for _, validator := range c.expectedSnapshot {
+// 				// Order of validators is not preserved, because there are overlapping between validators set.
+// 				// In that case, at the beginning of the set are the ones preserved from the previous validator set.
+// 				// Newly validators are added to the end after the one from previous validator set.
+// 				assertions.True(snapshot.ContainsAddress(validator.Address))
+// 			}
+// 		} else {
+// 			assertions.Equal(c.expectedSnapshot, snapshot)
+// 		}
+
+// 		assertions.NoError(testValidatorsCache.cleanValidatorsCache())
+
+// 		if c.parents != nil {
+// 			blockchainMock.AssertNotCalled(t, "GetHeaderByNumber")
+// 		}
+// 	}
+// }
+
+// func TestValidatorsSnapshotCache_GetSnapshot_FetchFromCache(t *testing.T) {
+// 	t.Parallel()
+// 	require := require.New(t)
+
+// 	const (
+// 		totalValidators  = 10
+// 		validatorSetSize = 5
+// 	)
+
+// 	allValidators := validator.NewTestValidators(t, totalValidators).GetPublicIdentities()
+// 	epochOneValidators := validator.AccountSet{allValidators[0], allValidators[len(allValidators)-1]}
+// 	epochTwoValidators := allValidators[1 : len(allValidators)-2]
+
+// 	headersMap := &helpers.TestHeadersMap{HeadersByNumber: make(map[uint64]*types.Header)}
+// 	createHeaders(t, headersMap, 0, 9, 1, nil, allValidators)
+// 	createHeaders(t, headersMap, 10, 19, 2, allValidators, epochOneValidators)
+// 	createHeaders(t, headersMap, 20, 29, 3, epochOneValidators, epochTwoValidators)
+
+// 	blockchainMock := new(helpers.BlockchainMock)
+// 	blockchainMock.On("GetHeaderByNumber", mock.Anything).Return(headersMap.GetHeader)
+
+// 	testValidatorsCache := &testValidatorsCache{
+// 		validatorsSnapshotCache: newValidatorsSnapshotCache(hclog.NewNullLogger(), newTestState(t), blockchainMock),
+// 	}
+
+// 	require.NoError(testValidatorsCache.storeSnapshot(&ValidatorSnapshot{1, 10, epochOneValidators}, nil))
+// 	require.NoError(testValidatorsCache.storeSnapshot(&ValidatorSnapshot{2, 20, epochTwoValidators}, nil))
+
+// 	// Fetch snapshot from in memory cache
+// 	snapshot, err := testValidatorsCache.GetSnapshot(10, nil, nil)
+// 	require.NoError(err)
+// 	require.Equal(epochOneValidators, snapshot)
+
+// 	// Invalidate in memory cache
+// 	testValidatorsCache.snapshots = map[uint64]*ValidatorSnapshot{}
+// 	require.NoError(testValidatorsCache.state.RemoveAllValidatorSnapshots())
+// 	// Fetch snapshot from database
+// 	snapshot, err = testValidatorsCache.GetSnapshot(10, nil, nil)
+// 	require.NoError(err)
+// 	require.Equal(epochOneValidators, snapshot)
+
+// 	snapshot, err = testValidatorsCache.GetSnapshot(20, nil, nil)
+// 	require.NoError(err)
+// 	require.Equal(epochTwoValidators, snapshot)
+// }
+
+// func TestValidatorsSnapshotCache_Cleanup(t *testing.T) {
+// 	t.Parallel()
+// 	require := require.New(t)
+
+// 	blockchainMock := new(helpers.BlockchainMock)
+// 	cache := &testValidatorsCache{
+// 		validatorsSnapshotCache: newValidatorsSnapshotCache(hclog.NewNullLogger(), newTestState(t), blockchainMock),
+// 	}
+// 	snapshot := validator.NewTestValidators(t, 3).GetPublicIdentities()
+// 	maxEpoch := uint64(0)
+
+// 	for i := uint64(0); i < ValidatorSnapshotLimit; i++ {
+// 		require.NoError(cache.storeSnapshot(&ValidatorSnapshot{i, i * 10, snapshot}, nil))
+
+// 		maxEpoch++
+// 	}
+
+// 	require.NoError(cache.cleanup(nil))
+
+// 	// assertions for remaining snapshots in the in memory cache
+// 	require.Len(cache.snapshots, NumberOfSnapshotsToLeaveInMemory)
+
+// 	currentEpoch := maxEpoch
+
+// 	for i := 0; i < NumberOfSnapshotsToLeaveInMemory; i++ {
+// 		currentEpoch--
+// 		currentSnapshot, snapExists := cache.snapshots[currentEpoch]
+// 		require.True(snapExists, fmt.Sprintf("failed to fetch in memory snapshot for epoch %d", currentEpoch))
+// 		require.Equal(snapshot, currentSnapshot.Snapshot, fmt.Sprintf("snapshots for epoch %d are not equal", currentEpoch))
+// 	}
+
+// 	stats, err := cache.state.ValidatorSnapshotsDBStats()
+// 	require.NoError(err)
+
+// 	// assertions for remaining snapshots in database
+// 	require.Equal(stats.KeyN, NumberOfSnapshotsToLeaveInDB)
+
+// 	currentEpoch = maxEpoch
+
+// 	for i := 0; i < NumberOfSnapshotsToLeaveInDB; i++ {
+// 		currentEpoch--
+// 		currentSnapshot, err := cache.state.GetValidatorSnapshot(currentEpoch)
+// 		require.NoError(err, fmt.Sprintf("failed to fetch database snapshot for epoch %d", currentEpoch))
+// 		require.Equal(snapshot, currentSnapshot.Snapshot, fmt.Sprintf("snapshots for epoch %d are not equal", currentEpoch))
+// 	}
+// }
+
+// func TestValidatorsSnapshotCache_ComputeSnapshot_UnknownBlock(t *testing.T) {
+// 	t.Parallel()
+// 	assertions := assert.New(t)
+
+// 	const (
+// 		totalValidators  = 15
+// 		validatorSetSize = totalValidators / 2
+// 		epochSize        = uint64(10)
+// 	)
+
+// 	allValidators := validator.NewTestValidators(t, totalValidators).GetPublicIdentities()
+// 	headersMap := &helpers.TestHeadersMap{}
+// 	headersMap.AddHeader(createValidatorDeltaHeader(t, 0, 0, nil, allValidators[:validatorSetSize]))
+// 	headersMap.AddHeader(createValidatorDeltaHeader(t, 1*epochSize, 1, allValidators[:validatorSetSize], allValidators[validatorSetSize:]))
+
+// 	blockchainMock := new(helpers.BlockchainMock)
+// 	blockchainMock.On("GetHeaderByNumber", mock.Anything).Return(headersMap.GetHeader)
+
+// 	testValidatorsCache := &testValidatorsCache{
+// 		validatorsSnapshotCache: newValidatorsSnapshotCache(hclog.NewNullLogger(), newTestState(t), blockchainMock),
+// 	}
+
+// 	snapshot, err := testValidatorsCache.computeSnapshot(nil, 5*epochSize, nil)
+// 	assertions.Nil(snapshot)
+// 	assertions.ErrorContains(err, "unknown block. Block number=50")
+// }
+
+// func TestValidatorsSnapshotCache_ComputeSnapshot_IncorrectExtra(t *testing.T) {
+// 	t.Parallel()
+// 	assertions := assert.New(t)
+
+// 	const (
+// 		totalValidators  = 6
+// 		validatorSetSize = totalValidators / 2
+// 		epochSize        = uint64(10)
+// 	)
+
+// 	allValidators := validator.NewTestValidators(t, totalValidators).GetPublicIdentities()
+// 	headersMap := &helpers.TestHeadersMap{}
+// 	invalidHeader := createValidatorDeltaHeader(t, 1*epochSize, 1, allValidators[:validatorSetSize], allValidators[validatorSetSize:])
+// 	invalidHeader.ExtraData = []byte{0x2, 0x7}
+// 	headersMap.AddHeader(invalidHeader)
+
+// 	blockchainMock := new(helpers.BlockchainMock)
+// 	blockchainMock.On("GetHeaderByNumber", mock.Anything).Return(headersMap.GetHeader)
+
+// 	testValidatorsCache := &testValidatorsCache{
+// 		validatorsSnapshotCache: newValidatorsSnapshotCache(hclog.NewNullLogger(), newTestState(t), blockchainMock),
+// 	}
+
+// 	snapshot, err := testValidatorsCache.computeSnapshot(nil, 1*epochSize, nil)
+// 	assertions.Nil(snapshot)
+// 	assertions.ErrorContains(err, "failed to decode extra from the block#10: wrong extra size: 2")
+// }
+
+// func TestValidatorsSnapshotCache_ComputeSnapshot_ApplyDeltaFail(t *testing.T) {
+// 	t.Parallel()
+// 	assertions := assert.New(t)
+
+// 	const (
+// 		totalValidators  = 6
+// 		validatorSetSize = totalValidators / 2
+// 		epochSize        = uint64(10)
+// 	)
+
+// 	allValidators := validator.NewTestValidators(t, totalValidators).GetPublicIdentities()
+// 	headersMap := &helpers.TestHeadersMap{}
+// 	headersMap.AddHeader(createValidatorDeltaHeader(t, 0, 0, nil, allValidators[:validatorSetSize]))
+// 	headersMap.AddHeader(createValidatorDeltaHeader(t, 1*epochSize, 1, nil, allValidators[:validatorSetSize]))
+
+// 	blockchainMock := new(helpers.BlockchainMock)
+// 	blockchainMock.On("GetHeaderByNumber", mock.Anything).Return(headersMap.GetHeader)
+
+// 	testValidatorsCache := &testValidatorsCache{
+// 		validatorsSnapshotCache: newValidatorsSnapshotCache(hclog.NewNullLogger(), newTestState(t), blockchainMock),
+// 	}
+
+// 	snapshot, err := testValidatorsCache.computeSnapshot(&ValidatorSnapshot{0, 0, allValidators}, 1*epochSize, nil)
+// 	assertions.Nil(snapshot)
+// 	assertions.ErrorContains(err, "failed to apply delta to the validators snapshot, block#10")
+// }
+
+// func TestValidatorsSnapshotCache_Empty(t *testing.T) {
+// 	t.Parallel()
+
+// 	headersMap := &helpers.TestHeadersMap{HeadersByNumber: make(map[uint64]*types.Header)}
+
+// 	createHeaders(t, headersMap, 0, 1, 1, nil, nil)
+
+// 	blockchainMock := new(helpers.BlockchainMock)
+// 	blockchainMock.On("GetHeaderByNumber", mock.Anything).Return(headersMap.GetHeader)
+
+// 	testValidatorsCache := &testValidatorsCache{
+// 		validatorsSnapshotCache: newValidatorsSnapshotCache(hclog.NewNullLogger(), newTestState(t), blockchainMock),
