diff --git a/lib/vm/src/cache.rs b/lib/vm/src/cache.rs
index 8691c689ec..1b34c35679 100644
--- a/lib/vm/src/cache.rs
+++ b/lib/vm/src/cache.rs
@@ -1,4 +1,5 @@
 use std::fs::create_dir_all;
+use std::marker::PhantomData;
 use std::path::PathBuf;
 
 use lru::LruCache;
@@ -16,10 +17,21 @@ use crate::wasm_store::{load, save, wasm_hash};
 static WASM_DIR: &str = "wasm";
 static MODULES_DIR: &str = "modules";
 
+#[derive(Debug, Default, Clone)]
+struct Stats {
+    hits_instance: u32,
+    hits_module: u32,
+    misses: u32,
+}
+
 pub struct CosmCache<S: Storage + 'static, A: Api + 'static> {
     wasm_path: PathBuf,
     modules: FileSystemCache,
-    instances: Option<LruCache<WasmHash, Instance<S, A>>>,
+    instances: Option<LruCache<WasmHash, wasmer_runtime_core::Instance>>,
+    stats: Stats,
+    // Those two don't store data but only fix type information
+    type_storage: PhantomData<S>,
+    type_api: PhantomData<A>,
 }
 
 impl<S, A> CosmCache<S, A>
@@ -48,6 +60,9 @@ where
             modules,
             wasm_path,
             instances,
+            stats: Stats::default(),
+            type_storage: PhantomData::<S> {},
+            type_api: PhantomData::<A> {},
         })
     }
 
@@ -78,21 +93,22 @@ where
 
         // pop from lru cache if present
         if let Some(cache) = &mut self.instances {
-            let val = cache.pop(&hash);
-            if let Some(inst) = val {
-                inst.leave_storage(Some(deps.storage));
-                return Ok(inst);
+            if let Some(cached_instance) = cache.pop(&hash) {
+                self.stats.hits_instance += 1;
+                return Ok(Instance::from_wasmer(cached_instance, deps));
             }
         }
 
         // try from the module cache
         let res = self.modules.load_with_backend(hash, backend());
         if let Ok(module) = res {
+            self.stats.hits_module += 1;
             return Instance::from_module(&module, deps);
         }
 
         // fall back to wasm cache (and re-compiling) - this is for backends that don't support serialization
         let wasm = self.load_wasm(id)?;
+        self.stats.misses += 1;
         Instance::from_code(&wasm, deps)
     }
 
@@ -100,8 +116,8 @@ where
         if let Some(cache) = &mut self.instances {
             let hash = WasmHash::generate(&id);
             let storage = instance.take_storage();
-            let api = instance.api; // copy it
-            cache.put(hash, instance);
+            let (wasmer_instance, api) = Instance::recycle(instance);
+            cache.put(hash, wasmer_instance);
             if let Some(storage) = storage {
                 return Some(Extern { storage, api });
             }
@@ -148,6 +164,37 @@ mod test {
         }
     }
 
+    #[test]
+    fn finds_cached_module() {
+        let tmp_dir = TempDir::new().unwrap();
+        let mut cache = unsafe { CosmCache::new(tmp_dir.path(), 10).unwrap() };
+        let id = cache.save_wasm(CONTRACT_0_7).unwrap();
+        let deps = dependencies(20);
+        let _instance = cache.get_instance(&id, deps).unwrap();
+        assert_eq!(cache.stats.hits_instance, 0);
+        assert_eq!(cache.stats.hits_module, 1);
+        assert_eq!(cache.stats.misses, 0);
+    }
+
+    #[test]
+    fn finds_cached_instance() {
+        let tmp_dir = TempDir::new().unwrap();
+        let mut cache = unsafe { CosmCache::new(tmp_dir.path(), 10).unwrap() };
+        let id = cache.save_wasm(CONTRACT_0_7).unwrap();
+        let deps1 = dependencies(20);
+        let deps2 = dependencies(20);
+        let deps3 = dependencies(20);
+        let instance1 = cache.get_instance(&id, deps1).unwrap();
+        cache.store_instance(&id, instance1);
+        let instance2 = cache.get_instance(&id, deps2).unwrap();
+        cache.store_instance(&id, instance2);
+        let instance3 = cache.get_instance(&id, deps3).unwrap();
+        cache.store_instance(&id, instance3);
+        assert_eq!(cache.stats.hits_instance, 2);
+        assert_eq!(cache.stats.hits_module, 1);
+        assert_eq!(cache.stats.misses, 0);
+    }
+
     #[test]
     fn init_cached_contract() {
         let tmp_dir = TempDir::new().unwrap();
diff --git a/lib/vm/src/context.rs b/lib/vm/src/context.rs
index 50b82dd19f..92c49b9030 100644
--- a/lib/vm/src/context.rs
+++ b/lib/vm/src/context.rs
@@ -74,50 +74,50 @@ pub fn do_human_address<A: Api>(api: A, ctx: &mut Ctx, canonical_ptr: u32, human
 
