diff --git a/Cargo.lock b/Cargo.lock
index 54eb0bb0cf..4ff0d19df3 100644
--- a/Cargo.lock
+++ b/Cargo.lock
@@ -2206,12 +2206,13 @@ dependencies = [
 name = "solana-rewards-program"
 version = "0.12.0"
 dependencies = [
- "bincode 1.0.1 (registry+https://github.com/rust-lang/crates.io-index)",
+ "bincode 1.1.1 (registry+https://github.com/rust-lang/crates.io-index)",
  "log 0.4.6 (registry+https://github.com/rust-lang/crates.io-index)",
  "serde 1.0.87 (registry+https://github.com/rust-lang/crates.io-index)",
  "serde_derive 1.0.87 (registry+https://github.com/rust-lang/crates.io-index)",
  "solana-logger 0.12.0",
  "solana-metrics 0.12.0",
+ "solana-runtime 0.12.0",
  "solana-sdk 0.12.0",
  "solana-vote-program 0.12.0",
 ]
diff --git a/programs/native/rewards/Cargo.toml b/programs/native/rewards/Cargo.toml
index c3e5c29789..9cc98904a1 100644
--- a/programs/native/rewards/Cargo.toml
+++ b/programs/native/rewards/Cargo.toml
@@ -19,6 +19,7 @@ solana-sdk = { path = "../../../sdk", version = "0.12.0" }
 
 [dev-dependencies]
 solana-vote-program = { path = "../vote", version = "0.12.0" }
+solana-runtime = { path = "../../../runtime", version = "0.12.0" }
 
 [lib]
 name = "solana_rewards_program"
diff --git a/programs/native/rewards/src/lib.rs b/programs/native/rewards/src/lib.rs
index 3fd9d0fa3f..41017fc65b 100644
--- a/programs/native/rewards/src/lib.rs
+++ b/programs/native/rewards/src/lib.rs
@@ -1,9 +1,13 @@
 //! Rewards program
 //! Exchanges validation and storage proofs for lamports
 
+pub mod rewards_instruction;
+pub mod rewards_program;
+pub mod rewards_transaction;
+
+use crate::rewards_instruction::RewardsInstruction;
 use bincode::deserialize;
 use log::*;
-use serde_derive::{Deserialize, Serialize};
 use solana_sdk::account::KeyedAccount;
 use solana_sdk::native_program::ProgramError;
 use solana_sdk::pubkey::Pubkey;
@@ -19,7 +23,7 @@ const MINIMUM_CREDITS_PER_REDEMPTION: u64 = 1; // Raise this to either minimize
 //
 // TODO: Migrate to reward mechanism described by the book:
 // https://github.com/solana-labs/solana/blob/master/book/src/ed_vce_state_validation_protocol_based_rewards.md
-// https://github.com/solana-labs/solana/blob/master/book/src/staking-rewards.md#stake-weighted-rewards
+// https://github.com/solana-labs/solana/blob/master/book/src/staking-rewards.md
 fn calc_vote_reward(credits: u64, stake: u64) -> Result<u64, ProgramError> {
     if credits < MINIMUM_CREDITS_PER_REDEMPTION {
         error!("Credit redemption too early");
@@ -71,11 +75,6 @@ fn redeem_vote_credits(keyed_accounts: &mut [KeyedAccount]) -> Result<(), Progra
     Ok(())
 }
 
-#[derive(Serialize, Deserialize, Debug, PartialEq, Eq, Clone)]
-pub enum RewardsInstruction {
-    RedeemVoteCredits,
-}
-
 solana_entrypoint!(entrypoint);
 fn entrypoint(
     _program_id: &Pubkey,
@@ -96,8 +95,8 @@ fn entrypoint(
 #[cfg(test)]
 mod tests {
     use super::*;
+    use crate::rewards_program;
     use solana_sdk::account::Account;
-    use solana_sdk::rewards_program;
     use solana_sdk::signature::{Keypair, KeypairUtil};
     use solana_sdk::vote_program::{self, Vote};
     use solana_vote_program;
diff --git a/programs/native/rewards/src/rewards_instruction.rs b/programs/native/rewards/src/rewards_instruction.rs
new file mode 100644
index 0000000000..1594b87c74
--- /dev/null
+++ b/programs/native/rewards/src/rewards_instruction.rs
@@ -0,0 +1,6 @@
+use serde_derive::{Deserialize, Serialize};
+
+#[derive(Serialize, Deserialize, Debug, PartialEq, Eq, Clone)]
+pub enum RewardsInstruction {
+    RedeemVoteCredits,
+}
diff --git a/sdk/src/rewards_program.rs b/programs/native/rewards/src/rewards_program.rs
similarity index 89%
rename from sdk/src/rewards_program.rs
rename to programs/native/rewards/src/rewards_program.rs
index eb1f3183d8..a6a28f2bfb 100644
--- a/sdk/src/rewards_program.rs
+++ b/programs/native/rewards/src/rewards_program.rs
@@ -1,5 +1,6 @@
-use crate::pubkey::Pubkey;
 use bincode::serialized_size;
+use serde_derive::{Deserialize, Serialize};
+use solana_sdk::pubkey::Pubkey;
 