+// 	}
+
+// 	_, err := testValidatorsCache.GetSnapshot(1, nil, nil)
+// 	assert.ErrorContains(t, err, "validator snapshot is empty for block")
+// }
+
+// func TestValidatorsSnapshotCache_HugeBuild(t *testing.T) {
+// 	t.Parallel()
+
+// 	type epochValidatorSetIndexes struct {
+// 		firstValIndex int
+// 		lastValIndex  int
+// 	}
+
+// 	const (
+// 		epochSize                 = uint64(10)
+// 		lastBlock                 = uint64(100_000)
+// 		numOfEpochsToChangeValSet = 50
+// 		totalValidators           = 20
+// 		validatorSetSize          = 5
+// 	)
+
+// 	allValidators := validator.NewTestValidators(t, totalValidators).GetPublicIdentities()
+// 	headersMap := &helpers.TestHeadersMap{HeadersByNumber: make(map[uint64]*types.Header)}
+
+// 	oldValidators := allValidators[:validatorSetSize]
+// 	newValidators := oldValidators
+// 	firstValIndex := 0
+// 	lastValIndex := validatorSetSize
+// 	epochValidators := map[uint64]epochValidatorSetIndexes{}
+
+// 	// create headers for the first epoch separately
+// 	createHeaders(t, headersMap, 0, epochSize-1, 1, nil, newValidators)
+
+// 	for i := epochSize; i < lastBlock; i += epochSize {
+// 		from := i
+// 		to := i + epochSize - 1
+// 		epoch := i/epochSize + 1
+
+// 		oldValidators = newValidators
+
+// 		if epoch%numOfEpochsToChangeValSet == 0 {
+// 			// every n epochs, change validators
+// 			firstValIndex = lastValIndex
+// 			lastValIndex += validatorSetSize
+
+// 			if lastValIndex > totalValidators {
+// 				firstValIndex = 0
+// 				lastValIndex = validatorSetSize
+// 			}
+
+// 			newValidators = allValidators[firstValIndex:lastValIndex]
+// 		}
+
+// 		epochValidators[epoch] = epochValidatorSetIndexes{firstValIndex, lastValIndex}
+
+// 		createHeaders(t, headersMap, from, to, epoch, oldValidators, newValidators)
+// 	}
+
+// 	blockchainMock := new(helpers.BlockchainMock)
+// 	blockchainMock.On("GetHeaderByNumber", mock.Anything).Return(headersMap.getHeader)
+
+// 	validatorsSnapshotCache := newValidatorsSnapshotCache(hclog.NewNullLogger(), newTestState(t), blockchainMock)
+
+// 	s := time.Now().UTC()
+
+// 	snapshot, err := validatorsSnapshotCache.GetSnapshot(lastBlock-epochSize, nil, nil)
+
+// 	t.Log("Time needed to calculate snapshot:", time.Since(s))
+
+// 	require.NoError(t, err)
+// 	require.NotNil(t, snapshot)
+// 	require.NotEmpty(t, snapshot)
+
+// 	// check if the validators of random epochs are as expected
+// 	snapshot, err = validatorsSnapshotCache.GetSnapshot(46, nil, nil) // epoch 5 where validator set did not change
+// 	require.NoError(t, err)
+
+// 	epochValIndexes, ok := epochValidators[5]
+// 	require.True(t, ok)
+// 	require.True(t, allValidators[epochValIndexes.firstValIndex:epochValIndexes.lastValIndex].Equals(snapshot))
+
+// 	snapshot, err = validatorsSnapshotCache.GetSnapshot(numOfEpochsToChangeValSet*epochSize, nil, nil) // epoch 50 where validator set was changed
+// 	require.NoError(t, err)
+
+// 	epochValIndexes, ok = epochValidators[numOfEpochsToChangeValSet]
+// 	require.True(t, ok)
+// 	require.True(t, allValidators[epochValIndexes.firstValIndex:epochValIndexes.lastValIndex].Equals(snapshot))
+
+// 	snapshot, err = validatorsSnapshotCache.GetSnapshot(2*numOfEpochsToChangeValSet*epochSize, nil, nil) // epoch 100 where validator set was changed
+// 	require.NoError(t, err)
+
+// 	epochValIndexes, ok = epochValidators[2*numOfEpochsToChangeValSet]
+// 	require.True(t, ok)
+// 	require.True(t, allValidators[epochValIndexes.firstValIndex:epochValIndexes.lastValIndex].Equals(snapshot))
+
+// 	snapshot, err = validatorsSnapshotCache.GetSnapshot(57903, nil, nil) // epoch 5790 where validator set did not change
+// 	require.NoError(t, err)
+
+// 	epochValIndexes, ok = epochValidators[57903/epochSize+1]
+// 	require.True(t, ok)
+// 	require.True(t, allValidators[epochValIndexes.firstValIndex:epochValIndexes.lastValIndex].Equals(snapshot))
+
+// 	snapshot, err = validatorsSnapshotCache.GetSnapshot(99991, nil, nil) // epoch 10000 where validator set did not change
+// 	require.NoError(t, err)
+
+// 	epochValIndexes, ok = epochValidators[99991/epochSize+1]
+// 	require.True(t, ok)
+// 	require.True(t, allValidators[epochValIndexes.firstValIndex:epochValIndexes.lastValIndex].Equals(snapshot))
+// }
+
+// func createHeaders(t *testing.T, headersMap *helpers.TestHeadersMap,
+// 	fromBlock, toBlock, epoch uint64, oldValidators, newValidators validator.AccountSet) {
+// 	t.Helper()
+
+// 	headersMap.AddHeader(createValidatorDeltaHeader(t, fromBlock, epoch-1, oldValidators, newValidators))
+
+// 	for i := fromBlock + 1; i <= toBlock; i++ {
+// 		headersMap.AddHeader(createValidatorDeltaHeader(t, i, epoch, nil, nil))
+// 	}
+// }
+
+// func createValidatorDeltaHeader(t *testing.T, blockNumber, epoch uint64, oldValidatorSet, newValidatorSet validator.AccountSet) *types.Header {
+// 	t.Helper()
+
+// 	delta, _ := validator.CreateValidatorSetDelta(oldValidatorSet, newValidatorSet)
+// 	extra := &polytypes.Extra{Validators: delta, BlockMetaData: &polytypes.BlockMetaData{EpochNumber: epoch}}
+
+// 	return &types.Header{
+// 		Number:    blockNumber,
+// 		ExtraData: extra.MarshalRLPTo(nil),
+// 	}
+// }
+
+// type testValidatorsCache struct {
+// 	*validatorsSnapshotCache
+// }
+
+// func (c *testValidatorsCache) cleanValidatorsCache() error {
+// 	c.snapshots = make(map[uint64]*ValidatorSnapshot)
+
+// 	return c.state.RemoveAllValidatorSnapshots()
+// }
diff --git a/consensus/polybft/validator/validator_set_map.go b/consensus/polybft/validator/validator_set_map.go
new file mode 100644
index 0000000000..32da04ea5b
--- /dev/null
+++ b/consensus/polybft/validator/validator_set_map.go
@@ -0,0 +1,111 @@
+package validator
+
+import (
+	"bytes"
+	"encoding/hex"
+	"encoding/json"
+	"fmt"
+	"math/big"
+	"sort"
+	"strings"
+
+	"github.com/0xPolygon/polygon-edge/types"
+)
+
+var bigZero = big.NewInt(0)
+
+type ValidatorSetState struct {
+	BlockNumber          uint64            `json:"block"`
+	EpochID              uint64            `json:"epoch"`
+	UpdatedAtBlockNumber uint64            `json:"updated_at_block"`
+	Validators           ValidatorStakeMap `json:"validators"`
+}
+
+func (vs ValidatorSetState) Marshal() ([]byte, error) {
+	return json.Marshal(vs)
+}
+
+func (vs *ValidatorSetState) Unmarshal(b []byte) error {
+	return json.Unmarshal(b, vs)
+}
+
+// ValidatorStakeMap holds ValidatorMetadata for each validator address
+type ValidatorStakeMap map[types.Address]*ValidatorMetadata
+
+// NewValidatorStakeMap returns a new instance of validatorStakeMap
+func NewValidatorStakeMap(validatorSet AccountSet) ValidatorStakeMap {
+	stakeMap := make(ValidatorStakeMap, len(validatorSet))
+
+	for _, v := range validatorSet {
+		stakeMap[v.Address] = v.Copy()
+	}
+
+	return stakeMap
+}
+
+// AddStake adds given amount to a validator defined by address
+func (sc *ValidatorStakeMap) AddStake(address types.Address, amount *big.Int) {
+	if metadata, exists := (*sc)[address]; exists {
+		metadata.VotingPower.Add(metadata.VotingPower, amount)
+		metadata.IsActive = metadata.VotingPower.Cmp(bigZero) > 0
+	} else {
+		(*sc)[address] = &ValidatorMetadata{
+			VotingPower: new(big.Int).Set(amount),
+			Address:     address,
+			IsActive:    amount.Cmp(bigZero) > 0,
+		}
+	}
+}
+
+// RemoveStake removes given amount from validator defined by address
+func (sc *ValidatorStakeMap) RemoveStake(address types.Address, amount *big.Int) {
+	stakeData := (*sc)[address]
+	stakeData.VotingPower.Sub(stakeData.VotingPower, amount)
+	stakeData.IsActive = stakeData.VotingPower.Cmp(bigZero) > 0
+}
+
+// GetSorted returns validators (*ValidatorMetadata) in sorted order
+func (sc ValidatorStakeMap) GetSorted(maxValidatorSetSize int) AccountSet {
+	activeValidators := make(AccountSet, 0, len(sc))
+
+	for _, v := range sc {
+		if v.VotingPower.Cmp(bigZero) > 0 {
+			activeValidators = append(activeValidators, v)
+		}
+	}
+
+	sort.Slice(activeValidators, func(i, j int) bool {
+		v1, v2 := activeValidators[i], activeValidators[j]
+
+		switch v1.VotingPower.Cmp(v2.VotingPower) {
+		case 1:
+			return true
+		case 0:
+			return bytes.Compare(v1.Address[:], v2.Address[:]) < 0
+		default:
+			return false
+		}
+	})
+
+	if len(activeValidators) <= maxValidatorSetSize {
+		return activeValidators
+	}
+
+	return activeValidators[:maxValidatorSetSize]
+}
+
+func (sc ValidatorStakeMap) String() string {
+	var sb strings.Builder
+
+	for _, x := range sc.GetSorted(len(sc)) {
+		bls := ""
+		if x.BlsKey != nil {
