diff --git a/programs/native/system/Cargo.toml b/programs/native/system/Cargo.toml
index 6e53a3ae87..2f8cf32420 100644
--- a/programs/native/system/Cargo.toml
+++ b/programs/native/system/Cargo.toml
@@ -15,5 +15,9 @@ solana-sdk = { path = "../../../sdk", version = "0.11.0" }
 
 [lib]
 name = "solana_system_program"
-crate-type = ["cdylib"]
+
+# Must be a static lib instead of cdylib because `SystemInstruction::CreateAccount`
+# allocates Rust memory.
+# cc: https://github.com/solana-labs/solana/issues/2004#issuecomment-444570081
+crate-type = ["lib"]
 
diff --git a/programs/native/system/src/lib.rs b/programs/native/system/src/lib.rs
index 2ea0624df7..e6daf2216e 100644
--- a/programs/native/system/src/lib.rs
+++ b/programs/native/system/src/lib.rs
@@ -1,5 +1,4 @@
 extern crate bincode;
-extern crate env_logger;
 #[macro_use]
 extern crate log;
 #[macro_use]
@@ -11,21 +10,14 @@ use solana_sdk::native_program::ProgramError;
 use solana_sdk::pubkey::Pubkey;
 use solana_sdk::system_instruction::SystemInstruction;
 use solana_sdk::system_program;
-use std::sync::{Once, ONCE_INIT};
 
 solana_entrypoint!(entrypoint);
-fn entrypoint(
+pub fn entrypoint(
     _program_id: &Pubkey,
     keyed_accounts: &mut [KeyedAccount],
     data: &[u8],
     _tick_height: u64,
 ) -> Result<(), ProgramError> {
-    static INIT: Once = ONCE_INIT;
-    INIT.call_once(|| {
-        // env_logger can only be initialized once
-        env_logger::init();
-    });
-
     if let Ok(syscall) = deserialize(data) {
         trace!("process_instruction: {:?}", syscall);
         trace!("keyed_accounts: {:?}", keyed_accounts);
diff --git a/src/lib.rs b/src/lib.rs
index 3ed69e99e0..49516bffda 100644
--- a/src/lib.rs
+++ b/src/lib.rs
@@ -113,6 +113,7 @@ extern crate socket2;
 extern crate solana_drone;
 extern crate solana_jsonrpc_core as jsonrpc_core;
 extern crate solana_jsonrpc_http_server as jsonrpc_http_server;
+extern crate solana_system_program;
 #[macro_use]
 extern crate solana_jsonrpc_macros as jsonrpc_macros;
 extern crate solana_jsonrpc_pubsub as jsonrpc_pubsub;
diff --git a/src/runtime.rs b/src/runtime.rs
index 642a27ccb7..89a73b0552 100644
--- a/src/runtime.rs
+++ b/src/runtime.rs
@@ -4,6 +4,7 @@ use solana_sdk::native_program::ProgramError;
 use solana_sdk::pubkey::Pubkey;
 use solana_sdk::system_program;
 use solana_sdk::transaction::Transaction;
+use solana_system_program;
 
 /// Reasons the runtime might have rejected a transaction.
 #[derive(Debug, PartialEq, Eq, Clone)]
@@ -36,12 +37,21 @@ fn process_instruction(
         .collect();
     keyed_accounts.append(&mut keyed_accounts2);
 
-    native_loader::process_instruction(
-        &program_id,
-        &mut keyed_accounts,
-        &tx.instructions[instruction_index].userdata,
-        tick_height,
-    )
+    if system_program::check_id(&program_id) {
+        solana_system_program::entrypoint(
+            &program_id,
+            &mut keyed_accounts[1..],
+            &tx.instructions[instruction_index].userdata,
+            tick_height,
+        )
+    } else {
+        native_loader::process_instruction(
+            &program_id,
+            &mut keyed_accounts,
+            &tx.instructions[instruction_index].userdata,
+            tick_height,
+        )
+    }
 }
 
 fn verify_instruction(