diff --git a/.github/workflows/node.js.yml b/.github/workflows/node.js.yml
new file mode 100644
index 00000000..31d6e465
--- /dev/null
+++ b/.github/workflows/node.js.yml
@@ -0,0 +1,28 @@
+# This workflow will do a clean install of node dependencies, cache/restore them, build the source code and run tests across different versions of node
+# For more information see: https://help.github.com/actions/language-and-framework-guides/using-nodejs-with-github-actions
+
+name: Node.js CI
+
+on:
+  push:
+  pull_request:
+
+jobs:
+  build:
+
+    runs-on: ubuntu-latest
+
+    strategy:
+      matrix:
+        node-version: [10.x]
+        # See supported Node.js release schedule at https://nodejs.org/en/about/releases/
+
+    steps:
+    - uses: actions/checkout@v2
+    - name: Use Node.js ${{ matrix.node-version }}
+      uses: actions/setup-node@v2
+      with:
+        node-version: ${{ matrix.node-version }}
+        cache: 'npm'
+    - run: npm ci
+    - run: npm test
diff --git a/.gitignore b/.gitignore
index c9b88323..60327a58 100644
--- a/.gitignore
+++ b/.gitignore
@@ -24,4 +24,4 @@ node_modules
 # hbbft-posdao-contracts specific files
 .network
 .pk
-.mnemonic
\ No newline at end of file
+.mnemonic*
\ No newline at end of file
diff --git a/contracts/CertifierHbbft.sol b/contracts/CertifierHbbft.sol
index f67f7f6d..f914f84b 100644
--- a/contracts/CertifierHbbft.sol
+++ b/contracts/CertifierHbbft.sol
@@ -87,6 +87,7 @@ contract CertifierHbbft is UpgradeableOwned, ICertifier {
     external
     view
     returns(bool) {
+
         if (_certified[_who]) {
             return true;
         }
@@ -101,9 +102,8 @@ contract CertifierHbbft is UpgradeableOwned, ICertifier {
         // since the node cache the list of certifiers
         // and the permission contracts checks anyway, 
         // if the specific 0 gas transaction is allowed or not.
-
         IStakingHbbft stakingContract = IStakingHbbft(validatorSetContract.stakingContract());
-        return stakingContract.isPoolActive(stakingAddress);
+        return stakingAddress != address(0);
     }
 
     /// @dev Returns a boolean flag indicating whether the specified address is allowed to use zero gas price
diff --git a/contracts/TxPermissionHbbft.sol b/contracts/TxPermissionHbbft.sol
index 2b3d91be..88458727 100644
--- a/contracts/TxPermissionHbbft.sol
+++ b/contracts/TxPermissionHbbft.sol
@@ -81,6 +81,7 @@ contract TxPermissionHbbft is UpgradeableOwned, ITxPermission {
         validatorSetContract = IValidatorSetHbbft(_validatorSet);
         keyGenHistoryContract = IKeyGenHistory(_keyGenHistoryContract);
         minimumGasPrice = 1000000000; // (1 gwei)
+        blockGasLimit = 1000000000; // 1 giga gas block
     }
 
     /// @dev Adds the address for which transactions of any type must be allowed.
diff --git a/contracts/ValidatorSetHbbft.sol b/contracts/ValidatorSetHbbft.sol
index 8373bb79..69a33c3d 100644
--- a/contracts/ValidatorSetHbbft.sol
+++ b/contracts/ValidatorSetHbbft.sol
@@ -5,13 +5,13 @@ import "./interfaces/IKeyGenHistory.sol";
 import "./interfaces/IRandomHbbft.sol";
 import "./interfaces/IStakingHbbft.sol";
 import "./interfaces/IValidatorSetHbbft.sol";
-import "./upgradeability/UpgradeabilityAdmin.sol";
+import "./upgradeability/UpgradeableOwned.sol";
 import "./libs/SafeMath.sol";
 
 
 /// @dev Stores the current validator set and contains the logic for choosing new validators
 /// before each staking epoch. The logic uses a random seed generated and stored by the `RandomHbbft` contract.
-contract ValidatorSetHbbft is UpgradeabilityAdmin, IValidatorSetHbbft {
+contract ValidatorSetHbbft is UpgradeableOwned, IValidatorSetHbbft {
     using SafeMath for uint256;
 
     // =============================================== Storage ========================================================
@@ -91,10 +91,9 @@ contract ValidatorSetHbbft is UpgradeabilityAdmin, IValidatorSetHbbft {
     /// the value is of type timestamp
     mapping(address => uint256) public validatorAvailableSince;
 
-    // ============================================== Constants =======================================================
 
     /// @dev The max number of validators.
-    uint256 public constant MAX_VALIDATORS = 25;
+    uint256 public maxValidators;
 
     // ================================================ Events ========================================================
 
@@ -204,6 +203,7 @@ contract ValidatorSetHbbft is UpgradeabilityAdmin, IValidatorSetHbbft {
             _setStakingAddress(miningAddress, _initialStakingAddresses[i]);
         }
 
+        maxValidators = 7;
 
     }
 
@@ -230,7 +230,7 @@ contract ValidatorSetHbbft is UpgradeabilityAdmin, IValidatorSetHbbft {
     }
 
     /// @dev Implements the logic which forms a new validator set. If the number of active pools
-    /// is greater than MAX_VALIDATORS, the logic chooses the validators randomly using a random seed generated and
+    /// is greater than maxValidators, the logic chooses the validators randomly using a random seed generated and
     /// stored by the `RandomHbbft` contract.
     /// Automatically called by the `BlockRewardHbbft.reward` function at the latest block of the staking epoch.
     function newValidatorSet()
@@ -285,6 +285,13 @@ contract ValidatorSetHbbft is UpgradeabilityAdmin, IValidatorSetHbbft {
             return;
         }
 
+        if (_pendingValidators.length == 0) {
+            // if there are no "pending validators" that 
+            // should write their keys, then there is
+            // nothing to do here.
+            return;
+        }
+
         // check if the current epoch should have been ended already
         // but some of the validators failed to write his PARTS / ACKS.
 