+			bls = hex.EncodeToString(x.BlsKey.Marshal())
+		}
+
+		sb.WriteString(fmt.Sprintf("%s:%s:%s:%t\n",
+			x.Address, x.VotingPower, bls, x.IsActive))
+	}
+
+	return sb.String()
+}
diff --git a/consensus/polybft/validators_snapshot_test.go b/consensus/polybft/validators_snapshot_test.go
deleted file mode 100644
index b1b12cabce..0000000000
--- a/consensus/polybft/validators_snapshot_test.go
+++ /dev/null
@@ -1,423 +0,0 @@
-package polybft
-
-import (
-	"fmt"
-	"testing"
-	"time"
-
-	"github.com/0xPolygon/polygon-edge/consensus/polybft/validator"
-	"github.com/0xPolygon/polygon-edge/types"
-	"github.com/hashicorp/go-hclog"
-	"github.com/stretchr/testify/assert"
-	"github.com/stretchr/testify/mock"
-	"github.com/stretchr/testify/require"
-)
-
-func TestValidatorsSnapshotCache_GetSnapshot_Build(t *testing.T) {
-	t.Parallel()
-	assertions := require.New(t)
-
-	const (
-		totalValidators  = 10
-		validatorSetSize = 5
-		epochSize        = uint64(10)
-	)
-
-	allValidators := validator.NewTestValidators(t, totalValidators).GetPublicIdentities()
-
-	var oddValidators, evenValidators validator.AccountSet
-
-	for i := 0; i < totalValidators; i++ {
-		if i%2 == 0 {
-			evenValidators = append(evenValidators, allValidators[i])
-		} else {
-			oddValidators = append(oddValidators, allValidators[i])
-		}
-	}
-
-	headersMap := &testHeadersMap{headersByNumber: make(map[uint64]*types.Header)}
-
-	createHeaders(t, headersMap, 0, epochSize-1, 1, nil, allValidators[:validatorSetSize])
-	createHeaders(t, headersMap, epochSize, 2*epochSize-1, 2, allValidators[:validatorSetSize], allValidators[validatorSetSize:])
-	createHeaders(t, headersMap, 2*epochSize, 3*epochSize-1, 3, allValidators[validatorSetSize:], oddValidators)
-	createHeaders(t, headersMap, 3*epochSize, 4*epochSize-1, 4, oddValidators, evenValidators)
-
-	var cases = []struct {
-		blockNumber       uint64
-		expectedSnapshot  validator.AccountSet
-		validatorsOverlap bool
-		parents           []*types.Header
-	}{
-		{4, allValidators[:validatorSetSize], false, nil},
-		{1 * epochSize, allValidators[validatorSetSize:], false, nil},
-		{13, allValidators[validatorSetSize:], false, nil},
-		{27, oddValidators, true, nil},
-		{36, evenValidators, true, nil},
-		{4, allValidators[:validatorSetSize], false, headersMap.getHeaders()},
-		{13, allValidators[validatorSetSize:], false, headersMap.getHeaders()},
-		{27, oddValidators, true, headersMap.getHeaders()},
-		{36, evenValidators, true, headersMap.getHeaders()},
-	}
-
-	blockchainMock := new(blockchainMock)
-	blockchainMock.On("GetHeaderByNumber", mock.Anything).Return(headersMap.getHeader)
-
-	testValidatorsCache := &testValidatorsCache{
-		validatorsSnapshotCache: newValidatorsSnapshotCache(hclog.NewNullLogger(), newTestState(t), blockchainMock),
-	}
-
-	for _, c := range cases {
-		snapshot, err := testValidatorsCache.GetSnapshot(c.blockNumber, c.parents, nil)
-
-		assertions.NoError(err)
-		assertions.Len(snapshot, c.expectedSnapshot.Len())
-
-		if c.validatorsOverlap {
-			for _, validator := range c.expectedSnapshot {
-				// Order of validators is not preserved, because there are overlapping between validators set.
-				// In that case, at the beginning of the set are the ones preserved from the previous validator set.
-				// Newly validators are added to the end after the one from previous validator set.
-				assertions.True(snapshot.ContainsAddress(validator.Address))
-			}
-		} else {
-			assertions.Equal(c.expectedSnapshot, snapshot)
-		}
-
-		assertions.NoError(testValidatorsCache.cleanValidatorsCache())
-
-		if c.parents != nil {
-			blockchainMock.AssertNotCalled(t, "GetHeaderByNumber")
-		}
-	}
-}
-
-func TestValidatorsSnapshotCache_GetSnapshot_FetchFromCache(t *testing.T) {
-	t.Parallel()
-	require := require.New(t)
-
-	const (
-		totalValidators  = 10
-		validatorSetSize = 5
-	)
-
-	allValidators := validator.NewTestValidators(t, totalValidators).GetPublicIdentities()
-	epochOneValidators := validator.AccountSet{allValidators[0], allValidators[len(allValidators)-1]}
-	epochTwoValidators := allValidators[1 : len(allValidators)-2]
-
-	headersMap := &testHeadersMap{headersByNumber: make(map[uint64]*types.Header)}
-	createHeaders(t, headersMap, 0, 9, 1, nil, allValidators)
-	createHeaders(t, headersMap, 10, 19, 2, allValidators, epochOneValidators)
-	createHeaders(t, headersMap, 20, 29, 3, epochOneValidators, epochTwoValidators)
-
-	blockchainMock := new(blockchainMock)
-	blockchainMock.On("GetHeaderByNumber", mock.Anything).Return(headersMap.getHeader)
-
-	testValidatorsCache := &testValidatorsCache{
-		validatorsSnapshotCache: newValidatorsSnapshotCache(hclog.NewNullLogger(), newTestState(t), blockchainMock),
-	}
-
-	require.NoError(testValidatorsCache.storeSnapshot(&validatorSnapshot{1, 10, epochOneValidators}, nil))
-	require.NoError(testValidatorsCache.storeSnapshot(&validatorSnapshot{2, 20, epochTwoValidators}, nil))
-
-	// Fetch snapshot from in memory cache
-	snapshot, err := testValidatorsCache.GetSnapshot(10, nil, nil)
-	require.NoError(err)
-	require.Equal(epochOneValidators, snapshot)
-
-	// Invalidate in memory cache
-	testValidatorsCache.snapshots = map[uint64]*validatorSnapshot{}
-	require.NoError(testValidatorsCache.state.EpochStore.removeAllValidatorSnapshots())
-	// Fetch snapshot from database
-	snapshot, err = testValidatorsCache.GetSnapshot(10, nil, nil)
-	require.NoError(err)
-	require.Equal(epochOneValidators, snapshot)
-
-	snapshot, err = testValidatorsCache.GetSnapshot(20, nil, nil)
-	require.NoError(err)
-	require.Equal(epochTwoValidators, snapshot)
-}
-
-func TestValidatorsSnapshotCache_Cleanup(t *testing.T) {
-	t.Parallel()
-	require := require.New(t)
-
-	blockchainMock := new(blockchainMock)
-	cache := &testValidatorsCache{
-		validatorsSnapshotCache: newValidatorsSnapshotCache(hclog.NewNullLogger(), newTestState(t), blockchainMock),
-	}
-	snapshot := validator.NewTestValidators(t, 3).GetPublicIdentities()
-	maxEpoch := uint64(0)
-
-	for i := uint64(0); i < validatorSnapshotLimit; i++ {
-		require.NoError(cache.storeSnapshot(&validatorSnapshot{i, i * 10, snapshot}, nil))
-
-		maxEpoch++
-	}
-
-	require.NoError(cache.cleanup(nil))
-
-	// assertions for remaining snapshots in the in memory cache
-	require.Len(cache.snapshots, numberOfSnapshotsToLeaveInMemory)
-
-	currentEpoch := maxEpoch
-
-	for i := 0; i < numberOfSnapshotsToLeaveInMemory; i++ {
-		currentEpoch--
-		currentSnapshot, snapExists := cache.snapshots[currentEpoch]
-		require.True(snapExists, fmt.Sprintf("failed to fetch in memory snapshot for epoch %d", currentEpoch))
-		require.Equal(snapshot, currentSnapshot.Snapshot, fmt.Sprintf("snapshots for epoch %d are not equal", currentEpoch))
-	}
-
-	stats, err := cache.state.EpochStore.validatorSnapshotsDBStats()
-	require.NoError(err)
-
-	// assertions for remaining snapshots in database
-	require.Equal(stats.KeyN, numberOfSnapshotsToLeaveInDB)
-
-	currentEpoch = maxEpoch
-
-	for i := 0; i < numberOfSnapshotsToLeaveInDB; i++ {
-		currentEpoch--
-		currentSnapshot, err := cache.state.EpochStore.getValidatorSnapshot(currentEpoch)
-		require.NoError(err, fmt.Sprintf("failed to fetch database snapshot for epoch %d", currentEpoch))
-		require.Equal(snapshot, currentSnapshot.Snapshot, fmt.Sprintf("snapshots for epoch %d are not equal", currentEpoch))
-	}
-}
-
-func TestValidatorsSnapshotCache_ComputeSnapshot_UnknownBlock(t *testing.T) {
-	t.Parallel()
-	assertions := assert.New(t)
-
-	const (
-		totalValidators  = 15
-		validatorSetSize = totalValidators / 2
-		epochSize        = uint64(10)
-	)
-
-	allValidators := validator.NewTestValidators(t, totalValidators).GetPublicIdentities()
-	headersMap := &testHeadersMap{}
-	headersMap.addHeader(createValidatorDeltaHeader(t, 0, 0, nil, allValidators[:validatorSetSize]))
-	headersMap.addHeader(createValidatorDeltaHeader(t, 1*epochSize, 1, allValidators[:validatorSetSize], allValidators[validatorSetSize:]))
-
-	blockchainMock := new(blockchainMock)
-	blockchainMock.On("GetHeaderByNumber", mock.Anything).Return(headersMap.getHeader)
-
-	testValidatorsCache := &testValidatorsCache{
-		validatorsSnapshotCache: newValidatorsSnapshotCache(hclog.NewNullLogger(), newTestState(t), blockchainMock),
-	}
-
-	snapshot, err := testValidatorsCache.computeSnapshot(nil, 5*epochSize, nil)
-	assertions.Nil(snapshot)
-	assertions.ErrorContains(err, "unknown block. Block number=50")
-}
-
-func TestValidatorsSnapshotCache_ComputeSnapshot_IncorrectExtra(t *testing.T) {
-	t.Parallel()
-	assertions := assert.New(t)
-
-	const (
-		totalValidators  = 6
