Address is generated with VMAppState, and it increments the nonce too.

vm/test/fake_app_state.go

@@ -5,6 +5,7 @@ import (
 
 	. "github.com/tendermint/tendermint/common"
 	. "github.com/tendermint/tendermint/vm"
+	"github.com/tendermint/tendermint/vm/sha3"
 )
 
 type FakeAppState struct {
@@ -43,7 +44,8 @@ func (fas *FakeAppState) DeleteAccount(account *Account) error {
 	}
 }
 
-func (fas *FakeAppState) CreateAccount(addr Word) (*Account, error) {
+func (fas *FakeAppState) CreateAccount(creator *Account) (*Account, error) {
+	addr := createAddress(creator)
 	account := fas.accounts[addr.String()]
 	if account == nil {
 		return &Account{
@@ -102,16 +104,24 @@ func main() {
 	ourVm := NewVM(appState, params, Zero)
 
 	// Create accounts
-	account1, err := appState.CreateAccount(Uint64ToWord(100))
-	if err != nil {
-		panic(err)
+	account1 := &Account{
+		Address: Uint64ToWord(100),
 	}
-	account2, err := appState.CreateAccount(Uint64ToWord(101))
-	if err != nil {
-		panic(err)
+	account2 := &Account{
+		Address: Uint64ToWord(101),
 	}
 
 	var gas uint64 = 1000
 	output, err := ourVm.Call(account1, account2, []byte{0x60, 0x01, 0x60, 0x01}, []byte{}, 0, &gas)
 	fmt.Printf("Output: %v Error: %v\n", output, err)
 }
+
+// Creates a 20 byte address and bumps the nonce.
+func createAddress(creator *Account) Word {
+	nonce := creator.Nonce
+	creator.Nonce += 1
+	temp := make([]byte, 32+8)
+	copy(temp, creator.Address[:])
+	PutUint64(temp[32:], nonce)
+	return RightPadWord(sha3.Sha3(temp)[:20])
+}

vm/types.go

@@ -48,7 +48,7 @@ type AppState interface {
 	GetAccount(addr Word) (*Account, error)
 	UpdateAccount(*Account) error
 	DeleteAccount(*Account) error
-	CreateAccount(addr Word) (*Account, error)
+	CreateAccount(*Account) (*Account, error)
 
 	// Storage
 	GetStorage(Word, Word) (Word, error)

vm/vm.go

@@ -46,6 +46,7 @@ func NewVM(appState AppState, params Params, origin Word) *VM {
 	}
 }
 
+// CONTRACT appState is aware of caller and callee, so we can just mutate them.
 // value: To be transferred from caller to callee. Refunded upon error.
 // gas:   Available gas. No refunds for gas.
 func (vm *VM) Call(caller, callee *Account, code, input []byte, value uint64, gas *uint64) (output []byte, err error) {
@@ -541,14 +542,9 @@ func (vm *VM) call(caller, callee *Account, code, input []byte, value uint64, ga
 				return nil, firstErr(err, ErrInsufficientBalance)
 			}
 
-			// Create a new address
-			nonce := caller.Nonce
-			addr := createAddress(caller.Address, nonce)
-			caller.Nonce += 1
-
 			// TODO charge for gas to create account _ the code length * GasCreateByte
 
-			newAccount, err := vm.appState.CreateAccount(addr)
+			newAccount, err := vm.appState.CreateAccount(caller)
 			if err != nil {
 				stack.Push(Zero)
 				fmt.Printf(" (*) 0x0 %v\n", err)
@@ -708,14 +704,6 @@ func useGas(gas *uint64, gasToUse uint64) bool {
 	}
 }
 
-// Creates a 20 byte address from the creatorAddr and nonce.
-func createAddress(creatorAddr Word, nonce uint64) Word {
-	temp := make([]byte, 32+8)
-	copy(temp, creatorAddr[:])
-	PutUint64(temp[32:], nonce)
-	return RightPadWord(sha3.Sha3(temp)[:20])
-}
-
 func transfer(from, to *Account, amount uint64) error {
 	if from.Balance < amount {
 		return ErrInsufficientBalance