@@ -364,8 +371,21 @@ contract ValidatorSetHbbft is UpgradeabilityAdmin, IValidatorSetHbbft {
             forcedPools[i] = goodValidators[i];
         }
 
+        // this tells the staking contract that the key generation failed
+        // so the staking conract is able to prolong this staking period.
         stakingContract.notifyKeyGenFailed();
-        _newValidatorSet(forcedPools);
+
+        // is there anyone left that can get elected ??
+        // if not, we just continue with the validator set we have now,
+        // for another round, 
+        // hopefully that on or the other node operators get his pool fixed.
+        // the Deadline just stays a full time window.
+        // therefore the Node Operators might get a chance that
+        // many manage to fix the problem, 
+        // and we can get a big takeover. 
+        if (stakingContract.getPoolsToBeElected().length > 0) {
+            _newValidatorSet(forcedPools);
+        }
     }
 
     /// @dev Reports that the malicious validator misbehaved at the specified block.
@@ -444,6 +464,12 @@ contract ValidatorSetHbbft is UpgradeabilityAdmin, IValidatorSetHbbft {
         _setStakingAddress(_miningAddress, _stakingAddress);
     }
 
+    function setMaxValidators(uint256 _maxValidators)
+    external
+    onlyOwner {
+        maxValidators = _maxValidators;
+    }
+
     // =============================================== Getters ========================================================
 
     /// @dev Returns a boolean flag indicating whether delegators of the specified pool are currently banned.
@@ -715,6 +741,22 @@ contract ValidatorSetHbbft is UpgradeabilityAdmin, IValidatorSetHbbft {
         return stakingContract.getPoolPublicKey(stakingByMiningAddress[_miningAddress]);
     }
 
+    /// @dev in Hbbft there are sweet spots for the choice of validator counts
+    /// those are FLOOR((n - 1)/3) * 3 + 1
+    /// values: 1 - 4 - 7 - 10 - 13 - 16 - 19 - 22 - 25
+    /// more about: https://github.com/DMDcoin/hbbft-posdao-contracts/issues/84
+    /// @return a sweet spot n for a given number n
+    function getValidatorCountSweetSpot(uint256 _possibleValidatorCount)
+    public
+    view
+    returns(uint256) {
+        require(_possibleValidatorCount > 0, "_possibleValidatorCount must not be 0");
+        if (_possibleValidatorCount < 4) {
+            return _possibleValidatorCount;
+        }
+        return ((_possibleValidatorCount - 1) / 3) * 3 + 1;
+    }
+
     // ============================================== Internal ========================================================
 
     /// @dev Updates the total reporting counter (see the `reportingCounterTotal` public mapping) for the current
@@ -736,17 +778,22 @@ contract ValidatorSetHbbft is UpgradeabilityAdmin, IValidatorSetHbbft {
             reportingCounterTotal[currentStakingEpoch] = 0;
         }
     }
-
+    
     function _newValidatorSet(address[] memory _forcedPools)
     internal
     {
         address[] memory poolsToBeElected = stakingContract.getPoolsToBeElected();
-        // Choose new validators
-        if (poolsToBeElected.length > MAX_VALIDATORS) {
+
+        uint256 numOfValidatorsToBeElected = 
+            poolsToBeElected.length >= maxValidators || poolsToBeElected.length == 0 ? maxValidators : 
+            getValidatorCountSweetSpot(poolsToBeElected.length); 
+
+        // Choose new validators > )
+        if (poolsToBeElected.length > numOfValidatorsToBeElected) {
 
             uint256 poolsToBeElectedLength = poolsToBeElected.length;
             (uint256[] memory likelihood, uint256 likelihoodSum) = stakingContract.getPoolsLikelihood();
-            address[] memory newValidators = new address[](MAX_VALIDATORS);
+            address[] memory newValidators = new address[](numOfValidatorsToBeElected);
 