-		validatorSetSize = totalValidators / 2
-		epochSize        = uint64(10)
-	)
-
-	allValidators := validator.NewTestValidators(t, totalValidators).GetPublicIdentities()
-	headersMap := &testHeadersMap{}
-	invalidHeader := createValidatorDeltaHeader(t, 1*epochSize, 1, allValidators[:validatorSetSize], allValidators[validatorSetSize:])
-	invalidHeader.ExtraData = []byte{0x2, 0x7}
-	headersMap.addHeader(invalidHeader)
-
-	blockchainMock := new(blockchainMock)
-	blockchainMock.On("GetHeaderByNumber", mock.Anything).Return(headersMap.getHeader)
-
-	testValidatorsCache := &testValidatorsCache{
-		validatorsSnapshotCache: newValidatorsSnapshotCache(hclog.NewNullLogger(), newTestState(t), blockchainMock),
-	}
-
-	snapshot, err := testValidatorsCache.computeSnapshot(nil, 1*epochSize, nil)
-	assertions.Nil(snapshot)
-	assertions.ErrorContains(err, "failed to decode extra from the block#10: wrong extra size: 2")
-}
-
-func TestValidatorsSnapshotCache_ComputeSnapshot_ApplyDeltaFail(t *testing.T) {
-	t.Parallel()
-	assertions := assert.New(t)
-
-	const (
-		totalValidators  = 6
-		validatorSetSize = totalValidators / 2
-		epochSize        = uint64(10)
-	)
-
-	allValidators := validator.NewTestValidators(t, totalValidators).GetPublicIdentities()
-	headersMap := &testHeadersMap{}
-	headersMap.addHeader(createValidatorDeltaHeader(t, 0, 0, nil, allValidators[:validatorSetSize]))
-	headersMap.addHeader(createValidatorDeltaHeader(t, 1*epochSize, 1, nil, allValidators[:validatorSetSize]))
-
-	blockchainMock := new(blockchainMock)
-	blockchainMock.On("GetHeaderByNumber", mock.Anything).Return(headersMap.getHeader)
-
-	testValidatorsCache := &testValidatorsCache{
-		validatorsSnapshotCache: newValidatorsSnapshotCache(hclog.NewNullLogger(), newTestState(t), blockchainMock),
-	}
-
-	snapshot, err := testValidatorsCache.computeSnapshot(&validatorSnapshot{0, 0, allValidators}, 1*epochSize, nil)
-	assertions.Nil(snapshot)
-	assertions.ErrorContains(err, "failed to apply delta to the validators snapshot, block#10")
-}
-
-func TestValidatorsSnapshotCache_Empty(t *testing.T) {
-	t.Parallel()
-
-	headersMap := &testHeadersMap{headersByNumber: make(map[uint64]*types.Header)}
-
-	createHeaders(t, headersMap, 0, 1, 1, nil, nil)
-
-	blockchainMock := new(blockchainMock)
-	blockchainMock.On("GetHeaderByNumber", mock.Anything).Return(headersMap.getHeader)
-
-	testValidatorsCache := &testValidatorsCache{
-		validatorsSnapshotCache: newValidatorsSnapshotCache(hclog.NewNullLogger(), newTestState(t), blockchainMock),
-	}
-
-	_, err := testValidatorsCache.GetSnapshot(1, nil, nil)
-	assert.ErrorContains(t, err, "validator snapshot is empty for block")
-}
-
-func TestValidatorsSnapshotCache_HugeBuild(t *testing.T) {
-	t.Parallel()
-
-	type epochValidatorSetIndexes struct {
-		firstValIndex int
-		lastValIndex  int
-	}
-
-	const (
-		epochSize                 = uint64(10)
-		lastBlock                 = uint64(100_000)
-		numOfEpochsToChangeValSet = 50
-		totalValidators           = 20
-		validatorSetSize          = 5
-	)
-
-	allValidators := validator.NewTestValidators(t, totalValidators).GetPublicIdentities()
-	headersMap := &testHeadersMap{headersByNumber: make(map[uint64]*types.Header)}
-
-	oldValidators := allValidators[:validatorSetSize]
-	newValidators := oldValidators
-	firstValIndex := 0
-	lastValIndex := validatorSetSize
-	epochValidators := map[uint64]epochValidatorSetIndexes{}
-
-	// create headers for the first epoch separately
-	createHeaders(t, headersMap, 0, epochSize-1, 1, nil, newValidators)
-
-	for i := epochSize; i < lastBlock; i += epochSize {
-		from := i
-		to := i + epochSize - 1
-		epoch := i/epochSize + 1
-
-		oldValidators = newValidators
-
-		if epoch%numOfEpochsToChangeValSet == 0 {
-			// every n epochs, change validators
-			firstValIndex = lastValIndex
-			lastValIndex += validatorSetSize
-
-			if lastValIndex > totalValidators {
-				firstValIndex = 0
-				lastValIndex = validatorSetSize
-			}
-
-			newValidators = allValidators[firstValIndex:lastValIndex]
-		}
-
-		epochValidators[epoch] = epochValidatorSetIndexes{firstValIndex, lastValIndex}
-
-		createHeaders(t, headersMap, from, to, epoch, oldValidators, newValidators)
-	}
-
-	blockchainMock := new(blockchainMock)
-	blockchainMock.On("GetHeaderByNumber", mock.Anything).Return(headersMap.getHeader)
-
-	validatorsSnapshotCache := newValidatorsSnapshotCache(hclog.NewNullLogger(), newTestState(t), blockchainMock)
-
-	s := time.Now().UTC()
-
-	snapshot, err := validatorsSnapshotCache.GetSnapshot(lastBlock-epochSize, nil, nil)
-
-	t.Log("Time needed to calculate snapshot:", time.Since(s))
-
-	require.NoError(t, err)
-	require.NotNil(t, snapshot)
-	require.NotEmpty(t, snapshot)
-
-	// check if the validators of random epochs are as expected
-	snapshot, err = validatorsSnapshotCache.GetSnapshot(46, nil, nil) // epoch 5 where validator set did not change
-	require.NoError(t, err)
-
-	epochValIndexes, ok := epochValidators[5]
-	require.True(t, ok)
-	require.True(t, allValidators[epochValIndexes.firstValIndex:epochValIndexes.lastValIndex].Equals(snapshot))
-
-	snapshot, err = validatorsSnapshotCache.GetSnapshot(numOfEpochsToChangeValSet*epochSize, nil, nil) // epoch 50 where validator set was changed
-	require.NoError(t, err)
-
-	epochValIndexes, ok = epochValidators[numOfEpochsToChangeValSet]
-	require.True(t, ok)
-	require.True(t, allValidators[epochValIndexes.firstValIndex:epochValIndexes.lastValIndex].Equals(snapshot))
-
-	snapshot, err = validatorsSnapshotCache.GetSnapshot(2*numOfEpochsToChangeValSet*epochSize, nil, nil) // epoch 100 where validator set was changed
-	require.NoError(t, err)
-
-	epochValIndexes, ok = epochValidators[2*numOfEpochsToChangeValSet]
-	require.True(t, ok)
-	require.True(t, allValidators[epochValIndexes.firstValIndex:epochValIndexes.lastValIndex].Equals(snapshot))
-
-	snapshot, err = validatorsSnapshotCache.GetSnapshot(57903, nil, nil) // epoch 5790 where validator set did not change
-	require.NoError(t, err)
-
-	epochValIndexes, ok = epochValidators[57903/epochSize+1]
-	require.True(t, ok)
-	require.True(t, allValidators[epochValIndexes.firstValIndex:epochValIndexes.lastValIndex].Equals(snapshot))
-
-	snapshot, err = validatorsSnapshotCache.GetSnapshot(99991, nil, nil) // epoch 10000 where validator set did not change
-	require.NoError(t, err)
-
-	epochValIndexes, ok = epochValidators[99991/epochSize+1]
-	require.True(t, ok)
-	require.True(t, allValidators[epochValIndexes.firstValIndex:epochValIndexes.lastValIndex].Equals(snapshot))
-}
-
-func createHeaders(t *testing.T, headersMap *testHeadersMap,
-	fromBlock, toBlock, epoch uint64, oldValidators, newValidators validator.AccountSet) {
-	t.Helper()
-
-	headersMap.addHeader(createValidatorDeltaHeader(t, fromBlock, epoch-1, oldValidators, newValidators))
-
-	for i := fromBlock + 1; i <= toBlock; i++ {
-		headersMap.addHeader(createValidatorDeltaHeader(t, i, epoch, nil, nil))
-	}
-}
-
-func createValidatorDeltaHeader(t *testing.T, blockNumber, epoch uint64, oldValidatorSet, newValidatorSet validator.AccountSet) *types.Header {
-	t.Helper()
-
-	delta, _ := validator.CreateValidatorSetDelta(oldValidatorSet, newValidatorSet)
-	extra := &Extra{Validators: delta, BlockMetaData: &BlockMetaData{EpochNumber: epoch}}
-
-	return &types.Header{
-		Number:    blockNumber,
-		ExtraData: extra.MarshalRLPTo(nil),
-	}
-}
-
-type testValidatorsCache struct {
-	*validatorsSnapshotCache
-}
-
-func (c *testValidatorsCache) cleanValidatorsCache() error {
-	c.snapshots = make(map[uint64]*validatorSnapshot)
-
-	return c.state.EpochStore.removeAllValidatorSnapshots()
-}
diff --git a/e2e-polybft/e2e/bridge_test.go b/e2e-polybft/e2e/bridge_test.go
index 16050bb764..680ac42ce2 100644
--- a/e2e-polybft/e2e/bridge_test.go
+++ b/e2e-polybft/e2e/bridge_test.go
@@ -16,8 +16,9 @@ import (
 	"github.com/0xPolygon/polygon-edge/command/bridge/common"
 	bridgeHelper "github.com/0xPolygon/polygon-edge/command/bridge/helper"
 	validatorHelper "github.com/0xPolygon/polygon-edge/command/validator/helper"
-	"github.com/0xPolygon/polygon-edge/consensus/polybft"
+	polycfg "github.com/0xPolygon/polygon-edge/consensus/polybft/config"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/contractsapi"
+	polytypes "github.com/0xPolygon/polygon-edge/consensus/polybft/types"
 	"github.com/0xPolygon/polygon-edge/contracts"
 	"github.com/0xPolygon/polygon-edge/crypto"
 	"github.com/0xPolygon/polygon-edge/e2e-polybft/framework"
@@ -89,7 +90,7 @@ func TestE2E_Bridge_ExternalChainTokensTransfers(t *testing.T) {
 
