diff --git a/pkg/network/peer.go b/pkg/network/peer.go
index 025f4b7d8..36a4f87f2 100644
--- a/pkg/network/peer.go
+++ b/pkg/network/peer.go
@@ -9,7 +9,6 @@ import (
 type Peer interface {
 	id() uint32
 	addr() util.Endpoint
-	verack() bool
 	disconnect()
 	callVersion(*Message)
 	callGetaddr(*Message)
@@ -20,7 +19,6 @@ type Peer interface {
 type LocalPeer struct {
 	s        *Server
 	nonce    uint32
-	isVerack bool
 	endpoint util.Endpoint
 }
 
@@ -39,6 +37,5 @@ func (p *LocalPeer) callGetaddr(msg *Message) {
 }
 
 func (p *LocalPeer) id() uint32          { return p.nonce }
-func (p *LocalPeer) verack() bool        { return p.isVerack }
 func (p *LocalPeer) addr() util.Endpoint { return p.endpoint }
 func (p *LocalPeer) disconnect()         {}
diff --git a/pkg/network/tcp.go b/pkg/network/tcp.go
index a1280a6b0..648fe6274 100644
--- a/pkg/network/tcp.go
+++ b/pkg/network/tcp.go
@@ -22,6 +22,7 @@ func listenTCP(s *Server, port int) error {
 		if err != nil {
 			return err
 		}
+
 		go handleConnection(s, conn)
 	}
 }
@@ -54,8 +55,10 @@ func handleConnection(s *Server, conn net.Conn) {
 		s.unregister <- peer
 	}()
 
-	// Start a goroutine that will handle all writes to the registered peer.
+	// Start a goroutine that will handle all outgoing messages.
 	go peer.writeLoop()
+	// Start a goroutine that will handle all incomming messages.
+	go handleMessage(s, peer)
 
 	// Read from the connection and decode it into a Message ready for processing.
 	buf := make([]byte, 1024)
@@ -71,39 +74,55 @@ func handleConnection(s *Server, conn net.Conn) {
 			s.logger.Printf("decode error %s", err)
 			break
 		}
-		handleMessage(msg, s, peer)
+
+		peer.receive <- msg
 	}
 }
 
 // handleMessage hands the message received from a TCP connection over to the server.
-func handleMessage(msg *Message, s *Server, p *TCPPeer) {
-	command := msg.commandType()
+func handleMessage(s *Server, p *TCPPeer) {
+	// Disconnect the peer when we break out of the loop.
+	defer func() {
+		p.disconnect()
+	}()
 
-	s.logger.Printf("IN :: %d :: %s :: %v", p.id(), command, msg)
+	for {
+		msg := <-p.receive
+		command := msg.commandType()
 
-	switch command {
-	case cmdVersion:
-		resp := s.handleVersionCmd(msg, p)
-		p.isVerack = true
-		p.nonce = msg.Payload.(*payload.Version).Nonce
-		p.send <- resp
-	case cmdAddr:
-		s.handleAddrCmd(msg, p)
-	case cmdGetAddr:
-		s.handleGetaddrCmd(msg, p)
-	case cmdInv:
-		resp := s.handleInvCmd(msg, p)
-		p.send <- resp
-	case cmdBlock:
-	case cmdConsensus:
-	case cmdTX:
-	case cmdVerack:
-		go s.sendLoop(p)
-	case cmdGetHeaders:
-	case cmdGetBlocks:
-	case cmdGetData:
-	case cmdHeaders:
-	default:
+		s.logger.Printf("IN :: %d :: %s :: %v", p.id(), command, msg)
+
+		switch command {
+		case cmdVersion:
+			resp := s.handleVersionCmd(msg, p)
+			p.nonce = msg.Payload.(*payload.Version).Nonce
+			p.send <- resp
+
+			// after sending our version we want a "verack" and nothing else.
+			msg := <-p.receive
+			if msg.commandType() != cmdVerack {
+				break
+			}
+			// we can start the protocol now.
+			go s.sendLoop(p)
+		case cmdAddr:
+			s.handleAddrCmd(msg, p)
+		case cmdGetAddr:
+			s.handleGetaddrCmd(msg, p)
+		case cmdInv:
+			resp := s.handleInvCmd(msg, p)
+			p.send <- resp
+		case cmdBlock:
+		case cmdConsensus:
+		case cmdTX:
+		case cmdVerack:
+			// disconnect the peer, verack should already be handled.
+			break
+		case cmdGetHeaders:
+		case cmdGetBlocks:
+		case cmdGetData:
+		case cmdHeaders:
+		}
 	}
 }
 
@@ -118,8 +137,8 @@ type TCPPeer struct {
 	endpoint util.Endpoint
 	// channel to coordinate messages writen back to the connection.
 	send chan *Message
-	// whether this peers version was acknowledged.
-	isVerack bool
+	// channel to receive from underlying connection.
+	receive chan *Message
 }
 
 // NewTCPPeer returns a pointer to a TCP Peer.
@@ -129,6 +148,7 @@ func NewTCPPeer(conn net.Conn, s *Server) *TCPPeer {
 	return &TCPPeer{
 		conn:     conn,
 		send:     make(chan *Message),
+		receive:  make(chan *Message),
 		endpoint: e,
 		s:        s,
 	}
@@ -148,11 +168,6 @@ func (p *TCPPeer) addr() util.Endpoint {
 	return p.endpoint
 }
 
-// verack implements the peer interface
-func (p *TCPPeer) verack() bool {
-	return p.isVerack
-}
-
 // callGetaddr will send the "getaddr" command to the remote.
 func (p *TCPPeer) callGetaddr(msg *Message) {
 	p.send <- msg