diff --git a/ethcore/src/client/client.rs b/ethcore/src/client/client.rs
index 6b1cc0c65..3e9a30616 100644
--- a/ethcore/src/client/client.rs
+++ b/ethcore/src/client/client.rs
@@ -177,7 +177,7 @@ impl Client {
 		};
 
 		let journal_db = journaldb::new(db.clone(), config.pruning, ::db::COL_STATE);
-		let mut state_db = StateDB::new(journal_db);
+		let mut state_db = StateDB::new(journal_db, config.state_cache_size);
 		if state_db.journal_db().is_empty() && try!(spec.ensure_db_good(&mut state_db)) {
 			let mut batch = DBTransaction::new(&db);
 			try!(state_db.commit(&mut batch, 0, &spec.genesis_header().hash(), None));
@@ -691,7 +691,8 @@ impl snapshot::DatabaseRestore for Client {
 		let db = self.db.write();
 		try!(db.restore(new_db));
 
-		*state_db = StateDB::new(journaldb::new(db.clone(), self.pruning, ::db::COL_STATE));
+		let cache_size = state_db.cache_size();
+		*state_db = StateDB::new(journaldb::new(db.clone(), self.pruning, ::db::COL_STATE), cache_size);
 		*chain = Arc::new(BlockChain::new(self.config.blockchain.clone(), &[], db.clone()));
 		*tracedb = TraceDB::new(self.config.tracing.clone(), db.clone(), chain.clone());
 		Ok(())
diff --git a/ethcore/src/client/config.rs b/ethcore/src/client/config.rs
index 8cf54387b..4894b5442 100644
--- a/ethcore/src/client/config.rs
+++ b/ethcore/src/client/config.rs
@@ -96,7 +96,7 @@ pub struct ClientConfig {
 	pub pruning: journaldb::Algorithm,
 	/// The name of the client instance.
 	pub name: String,
-	/// State db cache-size if not default
+	/// RocksDB state column cache-size if not default
 	pub db_cache_size: Option<usize>,
 	/// State db compaction profile
 	pub db_compaction: DatabaseCompactionProfile,
@@ -106,6 +106,8 @@ pub struct ClientConfig {
 	pub mode: Mode,
 	/// Type of block verifier used by client.
 	pub verifier_type: VerifierType,
+	/// State db cache-size.
+	pub state_cache_size: usize,
 }
 
 #[cfg(test)]
diff --git a/ethcore/src/client/test_client.rs b/ethcore/src/client/test_client.rs
index 11929294f..27e9f9b5f 100644
--- a/ethcore/src/client/test_client.rs
+++ b/ethcore/src/client/test_client.rs
@@ -289,7 +289,7 @@ pub fn get_temp_state_db() -> GuardedTempResult<StateDB> {
 	let temp = RandomTempPath::new();
 	let db = Database::open(&DatabaseConfig::with_columns(NUM_COLUMNS), temp.as_str()).unwrap();
 	let journal_db = journaldb::new(Arc::new(db), journaldb::Algorithm::EarlyMerge, COL_STATE);
-	let state_db = StateDB::new(journal_db);
+	let state_db = StateDB::new(journal_db, 1024 * 1024);
 	GuardedTempResult {
 		_temp: temp,
 		result: Some(state_db)
diff --git a/ethcore/src/evm/interpreter/shared_cache.rs b/ethcore/src/evm/interpreter/shared_cache.rs
index 76360138b..922179b0b 100644
--- a/ethcore/src/evm/interpreter/shared_cache.rs
+++ b/ethcore/src/evm/interpreter/shared_cache.rs
@@ -23,13 +23,13 @@ use super::super::instructions;
 
 const CACHE_CODE_ITEMS: usize = 4096;
 
-/// GLobal cache for EVM interpreter
+/// Global cache for EVM interpreter
 pub struct SharedCache {
 	jump_destinations: Mutex<LruCache<H256, Arc<BitSet>>>
 }
 
 impl SharedCache {
-	/// Get jump destincations bitmap for a contract.
+	/// Get jump destinations bitmap for a contract.
 	pub fn jump_destinations(&self, code_hash: &H256, code: &[u8]) -> Arc<BitSet> {
 		if code_hash == &SHA3_EMPTY {
 			return Self::find_jump_destinations(code);
diff --git a/ethcore/src/state_db.rs b/ethcore/src/state_db.rs
index 51c591837..2b67dc290 100644
--- a/ethcore/src/state_db.rs
+++ b/ethcore/src/state_db.rs
@@ -24,8 +24,6 @@ use bloom_journal::{Bloom, BloomJournal};
 use db::COL_ACCOUNT_BLOOM;
 use byteorder::{LittleEndian, ByteOrder};
 