 	cluster.WaitForReady(t)
 
-	polybftCfg, err := polybft.LoadPolyBFTConfig(path.Join(cluster.Config.TmpDir, chainConfigFileName))
+	polybftCfg, err := polycfg.LoadPolyBFTConfig(path.Join(cluster.Config.TmpDir, chainConfigFileName))
 	require.NoError(t, err)
 
 	validatorSrv := cluster.Servers[0]
@@ -329,7 +330,7 @@ func TestE2E_Bridge_ERC721Transfer(t *testing.T) {
 
 	cluster.WaitForReady(t)
 
-	polybftCfg, err := polybft.LoadPolyBFTConfig(path.Join(cluster.Config.TmpDir, chainConfigFileName))
+	polybftCfg, err := polycfg.LoadPolyBFTConfig(path.Join(cluster.Config.TmpDir, chainConfigFileName))
 	require.NoError(t, err)
 
 	externalChainTxRelayer, err := txrelayer.NewTxRelayer(txrelayer.WithIPAddress(cluster.Bridges[bridgeOne].JSONRPCAddr()))
@@ -437,7 +438,7 @@ func TestE2E_Bridge_ERC721Transfer(t *testing.T) {
 	currentBlock, err := childEthEndpoint.GetBlockByNumber(jsonrpc.LatestBlockNumber, false)
 	require.NoError(t, err)
 
-	currentExtra, err := polybft.GetIbftExtra(currentBlock.Header.ExtraData)
+	currentExtra, err := polytypes.GetIbftExtra(currentBlock.Header.ExtraData)
 	require.NoError(t, err)
 
 	t.Logf("Latest block number: %d, epoch number: %d\n", currentBlock.Number(), currentExtra.BlockMetaData.EpochNumber)
@@ -498,7 +499,7 @@ func TestE2E_Bridge_ERC1155Transfer(t *testing.T) {
 
 	cluster.WaitForReady(t)
 
-	polybftCfg, err := polybft.LoadPolyBFTConfig(path.Join(cluster.Config.TmpDir, chainConfigFileName))
+	polybftCfg, err := polycfg.LoadPolyBFTConfig(path.Join(cluster.Config.TmpDir, chainConfigFileName))
 	require.NoError(t, err)
 
 	externalChainTxRelayer, err := txrelayer.NewTxRelayer(txrelayer.WithIPAddress(cluster.Bridges[bridgeOne].JSONRPCAddr()))
@@ -689,7 +690,7 @@ func TestE2E_Bridge_InternalChainTokensTransfer(t *testing.T) {
 
 	bridgeOne := 0
 
-	polybftCfg, err := polybft.LoadPolyBFTConfig(path.Join(cluster.Config.TmpDir, chainConfigFileName))
+	polybftCfg, err := polycfg.LoadPolyBFTConfig(path.Join(cluster.Config.TmpDir, chainConfigFileName))
 	require.NoError(t, err)
 
 	validatorSrv := cluster.Servers[0]
@@ -973,7 +974,7 @@ func TestE2E_Bridge_Transfers_AccessLists(t *testing.T) {
 
 	cluster.WaitForReady(t)
 
-	polybftCfg, err := polybft.LoadPolyBFTConfig(path.Join(cluster.Config.TmpDir, chainConfigFileName))
+	polybftCfg, err := polycfg.LoadPolyBFTConfig(path.Join(cluster.Config.TmpDir, chainConfigFileName))
 	require.NoError(t, err)
 
 	validatorSrv := cluster.Servers[0]
@@ -1106,7 +1107,7 @@ func TestE2E_Bridge_Transfers_AccessLists(t *testing.T) {
 		currentBlock, err := childEthEndpoint.GetBlockByNumber(jsonrpc.LatestBlockNumber, false)
 		require.NoError(t, err)
 
-		currentExtra, err := polybft.GetIbftExtra(currentBlock.Header.ExtraData)
+		currentExtra, err := polytypes.GetIbftExtra(currentBlock.Header.ExtraData)
 		require.NoError(t, err)
 
 		t.Logf("Latest block number: %d, epoch number: %d\n", currentBlock.Number(), currentExtra.BlockMetaData.EpochNumber)
@@ -1159,7 +1160,7 @@ func TestE2E_Bridge_NonMintableERC20Token_WithPremine(t *testing.T) {
 		framework.WithNumBlockConfirmations(numBlockConfirmations),
 		framework.WithNativeTokenConfig(nativeTokenNonMintableConfig),
 		// this enables London (EIP-1559) fork
-		framework.WithBurnContract(&polybft.BurnContractInfo{
+		framework.WithBurnContract(&polycfg.BurnContractInfo{
 			BlockNumber: 0,
 			Address:     types.StringToAddress("0xBurnContractAddress")}),
 		framework.WithSecretsCallback(func(_ []types.Address, tcc *framework.TestClusterConfig) {
@@ -1195,7 +1196,7 @@ func TestE2E_Bridge_NonMintableERC20Token_WithPremine(t *testing.T) {
 
 	cluster.WaitForReady(t)
 
-	polybftCfg, err := polybft.LoadPolyBFTConfig(path.Join(cluster.Config.TmpDir, chainConfigFileName))
+	polybftCfg, err := polycfg.LoadPolyBFTConfig(path.Join(cluster.Config.TmpDir, chainConfigFileName))
 	require.NoError(t, err)
 
 	bridgeCfg := polybftCfg.Bridge[chainID.Uint64()]
@@ -1295,7 +1296,7 @@ func TestE2E_Bridge_NonMintableERC20Token_WithPremine(t *testing.T) {
 		currentBlock, err := childEthEndpoint.GetBlockByNumber(jsonrpc.LatestBlockNumber, false)
 		require.NoError(t, err)
 
-		currentExtra, err := polybft.GetIbftExtra(currentBlock.Header.ExtraData)
+		currentExtra, err := polytypes.GetIbftExtra(currentBlock.Header.ExtraData)
 		require.NoError(t, err)
 
 		t.Logf("Latest block number: %d, epoch number: %d\n", currentBlock.Number(), currentExtra.BlockMetaData.EpochNumber)
@@ -1431,7 +1432,7 @@ func TestE2E_Bridge_L1OriginatedNativeToken_ERC20StakingToken(t *testing.T) {
 
 	cluster.WaitForReady(t)
 
-	polybftCfg, err := polybft.LoadPolyBFTConfig(path.Join(cluster.Config.TmpDir, chainConfigFileName))
+	polybftCfg, err := polycfg.LoadPolyBFTConfig(path.Join(cluster.Config.TmpDir, chainConfigFileName))
 	require.NoError(t, err)
 
