diff --git a/CHANGELOG.md b/CHANGELOG.md
index 3d5eea27c..783740157 100644
--- a/CHANGELOG.md
+++ b/CHANGELOG.md
@@ -23,6 +23,7 @@ Added:
 Changed:
 - `bond-token-flow` test to also use runtime.defaultAccounts. (see [example](https://github.com/scale-it/algo-builder/blob/develop/examples/bond/test/bond-token-flow.js))
 - The `compile.ts` has been updated and now the tealCode is stored in cache when `scTmplParams` are used to compile TEAL with hardcoded params.
+- Support execution of algo-sdk-js `transactionAndSign` in Runtime [#601](https://github.com/scale-it/algo-builder/pull/601).
 - Added support for checking against opcode their execution mode in runtime. For eg. `arg` can only be run in *signature* mode, and parser will reject the execution if run in application mode.
 - Support RekeyTo field in the inner transaction for TEAL v6.
 - Support `keyreg` transaction in inner transaction.
diff --git a/packages/runtime/src/interpreter/opcode-list.ts b/packages/runtime/src/interpreter/opcode-list.ts
index 806eb8d95..e3db1b4d0 100644
--- a/packages/runtime/src/interpreter/opcode-list.ts
+++ b/packages/runtime/src/interpreter/opcode-list.ts
@@ -1,6 +1,6 @@
 /* eslint sonarjs/no-identical-functions: 0 */
 /* eslint sonarjs/no-duplicate-string: 0 */
-import { parsing } from "@algo-builder/web";
+import { parsing, types } from "@algo-builder/web";
 import algosdk, { ALGORAND_MIN_TX_FEE, decodeAddress, decodeUint64, encodeAddress, encodeUint64, getApplicationAddress, isValidAddress, modelsv2, verifyBytes } from "algosdk";
 import { ec as EC } from "elliptic";
 import { Message, sha256 } from "js-sha256";
@@ -19,13 +19,13 @@ import {
   MAX_UINT64, MAX_UINT128,
   MaxTEALVersion, TxArrFields, ZERO_ADDRESS
 } from "../lib/constants";
-import { parseEncodedTxnToExecParams, setInnerTxField } from "../lib/itxn";
+import { setInnerTxField } from "../lib/itxn";
 import {
   assertLen, assertNumber, assertOnlyDigits, bigEndianBytesToBigInt, bigintToBigEndianBytes, convertToBuffer,
   convertToString, getEncoding, parseBinaryStrToBigInt
 } from "../lib/parsing";
 import { Stack } from "../lib/stack";
-import { txAppArg, txnSpecbyField } from "../lib/txn";
+import { encTxToExecParams, txAppArg, txnSpecbyField } from "../lib/txn";
 import { DecodingMode, EncodingType, StackElem, TEALStack, TxnType, TxOnComplete, TxReceipt } from "../types";
 import { Interpreter } from "./interpreter";
 import { Op } from "./opcode";
@@ -1616,8 +1616,8 @@ export class Global extends Op {
         break;
       }
       case 'CreatorAddress': {
-        const appID = this.interpreter.runtime.ctx.tx.apid as number;
-        const app = this.interpreter.getApp(appID, this.line);
+        const appID = this.interpreter.runtime.ctx.tx.apid;
+        const app = this.interpreter.getApp(appID as number, this.line);
         result = decodeAddress(app.creator).publicKey;
         break;
       }
@@ -3925,8 +3925,22 @@ export class ITxnSubmit extends Op {
       );
     }
 
+    // initial contract account.
+    const appID = this.interpreter.runtime.ctx.tx.apid as number;
+    const contractAddress = getApplicationAddress(appID);
+    const contractAccount = this.interpreter.runtime.getAccount(contractAddress).account;
+
     // get execution txn params (parsed from encoded sdk txn obj)
-    const execParams = parseEncodedTxnToExecParams(this.interpreter.subTxn, this.interpreter, this.line);
+    // singer will be contractAccount
+    const execParams = encTxToExecParams(
+      this.interpreter.subTxn,
+      {
+        sign: types.SignType.SecretKey,
+        fromAccount: contractAccount
+      },
+      this.interpreter.runtime.ctx,
+      this.line
+    );
     const baseCurrTx = this.interpreter.runtime.ctx.tx;
     const baseCurrTxGrp = this.interpreter.runtime.ctx.gtxs;
 
diff --git a/packages/runtime/src/lib/itxn.ts b/packages/runtime/src/lib/itxn.ts
index 981a8ee95..3985fba23 100644
--- a/packages/runtime/src/lib/itxn.ts
+++ b/packages/runtime/src/lib/itxn.ts
@@ -1,15 +1,14 @@
-import { types } from "@algo-builder/web";
-import { decodeAddress, encodeAddress, getApplicationAddress } from "algosdk";
+import { decodeAddress } from "algosdk";
 import cloneDeep from "lodash.clonedeep";
 
 import { Interpreter } from "..";
 import { RUNTIME_ERRORS } from "../errors/errors-list";
 import { RuntimeError } from "../errors/runtime-errors";
 import { Op } from "../interpreter/opcode";
-import { MaxTxnNoteBytes, TxnFields, TxnTypeMap, ZERO_ADDRESS_STR } from "../lib/constants";
-import { AccountAddress, EncTx, RuntimeAccountI, StackElem } from "../types";
+import { MaxTxnNoteBytes, TxnFields, TxnTypeMap } from "../lib/constants";
+import { EncTx, StackElem } from "../types";