-const STATE_CACHE_ITEMS: usize = 65536;
-
 pub const ACCOUNT_BLOOM_SPACE: usize = 1048576;
 pub const DEFAULT_ACCOUNT_PRESET: usize = 1000000;
 
@@ -33,6 +31,8 @@ pub const ACCOUNT_BLOOM_HASHCOUNT_KEY: &'static [u8] = b"account_hash_count";
 
 struct AccountCache {
 	/// DB Account cache. `None` indicates that account is known to be missing.
+	// When changing the type of the values here, be sure to update `mem_used` and
+	// `new`.
 	accounts: LruCache<Address, Option<Account>>,
 }
 
@@ -48,19 +48,26 @@ pub struct StateDB {
 	cache_overlay: Vec<(Address, Option<Account>)>,
 	is_canon: bool,
 	account_bloom: Arc<Mutex<Bloom>>,
+	cache_size: usize,
 }
 
 impl StateDB {
 
-	/// Create a new instance wrapping `JournalDB`
-	pub fn new(db: Box<JournalDB>) -> StateDB {
+	/// Create a new instance wrapping `JournalDB` and the maximum allowed size
+	/// of the LRU cache in bytes. Actual used memory may (read: will) be higher due to bookkeeping.
+	// TODO: make the cache size actually accurate by moving the account storage cache
+	// into the `AccountCache` structure as its own `LruCache<(Address, H256), H256>`.
+	pub fn new(db: Box<JournalDB>, cache_size: usize) -> StateDB {
 		let bloom = Self::load_bloom(db.backing());
+		let cache_items = cache_size / ::std::mem::size_of::<Option<Account>>();
+
 		StateDB {
 			db: db,
-			account_cache: Arc::new(Mutex::new(AccountCache { accounts: LruCache::new(STATE_CACHE_ITEMS) })),
+			account_cache: Arc::new(Mutex::new(AccountCache { accounts: LruCache::new(cache_items) })),
 			cache_overlay: Vec::new(),
 			is_canon: false,
 			account_bloom: Arc::new(Mutex::new(bloom)),
+			cache_size: cache_size,
 		}
 	}
 
@@ -151,6 +158,7 @@ impl StateDB {
 			cache_overlay: Vec::new(),
 			is_canon: false,
 			account_bloom: self.account_bloom.clone(),
+			cache_size: self.cache_size,
 		}
 	}
 
@@ -162,6 +170,7 @@ impl StateDB {
 			cache_overlay: Vec::new(),
 			is_canon: true,
 			account_bloom: self.account_bloom.clone(),
+			cache_size: self.cache_size,
 		}
 	}
 
@@ -172,7 +181,8 @@ impl StateDB {
 
 	/// Heap size used.
 	pub fn mem_used(&self) -> usize {
-		self.db.mem_used() //TODO: + self.account_cache.lock().heap_size_of_children()
+		// TODO: account for LRU-cache overhead; this is a close approximation.
+		self.db.mem_used() + self.account_cache.lock().accounts.len() * ::std::mem::size_of::<Option<Account>>()
 	}
 
 	/// Returns underlying `JournalDB`.
@@ -228,5 +238,10 @@ impl StateDB {
 		let mut cache = self.account_cache.lock();
 		cache.accounts.get_mut(a).map(|c| f(c.as_mut()))
 	}
+
+	/// Query how much memory is set aside for the accounts cache (in bytes).
+	pub fn cache_size(&self) -> usize {
+		self.cache_size
+	}
 }
 
diff --git a/ethcore/src/tests/helpers.rs b/ethcore/src/tests/helpers.rs
index acbf4e641..787f90262 100644
--- a/ethcore/src/tests/helpers.rs
+++ b/ethcore/src/tests/helpers.rs
@@ -346,7 +346,7 @@ pub fn get_temp_state() -> GuardedTempResult<State> {
 pub fn get_temp_state_db_in(path: &Path) -> StateDB {
 	let db = new_db(path.to_str().expect("Only valid utf8 paths for tests."));
 	let journal_db = journaldb::new(db.clone(), journaldb::Algorithm::EarlyMerge, COL_STATE);
-	StateDB::new(journal_db)
+	StateDB::new(journal_db, 5 * 1024 * 1024)
 }
 
 pub fn get_temp_state_in(path: &Path) -> State {
diff --git a/parity/cache.rs b/parity/cache.rs
index 12fe3f472..f51e560a1 100644
--- a/parity/cache.rs
+++ b/parity/cache.rs
@@ -21,15 +21,13 @@ const MIN_DB_CACHE_MB: u32 = 2;
 const MIN_BLOCK_QUEUE_SIZE_LIMIT_MB: u32 = 16;
 const DEFAULT_BLOCK_QUEUE_SIZE_LIMIT_MB: u32 = 50;
 const DEFAULT_TRACE_CACHE_SIZE: u32 = 20;
+const DEFAULT_STATE_CACHE_SIZE: u32 = 25;
 