             uint256 indexNewValidator = 0;
             for(uint256 iForced = 0; iForced < _forcedPools.length; iForced++) {
diff --git a/contracts/base/BlockRewardHbbftBase.sol b/contracts/base/BlockRewardHbbftBase.sol
index fd0a1c44..e5622d1a 100644
--- a/contracts/base/BlockRewardHbbftBase.sol
+++ b/contracts/base/BlockRewardHbbftBase.sol
@@ -259,8 +259,7 @@ contract BlockRewardHbbftBase is UpgradeableOwned, IBlockRewardHbbft {
                 // Choose new validators
                 validatorSetContract.newValidatorSet();
             } else if (currentTimestamp >= stakingContract.stakingFixedEpochEndTime() ) {
-                // removed, because availability handling is not implemented yet in the client implementation.
-                // validatorSetContract.handleFailedKeyGeneration();
+                validatorSetContract.handleFailedKeyGeneration();
             }
         }
     }
diff --git a/contracts/interfaces/IValidatorSetHbbft.sol b/contracts/interfaces/IValidatorSetHbbft.sol
index 112fb30a..d94cc335 100644
--- a/contracts/interfaces/IValidatorSetHbbft.sol
+++ b/contracts/interfaces/IValidatorSetHbbft.sol
@@ -32,7 +32,7 @@ interface IValidatorSetHbbft {
     function isValidatorOrPending(address) external view returns(bool);
     function isPendingValidator(address) external view returns(bool);
     function getPendingValidatorKeyGenerationMode(address) external view returns(KeyGenMode);
-    function MAX_VALIDATORS() external view returns(uint256); // solhint-disable-line func-name-mixedcase
+    function maxValidators() external view returns(uint256);
     function miningByStakingAddress(address) external view returns(address);
     function randomContract() external view returns(address);
     function reportMaliciousCallable(address, address, uint256) external view returns(bool, bool);
diff --git a/package-lock.json b/package-lock.json
index 8e1654dd..85af9447 100644
--- a/package-lock.json
+++ b/package-lock.json
@@ -4086,66 +4086,84 @@
       "integrity": "sha1-GwqzvVU7Kg1jmdKcDj6gslIHgyc="
     },
     "ganache-cli": {
-      "version": "6.10.2",
-      "resolved": "https://registry.npmjs.org/ganache-cli/-/ganache-cli-6.10.2.tgz",
-      "integrity": "sha512-wCuQjy7k040J8hii1KQ/dYHv8qjdHIcP3fw331AWPqQjeqNquf5HVVQNJOYXINTDofMDkCMQv3ru4ze/A+WyPQ==",
+      "version": "6.12.2",
+      "resolved": "https://registry.npmjs.org/ganache-cli/-/ganache-cli-6.12.2.tgz",
+      "integrity": "sha512-bnmwnJDBDsOWBUP8E/BExWf85TsdDEFelQSzihSJm9VChVO1SHp94YXLP5BlA4j/OTxp0wR4R1Tje9OHOuAJVw==",
       "dev": true,
       "requires": {
-        "ethereumjs-util": "6.1.0",
-        "scrypt": "6.0.3",
+        "ethereumjs-util": "6.2.1",
         "source-map-support": "0.5.12",
         "yargs": "13.2.4"
       },
       "dependencies": {
+        "@types/bn.js": {
+          "version": "4.11.6",
+          "bundled": true,
+          "dev": true,
+          "requires": {
+            "@types/node": "*"
+          }
+        },
+        "@types/node": {
+          "version": "14.11.2",
+          "bundled": true,
+          "dev": true
+        },
+        "@types/pbkdf2": {
+          "version": "3.1.0",
+          "bundled": true,
+          "dev": true,
+          "requires": {
+            "@types/node": "*"
+          }
+        },
+        "@types/secp256k1": {
+          "version": "4.0.1",
+          "bundled": true,
+          "dev": true,
+          "requires": {
+            "@types/node": "*"
+          }
+        },
         "ansi-regex": {
           "version": "4.1.0",
-          "resolved": "https://registry.npmjs.org/ansi-regex/-/ansi-regex-4.1.0.tgz",
-          "integrity": "sha512-1apePfXM1UOSqw0o9IiFAovVz9M5S1Dg+4TrDwfMewQ6p/rmMueb7tWZjQ1rx4Loy1ArBggoqGpfqqdI4rondg==",
+          "bundled": true,
           "dev": true
         },
         "ansi-styles": {
           "version": "3.2.1",
-          "resolved": "https://registry.npmjs.org/ansi-styles/-/ansi-styles-3.2.1.tgz",
-          "integrity": "sha512-VT0ZI6kZRdTh8YyJw3SMbYm/u+NqfsAxEpWO0Pf9sq8/e94WxxOpPKx9FR1FlyCtOVDNOQ+8ntlqFxiRc+r5qA==",
+          "bundled": true,
           "dev": true,
           "requires": {
             "color-convert": "^1.9.0"
           }
         },
-        "bindings": {
-          "version": "1.5.0",
-          "resolved": "https://registry.npmjs.org/bindings/-/bindings-1.5.0.tgz",
-          "integrity": "sha512-p2q/t/mhvuOj/UeLlV6566GD/guowlr0hHxClI0W9m7MWYkL1F0hLo+0Aexs9HSPCtR1SXQ0TD3MMKrXZajbiQ==",
-          "dev": true,
-          "requires": {
-            "file-uri-to-path": "1.0.0"
-          }
-        },
-        "bip66": {
-          "version": "1.1.5",
-          "resolved": "https://registry.npmjs.org/bip66/-/bip66-1.1.5.tgz",
-          "integrity": "sha1-AfqHSHhcpwlV1QESF9GzE5lpyiI=",
+        "base-x": {
+          "version": "3.0.8",
+          "bundled": true,
           "dev": true,
           "requires": {
             "safe-buffer": "^5.0.1"
           }
         },
+        "blakejs": {
+          "version": "1.1.0",
+          "bundled": true,
+          "dev": true
+        },
         "bn.js": {
           "version": "4.11.9",
-          "resolved": "https://registry.npmjs.org/bn.js/-/bn.js-4.11.9.tgz",
-          "integrity": "sha512-E6QoYqCKZfgatHTdHzs1RRKP7ip4vvm+EyRUeE2RF0NblwVvb0p6jSVeNTOFxPn26QXN2o6SMfNxKp6kU8zQaw==",
+          "bundled": true,
           "dev": true
         },
         "brorand": {
           "version": "1.1.0",
-          "resolved": "https://registry.npmjs.org/brorand/-/brorand-1.1.0.tgz",
