diff --git a/app/upgrades/v16/upgrades.go b/app/upgrades/v16/upgrades.go
index f65feda17e5..0a247698996 100644
--- a/app/upgrades/v16/upgrades.go
+++ b/app/upgrades/v16/upgrades.go
@@ -10,7 +10,8 @@ import (
 	"github.com/osmosis-labs/osmosis/v15/app/keepers"
 	"github.com/osmosis-labs/osmosis/v15/app/upgrades"
 
-	distributiontypes "github.com/cosmos/cosmos-sdk/x/distribution/types"
+	cosmwasmtypes "github.com/CosmWasm/wasmd/x/wasm/types"
+	distrtypes "github.com/cosmos/cosmos-sdk/x/distribution/types"
 
 	cltypes "github.com/osmosis-labs/osmosis/v15/x/concentrated-liquidity/types"
 	superfluidtypes "github.com/osmosis-labs/osmosis/v15/x/superfluid/types"
@@ -77,6 +78,27 @@ func CreateUpgradeHandler(
 			return nil, err
 		}
 
+		// Add both MsgExecuteContract and MsgInstantiateContract to the list of allowed messages.
+		hostParams := keepers.ICAHostKeeper.GetParams(ctx)
+		msgExecuteContractExists := false
+		msgInstantiateContractExists := false
+		for _, msg := range hostParams.AllowMessages {
+			if msg == sdk.MsgTypeURL(&cosmwasmtypes.MsgExecuteContract{}) {
+				msgExecuteContractExists = true
+			}
+			if msg == sdk.MsgTypeURL(&cosmwasmtypes.MsgInstantiateContract{}) {
+				msgInstantiateContractExists = true
+			}
+		}
+		if !msgExecuteContractExists {
+			hostParams.AllowMessages = append(hostParams.AllowMessages, sdk.MsgTypeURL(&cosmwasmtypes.MsgExecuteContract{}))
+		}
+
+		if !msgInstantiateContractExists {
+			hostParams.AllowMessages = append(hostParams.AllowMessages, sdk.MsgTypeURL(&cosmwasmtypes.MsgInstantiateContract{}))
+		}
+		keepers.ICAHostKeeper.SetParams(ctx, hostParams)
+
 		// Although parameters are set on InitGenesis() in RunMigrations(), we reset them here
 		// for visibility of the final configuration.
 		defaultConcentratedLiquidityParams := keepers.ConcentratedLiquidityKeeper.GetParams(ctx)
@@ -98,7 +120,7 @@ func CreateUpgradeHandler(
 		// Create a position to initialize the balancerPool.
 
 		// Get community pool and DAI/OSMO pool address.
-		communityPoolAddress := keepers.AccountKeeper.GetModuleAddress(distributiontypes.ModuleName)
+		communityPoolAddress := keepers.AccountKeeper.GetModuleAddress(distrtypes.ModuleName)
 		daiOsmoPool, err := keepers.PoolManagerKeeper.GetPool(ctx, DaiOsmoPoolId)
 		if err != nil {
 			return nil, err
diff --git a/app/upgrades/v16/upgrades_test.go b/app/upgrades/v16/upgrades_test.go
index fa87d49052d..c95f22a5d3b 100644
--- a/app/upgrades/v16/upgrades_test.go
+++ b/app/upgrades/v16/upgrades_test.go
@@ -4,6 +4,7 @@ import (
 	"fmt"
 	"testing"
 
+	cosmwasmtypes "github.com/CosmWasm/wasmd/x/wasm/types"
 	sdk "github.com/cosmos/cosmos-sdk/types"
 
 	"github.com/cosmos/cosmos-sdk/store/prefix"
@@ -123,6 +124,11 @@ func (suite *UpgradeTestSuite) TestUpgrade() {
 
 				// Ensure that the protorev upgrade was successful
 				verifyProtorevUpdateSuccess(suite)
+
+				// Validate MsgExecuteContract and MsgInstantiateContract were added to the whitelist
+				icaHostAllowList := suite.App.ICAHostKeeper.GetParams(suite.Ctx)
+				suite.Require().Contains(icaHostAllowList.AllowMessages, sdk.MsgTypeURL(&cosmwasmtypes.MsgExecuteContract{}))
+				suite.Require().Contains(icaHostAllowList.AllowMessages, sdk.MsgTypeURL(&cosmwasmtypes.MsgInstantiateContract{}))
 			},
 			func() {
 				// Validate that tokenfactory params have been updated