diff --git a/client/grpc_client.go b/client/grpc_client.go
index f7a80268..36589322 100644
--- a/client/grpc_client.go
+++ b/client/grpc_client.go
@@ -265,10 +265,10 @@ func (cli *grpcClient) FlushSync() error {
 func (cli *grpcClient) InfoSync() (types.Result, *types.TMSPInfo, *types.LastBlockInfo, *types.ConfigInfo) {
 	reqres := cli.InfoAsync()
 	if res := cli.checkErrGetResult(); res.IsErr() {
-		return res
+		return res, nil, nil, nil
 	}
 	resp := reqres.Response.GetInfo()
-	return types.NewResultOK([]byte(resp.Info), LOG), r.TmspInfo, r.LastBlock, r.Config
+	return types.NewResultOK([]byte(resp.Info), LOG), resp.TmspInfo, resp.LastBlock, resp.Config
 }
 
 func (cli *grpcClient) SetOptionSync(key string, value string) (res types.Result) {
diff --git a/cmd/dummy/main.go b/cmd/dummy/main.go
index 8efa69e6..8a1465c4 100644
--- a/cmd/dummy/main.go
+++ b/cmd/dummy/main.go
@@ -6,16 +6,26 @@ import (
 	. "github.com/tendermint/go-common"
 	"github.com/tendermint/tmsp/example/dummy"
 	"github.com/tendermint/tmsp/server"
+	"github.com/tendermint/tmsp/types"
 )
 
 func main() {
 
 	addrPtr := flag.String("addr", "tcp://0.0.0.0:46658", "Listen address")
 	tmspPtr := flag.String("tmsp", "socket", "socket | grpc")
+	persistencePtr := flag.String("persist", "", "directory to use for a database")
 	flag.Parse()
 
+	// Create the application - in memory or persisted to disk
+	var app types.Application
+	if *persistencePtr == "" {
+		app = dummy.NewDummyApplication()
+	} else {
+		app = dummy.NewPersistentDummyApplication(*persistencePtr)
+	}
+
 	// Start the listener
-	_, err := server.NewServer(*addrPtr, *tmspPtr, dummy.NewDummyApplication())
+	_, err := server.NewServer(*addrPtr, *tmspPtr, app)
 	if err != nil {
 		Exit(err.Error())
 	}
diff --git a/example/dummy/dummy.go b/example/dummy/dummy.go
index 5bf52a78..0c6a9089 100644
--- a/example/dummy/dummy.go
+++ b/example/dummy/dummy.go
@@ -50,6 +50,7 @@ func (app *DummyApplication) Commit() types.Result {
 
 func (app *DummyApplication) Query(query []byte) types.Result {
 	index, value, exists := app.state.Get(query)
+
 	resStr := Fmt("Index=%v value=%v exists=%v", index, string(value), exists)
 	return types.NewResultOK([]byte(resStr), "")
 }
diff --git a/example/dummy/log.go b/example/dummy/log.go
new file mode 100644
index 00000000..8571fa01
--- /dev/null
+++ b/example/dummy/log.go
@@ -0,0 +1,7 @@
+package dummy
+
+import (
+	"github.com/tendermint/go-logger"
+)
+
+var log = logger.New("module", "dummy")
diff --git a/example/dummy/persistent_dummy.go b/example/dummy/persistent_dummy.go
new file mode 100644
index 00000000..60e677e9
--- /dev/null
+++ b/example/dummy/persistent_dummy.go
@@ -0,0 +1,117 @@
+package dummy
+
+import (
+	"bytes"
+
+	. "github.com/tendermint/go-common"
+	dbm "github.com/tendermint/go-db"
+	"github.com/tendermint/go-merkle"
+	"github.com/tendermint/go-wire"
+	"github.com/tendermint/tmsp/types"
+)
+
+//-----------------------------------------
+// persist the last block info
+
+var lastBlockKey = []byte("lastblock")
+
+// Get the last block from the db
+func LoadLastBlock(db dbm.DB) (lastBlock types.LastBlockInfo) {
+	buf := db.Get(lastBlockKey)
+	if len(buf) != 0 {
+		r, n, err := bytes.NewReader(buf), new(int), new(error)
+		wire.ReadBinaryPtr(&lastBlock, r, 0, n, err)
+		if *err != nil {
+			// DATA HAS BEEN CORRUPTED OR THE SPEC HAS CHANGED
+			Exit(Fmt("Data has been corrupted or its spec has changed: %v\n", *err))
+		}
+		// TODO: ensure that buf is completely read.
+	}
+
+	return lastBlock
+}
+
+func SaveLastBlock(db dbm.DB, lastBlock types.LastBlockInfo) {
+	log.Notice("Saving block", "height", lastBlock.BlockHeight, "hash", lastBlock.BlockHash, "root", lastBlock.AppHash)
+	buf, n, err := new(bytes.Buffer), new(int), new(error)
+	wire.WriteBinary(lastBlock, buf, n, err)
+	if *err != nil {
+		// TODO
+		PanicCrisis(*err)
+	}
+	db.Set(lastBlockKey, buf.Bytes())
+}
+
+//-----------------------------------------
+
+type PersistentDummyApplication struct {
+	app *DummyApplication
+	db  dbm.DB
+}
+
+func NewPersistentDummyApplication(dbDir string) *PersistentDummyApplication {
+	db := dbm.NewDB("dummy", "leveldb", dbDir)
+	lastBlock := LoadLastBlock(db)
+
+	stateTree := merkle.NewIAVLTree(
+		0,
+		db,
+	)
+	stateTree.Load(lastBlock.AppHash)
+
+	log.Notice("Loaded state", "block", lastBlock.BlockHeight, "root", stateTree.Hash())
+
+	return &PersistentDummyApplication{
+		app: &DummyApplication{state: stateTree},
+		db:  db,
+	}
+}
+
+func (app *PersistentDummyApplication) Info() (string, *types.TMSPInfo, *types.LastBlockInfo, *types.ConfigInfo) {
+	s, _, _, _ := app.app.Info()
+	lastBlock := LoadLastBlock(app.db)
+	return s, nil, &lastBlock, nil
+}
+
+func (app *PersistentDummyApplication) SetOption(key string, value string) (log string) {
+	return app.app.SetOption(key, value)
+}
+
+// tx is either "key=value" or just arbitrary bytes
+func (app *PersistentDummyApplication) AppendTx(tx []byte) types.Result {
+	return app.app.AppendTx(tx)
+}
+
+func (app *PersistentDummyApplication) CheckTx(tx []byte) types.Result {
+	return app.app.CheckTx(tx)
+}
+
+func (app *PersistentDummyApplication) Commit() types.Result {
+	// Save
+	hash := app.app.state.Save()
+	log.Info("Saved state", "root", hash)
+	return types.NewResultOK(hash, "")
+}
+
+func (app *PersistentDummyApplication) Query(query []byte) types.Result {
+	return app.app.Query(query)
+}
+
+func (app *PersistentDummyApplication) InitChain(validators []*types.Validator) {
+	return
+}
+
+func (app *PersistentDummyApplication) BeginBlock(header *types.Header) {
+	// we commit the previous block state on BeginBlock because thats
+	// when we get the prev block hash and the app hash
+	lastBlock := types.LastBlockInfo{
+		BlockHeight: header.Height - 1,
+		BlockHash:   header.LastBlockHash,
+		AppHash:     header.AppHash,
+	}
+	SaveLastBlock(app.db, lastBlock)
+}
+
+func (app *PersistentDummyApplication) EndBlock(height uint64) (diffs []*types.Validator) {
+	return nil
+}