-          "integrity": "sha1-EsJe/kCkXjwyPrhnWgoM5XsiNx8=",
+          "bundled": true,
           "dev": true
         },
         "browserify-aes": {
           "version": "1.2.0",
-          "resolved": "https://registry.npmjs.org/browserify-aes/-/browserify-aes-1.2.0.tgz",
-          "integrity": "sha512-+7CHXqGuspUn/Sl5aO7Ea0xWGAtETPXNSAjHo48JfLdPWcMng33Xe4znFvQweqc/uzk5zSOI3H52CYnjCfb5hA==",
+          "bundled": true,
           "dev": true,
           "requires": {
             "buffer-xor": "^1.0.3",
@@ -4156,28 +4174,42 @@
             "safe-buffer": "^5.0.1"
           }
         },
+        "bs58": {
+          "version": "4.0.1",
+          "bundled": true,
+          "dev": true,
+          "requires": {
+            "base-x": "^3.0.2"
+          }
+        },
+        "bs58check": {
+          "version": "2.1.2",
+          "bundled": true,
+          "dev": true,
+          "requires": {
+            "bs58": "^4.0.0",
+            "create-hash": "^1.1.0",
+            "safe-buffer": "^5.1.2"
+          }
+        },
         "buffer-from": {
           "version": "1.1.1",
-          "resolved": "https://registry.npmjs.org/buffer-from/-/buffer-from-1.1.1.tgz",
-          "integrity": "sha512-MQcXEUbCKtEo7bhqEs6560Hyd4XaovZlO/k9V3hjVUF/zwW7KBVdSK4gIt/bzwS9MbR5qob+F5jusZsb0YQK2A==",
+          "bundled": true,
           "dev": true
         },
         "buffer-xor": {
           "version": "1.0.3",
-          "resolved": "https://registry.npmjs.org/buffer-xor/-/buffer-xor-1.0.3.tgz",
-          "integrity": "sha1-JuYe0UIvtw3ULm42cp7VHYVf6Nk=",
+          "bundled": true,
           "dev": true
         },
         "camelcase": {
           "version": "5.3.1",
-          "resolved": "https://registry.npmjs.org/camelcase/-/camelcase-5.3.1.tgz",
-          "integrity": "sha512-L28STB170nwWS63UjtlEOE3dldQApaJXZkOI1uMFfzf3rRuPegHaHesyee+YxQ+W6SvRDQV6UrdOdRiR153wJg==",
+          "bundled": true,
           "dev": true
         },
         "cipher-base": {
           "version": "1.0.4",
-          "resolved": "https://registry.npmjs.org/cipher-base/-/cipher-base-1.0.4.tgz",
-          "integrity": "sha512-Kkht5ye6ZGmwv40uUDZztayT2ThLQGfnj/T71N/XzeZeo3nf8foyW7zGTsPYkEya3m5f3cAypH+qe7YOrM1U2Q==",
+          "bundled": true,
           "dev": true,
           "requires": {
             "inherits": "^2.0.1",
@@ -4186,8 +4218,7 @@
         },
         "cliui": {
           "version": "5.0.0",
-          "resolved": "https://registry.npmjs.org/cliui/-/cliui-5.0.0.tgz",
-          "integrity": "sha512-PYeGSEmmHM6zvoef2w8TPzlrnNpXIjTipYK780YswmIP9vjxmd6Y2a3CB2Ks6/AU8NHjZugXvo8w3oWM2qnwXA==",
+          "bundled": true,
           "dev": true,
           "requires": {
             "string-width": "^3.1.0",
@@ -4197,8 +4228,7 @@
         },
         "color-convert": {
           "version": "1.9.3",
-          "resolved": "https://registry.npmjs.org/color-convert/-/color-convert-1.9.3.tgz",
-          "integrity": "sha512-QfAUtd+vFdAtFQcC8CCyYt1fYWxSqAiK2cSD6zDB8N3cpsEBAvRxp9zOGg6G/SHHJYAT88/az/IuDGALsNVbGg==",
+          "bundled": true,
           "dev": true,
           "requires": {
             "color-name": "1.1.3"
@@ -4206,14 +4236,12 @@
         },
         "color-name": {
           "version": "1.1.3",
-          "resolved": "https://registry.npmjs.org/color-name/-/color-name-1.1.3.tgz",
-          "integrity": "sha1-p9BVi9icQveV3UIyj3QIMcpTvCU=",
+          "bundled": true,
           "dev": true
         },
         "create-hash": {
           "version": "1.2.0",
-          "resolved": "https://registry.npmjs.org/create-hash/-/create-hash-1.2.0.tgz",
-          "integrity": "sha512-z00bCGNHDG8mHAkP7CtT1qVu+bFQUPjYq/4Iv3C3kWjTFV10zIjfSoeqXo9Asws8gwSHDGj/hl2u4OGIjapeCg==",
+          "bundled": true,
           "dev": true,
           "requires": {
             "cipher-base": "^1.0.1",
@@ -4225,8 +4253,7 @@
         },
         "create-hmac": {
           "version": "1.1.7",
-          "resolved": "https://registry.npmjs.org/create-hmac/-/create-hmac-1.1.7.tgz",
-          "integrity": "sha512-MJG9liiZ+ogc4TzUwuvbER1JRdgvUFSB5+VR/g5h82fGaIRWMWddtKBHi7/sVhfjQZ6SehlyhvQYrcYkaUIpLg==",
+          "bundled": true,
           "dev": true,
           "requires": {
             "cipher-base": "^1.0.3",
@@ -4239,8 +4266,7 @@
         },
         "cross-spawn": {
           "version": "6.0.5",
-          "resolved": "https://registry.npmjs.org/cross-spawn/-/cross-spawn-6.0.5.tgz",
-          "integrity": "sha512-eTVLrBSt7fjbDygz805pMnstIs2VTBNkRm0qxZd+M7A5XDdxVRWO5MxGBXZhjY4cqLYLdtrGqRf8mBPmzwSpWQ==",
+          "bundled": true,
           "dev": true,
           "requires": {
             "nice-try": "^1.0.4",
@@ -4252,25 +4278,12 @@
         },
         "decamelize": {
           "version": "1.2.0",
-          "resolved": "https://registry.npmjs.org/decamelize/-/decamelize-1.2.0.tgz",
-          "integrity": "sha1-9lNNFRSCabIDUue+4m9QH5oZEpA=",
+          "bundled": true,
           "dev": true
         },
-        "drbg.js": {
-          "version": "1.0.1",
-          "resolved": "https://registry.npmjs.org/drbg.js/-/drbg.js-1.0.1.tgz",
-          "integrity": "sha1-Pja2xCs3BDgjzbwzLVjzHiRFSAs=",
-          "dev": true,
-          "requires": {
-            "browserify-aes": "^1.0.6",
-            "create-hash": "^1.1.2",
-            "create-hmac": "^1.1.4"
-          }
-        },
         "elliptic": {
           "version": "6.5.3",
-          "resolved": "https://registry.npmjs.org/elliptic/-/elliptic-6.5.3.tgz",