 import { convertToString } from "./parsing";
-import { assetTxnFields, isEncTxAssetConfig, isEncTxAssetDeletion } from "./txn";
+import { assetTxnFields } from "./txn";
 
 // requires their type as number
 const numberTxnFields: {[key: number]: Set<string>} = {
@@ -257,140 +256,3 @@ export function setInnerTxField (
 
   return subTxn;
 }
-
-const _getRuntimeAccount = (publickey: Buffer | undefined,
-  interpreter: Interpreter, line: number): RuntimeAccountI | undefined => {
-  if (publickey === undefined) { return undefined; }
-  const address = encodeAddress(Uint8Array.from(publickey));
-  const runtimeAcc = interpreter.runtime.assertAccountDefined(
-    address,
-    interpreter.runtime.ctx.state.accounts.get(address),
-    line
-  );
-  return runtimeAcc.account;
-};
-
-const _getRuntimeAccountAddr = (publickey: Buffer | undefined,
-  interpreter: Interpreter, line: number): AccountAddress | undefined => {
-  return _getRuntimeAccount(publickey, interpreter, line)?.addr;
-};
-
-const _getASAConfigAddr = (addr?: Uint8Array): string => {
-  if (addr) {
-    return encodeAddress(addr);
-  }
-  return "";
-};
-
-const _getAddress = (addr?: Uint8Array): string | undefined => {
-  if (addr) { return encodeAddress(addr); }
-  return undefined;
-};
-
-// parse encoded txn obj to execParams (params passed by user in algob)
-/* eslint-disable sonarjs/cognitive-complexity */
-export function parseEncodedTxnToExecParams (tx: EncTx,
-  interpreter: Interpreter, line: number): types.ExecParams {
-  // signer is the contract
-  const appID = interpreter.runtime.ctx.tx.apid ?? 0;
-  const appAddress = getApplicationAddress(appID);
-
-  // initial common fields
-  const execParams: any = {
-    sign: types.SignType.SecretKey,
-    fromAccount: { addr: appAddress, sk: Buffer.from([]) }, // signer is the contract
-    fromAccountAddr: encodeAddress(tx.snd),
-    payFlags: {
-      totalFee: tx.fee,
-      firstValid: tx.fv,
-      note: tx.note
-    }
-  };
-
-  switch (tx.type) {
-    case 'pay': {
-      execParams.type = types.TransactionType.TransferAlgo;
-      execParams.toAccountAddr =
-        _getRuntimeAccountAddr(tx.rcv, interpreter, line) ?? ZERO_ADDRESS_STR;
-      execParams.amountMicroAlgos = tx.amt ?? 0n;
-      execParams.payFlags.closeRemainderTo = _getRuntimeAccountAddr(tx.close, interpreter, line);
-      execParams.payFlags.rekeyTo = _getAddress(tx.rekey);
-      break;
-    }
-    case 'afrz': {
-      execParams.type = types.TransactionType.FreezeAsset;
-      execParams.assetID = tx.faid;
-      execParams.freezeTarget = _getRuntimeAccountAddr(tx.fadd, interpreter, line);
-      execParams.freezeState = BigInt(tx.afrz ?? 0n) === 1n;
-      execParams.payFlags.rekeyTo = _getAddress(tx.rekey);
-      break;
-    }
-    case 'axfer': {
-      if (tx.asnd !== undefined) { // if 'AssetSender' is set, it is clawback transaction
-        execParams.type = types.TransactionType.RevokeAsset;
-        execParams.recipient =
-          _getRuntimeAccountAddr(tx.arcv, interpreter, line) ?? ZERO_ADDRESS_STR;
-        execParams.revocationTarget = _getRuntimeAccountAddr(tx.asnd, interpreter, line);
-      } else { // asset transfer
-        execParams.type = types.TransactionType.TransferAsset;
-        execParams.toAccountAddr =
-          _getRuntimeAccountAddr(tx.arcv, interpreter, line) ?? ZERO_ADDRESS_STR;
-      }
-      // set common fields (asset amount, index, closeRemTo)
-      execParams.amount = tx.aamt ?? 0n;
-      execParams.assetID = tx.xaid ?? 0;
-      execParams.payFlags.closeRemainderTo = _getRuntimeAccountAddr(tx.aclose, interpreter, line);
-      execParams.payFlags.rekeyTo = _getAddress(tx.rekey);
-      break;
-    }
-    case 'acfg': { // can be asset modification, destroy, or deployment(create)
-      if (isEncTxAssetDeletion(tx)) {
-        execParams.type = types.TransactionType.DestroyAsset;
-        execParams.assetID = tx.caid;
-      } else if (isEncTxAssetConfig(tx)) {
-        // from the docs: all fields must be reset, otherwise they will be cleared
-        // https://developer.algorand.org/docs/get-details/dapps/smart-contracts/apps/#asset-configuration
-        execParams.type = types.TransactionType.ModifyAsset;
-        execParams.assetID = tx.caid;
-        execParams.fields = {
-          manager: _getASAConfigAddr(tx.apar?.m),
-          reserve: _getASAConfigAddr(tx.apar?.r),
-          clawback: _getASAConfigAddr(tx.apar?.c),
-          freeze: _getASAConfigAddr(tx.apar?.f)
-        };
-      } else { // if not delete or modify, it's ASA deployment
-        execParams.type = types.TransactionType.DeployASA;
-        execParams.asaName = tx.apar?.an;