 /// Configuration for application cache sizes.
 /// All	values are represented in MB.
 #[derive(Debug, PartialEq)]
 pub struct CacheConfig {
-	/// Size of database cache set using option `set_block_cache_size_mb`
-	/// 50% is blockchain
-	/// 25% is tracing
-	/// 25% is state
+	/// Size of rocksDB cache. Almost all goes to the state column.
 	db: u32,
 	/// Size of blockchain cache.
 	blockchain: u32,
@@ -37,11 +35,13 @@ pub struct CacheConfig {
 	queue: u32,
 	/// Size of traces cache.
 	traces: u32,
+	/// Size of the state cache.
+	state: u32,
 }
 
 impl Default for CacheConfig {
 	fn default() -> Self {
-		CacheConfig::new(64, 8, DEFAULT_BLOCK_QUEUE_SIZE_LIMIT_MB)
+		CacheConfig::new(64, 8, DEFAULT_BLOCK_QUEUE_SIZE_LIMIT_MB, DEFAULT_STATE_CACHE_SIZE)
 	}
 }
 
@@ -49,26 +49,28 @@ impl CacheConfig {
 	/// Creates new cache config with cumulative size equal `total`.
 	pub fn new_with_total_cache_size(total: u32) -> Self {
 		CacheConfig {
-			db: total * 7 / 8,
-			blockchain: total / 8,
+			db: total * 7 / 10,
+			blockchain: total / 10,
 			queue: DEFAULT_BLOCK_QUEUE_SIZE_LIMIT_MB,
 			traces: DEFAULT_TRACE_CACHE_SIZE,
+			state: total * 2 / 10,
 		}
 	}
 
 	/// Creates new cache config with gitven details.
-	pub fn new(db: u32, blockchain: u32, queue: u32) -> Self {
+	pub fn new(db: u32, blockchain: u32, queue: u32, state: u32) -> Self {
 		CacheConfig {
 			db: db,
 			blockchain: blockchain,
 			queue: queue,
 			traces: DEFAULT_TRACE_CACHE_SIZE,
+			state: state,
 		}
 	}
 
 	/// Size of db cache for blockchain.
 	pub fn db_blockchain_cache_size(&self) -> u32 {
-		max(MIN_DB_CACHE_MB, self.blockchain / 4)
+		max(MIN_DB_CACHE_MB, self.db / 4)
 	}
 
 	/// Size of db cache for state.
@@ -90,6 +92,11 @@ impl CacheConfig {
 	pub fn traces(&self) -> u32 {
 		self.traces
 	}
+
+	/// Size of the state cache.
+	pub fn state(&self) -> u32 {
+		self.state
+	}
 }
 
 #[cfg(test)]
@@ -99,21 +106,23 @@ mod tests {
 	#[test]
 	fn test_cache_config_constructor() {
 		let config = CacheConfig::new_with_total_cache_size(200);
-		assert_eq!(config.db, 175);
-		assert_eq!(config.blockchain(), 25);
+		assert_eq!(config.db, 140);
+		assert_eq!(config.blockchain(), 20);
 		assert_eq!(config.queue(), 50);
+		assert_eq!(config.state(), 40);
 	}
 
 	#[test]
 	fn test_cache_config_db_cache_sizes() {
 		let config = CacheConfig::new_with_total_cache_size(400);
-		assert_eq!(config.db, 350);
-		assert_eq!(config.db_blockchain_cache_size(), 12);
-		assert_eq!(config.db_state_cache_size(), 262);
+		assert_eq!(config.db, 280);
+		assert_eq!(config.db_blockchain_cache_size(), 70);
+		assert_eq!(config.db_state_cache_size(), 210);
 	}
 
 	#[test]
 	fn test_cache_config_default() {
-		assert_eq!(CacheConfig::default(), CacheConfig::new(64, 8, super::DEFAULT_BLOCK_QUEUE_SIZE_LIMIT_MB));
+		assert_eq!(CacheConfig::default(),
+			CacheConfig::new(64, 8, super::DEFAULT_BLOCK_QUEUE_SIZE_LIMIT_MB, super::DEFAULT_STATE_CACHE_SIZE));
 	}
 }
diff --git a/parity/cli/config.full.toml b/parity/cli/config.full.toml
index 5b47e1184..e11a26521 100644
--- a/parity/cli/config.full.toml
+++ b/parity/cli/config.full.toml
@@ -79,6 +79,7 @@ pruning = "auto"
 cache_size_db = 64
 cache_size_blocks = 8
 cache_size_queue = 50
+cache_size_state = 25
 cache_size = 128 # Overrides above caches with total size
 fast_and_loose = false
 db_compaction = "ssd"
diff --git a/parity/cli/config.toml b/parity/cli/config.toml
index a5ad55d40..cda1d4cb9 100644
--- a/parity/cli/config.toml
+++ b/parity/cli/config.toml
@@ -48,6 +48,7 @@ pruning = "fast"
 cache_size_db = 128
 cache_size_blocks = 16
 cache_size_queue = 100
+cache_size_state = 25
 db_compaction = "ssd"
 fat_db = "off"
 