 	// first validator server(minter)
diff --git a/e2e-polybft/e2e/burn_contract_test.go b/e2e-polybft/e2e/burn_contract_test.go
index 96626b7586..ca5824eb0a 100644
--- a/e2e-polybft/e2e/burn_contract_test.go
+++ b/e2e-polybft/e2e/burn_contract_test.go
@@ -3,7 +3,7 @@ package e2e
 import (
 	"testing"
 
-	"github.com/0xPolygon/polygon-edge/consensus/polybft"
+	polycfg "github.com/0xPolygon/polygon-edge/consensus/polybft/config"
 	"github.com/0xPolygon/polygon-edge/crypto"
 	"github.com/0xPolygon/polygon-edge/e2e-polybft/framework"
 	"github.com/0xPolygon/polygon-edge/jsonrpc"
@@ -21,7 +21,7 @@ func TestE2E_BurnContract_Deployed(t *testing.T) {
 		framework.WithBridges(1),
 		framework.WithNativeTokenConfig(nativeTokenNonMintableConfig),
 		framework.WithTestRewardToken(),
-		framework.WithBurnContract(&polybft.BurnContractInfo{
+		framework.WithBurnContract(&polycfg.BurnContractInfo{
 			Address:            contractAddr,
 			DestinationAddress: destinationAddr,
 		}),
diff --git a/e2e-polybft/e2e/consensus_test.go b/e2e-polybft/e2e/consensus_test.go
index 6d39383406..e818417a5c 100644
--- a/e2e-polybft/e2e/consensus_test.go
+++ b/e2e-polybft/e2e/consensus_test.go
@@ -18,8 +18,10 @@ import (
 	"github.com/0xPolygon/polygon-edge/command"
 	"github.com/0xPolygon/polygon-edge/command/genesis"
 	validatorHelper "github.com/0xPolygon/polygon-edge/command/validator/helper"
-	"github.com/0xPolygon/polygon-edge/consensus/polybft"
+	polycfg "github.com/0xPolygon/polygon-edge/consensus/polybft/config"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/contractsapi"
+	systemstate "github.com/0xPolygon/polygon-edge/consensus/polybft/system_state"
+	polytypes "github.com/0xPolygon/polygon-edge/consensus/polybft/types"
 	"github.com/0xPolygon/polygon-edge/contracts"
 	"github.com/0xPolygon/polygon-edge/crypto"
 	"github.com/0xPolygon/polygon-edge/e2e-polybft/framework"
@@ -174,7 +176,7 @@ func TestE2E_Consensus_RegisterValidator(t *testing.T) {
 	relayer, err := txrelayer.NewTxRelayer(txrelayer.WithIPAddress(owner.JSONRPCAddr()))
 	require.NoError(t, err)
 
-	polybftConfig, err := polybft.LoadPolyBFTConfig(path.Join(cluster.Config.TmpDir, chainConfigFileName))
+	polybftConfig, err := polycfg.LoadPolyBFTConfig(path.Join(cluster.Config.TmpDir, chainConfigFileName))
 	require.NoError(t, err)
 
 	// create the first account and extract the address
@@ -197,7 +199,7 @@ func TestE2E_Consensus_RegisterValidator(t *testing.T) {
 	genesisBlock, err := owner.JSONRPC().GetBlockByNumber(0, false)
 	require.NoError(t, err)
 
-	_, err = polybft.GetIbftExtra(genesisBlock.Header.ExtraData)
+	_, err = polytypes.GetIbftExtra(genesisBlock.Header.ExtraData)
 	require.NoError(t, err)
 
 	// owner whitelists both new validators
@@ -315,7 +317,7 @@ func TestE2E_Consensus_Validator_Unstake(t *testing.T) {
 		}),
 	)
 
-	polybftCfg, err := polybft.LoadPolyBFTConfig(path.Join(cluster.Config.TmpDir, chainConfigFileName))
+	polybftCfg, err := polycfg.LoadPolyBFTConfig(path.Join(cluster.Config.TmpDir, chainConfigFileName))
 	require.NoError(t, err)
 
 	srv := cluster.Servers[0]
@@ -546,7 +548,7 @@ func TestE2E_Consensus_EIP1559Check(t *testing.T) {
 	cluster := framework.NewTestCluster(t, 5,
 		framework.WithBridges(1),
 		framework.WithNativeTokenConfig(nativeTokenNonMintableConfig),
-		framework.WithBurnContract(&polybft.BurnContractInfo{BlockNumber: 0, Address: burnContractAddr}),
+		framework.WithBurnContract(&polycfg.BurnContractInfo{BlockNumber: 0, Address: burnContractAddr}),
 		framework.WithSecretsCallback(func(a []types.Address, config *framework.TestClusterConfig) {
 			for range a {
 				config.StakeAmounts = append(config.StakeAmounts, command.DefaultPremineBalance)
@@ -692,7 +694,7 @@ func TestE2E_Consensus_ChangeVotingPowerByStakingPendingRewards(t *testing.T) {
 	// waiting two epochs, so that some rewards get accumulated
 	require.NoError(t, cluster.WaitForBlock(epochEndingBlock, 1*time.Minute))
 
-	queryValidators := func(handler func(idx int, validatorInfo *polybft.ValidatorInfo)) {
+	queryValidators := func(handler func(idx int, validatorInfo *systemstate.ValidatorInfo)) {
 		for i, validatorAddr := range votingPowerChangeValidators {
 			// query validator info
 			validatorInfo, err := validatorHelper.GetValidatorInfo(
@@ -707,9 +709,9 @@ func TestE2E_Consensus_ChangeVotingPowerByStakingPendingRewards(t *testing.T) {
 	bigZero := big.NewInt(0)
 
 	// validatorsMap holds only changed validators
-	validatorsMap := make(map[types.Address]*polybft.ValidatorInfo, votingPowerChanges)
+	validatorsMap := make(map[types.Address]*systemstate.ValidatorInfo, votingPowerChanges)
 
-	queryValidators(func(idx int, validator *polybft.ValidatorInfo) {
+	queryValidators(func(idx int, validator *systemstate.ValidatorInfo) {
 		t.Logf("[Validator#%d] Voting power (original)=%d, rewards=%d\n",
 			idx+1, validator.Stake, validator.WithdrawableRewards)
 
@@ -726,7 +728,7 @@ func TestE2E_Consensus_ChangeVotingPowerByStakingPendingRewards(t *testing.T) {
 		require.NoError(t, validatorSrv.Stake(types.ZeroAddress, validator.WithdrawableRewards))
 	})
 
-	queryValidators(func(idx int, validator *polybft.ValidatorInfo) {
+	queryValidators(func(idx int, validator *systemstate.ValidatorInfo) {
 		t.Logf("[Validator#%d] Voting power (after stake)=%d\n", idx+1, validator.Stake)
 
 		previousValidatorInfo := validatorsMap[validator.Address]
@@ -752,7 +754,7 @@ func TestE2E_Consensus_ChangeVotingPowerByStakingPendingRewards(t *testing.T) {
 
 		epochEndingBlock += epochSize
 
-		currentExtra, err := polybft.GetIbftExtra(latestBlock.Header.ExtraData)
+		currentExtra, err := polytypes.GetIbftExtra(latestBlock.Header.ExtraData)
 		require.NoError(t, err)
 
 		if currentExtra.Validators == nil || currentExtra.Validators.IsEmpty() {
diff --git a/e2e-polybft/e2e/governance_test.go b/e2e-polybft/e2e/governance_test.go
index d4f56d2725..e1a8ad8ceb 100644
--- a/e2e-polybft/e2e/governance_test.go
+++ b/e2e-polybft/e2e/governance_test.go
@@ -8,8 +8,9 @@ import (
 	"time"
 
 	"github.com/0xPolygon/polygon-edge/command/validator/helper"
-	"github.com/0xPolygon/polygon-edge/consensus/polybft"
+	polycfg "github.com/0xPolygon/polygon-edge/consensus/polybft/config"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/contractsapi"
+	polytypes "github.com/0xPolygon/polygon-edge/consensus/polybft/types"
 	"github.com/0xPolygon/polygon-edge/crypto"
 	"github.com/0xPolygon/polygon-edge/e2e-polybft/framework"
 	"github.com/0xPolygon/polygon-edge/helper/common"
@@ -61,7 +62,7 @@ func TestE2E_Governance_ProposeAndExecuteSimpleProposal(t *testing.T) {
 	relayer, err := txrelayer.NewTxRelayer(txrelayer.WithClient(proposer.JSONRPC()))
 	require.NoError(t, err)
 
-	polybftCfg, err := polybft.LoadPolyBFTConfig(path.Join(cluster.Config.TmpDir, chainConfigFileName))
+	polybftCfg, err := polycfg.LoadPolyBFTConfig(path.Join(cluster.Config.TmpDir, chainConfigFileName))
 	require.NoError(t, err)
 
 	executeSuccessfulProposalCycle := func(t *testing.T,
@@ -161,7 +162,7 @@ func TestE2E_Governance_ProposeAndExecuteSimpleProposal(t *testing.T) {
 			jsonrpc.BlockNumber(endOfPreviousEpoch), false)
 		require.NoError(t, err)
 
-		extra, err := polybft.GetIbftExtra(block.Header.ExtraData)
+		extra, err := polytypes.GetIbftExtra(block.Header.ExtraData)
 		require.NoError(t, err)
 
 		oldEpoch := extra.BlockMetaData.EpochNumber
@@ -170,7 +171,7 @@ func TestE2E_Governance_ProposeAndExecuteSimpleProposal(t *testing.T) {
 			jsonrpc.BlockNumber(endOfNewEpoch), false)
 		require.NoError(t, err)
 