-        execParams.asaDef = {
-          name: tx.apar?.an,
-          total: tx.apar?.t,
-          decimals: tx.apar?.dc !== undefined ? Number(tx.apar.dc) : undefined,
-          defaultFrozen: BigInt(tx.apar?.df ?? 0n) === 1n,
-          unitName: tx.apar?.un,
-          url: tx.apar?.au,
-          metadataHash: tx.apar?.am,
-          manager: _getASAConfigAddr(tx.apar?.m),
-          reserve: _getASAConfigAddr(tx.apar?.r),
-          clawback: _getASAConfigAddr(tx.apar?.c),
-          freeze: _getASAConfigAddr(tx.apar?.f)
-        };
-      }
-      execParams.payFlags.rekeyTo = _getAddress(tx.rekey);
-      break;
-    }
-
-    case 'keyreg':
-      execParams.type = types.TransactionType.KeyRegistration;
-      execParams.voteKey = tx.votekey;
-      execParams.selectionKey = tx.selkey;
-      execParams.voteFirst = tx.votefst;
-      execParams.voteLast = tx.votelst;
-      execParams.voteKeyDilution = tx.votekd;
-      break;
-    default: {
-      throw new Error(`unsupported type for itxn_submit at line ${line}, for version ${interpreter.tealVersion}`);
-    }
-  }
-
-  return execParams;
-}
diff --git a/packages/runtime/src/lib/txn.ts b/packages/runtime/src/lib/txn.ts
index 47670f661..32df1f7aa 100644
--- a/packages/runtime/src/lib/txn.ts
+++ b/packages/runtime/src/lib/txn.ts
@@ -1,11 +1,12 @@
-import { parsing } from "@algo-builder/web";
-import { EncodedAssetParams, EncodedGlobalStateSchema, Transaction } from "algosdk";
+import { parsing, types } from "@algo-builder/web";
+import { encodeAddress, EncodedAssetParams, EncodedGlobalStateSchema, Transaction } from "algosdk";
 
 import { RUNTIME_ERRORS } from "../errors/errors-list";
 import { RuntimeError } from "../errors/runtime-errors";
 import { Op } from "../interpreter/opcode";
-import { TxFieldDefaults, TxnFields } from "../lib/constants";
-import { EncTx, StackElem, TxField, TxnType } from "../types";
+import { TransactionTypeEnum, TxFieldDefaults, TxnFields, ZERO_ADDRESS_STR } from "../lib/constants";
+import { Context, EncTx, RuntimeAccountI, StackElem, TxField, TxnType } from "../types";
+import { convertToString } from "./parsing";
 
 export const assetTxnFields = new Set([
   'ConfigAssetTotal',
@@ -50,7 +51,7 @@ export function parseToStackElem (a: unknown, field: TxField): StackElem {
  * https://github.com/algorand/js-algorand-sdk/blob/e07d99a2b6bd91c4c19704f107cfca398aeb9619/src/transaction.ts#L528
  */
 export function checkIfAssetDeletionTx (txn: Transaction): boolean {
-  return txn.type === 'acfg' && // type should be asset config
+  return (String(txn.type) === TransactionTypeEnum.ASSET_CONFIG) && // type should be asset config
     (txn.assetIndex > 0) && // assetIndex should not be 0
     !(txn.assetClawback || txn.assetFreeze || txn.assetManager || txn.assetReserve); // fields should be empty
 }
@@ -177,7 +178,7 @@ export function txAppArg (txField: TxField, tx: EncTx, idx: number, op: Op,
  * https://github.com/algorand/js-algorand-sdk/blob/e07d99a2b6bd91c4c19704f107cfca398aeb9619/src/transaction.ts#L528
  */
 export function isEncTxAssetDeletion (txn: EncTx): boolean {
-  return txn.type === 'acfg' && // type should be asset config
+  return txn.type === TransactionTypeEnum.ASSET_CONFIG && // type should be asset config
     (txn.caid !== undefined && txn.caid !== 0) && // assetIndex should not be 0
     !(txn.apar?.m ?? txn.apar?.r ?? txn.apar?.f ?? txn.apar?.c); // fields should be empty
 }
@@ -187,7 +188,192 @@ export function isEncTxAssetDeletion (txn: EncTx): boolean {
  * @param txn Encoded EncTx Object
  */
 export function isEncTxAssetConfig (txn: EncTx): boolean {
-  return txn.type === 'acfg' && // type should be asset config
+  return txn.type === TransactionTypeEnum.ASSET_CONFIG && // type should be asset config
     (txn.caid !== undefined && txn.caid !== 0) && // assetIndex should not be 0
     !isEncTxAssetDeletion(txn); // AND should not be asset deletion
 }
+
+/**
+ * Check if given encoded transaction object is app creation
+ * @param txn Encoded EncTx Object
+ */
+export function isEncTxApplicationCreate (txn: EncTx): boolean {
+  return txn.type === TransactionTypeEnum.APPLICATION_CALL && (txn.apan === 0 || txn.apan === undefined);
+}
+
+/**
+ *
+ * @param txAndSign transaction and sign
+ * @param ctx context which is tx and sign apply
+ * @returns ExecParams object equivalent with txAndSign
+ */
+export function transactionAndSignToExecParams (
+  txAndSign: types.TransactionAndSign, ctx: Context
+): types.ExecParams {
+  const transaction = txAndSign.transaction as any;
+  const encTx = transaction.get_obj_for_encoding() as EncTx;
+  // inject approval Program and clear program with string format.
