fix: correctly handle errors

e2e/go.mod

@@ -7,6 +7,7 @@ require (
 	github.com/cosmos/cosmos-sdk v0.50.6
 	github.com/cosmos/gogoproto v1.4.12
 	github.com/cosmos/ibc-go/v8 v8.2.1
+	github.com/icza/dyno v0.0.0-20220812133438-f0b6f8a18845
 	github.com/noble-assets/forwarding/v2 v2.0.0
 	github.com/strangelove-ventures/interchaintest/v8 v8.2.0
 	github.com/stretchr/testify v1.9.0
@@ -139,7 +140,6 @@ require (
 	github.com/holiman/uint256 v1.2.4 // indirect
 	github.com/huandu/skiplist v1.2.0 // indirect
 	github.com/iancoleman/strcase v0.3.0 // indirect
-	github.com/icza/dyno v0.0.0-20220812133438-f0b6f8a18845 // indirect
 	github.com/improbable-eng/grpc-web v0.15.0 // indirect
 	github.com/inconshreveable/mousetrap v1.1.0 // indirect
 	github.com/ipfs/go-cid v0.4.1 // indirect

go.mod

@@ -7,9 +7,9 @@ require (
 	cosmossdk.io/collections v0.4.0
 	cosmossdk.io/core v0.11.0
 	cosmossdk.io/depinject v1.0.0-alpha.4
+	cosmossdk.io/errors v1.0.1
 	cosmossdk.io/log v1.3.1
 	cosmossdk.io/store v1.1.0
-	github.com/cometbft/cometbft v0.38.6
 	github.com/cosmos/cosmos-proto v1.0.0-beta.5
 	github.com/cosmos/cosmos-sdk v0.50.6
 	github.com/cosmos/gogoproto v1.4.12
@@ -30,7 +30,6 @@ require (
 	4d63.com/gochecknoglobals v0.2.1 // indirect
 	cloud.google.com/go/storage v1.37.0 // indirect
 	cosmossdk.io/client/v2 v2.0.0-beta.1.0.20240124105859-5ad1805d0e79 // indirect
-	cosmossdk.io/errors v1.0.1 // indirect
 	cosmossdk.io/math v1.3.0 // indirect
 	cosmossdk.io/x/tx v0.13.2 // indirect
 	cosmossdk.io/x/upgrade v0.1.1 // indirect
@@ -79,6 +78,7 @@ require (
 	github.com/cockroachdb/pebble v1.1.0 // indirect
 	github.com/cockroachdb/redact v1.1.5 // indirect
 	github.com/cockroachdb/tokenbucket v0.0.0-20230807174530-cc333fc44b06 // indirect
+	github.com/cometbft/cometbft v0.38.6 // indirect
 	github.com/cometbft/cometbft-db v0.9.1 // indirect
 	github.com/cosmos/btcutil v1.0.5 // indirect
 	github.com/cosmos/cosmos-db v1.0.2 // indirect

x/forwarding/keeper/msg_server.go

@@ -109,7 +109,10 @@ func (k *Keeper) ClearAccount(ctx context.Context, msg *types.MsgClearAccount) (
 		return &types.MsgClearAccountResponse{}, nil
 	}
 
-	fallback, _ := k.accountKeeper.AddressCodec().StringToBytes(account.Fallback)
+	fallback, err := k.accountKeeper.AddressCodec().StringToBytes(account.Fallback)
+	if err != nil {
+		return nil, sdkerrors.Wrap(err, "failed to decode fallback address")
+	}
 	err = k.bankKeeper.SendCoins(ctx, address, fallback, balance)
 	if err != nil {
 		return nil, errors.New("failed to clear balance to fallback account")
@@ -127,8 +130,8 @@ func (k *Keeper) SetAllowedDenoms(ctx context.Context, msg *types.MsgSetAllowedD
 		return nil, sdkerrors.Wrap(types.ErrInvalidDenoms, err.Error())
 	}
 
-	for _, denom := range k.GetAllowedDenoms(ctx) {
-		_ = k.AllowedDenoms.Remove(ctx, denom)
+	if err := k.AllowedDenoms.Clear(ctx, nil); err != nil {
+		return nil, errors.New("failed to clear allowed denoms from state")
 	}
 	for _, denom := range msg.Denoms {
 		err := k.AllowedDenoms.Set(ctx, denom)