-          "integrity": "sha512-IMqzv5wNQf+E6aHeIqATs0tOLeOTwj1QKbRcS3jBbYkl5oLAserA8yJTT7/VyHUYG91PRmPyeQDObKLPpeS4dw==",
+          "bundled": true,
           "dev": true,
           "requires": {
             "bn.js": "^4.4.0",
@@ -4284,38 +4297,56 @@
         },
         "emoji-regex": {
           "version": "7.0.3",
-          "resolved": "https://registry.npmjs.org/emoji-regex/-/emoji-regex-7.0.3.tgz",
-          "integrity": "sha512-CwBLREIQ7LvYFB0WyRvwhq5N5qPhc6PMjD6bYggFlI5YyDgl+0vxq5VHbMOFqLg7hfWzmu8T5Z1QofhmTIhItA==",
+          "bundled": true,
           "dev": true
         },
         "end-of-stream": {
           "version": "1.4.4",
-          "resolved": "https://registry.npmjs.org/end-of-stream/-/end-of-stream-1.4.4.tgz",
-          "integrity": "sha512-+uw1inIHVPQoaVuHzRyXd21icM+cnt4CzD5rW+NC1wjOUSTOs+Te7FOv7AhN7vS9x/oIyhLP5PR1H+phQAHu5Q==",
+          "bundled": true,
           "dev": true,
           "requires": {
             "once": "^1.4.0"
           }
         },
+        "ethereum-cryptography": {
+          "version": "0.1.3",
+          "bundled": true,
+          "dev": true,
+          "requires": {
+            "@types/pbkdf2": "^3.0.0",
+            "@types/secp256k1": "^4.0.1",
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-          "resolved": "https://registry.npmjs.org/safe-buffer/-/safe-buffer-5.2.1.tgz",
-          "integrity": "sha512-rp3So07KcdmmKbGvgaNxQSJr7bGVSVk5S9Eq1F+ppbRo70+YeaDxkw5Dd8NPN+GD6bjnYm2VuPuCXmpuYvmCXQ==",
+          "bundled": true,
+          "dev": true
+        },
+        "scrypt-js": {
+          "version": "3.0.1",
+          "bundled": true,
           "dev": true
         },
         "secp256k1": {
-          "version": "3.8.0",
-          "resolved": "https://registry.npmjs.org/secp256k1/-/secp256k1-3.8.0.tgz",
-          "integrity": "sha512-k5ke5avRZbtl9Tqx/SA7CbY3NF6Ro+Sj9cZxezFzuBlLDmyqPiL8hJJ+EmzD8Ig4LUDByHJ3/iPOVoRixs/hmw==",
+          "version": "4.0.2",
+          "bundled": true,
           "dev": true,
           "requires": {
-            "bindings": "^1.5.0",
-            "bip66": "^1.1.5",
-            "bn.js": "^4.11.8",
-            "create-hash": "^1.2.0",
-            "drbg.js": "^1.0.1",
             "elliptic": "^6.5.2",
-            "nan": "^2.14.0",
-            "safe-buffer": "^5.1.2"
+            "node-addon-api": "^2.0.0",
+            "node-gyp-build": "^4.2.0"
           }
         },
         "semver": {
           "version": "5.7.1",
-          "resolved": "https://registry.npmjs.org/semver/-/semver-5.7.1.tgz",
-          "integrity": "sha512-sauaDf/PZdVgrLTNYHRtpXa1iRiKcaebiKQ1BJdpQlWH2lCvexQdX55snPFyK7QzpudqbCI0qXFfOasHdyNDGQ==",
+          "bundled": true,
           "dev": true
         },
         "set-blocking": {
           "version": "2.0.0",
-          "resolved": "https://registry.npmjs.org/set-blocking/-/set-blocking-2.0.0.tgz",
-          "integrity": "sha1-BF+XgtARrppoA93TgrJDkrPYkPc=",
+          "bundled": true,
+          "dev": true
+        },
+        "setimmediate": {
+          "version": "1.0.5",
+          "bundled": true,
           "dev": true
         },
         "sha.js": {
           "version": "2.4.11",
-          "resolved": "https://registry.npmjs.org/sha.js/-/sha.js-2.4.11.tgz",
-          "integrity": "sha512-QMEp5B7cftE7APOjk5Y6xgrbWu+WkLVQwk8JNjZ8nKRciZaByEW6MubieAiToS7+dwvrjGhH8jRXz3MVd0AYqQ==",
+          "bundled": true,
           "dev": true,
           "requires": {
             "inherits": "^2.0.1",
@@ -4718,8 +4724,7 @@
         },
         "shebang-command": {
           "version": "1.2.0",
-          "resolved": "https://registry.npmjs.org/shebang-command/-/shebang-command-1.2.0.tgz",
-          "integrity": "sha1-RKrGW2lbAzmJaMOfNj/uXer98eo=",
+          "bundled": true,
           "dev": true,
           "requires": {
             "shebang-regex": "^1.0.0"
@@ -4727,26 +4732,22 @@
         },
         "shebang-regex": {
           "version": "1.0.0",
-          "resolved": "https://registry.npmjs.org/shebang-regex/-/shebang-regex-1.0.0.tgz",
-          "integrity": "sha1-2kL0l0DAtC2yypcoVxyxkMmO/qM=",
+          "bundled": true,
           "dev": true
         },
         "signal-exit": {
           "version": "3.0.3",
-          "resolved": "https://registry.npmjs.org/signal-exit/-/signal-exit-3.0.3.tgz",
-          "integrity": "sha512-VUJ49FC8U1OxwZLxIbTTrDvLnf/6TDgxZcK8wxR8zs13xpx7xbG60ndBlhNrFi2EMuFRoeDoJO7wthSLq42EjA==",
+          "bundled": true,
           "dev": true
         },
         "source-map": {
           "version": "0.6.1",
-          "resolved": "https://registry.npmjs.org/source-map/-/source-map-0.6.1.tgz",
-          "integrity": "sha512-UjgapumWlbMhkBgzT7Ykc5YXUT46F0iKu8SGXq0bcwP5dz/h0Plj6enJqjz1Zbq2l5WaqYnrVbwWOWMyF3F47g==",
+          "bundled": true,
           "dev": true
         },
         "source-map-support": {
           "version": "0.5.12",
-          "resolved": "https://registry.npmjs.org/source-map-support/-/source-map-support-0.5.12.tgz",
-          "integrity": "sha512-4h2Pbvyy15EE02G+JOZpUCmqWJuqrs+sEkzewTm++BPi7Hvn/HwcqLAcNxYAyI0x13CpPPn+kMjl+hplXMHITQ==",
+          "bundled": true,
           "dev": true,
           "requires": {
             "buffer-from": "^1.0.0",
@@ -4755,8 +4756,7 @@
         },
         "string-width": {
           "version": "3.1.0",
-          "resolved": "https://registry.npmjs.org/string-width/-/string-width-3.1.0.tgz",
-          "integrity": "sha512-vafcv6KjVZKSgz06oM/H6GDBrAtz8vdhQakGjFIvNrHA6y3HCF1CInLy+QLq8dTJPQ1b+KDUqDFctkdRW44e1w==",
+          "bundled": true,