+  // TODO: should create function to convert TEAL in Uint8Array to string format?
+  encTx.approvalProgram = transaction.approvalProgram;
+  encTx.clearProgram = transaction.clearProgram;
+  const sign = txAndSign.sign;
+  return encTxToExecParams(encTx, sign, ctx);
+}
+
+/* eslint-disable sonarjs/cognitive-complexity */
+export function encTxToExecParams (
+  encTx: EncTx, sign: types.Sign, ctx: Context, line?: number
+): types.ExecParams {
+  const execParams: any = {
+    ...sign,
+    payFlags: {} as types.ExecParams
+  };
+
+  execParams.payFlags.totalFee = encTx.fee;
+
+  switch (encTx.type) {
+    case TransactionTypeEnum.APPLICATION_CALL: {
+      if (isEncTxApplicationCreate(encTx)) {
+        execParams.type = types.TransactionType.DeployApp;
+        execParams.approvalProgram = encTx.approvalProgram;
+        execParams.clearProgram = encTx.clearProgram;
+        execParams.localInts = encTx.apgs?.nui;
+        execParams.localBytes = encTx.apgs?.nbs;
+        execParams.globalInts = encTx.apgs?.nui;
+        execParams.globalBytes = encTx.apgs?.nbs;
+      }
+      break;
+    }
+
+    case TransactionTypeEnum.PAYMENT: {
+      execParams.type = types.TransactionType.TransferAlgo;
+      execParams.fromAccountAddr = _getAddress(encTx.snd);
+      execParams.toAccountAddr =
+        getRuntimeAccountAddr(encTx.rcv, ctx, line) ?? ZERO_ADDRESS_STR;
+      execParams.amountMicroAlgos = encTx.amt ?? 0n;
+      if (encTx.close) {
+        execParams.payFlags.closeRemainderTo = getRuntimeAccountAddr(encTx.close, ctx, line);
+      }
+      if (encTx.rekey) {
+        execParams.payFlags.rekeyTo = _getAddress(encTx.rekey);
+      }
+      break;
+    }
+    case TransactionTypeEnum.ASSET_FREEZE: {
+      execParams.type = types.TransactionType.FreezeAsset;
+      execParams.assetID = encTx.faid;
+      execParams.freezeTarget = getRuntimeAccountAddr(encTx.fadd, ctx, line);
+      execParams.freezeState = BigInt(encTx.afrz ?? 0n) === 1n;
+      if (encTx.rekey) {
+        execParams.payFlags.rekeyTo = _getAddress(encTx.rekey);
+      }
+      break;
+    }
+    case TransactionTypeEnum.ASSET_TRANSFER: {
+      if (encTx.asnd !== undefined) { // if 'AssetSender' is set, it is clawback transaction
+        execParams.type = types.TransactionType.RevokeAsset;
+        execParams.recipient =
+          getRuntimeAccountAddr(encTx.arcv, ctx, line) ?? ZERO_ADDRESS_STR;
+        execParams.revocationTarget = getRuntimeAccountAddr(encTx.asnd, ctx, line);
+      } else { // asset transfer
+        execParams.type = types.TransactionType.TransferAsset;
+        execParams.toAccountAddr =
+          getRuntimeAccountAddr(encTx.arcv, ctx) ?? ZERO_ADDRESS_STR;
+      }
+      // set common fields (asset amount, index, closeRemainderTo)
+      execParams.amount = encTx.aamt ?? 0n;
+      execParams.assetID = encTx.xaid ?? 0;
+      // option fields
+      if (encTx.aclose) {
+        execParams.payFlags.closeRemainderTo = getRuntimeAccountAddr(encTx.aclose, ctx, line);
+      }
+      if (encTx.rekey) {
+        execParams.payFlags.rekeyTo = _getAddress(encTx.rekey);
+      }
+      break;
+    }
+
+    case TransactionTypeEnum.ASSET_CONFIG: {
+      if (isEncTxAssetDeletion(encTx)) {
+        execParams.type = types.TransactionType.DestroyAsset;
+        execParams.assetID = encTx.caid;
+      } else if (isEncTxAssetConfig(encTx)) {
+        // from the docs: all fields must be reset, otherwise they will be cleared
+        // https://developer.algorand.org/docs/get-details/dapps/smart-contracts/apps/#asset-configuration
+        execParams.type = types.TransactionType.ModifyAsset;
+        execParams.assetID = encTx.caid;
+        execParams.fields = {
+          manager: _getASAConfigAddr(encTx.apar?.m),
+          reserve: _getASAConfigAddr(encTx.apar?.r),
+          clawback: _getASAConfigAddr(encTx.apar?.c),
+          freeze: _getASAConfigAddr(encTx.apar?.f)
+        };
+      } else { // if not delete or modify, it's ASA deployment
+        execParams.type = types.TransactionType.DeployASA;
+        execParams.asaName = encTx.apar?.an;
+        execParams.asaDef = {
+          name: encTx.apar?.an,
+          total: Number(encTx.apar?.t),
+          decimals: encTx.apar?.dc !== undefined ? Number(encTx.apar.dc) : 0,
+          defaultFrozen: BigInt(encTx.apar?.df ?? 0n) === 1n,
+          unitName: encTx.apar?.un,
+          url: encTx.apar?.au,
+          metadataHash: encTx.apar?.am ? convertToString(encTx.apar?.am) : undefined,
+          manager: _getASAConfigAddr(encTx.apar?.m),
+          reserve: _getASAConfigAddr(encTx.apar?.r),
+          clawback: _getASAConfigAddr(encTx.apar?.c),
+          freeze: _getASAConfigAddr(encTx.apar?.f)
+        };