-		extra, err = polybft.GetIbftExtra(block.Header.ExtraData)
+		extra, err = polytypes.GetIbftExtra(block.Header.ExtraData)
 		require.NoError(t, err)
 
 		newEpoch := extra.BlockMetaData.EpochNumber
diff --git a/e2e-polybft/e2e/jsonrpc_test.go b/e2e-polybft/e2e/jsonrpc_test.go
index 9432237dba..64ec82e98e 100644
--- a/e2e-polybft/e2e/jsonrpc_test.go
+++ b/e2e-polybft/e2e/jsonrpc_test.go
@@ -11,7 +11,7 @@ import (
 	"github.com/Ethernal-Tech/ethgo"
 	"github.com/stretchr/testify/require"
 
-	"github.com/0xPolygon/polygon-edge/consensus/polybft"
+	polycfg "github.com/0xPolygon/polygon-edge/consensus/polybft/config"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/contractsapi"
 	"github.com/0xPolygon/polygon-edge/crypto"
 	"github.com/0xPolygon/polygon-edge/e2e-polybft/framework"
@@ -38,7 +38,7 @@ func TestE2E_JsonRPC(t *testing.T) {
 	cluster := framework.NewTestCluster(t, 4,
 		framework.WithEpochSize(int(epochSize)),
 		framework.WithPremine(preminedAcctOne.Address(), preminedAcctTwo.Address()),
-		framework.WithBurnContract(&polybft.BurnContractInfo{BlockNumber: 0, Address: types.ZeroAddress}),
+		framework.WithBurnContract(&polycfg.BurnContractInfo{BlockNumber: 0, Address: types.ZeroAddress}),
 		framework.WithHTTPS(),
 		framework.WithTLSCertificate("/etc/ssl/certs/localhost.pem", "/etc/ssl/private/localhost.key"),
 	)
diff --git a/e2e-polybft/e2e/storage_test.go b/e2e-polybft/e2e/storage_test.go
index f95367646f..e3dddf13e2 100644
--- a/e2e-polybft/e2e/storage_test.go
+++ b/e2e-polybft/e2e/storage_test.go
@@ -12,7 +12,7 @@ import (
 	"github.com/stretchr/testify/assert"
 	"github.com/stretchr/testify/require"
 
-	"github.com/0xPolygon/polygon-edge/consensus/polybft"
+	polycfg "github.com/0xPolygon/polygon-edge/consensus/polybft/config"
 	"github.com/0xPolygon/polygon-edge/crypto"
 	"github.com/0xPolygon/polygon-edge/e2e-polybft/framework"
 	"github.com/0xPolygon/polygon-edge/types"
@@ -24,7 +24,7 @@ func TestE2E_Storage(t *testing.T) {
 
 	cluster := framework.NewTestCluster(t, 5,
 		framework.WithPremine(sender.Address()),
-		framework.WithBurnContract(&polybft.BurnContractInfo{BlockNumber: 0, Address: types.ZeroAddress}),
+		framework.WithBurnContract(&polycfg.BurnContractInfo{BlockNumber: 0, Address: types.ZeroAddress}),
 	)
 	defer cluster.Stop()
 
diff --git a/e2e-polybft/e2e/txpool_test.go b/e2e-polybft/e2e/txpool_test.go
index 2620cae263..644385e453 100644
--- a/e2e-polybft/e2e/txpool_test.go
+++ b/e2e-polybft/e2e/txpool_test.go
@@ -11,7 +11,7 @@ import (
 	"github.com/stretchr/testify/assert"
 	"github.com/stretchr/testify/require"
 
-	"github.com/0xPolygon/polygon-edge/consensus/polybft"
+	polycfg "github.com/0xPolygon/polygon-edge/consensus/polybft/config"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/contractsapi"
 	"github.com/0xPolygon/polygon-edge/crypto"
 	"github.com/0xPolygon/polygon-edge/e2e-polybft/framework"
@@ -26,7 +26,7 @@ func TestE2E_TxPool_Transfer(t *testing.T) {
 
 	cluster := framework.NewTestCluster(t, 5,
 		framework.WithPremine(sender.Address()),
-		framework.WithBurnContract(&polybft.BurnContractInfo{BlockNumber: 0, Address: types.ZeroAddress}),
+		framework.WithBurnContract(&polycfg.BurnContractInfo{BlockNumber: 0, Address: types.ZeroAddress}),
 	)
 	defer cluster.Stop()
 
@@ -112,7 +112,7 @@ func TestE2E_TxPool_Transfer_Linear(t *testing.T) {
 	// first account should have some matics premined
 	cluster := framework.NewTestCluster(t, 5,
 		framework.WithPremine(premine.Address()),
-		framework.WithBurnContract(&polybft.BurnContractInfo{BlockNumber: 0, Address: types.ZeroAddress}),
+		framework.WithBurnContract(&polycfg.BurnContractInfo{BlockNumber: 0, Address: types.ZeroAddress}),
 	)
 	defer cluster.Stop()
 
@@ -251,7 +251,7 @@ func TestE2E_TxPool_BroadcastTransactions(t *testing.T) {
 	// First account should have some matics premined
 	cluster := framework.NewTestCluster(t, 5,
 		framework.WithPremine(sender.Address()),
-		framework.WithBurnContract(&polybft.BurnContractInfo{BlockNumber: 0, Address: types.ZeroAddress}),
+		framework.WithBurnContract(&polycfg.BurnContractInfo{BlockNumber: 0, Address: types.ZeroAddress}),
 	)
 	defer cluster.Stop()
 
diff --git a/e2e-polybft/framework/test-bridge.go b/e2e-polybft/framework/test-bridge.go
index 06984b4a40..08efbe557c 100644
--- a/e2e-polybft/framework/test-bridge.go
+++ b/e2e-polybft/framework/test-bridge.go
@@ -17,7 +17,7 @@ import (
 	"github.com/0xPolygon/polygon-edge/command/genesis"
 	cmdHelper "github.com/0xPolygon/polygon-edge/command/helper"
 	polybftsecrets "github.com/0xPolygon/polygon-edge/command/secrets/init"
-	"github.com/0xPolygon/polygon-edge/consensus/polybft"
+	polycfg "github.com/0xPolygon/polygon-edge/consensus/polybft/config"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/wallet"
 	"github.com/0xPolygon/polygon-edge/types"
 	"golang.org/x/sync/errgroup"
@@ -326,7 +326,7 @@ func (t *TestBridge) deployExternalChainContracts(genesisPath string) error {
 }
 
 // fundAddressesOnRoot sends predefined amount of tokens to external chain addresses
-func (t *TestBridge) fundAddressesOnRoot(polybftConfig polybft.PolyBFTConfig) error {
+func (t *TestBridge) fundAddressesOnRoot(polybftConfig polycfg.PolyBFT) error {
 	validatorSecrets, err := genesis.GetValidatorKeyFiles(t.clusterConfig.TmpDir, t.clusterConfig.ValidatorPrefix)
 	if err != nil {
 		return fmt.Errorf("could not get validator secrets on initial external chain funding of genesis validators: %w", err)
@@ -404,8 +404,8 @@ func (t *TestBridge) FundValidators(secretsPaths []string, amounts []*big.Int) e
 }
 
 // mintNativeRootToken mints native er20 token on root for provided validators and other accounts in premine flag
-func (t *TestBridge) mintNativeRootToken(validatorAddresses []types.Address, tokenConfig *polybft.TokenConfig,
-	polybftConfig polybft.PolyBFTConfig) error {
+func (t *TestBridge) mintNativeRootToken(validatorAddresses []types.Address, tokenConfig *polycfg.Token,
+	polybftConfig polycfg.PolyBFT) error {
 	if tokenConfig.IsMintable {
 		// if token is mintable, it is premined in genesis command,
 		// so we just return here
@@ -447,8 +447,8 @@ func (t *TestBridge) mintNativeRootToken(validatorAddresses []types.Address, tok
 }
 
 // premineNativeRootToken will premine token on root for every validator and other addresses in premine flag
-func (t *TestBridge) premineNativeRootToken(genesisPath string, tokenConfig *polybft.TokenConfig,
-	polybftConfig polybft.PolyBFTConfig) error {
+func (t *TestBridge) premineNativeRootToken(genesisPath string, tokenConfig *polycfg.Token,
+	polybftConfig polycfg.PolyBFT) error {
 	if tokenConfig.IsMintable {
 		// if token is mintable, it is premined in genesis command,
 		// so we just return here
@@ -550,7 +550,7 @@ func (t *TestBridge) calculatePort() uint64 {
 }
 
 // finalizeGenesis finalizes genesis on BladeManager contract on root
-func (t *TestBridge) finalizeGenesis(genesisPath string, tokenConfig *polybft.TokenConfig) error {
+func (t *TestBridge) finalizeGenesis(genesisPath string, tokenConfig *polycfg.Token) error {
 	if tokenConfig.IsMintable {
 		// we don't need to finalize anything when we have mintable (child originated) token
 		return nil
diff --git a/e2e-polybft/framework/test-cluster.go b/e2e-polybft/framework/test-cluster.go
index 3974870189..0fe3aa50cf 100644
--- a/e2e-polybft/framework/test-cluster.go
+++ b/e2e-polybft/framework/test-cluster.go
@@ -19,7 +19,7 @@ import (
 
 	"github.com/0xPolygon/polygon-edge/command"
 	"github.com/0xPolygon/polygon-edge/command/genesis"
-	"github.com/0xPolygon/polygon-edge/consensus/polybft"
+	polycfg "github.com/0xPolygon/polygon-edge/consensus/polybft/config"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/contractsapi"
 	"github.com/0xPolygon/polygon-edge/crypto"
 	"github.com/0xPolygon/polygon-edge/helper/common"
@@ -104,7 +104,7 @@ type TestClusterConfig struct {
 	TmpDir               string
 	BlockGasLimit        uint64
 	BlockTime            time.Duration
-	BurnContract         *polybft.BurnContractInfo
+	BurnContract         *polycfg.BurnContractInfo
 	ValidatorPrefix      string
 	Binary               string
 	ValidatorSetSize     uint64
@@ -321,7 +321,7 @@ func WithBlockGasLimit(blockGasLimit uint64) ClusterOption {
 	}
 }
 