           "dev": true,
           "requires": {
             "emoji-regex": "^7.0.1",
@@ -4766,8 +4766,7 @@
         },
         "string_decoder": {
           "version": "1.3.0",
-          "resolved": "https://registry.npmjs.org/string_decoder/-/string_decoder-1.3.0.tgz",
-          "integrity": "sha512-hkRX8U1WjJFd8LsDJ2yQ/wWWxaopEsABU1XfkM8A+j0+85JAGppt16cr1Whg6KIbb4okU6Mql6BOj+uup/wKeA==",
+          "bundled": true,
           "dev": true,
           "requires": {
             "safe-buffer": "~5.2.0"
@@ -4775,8 +4774,7 @@
         },
         "strip-ansi": {
           "version": "5.2.0",
-          "resolved": "https://registry.npmjs.org/strip-ansi/-/strip-ansi-5.2.0.tgz",
-          "integrity": "sha512-DuRs1gKbBqsMKIZlrffwlug8MHkcnpjs5VPmL1PAh+mA30U0DTotfDZ0d2UUsXpPmPmMMJ6W773MaA3J+lbiWA==",
+          "bundled": true,
           "dev": true,
           "requires": {
             "ansi-regex": "^4.1.0"
@@ -4784,14 +4782,12 @@
         },
         "strip-eof": {
           "version": "1.0.0",
-          "resolved": "https://registry.npmjs.org/strip-eof/-/strip-eof-1.0.0.tgz",
-          "integrity": "sha1-u0P/VZim6wXYm1n80SnJgzE2Br8=",
+          "bundled": true,
           "dev": true
         },
         "strip-hex-prefix": {
           "version": "1.0.0",
-          "resolved": "https://registry.npmjs.org/strip-hex-prefix/-/strip-hex-prefix-1.0.0.tgz",
-          "integrity": "sha1-DF8VX+8RUTczd96du1iNoFUA428=",
+          "bundled": true,
           "dev": true,
           "requires": {
             "is-hex-prefixed": "1.0.0"
@@ -4799,14 +4795,12 @@
         },
         "util-deprecate": {
           "version": "1.0.2",
-          "resolved": "https://registry.npmjs.org/util-deprecate/-/util-deprecate-1.0.2.tgz",
-          "integrity": "sha1-RQ1Nyfpw3nMnYvvS1KKJgUGaDM8=",
+          "bundled": true,
           "dev": true
         },
         "which": {
           "version": "1.3.1",
-          "resolved": "https://registry.npmjs.org/which/-/which-1.3.1.tgz",
-          "integrity": "sha512-HxJdYWq1MTIQbJ3nw0cqssHoTNU267KlrDuGZ1WYlxDStUtKUhOaJmh112/TZmHxxUfuJqPXSOm7tDyas0OSIQ==",
+          "bundled": true,
           "dev": true,
           "requires": {
             "isexe": "^2.0.0"
@@ -4814,14 +4808,12 @@
         },
         "which-module": {
           "version": "2.0.0",
-          "resolved": "https://registry.npmjs.org/which-module/-/which-module-2.0.0.tgz",
-          "integrity": "sha1-2e8H3Od7mQK4o6j6SzHD4/fm6Ho=",
+          "bundled": true,
           "dev": true
         },
         "wrap-ansi": {
           "version": "5.1.0",
-          "resolved": "https://registry.npmjs.org/wrap-ansi/-/wrap-ansi-5.1.0.tgz",
-          "integrity": "sha512-QC1/iN/2/RPVJ5jYK8BGttj5z83LmSKmvbvrXPNCLZSEb32KKVDJDl/MOt2N01qU2H/FkzEa9PKto1BqDjtd7Q==",
+          "bundled": true,
           "dev": true,
           "requires": {
             "ansi-styles": "^3.2.0",
@@ -4831,20 +4823,17 @@
         },
         "wrappy": {
           "version": "1.0.2",
-          "resolved": "https://registry.npmjs.org/wrappy/-/wrappy-1.0.2.tgz",
-          "integrity": "sha1-tSQ9jz7BqjXxNkYFvA0QNuMKtp8=",
+          "bundled": true,
           "dev": true
         },
         "y18n": {
           "version": "4.0.0",
-          "resolved": "https://registry.npmjs.org/y18n/-/y18n-4.0.0.tgz",
-          "integrity": "sha512-r9S/ZyXu/Xu9q1tYlpsLIsa3EeLXXk0VwlxqTcFRfg9EhMW+17kbt9G0NrgCmhGb5vT2hyhJZLfDGx+7+5Uj/w==",
+          "bundled": true,
           "dev": true
         },
         "yargs": {
           "version": "13.2.4",
-          "resolved": "https://registry.npmjs.org/yargs/-/yargs-13.2.4.tgz",
-          "integrity": "sha512-HG/DWAJa1PAnHT9JAhNa8AbAv3FPaiLzioSjCcmuXXhP8MlpHO5vwls4g4j6n30Z74GVQj8Xa62dWVx1QCGklg==",
+          "bundled": true,
           "dev": true,
           "requires": {
             "cliui": "^5.0.0",
@@ -4862,8 +4851,7 @@
         },
         "yargs-parser": {
           "version": "13.1.2",
-          "resolved": "https://registry.npmjs.org/yargs-parser/-/yargs-parser-13.1.2.tgz",
-          "integrity": "sha512-3lbsNRf/j+A4QuSZfDRA7HRSfWrzO0YjqTJd5kjAq37Zep1CEgaYmrH9Q3GwPiB9cHyd1Y1UwggGhJGoxipbzg==",
+          "bundled": true,
           "dev": true,
           "requires": {
             "camelcase": "^5.0.0",
@@ -7470,16 +7458,6 @@
         }
       }
     },
-    "scrypt": {
-      "version": "6.0.3",
-      "resolved": "https://registry.npmjs.org/scrypt/-/scrypt-6.0.3.tgz",
-      "integrity": "sha1-BOAUpWgrU/pQwtXM4WfXGcBthw0=",
-      "dev": true,
-      "optional": true,
-      "requires": {
-        "nan": "^2.0.8"
-      }
-    },
     "scrypt-js": {
       "version": "2.0.4",
       "resolved": "https://registry.npmjs.org/scrypt-js/-/scrypt-js-2.0.4.tgz",
diff --git a/package.json b/package.json
index 4e064d4b..7672c6ba 100644
--- a/package.json
+++ b/package.json
@@ -44,7 +44,7 @@
     "chai-as-promised": "^7.1.1",
     "chai-bn": "^0.1.1",
     "eth-gas-reporter": "^0.2.17",
-    "ganache-cli": "^6.10.1",
+    "ganache-cli": "^6.12.2",
     "mochawesome": "^6.1.1",
     "node-fetch": "^2.6.0",
     "solc": "^0.5.16",
diff --git a/scripts/contractUpdates/update_single_contract.js b/scripts/contractUpdates/update_single_contract.js
index a87bf86b..866b5c97 100644
--- a/scripts/contractUpdates/update_single_contract.js
+++ b/scripts/contractUpdates/update_single_contract.js
@@ -31,11 +31,12 @@ async function doDeployContracts() {
 // const KEY_GEN_HISTORY_CONTRACT = '0x7000000000000000000000000000000000000001';
 