+      }
+      break;
+    }
+
+    case TransactionTypeEnum.KEY_REGISTRATION: {
+      execParams.type = types.TransactionType.KeyRegistration;
+      execParams.voteKey = encTx.votekey?.toString('base64');
+      execParams.selectionKey = encTx.selkey?.toString('base64');
+      execParams.voteFirst = encTx.votefst;
+      execParams.voteLast = encTx.votelst;
+      execParams.voteKeyDilution = encTx.votekd;
+      break;
+    }
+
+    default: {
+      // if line is defined => called from ItxnSubmit
+      // => throw error with itxn_submit
+      if (line) {
+        throw new Error(`unsupported type for itxn_submit at line ${line}`);
+      } else {
+        throw new Error("Can't convert encode tx to execParams");
+      }
+    }
+  };
+  return execParams as types.ExecParams;
+}
+
+const _getASAConfigAddr = (addr?: Uint8Array): string => {
+  if (addr) {
+    return encodeAddress(addr);
+  }
+  return "";
+};
+
+const getRuntimeAccount = (publicKey: Buffer | undefined,
+  ctx: Context, line?: number): RuntimeAccountI | undefined => {
+  if (publicKey === undefined) { return undefined; }
+  const address = encodeAddress(Uint8Array.from(publicKey));
+  const runtimeAcc = ctx.getAccount(
+    address
+  );
+  return runtimeAcc.account;
+};
+
+const getRuntimeAccountAddr = (publickey: Buffer | undefined,
+  ctx: Context, line?: number): types.AccountAddress | undefined => {
+  return getRuntimeAccount(publickey, ctx, line)?.addr;
+};
+
+const _getAddress = (addr?: Uint8Array): string | undefined => {
+  if (addr) { return encodeAddress(addr); }
+  return undefined;
+};
diff --git a/packages/runtime/src/runtime.ts b/packages/runtime/src/runtime.ts
index a5512d2e9..945cb22d6 100644
--- a/packages/runtime/src/runtime.ts
+++ b/packages/runtime/src/runtime.ts
@@ -14,6 +14,7 @@ import {
   ZERO_ADDRESS_STR
 } from "./lib/constants";
 import { convertToString } from "./lib/parsing";
+import { transactionAndSignToExecParams } from "./lib/txn";
 import { LogicSigAccount } from "./logicsig";
 import { mockSuggestedParams } from "./mock/tx";
 import {
@@ -807,22 +808,42 @@ export class Runtime {
    * @param debugStack: if passed then TEAL Stack is logged to console after
    * each opcode execution (upto depth = debugStack)
    */
-  executeTx (txnParams: types.ExecParams | types.ExecParams[], debugStack?: number): TxReceipt | TxReceipt[] {
-    const txnParameters = Array.isArray(txnParams) ? txnParams : [txnParams];
-    for (const txn of txnParameters) {
-      switch (txn.type) {
-        case types.TransactionType.DeployASA: {
-          if (txn.asaDef === undefined) txn.asaDef = this.loadedAssetsDefs[txn.asaName];
-          break;
-        }
-        case types.TransactionType.DeployApp: {
-          txn.approvalProg = new Uint8Array(32); // mock approval program
-          txn.clearProg = new Uint8Array(32); // mock clear program
-          break;
+  executeTx (
+    txnParams: types.ExecParams | types.ExecParams[] | types.TransactionAndSign | types.TransactionAndSign[],
+    debugStack?: number
+  ): TxReceipt | TxReceipt[] {
+    // TODO: union above and create new type in task below:
+    // https://www.pivotaltracker.com/n/projects/2452320/stories/181295625
+    const txnParamerters = Array.isArray(txnParams) ? txnParams : [txnParams];
+
+    let tx, gtxs;
+
+    if (types.isSDKTransactionAndSign(txnParamerters[0])) {
+      const sdkTxns: EncTx[] = txnParamerters.map((txnParamerter): EncTx => {
+        const txn = txnParamerter as types.TransactionAndSign;
+        return txn.transaction.get_obj_for_encoding() as EncTx;
+      });
+      tx = sdkTxns[0];
+      gtxs = sdkTxns;
+    } else {
+      for (const txnParamerter of txnParamerters) {
+        const txn = txnParamerter as types.ExecParams;
+        switch (txn.type) {
+          case types.TransactionType.DeployASA: {
+            if (txn.asaDef === undefined) txn.asaDef = this.loadedAssetsDefs[txn.asaName];
+            break;
+          }
+          case types.TransactionType.DeployApp: {
+            txn.approvalProg = new Uint8Array(32); // mock approval program
+            txn.clearProg = new Uint8Array(32); // mock clear program
+            break;
+          }
         }
       }
+      // get current txn and txn group (as encoded obj)
+      [tx, gtxs] = this.createTxnContext(txnParamerters as types.ExecParams[]);
     }
-    const [tx, gtxs] = this.createTxnContext(txnParameters); // get current txn and txn group (as encoded obj)
+
     // validate first and last rounds
     this.validateTxRound(gtxs);
 
@@ -833,7 +854,12 @@ export class Runtime {
 
     // Run TEAL program associated with each transaction and
     // then execute the transaction without interacting with store.