diff --git a/parity/cli/mod.rs b/parity/cli/mod.rs
index 8044032eb..06c9d4945 100644
--- a/parity/cli/mod.rs
+++ b/parity/cli/mod.rs
@@ -211,6 +211,8 @@ usage! {
 			or |c: &Config| otry!(c.footprint).cache_size_blocks.clone(),
 		flag_cache_size_queue: u32 = 50u32,
 			or |c: &Config| otry!(c.footprint).cache_size_queue.clone(),
+		flag_cache_size_state: u32 = 25u32,
+			or |c: &Config| otry!(c.footprint).cache_size_state.clone(),
 		flag_cache_size: Option<u32> = None,
 			or |c: &Config| otry!(c.footprint).cache_size.clone().map(Some),
 		flag_fast_and_loose: bool = false,
@@ -361,6 +363,7 @@ struct Footprint {
 	cache_size_db: Option<u32>,
 	cache_size_blocks: Option<u32>,
 	cache_size_queue: Option<u32>,
+	cache_size_state: Option<u32>,
 	db_compaction: Option<String>,
 	fat_db: Option<String>,
 }
@@ -532,6 +535,7 @@ mod tests {
 			flag_cache_size_db: 64u32,
 			flag_cache_size_blocks: 8u32,
 			flag_cache_size_queue: 50u32,
+			flag_cache_size_state: 25u32,
 			flag_cache_size: Some(128),
 			flag_fast_and_loose: false,
 			flag_db_compaction: "ssd".into(),
@@ -686,6 +690,7 @@ mod tests {
 				cache_size_db: Some(128),
 				cache_size_blocks: Some(16),
 				cache_size_queue: Some(100),
+				cache_size_state: Some(25),
 				db_compaction: Some("ssd".into()),
 				fat_db: Some("off".into()),
 			}),
diff --git a/parity/cli/usage.txt b/parity/cli/usage.txt
index 861b7dafc..b83011258 100644
--- a/parity/cli/usage.txt
+++ b/parity/cli/usage.txt
@@ -209,6 +209,8 @@ Footprint Options:
                            megabytes (default: {flag_cache_size_blocks}).
   --cache-size-queue MB    Specify the maximum size of memory to use for block
                            queue (default: {flag_cache_size_queue}).
+  --cache-size-state MB    Specify the maximum size of memory to use for
+                           the state cache (default: {flag_cache_size_state}).
   --cache-size MB          Set total amount of discretionary memory to use for
                            the entire system, overrides other cache and queue
                            options.a (default: {flag_cache_size:?})
diff --git a/parity/configuration.rs b/parity/configuration.rs
index 4503b0f2f..389c3c6f3 100644
--- a/parity/configuration.rs
+++ b/parity/configuration.rs
@@ -291,7 +291,12 @@ impl Configuration {
 	fn cache_config(&self) -> CacheConfig {
 		match self.args.flag_cache_size.or(self.args.flag_cache) {
 			Some(size) => CacheConfig::new_with_total_cache_size(size),
-			None => CacheConfig::new(self.args.flag_cache_size_db, self.args.flag_cache_size_blocks, self.args.flag_cache_size_queue),
+			None => CacheConfig::new(
+				self.args.flag_cache_size_db,
+				self.args.flag_cache_size_blocks,
+				self.args.flag_cache_size_queue,
+				self.args.flag_cache_size_state,
+			),
 		}
 	}
 
diff --git a/parity/helpers.rs b/parity/helpers.rs
index abdd5daa5..55a3b8beb 100644
--- a/parity/helpers.rs
+++ b/parity/helpers.rs
@@ -215,6 +215,7 @@ pub fn to_client_config(
 	client_config.tracing.max_cache_size = cache_config.traces() as usize * mb;
 	// in bytes
 	client_config.tracing.pref_cache_size = cache_config.traces() as usize * 3 / 4 * mb;
+	client_config.state_cache_size = cache_config.state() as usize;
 
 	client_config.mode = mode;
 	client_config.tracing.enabled = tracing;