diff --git a/src/cc/CCinclude.h b/src/cc/CCinclude.h
index 761e64bcd..4795ead3c 100644
--- a/src/cc/CCinclude.h
+++ b/src/cc/CCinclude.h
@@ -28,7 +28,7 @@
 #include <univalue.h>
 #include <exception>
 
-extern int32_t KOMODO_CONNECTING;
+extern int32_t KOMODO_CONNECTING,KOMODO_CCACTIVATE;
 
 #define SMALLVAL 0.000000000000001
 union _bits256 { uint8_t bytes[32]; uint16_t ushorts[16]; uint32_t uints[8]; uint64_t ulongs[4]; uint64_t txid; };
diff --git a/src/cc/CCutils.cpp b/src/cc/CCutils.cpp
index 54a9a0225..a57197537 100644
--- a/src/cc/CCutils.cpp
+++ b/src/cc/CCutils.cpp
@@ -256,9 +256,11 @@ CPubKey GetUnspendable(struct CCcontract_info *cp,uint8_t *unspendablepriv)
 bool ProcessCC(struct CCcontract_info *cp,Eval* eval, std::vector<uint8_t> paramsNull,const CTransaction &ctx, unsigned int nIn)
 {
     CTransaction createTx; uint256 assetid,assetid2,hashBlock; uint8_t funcid; int32_t height,i,n,from_mempool = 0; int64_t amount; std::vector<uint8_t> origpubkey;
+    height = KOMODO_CONNECTING;
     if ( KOMODO_CONNECTING < 0 ) // always comes back with > 0 for final confirmation
         return(true);
-    height = KOMODO_CONNECTING;
+    if ( ASSETCHAINS_CC == 0 || height < KOMODO_CCACTIVATE )
+        return eval->Invalid("CC are disabled or not active yet");
     if ( (KOMODO_CONNECTING & (1<<30)) != 0 )
     {
         from_mempool = 1;
diff --git a/src/komodo_globals.h b/src/komodo_globals.h
index 2d64bc8fc..918e7c4f6 100644
--- a/src/komodo_globals.h
+++ b/src/komodo_globals.h
@@ -46,7 +46,7 @@ struct komodo_state KOMODO_STATES[34];
 int COINBASE_MATURITY = _COINBASE_MATURITY;//100;
 
 int32_t KOMODO_MININGTHREADS = -1,IS_KOMODO_NOTARY,USE_EXTERNAL_PUBKEY,KOMODO_CHOSEN_ONE,ASSETCHAINS_SEED,KOMODO_ON_DEMAND,KOMODO_EXTERNAL_NOTARIES,KOMODO_PASSPORT_INITDONE,KOMODO_PAX,KOMODO_EXCHANGEWALLET,KOMODO_REWIND,KOMODO_CONNECTING = -1;
-int32_t KOMODO_INSYNC,KOMODO_LASTMINED,prevKOMODO_LASTMINED,JUMBLR_PAUSE = 1;
+int32_t KOMODO_INSYNC,KOMODO_LASTMINED,prevKOMODO_LASTMINED,KOMODO_CCACTIVATE,JUMBLR_PAUSE = 1;
 std::string NOTARY_PUBKEY,ASSETCHAINS_NOTARIES,ASSETCHAINS_OVERRIDE_PUBKEY,DONATION_PUBKEY;
 uint8_t NOTARY_PUBKEY33[33],ASSETCHAINS_OVERRIDE_PUBKEY33[33],ASSETCHAINS_PUBLIC,ASSETCHAINS_PRIVATE;
 
diff --git a/src/komodo_utils.h b/src/komodo_utils.h
index 616f7ecaa..23e6b280e 100644
--- a/src/komodo_utils.h
+++ b/src/komodo_utils.h
@@ -1544,6 +1544,7 @@ void komodo_args(char *argv0)
     }
     KOMODO_STOPAT = GetArg("-stopat",0);
     ASSETCHAINS_CC = GetArg("-ac_cc",0);
+    KOMODO_CCACTIVATE = GetArg("-ac_ccactivate",0);
     ASSETCHAINS_PUBLIC = GetArg("-ac_public",0);
     ASSETCHAINS_PRIVATE = GetArg("-ac_private",0);
     if ( (KOMODO_REWIND= GetArg("-rewind",0)) != 0 )
@@ -1650,6 +1651,11 @@ void komodo_args(char *argv0)
             //printf("created (%s)\n",fname);
         } else printf("error creating (%s)\n",fname);
 #endif
+        if ( KOMODO_CCACTIVATE != 0 && ASSETCHAINS_CC == 0 )
+        {
+            ASSETCHAINS_CC = 2;
+            fprintf(stderr,"smart utxo CC contracts will activate at height.%d\n",KOMODO_CCACTIVATE);
+        }
     }
     else
     {
diff --git a/src/main.h b/src/main.h
index dfea318cb..fd418502a 100644
--- a/src/main.h
+++ b/src/main.h
@@ -104,8 +104,8 @@ static const unsigned int MAX_REJECT_MESSAGE_LENGTH = 111;
 
 //static const bool DEFAULT_ADDRESSINDEX = false;
 //static const bool DEFAULT_SPENTINDEX = false;
-#define DEFAULT_ADDRESSINDEX (GetArg("-ac_cc",0) != 0)
-#define DEFAULT_SPENTINDEX (GetArg("-ac_cc",0) != 0)
+#define DEFAULT_ADDRESSINDEX (GetArg("-ac_cc",0) != 0 || GetArg("-ac_ccactivate",0) != 0)
+#define DEFAULT_SPENTINDEX (GetArg("-ac_cc",0) != 0 || GetArg("-ac_ccactivate",0) != 0)
 static const bool DEFAULT_TIMESTAMPINDEX = false;
 static const unsigned int DEFAULT_DB_MAX_OPEN_FILES = 1000;
 static const bool DEFAULT_DB_COMPRESSION = true;