-    const txReceipts = this.ctx.processTransactions(txnParameters);
+    const runtimeTxnParams: types.ExecParams[] =
+      txnParamerters.map(
+        (txn) => types.isSDKTransactionAndSign(txn) ? transactionAndSignToExecParams(txn, this.ctx) : txn
+      );
+
+    const txReceipts = this.ctx.processTransactions(runtimeTxnParams);
 
     // update store only if all the transactions are passed
     this.store = this.ctx.state;
diff --git a/packages/runtime/src/types.ts b/packages/runtime/src/types.ts
index ebd983f5b..33a9cf0d0 100644
--- a/packages/runtime/src/types.ts
+++ b/packages/runtime/src/types.ts
@@ -23,6 +23,11 @@ export type TEALStack = IStack<bigint | Uint8Array>;
 
 export interface EncTx extends EncodedTransaction {
   txID: string
+  // user should push raw string TEAL code - not compiled code
+  // for approvalProgram and clearProgram
+  approvalProgram?: string
+  clearProgram?: string
+
 }
 
 export type TxField = keyof typeof TxnFields[2];
diff --git a/packages/runtime/test/integration/SDKTxnRuntime.ts b/packages/runtime/test/integration/SDKTxnRuntime.ts
new file mode 100644
index 000000000..30d4fa1b5
--- /dev/null
+++ b/packages/runtime/test/integration/SDKTxnRuntime.ts
@@ -0,0 +1,144 @@
+import { tx as webTx, types } from "@algo-builder/web";
+import { assert } from "chai";
+
+import { AccountStore } from "../../src/account";
+import { mockSuggestedParams } from "../../src/mock/tx";
+import { Runtime } from "../../src/runtime";
+import { AccountStoreI } from "../../src/types";
+import { useFixture } from "../helpers/integration";
+
+const minBalance = BigInt(10 * 1e6);
+
+// TODO: add more test for all transaction types.
+// https://www.pivotaltracker.com/n/projects/2452320/stories/181383052
+describe("Should execute SDK transaction object using runtime", function () {
+  const fee = 1000;
+
+  let alice: AccountStoreI;
+  let smith: AccountStoreI;
+  let runtime: Runtime;
+
+  let execParams: types.ExecParams;
+
+  function mkTransactionAndSign (runtime: Runtime, execParams: types.ExecParams): types.TransactionAndSign {
+    const suggestedParams = mockSuggestedParams(execParams.payFlags, runtime.getRound());
+    const transaction = webTx.mkTransaction(execParams, suggestedParams) as any;
+    let sign: types.Sign;
+
+    // extract `sign` from execParams
+    if (execParams.sign === types.SignType.SecretKey) {
+      sign = {
+        sign: execParams.sign,
+        fromAccount: execParams.fromAccount
+      };
+    } else {
+      sign = {
+        sign: execParams.sign,
+        lsig: execParams.lsig,
+        fromAccountAddr: execParams.fromAccountAddr
+      };
+    }
+
+    // inject approval and clear program in string format to transaction object.
+    // TODO: Should we create disassemble method to convert Uint8Array program format to string???
+    if (execParams.type === types.TransactionType.DeployApp) {
+      transaction.approvalProgram = execParams.approvalProgram;
+      transaction.clearProgram = execParams.clearProgram;
+    }
+    return {
+      transaction,
+      sign
+    };
+  }
+
+  this.beforeEach(() => {
+    alice = new AccountStore(minBalance * 10n);
+    smith = new AccountStore(minBalance * 10n);
+    runtime = new Runtime([alice, smith]);
+  });
+
+  describe("ASA transaction", function () {
+    useFixture('asa-check');
+    it("Should deploy ASA transaction", () => {
+      const asaName = 'gold';
+      const asaDef = runtime.loadedAssetsDefs[asaName];
+
+      execParams = {
+        sign: types.SignType.SecretKey,
+        fromAccount: alice.account,
+        type: types.TransactionType.DeployASA,
+        asaName,
+        asaDef,
+        payFlags: {
+          totalFee: fee
+        }
+      };
+
+      const txAndSign = mkTransactionAndSign(runtime, execParams);
+      assert.doesNotThrow(() => runtime.executeTx(txAndSign));
+
+      const asaInfo = runtime.getAssetInfoFromName(asaName);
+      if (asaInfo) {
+        assert.isDefined(asaInfo);
+        assert.equal(asaInfo.creator, alice.address);
+        assert.isFalse(asaInfo.deleted);
+        assert.equal(asaDef.name, asaInfo.assetDef.name);
+        assert.equal(asaDef.defaultFrozen, asaInfo.assetDef.defaultFrozen);
+        assert.equal(asaDef.decimals, asaInfo.assetDef.decimals);
+        assert.equal(asaDef.total, asaInfo.assetDef.total);
+        assert.equal(asaDef.clawback, asaInfo.assetDef.clawback);
+        assert.equal(asaDef.freeze, asaInfo.assetDef.freeze);
+        assert.equal(asaDef.manager, asaInfo.assetDef.manager);
+        assert.equal(asaDef.reserve, asaInfo.assetDef.reserve);
+      }
+    });
+  });
+
+  describe("Application Transaction", function () {