-func WithBurnContract(burnContract *polybft.BurnContractInfo) ClusterOption {
+func WithBurnContract(burnContract *polycfg.BurnContractInfo) ClusterOption {
 	return func(h *TestClusterConfig) {
 		h.BurnContract = burnContract
 	}
@@ -616,7 +616,7 @@ func NewTestCluster(t *testing.T, validatorsCount int, opts ...ClusterOption) *T
 			args = append(args, "--native-token-config", cluster.Config.NativeTokenConfigRaw)
 		}
 
-		tokenConfig, err := polybft.ParseRawTokenConfig(cluster.Config.NativeTokenConfigRaw)
+		tokenConfig, err := polycfg.ParseRawTokenConfig(cluster.Config.NativeTokenConfigRaw)
 		require.NoError(t, err)
 
 		if len(cluster.Config.Premine) != 0 && tokenConfig.IsMintable {
@@ -760,10 +760,10 @@ func NewTestCluster(t *testing.T, validatorsCount int, opts ...ClusterOption) *T
 		err = bridge.deployExternalChainContracts(genesisPath)
 		require.NoError(t, err)
 
-		polybftConfig, err := polybft.LoadPolyBFTConfig(genesisPath)
+		polybftConfig, err := polycfg.LoadPolyBFTConfig(genesisPath)
 		require.NoError(t, err)
 
-		tokenConfig, err := polybft.ParseRawTokenConfig(cluster.Config.NativeTokenConfigRaw)
+		tokenConfig, err := polycfg.ParseRawTokenConfig(cluster.Config.NativeTokenConfigRaw)
 		require.NoError(t, err)
 
 		// fund addresses on the bridge chain
diff --git a/e2e-polybft/framework/test-server.go b/e2e-polybft/framework/test-server.go
index e283a722b9..8fb246ce15 100644
--- a/e2e-polybft/framework/test-server.go
+++ b/e2e-polybft/framework/test-server.go
@@ -14,7 +14,7 @@ import (
 
 	polybftsecrets "github.com/0xPolygon/polygon-edge/command/secrets/init"
 	validatorHelper "github.com/0xPolygon/polygon-edge/command/validator/helper"
-	"github.com/0xPolygon/polygon-edge/consensus/polybft"
+	polytypes "github.com/0xPolygon/polygon-edge/consensus/polybft/types"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/validator"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/wallet"
 	"github.com/0xPolygon/polygon-edge/jsonrpc"
@@ -380,7 +380,7 @@ func (t *TestServer) HasValidatorSealed(firstBlock, lastBlock uint64, validators
 			return false, err
 		}
 
-		extra, err := polybft.GetIbftExtra(block.Header.ExtraData)
+		extra, err := polytypes.GetIbftExtra(block.Header.ExtraData)
 		if err != nil {
 			return false, err
 		}
diff --git a/loadtest/sanitycheck/sanity_check_register_validator.go b/loadtest/sanitycheck/sanity_check_register_validator.go
index 07973531d0..33d8be4778 100644
--- a/loadtest/sanitycheck/sanity_check_register_validator.go
+++ b/loadtest/sanitycheck/sanity_check_register_validator.go
@@ -4,9 +4,9 @@ import (
 	"fmt"
 	"math/big"
 
-	"github.com/0xPolygon/polygon-edge/consensus/polybft"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/contractsapi"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/signer"
+	polytypes "github.com/0xPolygon/polygon-edge/consensus/polybft/types"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/wallet"
 	"github.com/0xPolygon/polygon-edge/contracts"
 	"github.com/0xPolygon/polygon-edge/crypto"
@@ -95,7 +95,7 @@ func (t *RegisterValidatorTest) runTest() (*wallet.Account, error) {
 		return nil, err
 	}
 
-	extra, err := polybft.GetIbftExtra(epochEndingBlock.ExtraData)
+	extra, err := polytypes.GetIbftExtra(epochEndingBlock.ExtraData)
 	if err != nil {
 		return nil, fmt.Errorf("failed to get ibft extra data for epoch ending block. Error: %w", err)
 	}
diff --git a/loadtest/sanitycheck/sanity_check_stake.go b/loadtest/sanitycheck/sanity_check_stake.go
index ed9730c4c2..d2be7746e8 100644
--- a/loadtest/sanitycheck/sanity_check_stake.go
+++ b/loadtest/sanitycheck/sanity_check_stake.go
@@ -5,8 +5,8 @@ import (
 	"math/big"
 	"time"
 
-	"github.com/0xPolygon/polygon-edge/consensus/polybft"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/contractsapi"
+	polytypes "github.com/0xPolygon/polygon-edge/consensus/polybft/types"
 	"github.com/0xPolygon/polygon-edge/contracts"
 	"github.com/0xPolygon/polygon-edge/crypto"
 	"github.com/0xPolygon/polygon-edge/helper/common"
@@ -95,7 +95,7 @@ func (t *StakeTest) Run() error {
 		return err
 	}
 
-	extra, err := polybft.GetIbftExtra(epochEndingBlock.ExtraData)
+	extra, err := polytypes.GetIbftExtra(epochEndingBlock.ExtraData)
 	if err != nil {
 		return fmt.Errorf("failed to get ibft extra data for epoch ending block. Error: %w", err)
 	}
diff --git a/loadtest/sanitycheck/sanity_check_unstake.go b/loadtest/sanitycheck/sanity_check_unstake.go
index b80764b808..4343db66c9 100644
--- a/loadtest/sanitycheck/sanity_check_unstake.go
+++ b/loadtest/sanitycheck/sanity_check_unstake.go
@@ -5,8 +5,8 @@ import (
 	"math/big"
 	"time"
 
-	"github.com/0xPolygon/polygon-edge/consensus/polybft"
 	"github.com/0xPolygon/polygon-edge/consensus/polybft/contractsapi"
+	polytypes "github.com/0xPolygon/polygon-edge/consensus/polybft/types"
 	"github.com/0xPolygon/polygon-edge/contracts"
 	"github.com/0xPolygon/polygon-edge/crypto"
 	"github.com/0xPolygon/polygon-edge/jsonrpc"
@@ -99,7 +99,7 @@ func (t *UnstakeTest) Run() error {
 		return err
 	}
 
-	extra, err := polybft.GetIbftExtra(epochEndingBlock.ExtraData)
+	extra, err := polytypes.GetIbftExtra(epochEndingBlock.ExtraData)
 	if err != nil {
 		return fmt.Errorf("failed to get ibft extra data for epoch ending block. Error: %w", err)
 	}
diff --git a/loadtest/sanitycheck/sanity_check_unstake_all.go b/loadtest/sanitycheck/sanity_check_unstake_all.go
index f96c5ac56d..647e52541f 100644
--- a/loadtest/sanitycheck/sanity_check_unstake_all.go
+++ b/loadtest/sanitycheck/sanity_check_unstake_all.go
@@ -3,7 +3,7 @@ package sanitycheck
 import (
 	"fmt"
 
-	"github.com/0xPolygon/polygon-edge/consensus/polybft"
+	polytypes "github.com/0xPolygon/polygon-edge/consensus/polybft/types"
 	"github.com/0xPolygon/polygon-edge/crypto"
 	"github.com/0xPolygon/polygon-edge/jsonrpc"
 	"github.com/Ethernal-Tech/ethgo"
@@ -71,7 +71,7 @@ func (t *UnstakeAllTest) Run() error {
 		return err
 	}
 
-	extra, err := polybft.GetIbftExtra(epochEndingBlock.ExtraData)
+	extra, err := polytypes.GetIbftExtra(epochEndingBlock.ExtraData)
 	if err != nil {
 		return fmt.Errorf("failed to get ibft extra data for epoch ending block. Error: %w", err)
 	}
diff --git a/server/builtin.go b/server/builtin.go
index 411d4b35df..ec174e5d9a 100644
--- a/server/builtin.go
+++ b/server/builtin.go
@@ -6,6 +6,7 @@ import (
 	consensusDev "github.com/0xPolygon/polygon-edge/consensus/dev"
 	consensusDummy "github.com/0xPolygon/polygon-edge/consensus/dummy"
 	consensusPolyBFT "github.com/0xPolygon/polygon-edge/consensus/polybft"
+	consensusPolyBFTConfig "github.com/0xPolygon/polygon-edge/consensus/polybft/config"
 	"github.com/0xPolygon/polygon-edge/forkmanager"
 	"github.com/0xPolygon/polygon-edge/secrets"
 	"github.com/0xPolygon/polygon-edge/secrets/awsssm"
@@ -27,7 +28,7 @@ type IsL1OriginatedTokenCheck func(config *chain.Params) (bool, error)
 
 const (
 	DevConsensus     ConsensusType = "dev"
-	PolyBFTConsensus ConsensusType = consensusPolyBFT.ConsensusName
+	PolyBFTConsensus ConsensusType = consensusPolyBFTConfig.ConsensusName
 	DummyConsensus   ConsensusType = "dummy"
 )
 
diff --git a/server/server.go b/server/server.go
index 3126f0dd67..90d9836705 100644
--- a/server/server.go
+++ b/server/server.go
@@ -26,7 +26,7 @@ import (
 	"github.com/0xPolygon/polygon-edge/blockchain/storagev2/memory"
 	"github.com/0xPolygon/polygon-edge/chain"
 	"github.com/0xPolygon/polygon-edge/consensus"
-	consensusPolyBFT "github.com/0xPolygon/polygon-edge/consensus/polybft"
+	consensusPolyBFT "github.com/0xPolygon/polygon-edge/consensus/polybft/config"
 	"github.com/0xPolygon/polygon-edge/contracts"
 	"github.com/0xPolygon/polygon-edge/crypto"
 	"github.com/0xPolygon/polygon-edge/forkmanager"