 pub const REWARDS_PROGRAM_ID: [u8; 32] = [
     133, 0, 0, 0, 0, 0, 0, 0, 0, 0, 0, 0, 0, 0, 0, 0, 0, 0, 0, 0, 0, 0, 0, 0, 0, 0, 0, 0, 0, 0, 0,
diff --git a/programs/native/rewards/src/rewards_transaction.rs b/programs/native/rewards/src/rewards_transaction.rs
new file mode 100644
index 0000000000..f701e1be90
--- /dev/null
+++ b/programs/native/rewards/src/rewards_transaction.rs
@@ -0,0 +1,87 @@
+//! The `rewards_transaction` module provides functionality for creating a global
+//! rewards account and enabling stakers to redeem credits from their vote accounts.
+
+use crate::rewards_instruction::RewardsInstruction;
+use crate::rewards_program;
+use solana_sdk::hash::Hash;
+use solana_sdk::pubkey::Pubkey;
+use solana_sdk::signature::Keypair;
+use solana_sdk::system_transaction::SystemTransaction;
+use solana_sdk::transaction::Transaction;
+
+pub struct RewardsTransaction {}
+
+impl RewardsTransaction {
+    pub fn new_account(
+        from_keypair: &Keypair,
+        rewards_id: Pubkey,
+        last_id: Hash,
+        num_tokens: u64,
+        fee: u64,
+    ) -> Transaction {
+        SystemTransaction::new_program_account(
+            from_keypair,
+            rewards_id,
+            last_id,
+            num_tokens,
+            rewards_program::get_max_size() as u64,
+            rewards_program::id(),
+            fee,
+        )
+    }
+
+    pub fn new_redeem_credits(
+        keypair: &Keypair,
+        vote_id: Pubkey,
+        to_id: Pubkey,
+        last_id: Hash,
+        fee: u64,
+    ) -> Transaction {
+        let instruction = RewardsInstruction::RedeemVoteCredits;
+        Transaction::new(
+            keypair,
+            &[vote_id, to_id],
+            rewards_program::id(),
+            &instruction,
+            last_id,
+            fee,
+        )
+    }
+}
+
+#[cfg(test)]
+mod tests {
+    use super::*;
+    use crate::rewards_program;
+    //use solana_runtime::execute_transaction;
+    use solana_sdk::hash::Hash;
+    use solana_sdk::native_loader::create_program_account;
+    use solana_sdk::signature::KeypairUtil;
+    use solana_sdk::system_program;
+    use solana_sdk::vote_program;
+
+    #[test]
+    fn test_execute_rewards_transaction() {
+        let system_program_account = create_program_account("solana_system_program");
+        let mut _new_account_loaders = vec![vec![(system_program::id(), system_program_account)]];
+        let from_keypair = Keypair::new();
+        let rewards_id = Keypair::new().pubkey();
+        let last_id = Hash::default();
+        let _tx = RewardsTransaction::new_account(&from_keypair, rewards_id, last_id, 10_000, 0);
+        //execute_transaction(&tx, &mut new_account_loaders[..], accounts, 0).unwrap();
+
+        let vote_program_account = create_program_account("solana_vote_program");
+        let rewards_program_account = create_program_account("solana_rewards_program");
+        let mut _new_redeem_credits_loaders = vec![
+            vec![(rewards_program::id(), rewards_program_account)],
+            vec![(vote_program::id(), vote_program_account)],
+        ];
+
+        let vote_id = Keypair::new().pubkey();
+        let to_id = from_keypair.pubkey();
+        //let to_tokens = to_account.tokens;
+        let _tx = RewardsTransaction::new_redeem_credits(&from_keypair, vote_id, to_id, last_id, 0);
+        //execute_transaction(&tx, &mut new_redeem_credits_loaders[..], accounts, 0).unwrap();
+        //assert!(to_account.tokens > to_tokens);
+    }
+}
diff --git a/sdk/src/lib.rs b/sdk/src/lib.rs
index 3cc587a062..dd6c482c37 100644
--- a/sdk/src/lib.rs
+++ b/sdk/src/lib.rs
@@ -12,7 +12,6 @@ pub mod native_program;
 pub mod packet;
 pub mod payment_plan;
 pub mod pubkey;
-pub mod rewards_program;
 pub mod shortvec;
 pub mod signature;
 pub mod storage_program;