+    useFixture('stateful');
+    let execParams: types.ExecParams;
+    this.beforeEach(() => {
+      execParams = {
+        type: types.TransactionType.DeployApp,
+        sign: types.SignType.SecretKey,
+        fromAccount: alice.account,
+        approvalProgram: 'counter-approval.teal',
+        clearProgram: 'clear.teal',
+        localBytes: 10,
+        localInts: 10,
+        globalBytes: 10,
+        globalInts: 10,
+        payFlags: {
+          totalFee: fee
+        }
+      };
+
+      const txAndSign = mkTransactionAndSign(runtime, execParams);
+      runtime.executeTx(txAndSign);
+    });
+
+    it("Should check if application exists after deployment", () => {
+      const appInfo = runtime.getAppInfoFromName('counter-approval.teal', 'clear.teal');
+      assert.isDefined(appInfo);
+    });
+  });
+
+  describe("Payment transaciton", function () {
+    it("Should transfer ALGO transaction", () => {
+      execParams = {
+        sign: types.SignType.SecretKey,
+        type: types.TransactionType.TransferAlgo,
+        fromAccount: alice.account,
+        toAccountAddr: smith.address,
+        amountMicroAlgos: 1000n,
+        payFlags: {
+          totalFee: fee
+        }
+      };
+
+      const txAndSign = mkTransactionAndSign(runtime, execParams);
+
+      assert.doesNotThrow(() => runtime.executeTx(txAndSign));
+    });
+  });
+});
diff --git a/packages/runtime/test/src/interpreter/inner-transaction.ts b/packages/runtime/test/src/interpreter/inner-transaction.ts
index 525d1066b..06d709c15 100644
--- a/packages/runtime/test/src/interpreter/inner-transaction.ts
+++ b/packages/runtime/test/src/interpreter/inner-transaction.ts
@@ -1036,6 +1036,8 @@ describe("Inner Transactions", function () {
         itxn_field ConfigAssetName
         byte "https://gold.rush/"
         itxn_field ConfigAssetURL
+        byte "12312442142141241244444411111133"
+        itxn_field ConfigAssetMetadataHash
         itxn_submit
         int 1
       `;
diff --git a/packages/runtime/test/src/lib/txn.ts b/packages/runtime/test/src/lib/txn.ts
new file mode 100644
index 000000000..d7f834857
--- /dev/null
+++ b/packages/runtime/test/src/lib/txn.ts
@@ -0,0 +1,182 @@
+import { types } from "@algo-builder/web";
+import { stringToBytes } from "@algo-builder/web/build/lib/parsing";
+import { assert } from "chai";
+import { encodeBase64 } from "tweetnacl-ts";
+
+import { AccountStore } from "../../../src";
+import { encTxToExecParams } from "../../../src/lib/txn";
+import { Runtime } from "../../../src/runtime";
+import { AccountStoreI } from "../../../src/types";
+import { useFixture } from "../../helpers/integration";
+
+describe("Convert encoded Txn to ExecParams", function () {
+  let john: AccountStoreI;
+  let smith: AccountStoreI;
+
+  let runtime: Runtime;
+  let execParams: types.ExecParams;
+  this.beforeEach(() => {
+    john = new AccountStore(1e9);
+    smith = new AccountStore(1e9);
+
+    runtime = new Runtime([john, smith]);
+  });
+
+  // helper - help convert and check param from EncTx to ExecParams
+  function assertEncTxConvertedToExecParam (runtime: Runtime, execParams: types.ExecParams): void {
+    const [encTx] = runtime.createTxnContext(execParams);
+    const sign = {
+      sign: types.SignType.SecretKey,
+      fromAccount: execParams.fromAccount
+    };
+    // add approvalProgram and clearProgram to encTx
+    if (execParams.type === types.TransactionType.DeployApp) {
+      encTx.approvalProgram = execParams.approvalProgram;
+      encTx.clearProgram = execParams.clearProgram;
+    }
+
+    assert.deepEqual(encTxToExecParams(encTx, sign as types.Sign, runtime.ctx), execParams);
+  };
+
+  describe("Case pay transaction types", function () {
+    it("Should convert SDK Payment Txn(pay) to ExecParams(TransferAlgo)", () => {
+      execParams = {
+        sign: types.SignType.SecretKey,
+        fromAccount: john.account,
+        type: types.TransactionType.TransferAlgo,
+        fromAccountAddr: john.address,
+        toAccountAddr: smith.address,
+        amountMicroAlgos: 1000n,
+        payFlags: {
+          totalFee: 1000,
+          closeRemainderTo: smith.address,
+          rekeyTo: smith.address
+        }
+      };
+
+      assertEncTxConvertedToExecParam(runtime, execParams);
+    });
+  });
+
+  describe("Case acfg,axfer,afrz transaction types", function () {
+    useFixture("asa-check");
+    it("Should convert SDK Deploy ASA Txn to ExecParams(DeployASA)", () => {
+      execParams = {
+        sign: types.SignType.SecretKey,
+        fromAccount: john.account,
+        type: types.TransactionType.DeployASA,
+        asaName: 'gold',