 
-  const contractToUpdate = 'TxPermissionHbbft';
+  const contractToUpdate = 'ValidatorSetHbbft';
 
 
   const contractAddresses = {
-    TxPermissionHbbft: '0x4000000000000000000000000000000000000001'
+    TxPermissionHbbft: '0x4000000000000000000000000000000000000001',
+    ValidatorSetHbbft: '0x1000000000000000000000000000000000000001'
   }
 
   const address = contractAddresses[contractToUpdate];
diff --git a/scripts/make_spec_hbbft.js b/scripts/make_spec_hbbft.js
index d6082d99..78418d34 100755
--- a/scripts/make_spec_hbbft.js
+++ b/scripts/make_spec_hbbft.js
@@ -91,6 +91,11 @@ async function main() {
   spec.name = networkName;
   spec.params.networkID = networkID;
 
+  const minimumBlockTime = Number.parseInt(process.env.MINIMUM_BLOCK_TIME);
+  if (minimumBlockTime > 0) {
+    spec.engine.hbbft.params.minimumBlockTime = minimumBlockTime;
+  }
+
   let contractsCompiled = {};
   for (let i = 0; i < contracts.length; i++) {
     const contractName = contracts[i];
diff --git a/templates/spec_hbbft.json b/templates/spec_hbbft.json
index 0509a951..a6d44c4b 100644
--- a/templates/spec_hbbft.json
+++ b/templates/spec_hbbft.json
@@ -3,16 +3,17 @@
   "engine": {
     "hbbft": {
       "params": {
-        "minimumBlockTime": 10,
+        "minimumBlockTime": 1,
+        "maximumBlockTime": 30,
         "transactionQueueSizeTrigger": 1,
         "blockRewardContractAddress": "0x2000000000000000000000000000000000000001"
       }
     }
   },
   "params": {
-    "gasLimitBoundDivisor": "0x400",
+    "gasLimitBoundDivisor": "0x4",
     "maximumExtraDataSize": "0x20",
-    "minGasLimit": "0x1388",
+    "minGasLimit": "0x138800",
     "networkID": "777004",
     "eip140Transition": "0x0",
     "eip211Transition": "0x0",
@@ -32,7 +33,7 @@
     "seal": {
       "generic": "0x0"
     },
-    "difficulty": "0x20000",
+    "difficulty": "0x1",
     "author": "0x0000000000000000000000000000000000000000",
     "timestamp": "0x00",
     "parentHash": "0x0000000000000000000000000000000000000000000000000000000000000000",
diff --git a/test/KeyGenHistory.js b/test/KeyGenHistory.js
index a432c450..1970f34f 100644
--- a/test/KeyGenHistory.js
+++ b/test/KeyGenHistory.js
@@ -267,7 +267,9 @@ contract('InitializerHbbft', async accounts => {
 