+        payFlags: { totalFee: 1000 }
+      };
+
+      execParams.asaDef = runtime.loadedAssetsDefs[execParams.asaName];
+
+      assertEncTxConvertedToExecParam(runtime, execParams);
+    });
+
+    it("Should convert SDK FreezeAsset ASA Txn to ExecParams(FreezeAsset)", () => {
+      execParams = {
+        sign: types.SignType.SecretKey,
+        fromAccount: john.account,
+        type: types.TransactionType.FreezeAsset,
+        payFlags: {
+          totalFee: 1000
+        },
+        assetID: 7,
+        freezeTarget: smith.address,
+        freezeState: true
+      };
+      assertEncTxConvertedToExecParam(runtime, execParams);
+    });
+
+    it("Should convert SDK Transfer ASA Txn to ExecParams(TransferAsset)", () => {
+      execParams = {
+        sign: types.SignType.SecretKey,
+        fromAccount: john.account,
+        type: types.TransactionType.TransferAsset,
+        toAccountAddr: smith.address,
+        amount: 10,
+        assetID: 10,
+        payFlags: {
+          totalFee: 1000
+        }
+      };
+
+      assertEncTxConvertedToExecParam(runtime, execParams);
+    });
+
+    it("Should convert SDK Destroy ASA Txn to ExecParams(DestroyAsset)", () => {
+      execParams = {
+        sign: types.SignType.SecretKey,
+        fromAccount: john.account,
+        type: types.TransactionType.DestroyAsset,
+        assetID: 10,
+        payFlags: {
+          totalFee: 1000
+        }
+      };
+
+      assertEncTxConvertedToExecParam(runtime, execParams);
+    });
+
+    it("Should convert SDK Modify ASA Txn to ExecParams(ModifyAsset)", () => {
+      execParams = {
+        sign: types.SignType.SecretKey,
+        fromAccount: john.account,
+        type: types.TransactionType.ModifyAsset,
+        assetID: 10,
+        fields: {
+          clawback: smith.address,
+          freeze: smith.address,
+          manager: john.address,
+          reserve: smith.address
+        },
+        payFlags: {
+          totalFee: 1000
+        }
+      };
+
+      assertEncTxConvertedToExecParam(runtime, execParams);
+    });
+  });
+
+  describe("Case keyreg transaction type", function () {
+    it("should convert SDK Keyreg Txn to ExecParams(KeyRegistration)", () => {
+      execParams = {
+        type: types.TransactionType.KeyRegistration, // payment
+        sign: types.SignType.SecretKey,
+        fromAccount: john.account,
+        voteKey: encodeBase64(stringToBytes('this-is-vote-key')),
+        selectionKey: encodeBase64(stringToBytes("this-is-selection-key")),
+        voteFirst: 43,
+        voteLast: 1000,
+        voteKeyDilution: 5,
+        payFlags: { totalFee: 1000 }
+      };
+
+      assertEncTxConvertedToExecParam(runtime, execParams);
+    });
+  });
+
+  describe("Case appl transaction type", function () {
+    useFixture('stateful');
+    it("should convert SDK Deploy Application Txn to ExecParams(DeployApp)", () => {
+      execParams = {
+        sign: types.SignType.SecretKey,
+        fromAccount: john.account,
+        type: types.TransactionType.DeployApp,
+        approvalProgram: "counter-approval.teal",
+        clearProgram: "clear.teal",
+        globalBytes: 10,
+        globalInts: 10,
+        localBytes: 10,
+        localInts: 10,
+        payFlags: {
+          totalFee: 1000
+        }
+      };
+
+      assertEncTxConvertedToExecParam(runtime, execParams);
+    });
+  });
+});
diff --git a/packages/runtime/test/src/runtime.ts b/packages/runtime/test/src/runtime.ts
index e83c5fa1f..79230e491 100644
--- a/packages/runtime/test/src/runtime.ts
+++ b/packages/runtime/test/src/runtime.ts
@@ -1,5 +1,4 @@
 import { types } from "@algo-builder/web";
-import { AccountAddress, AlgoTransferParam } from "@algo-builder/web/build/types";
 import algosdk, { LogicSigAccount } from "algosdk";
 import { assert } from "chai";
 import sinon from "sinon";
@@ -134,7 +133,7 @@ describe("Transfer Algo Transaction", function () {
     this.beforeEach(function () {
       externalAccount = new AccountStore(0).account;
 
-      const transferAlgoTx: AlgoTransferParam = {
+      const transferAlgoTx: types.AlgoTransferParam = {
         type: types.TransactionType.TransferAlgo,
         sign: types.SignType.SecretKey,
         fromAccount: alice.account,
@@ -155,7 +154,7 @@ describe("Transfer Algo Transaction", function () {
     });
 
     it("Can create transaction from external account", () => {
-      const transferAlgoTx: AlgoTransferParam = {
+      const transferAlgoTx: types.AlgoTransferParam = {
         type: types.TransactionType.TransferAlgo,
         sign: types.SignType.SecretKey,
         fromAccount: externalRuntimeAccount.account,