       const pendingValidators = await validatorSetHbbft.getPendingValidators.call();
 
-      pendingValidators.should.be.deep.equal([initializingMiningAddresses[0]]);
+      // since there was never  another electable candidate, the system should still
+      // tread the one and only pending validator still as pending validator.
+      pendingValidators.should.be.deep.equal([newPoolMiningAddress]);
 
       await writePart('1', parts[0], pendingValidators[0]);
 
@@ -311,7 +313,7 @@ contract('InitializerHbbft', async accounts => {
     });
 
     it('1/2 KeyGeneration - PART Failure', async () => {
-      //tests  a 2 validators setup.
+      //tests a 2 validators setup.
       // 1 manages to write it's part.
       // 1 does not manage to write it's part.
       // expected behavior:
@@ -497,9 +499,15 @@ async function callReward(isEpochEndBlock) {
 //and simulate a block mining (calling reward())
 async function timeTravelToTransition() {
 
+  let currentTS = await validatorSetHbbft.getCurrentTimestamp.call();
   let startTimeOfNextPhaseTransition = await stakingHbbft.startTimeOfNextPhaseTransition.call();
+  if (logOutput) {
+    console.log(`timetraveling from ${currentTS} to ${startTimeOfNextPhaseTransition }`);
+  }
+  
   await validatorSetHbbft.setCurrentTimestamp(startTimeOfNextPhaseTransition);
-  const currentTS = await validatorSetHbbft.getCurrentTimestamp.call();
+  currentTS = await validatorSetHbbft.getCurrentTimestamp.call();
+  
   currentTS.should.be.bignumber.equal(startTimeOfNextPhaseTransition);
   await callReward(false);
 }
diff --git a/test/ValidatorSetHbbft.js b/test/ValidatorSetHbbft.js
index cc04ab6a..f5c35db3 100644
--- a/test/ValidatorSetHbbft.js
+++ b/test/ValidatorSetHbbft.js
@@ -437,7 +437,7 @@ contract('ValidatorSetHbbft', async accounts => {
 
       const newValidators = await validatorSetHbbft.getPendingValidators.call();
 
-      newValidators.length.should.be.equal((await validatorSetHbbft.MAX_VALIDATORS.call()).toNumber());
+      newValidators.length.should.be.equal((await validatorSetHbbft.maxValidators.call()).toNumber());
 
       for (let i = 0; i < newValidators.length; i++) {
         miningAddresses.indexOf(newValidators[i].toLowerCase()).should.be.gte(0);
@@ -648,6 +648,31 @@ contract('ValidatorSetHbbft', async accounts => {
         }
       });
     });
+
+    it('hbbft sweet spots are calculated correct. getValidatorCountSweetSpot', async() => {
+
+      
+
+      const expectedResults = 
+        [ 1,2,3,
+          4,4,4,
+          7,7,7,
+          10,10,10,
+          13,13,13,
+          16,16,16,
+          19,19,19,
+          22,22,22,
+          25
+        ];
+
+      for (let i = 0; i < expectedResults.length; i++) {
+        const expected = expectedResults[i];
+        const result = await validatorSetHbbft.getValidatorCountSweetSpot.call(i + 1);
+        // console.log(`i: ${i}, expected: ${expected}, result: ${result}`);
+        new BN(result).should.be.bignumber.equal(new BN(expected));
+      }
+      
+    });
   });
 
   // TODO: ...add other tests...