 /** context data **/
 
-struct ContextData<T: Storage> {
-    data: Option<T>,
+struct ContextData<S: Storage> {
+    data: Option<S>,
 }
 
-pub fn setup_context<T: Storage>() -> (*mut c_void, fn(*mut c_void)) {
+pub fn setup_context<S: Storage>() -> (*mut c_void, fn(*mut c_void)) {
     (
-        create_unmanaged_storage::<T>(),
-        destroy_unmanaged_storage::<T>,
+        create_unmanaged_storage::<S>(),
+        destroy_unmanaged_storage::<S>,
     )
 }
 
-fn create_unmanaged_storage<T: Storage>() -> *mut c_void {
-    let data = ContextData::<T> { data: None };
+fn create_unmanaged_storage<S: Storage>() -> *mut c_void {
+    let data = ContextData::<S> { data: None };
     let state = Box::new(data);
     Box::into_raw(state) as *mut c_void
 }
 
-unsafe fn get_data<T: Storage>(ptr: *mut c_void) -> Box<ContextData<T>> {
-    Box::from_raw(ptr as *mut ContextData<T>)
+unsafe fn get_data<S: Storage>(ptr: *mut c_void) -> Box<ContextData<S>> {
+    Box::from_raw(ptr as *mut ContextData<S>)
 }
 
-fn destroy_unmanaged_storage<T: Storage>(ptr: *mut c_void) {
+fn destroy_unmanaged_storage<S: Storage>(ptr: *mut c_void) {
     if !ptr.is_null() {
         // auto-dropped with scope
-        let _ = unsafe { get_data::<T>(ptr) };
+        let _ = unsafe { get_data::<S>(ptr) };
     }
 }
 
-pub fn with_storage_from_context<T: Storage, F: FnMut(&mut T)>(ctx: &Ctx, mut func: F) {
-    let mut storage: Option<T> = take_storage(ctx);
+pub fn with_storage_from_context<S: Storage, F: FnMut(&mut S)>(ctx: &Ctx, mut func: F) {
+    let mut storage: Option<S> = take_storage(ctx);
     if let Some(data) = &mut storage {
         func(data);
     }
     leave_storage(ctx, storage);
 }
 
-pub fn take_storage<T: Storage>(ctx: &Ctx) -> Option<T> {
+pub fn take_storage<S: Storage>(ctx: &Ctx) -> Option<S> {
     let mut b = unsafe { get_data(ctx.data) };
     let res = b.data.take();
     mem::forget(b); // we do this to avoid cleanup
     res
 }
 
-pub fn leave_storage<T: Storage>(ctx: &Ctx, storage: Option<T>) {
+pub fn leave_storage<S: Storage>(ctx: &Ctx, storage: Option<S>) {
     let mut b = unsafe { get_data(ctx.data) };
     // clean-up if needed
     let _ = b.data.take();
diff --git a/lib/vm/src/instance.rs b/lib/vm/src/instance.rs
index d99b6f5fab..f64356dfe3 100644
--- a/lib/vm/src/instance.rs
+++ b/lib/vm/src/instance.rs
@@ -20,9 +20,10 @@ use crate::errors::{ResolveErr, Result, RuntimeErr, WasmerErr};
 use crate::memory::{read_region, write_region};
 
 pub struct Instance<S: Storage + 'static, A: Api + 'static> {
-    instance: wasmer_runtime_core::instance::Instance,
+    wasmer_instance: wasmer_runtime_core::instance::Instance,
     pub api: A,
-    storage: PhantomData<S>,
+    // This does not store data but only fixes type information
+    type_storage: PhantomData<S>,
 }
 
 impl<S, A> Instance<S, A>
@@ -70,38 +71,48 @@ where
                 }),
             },
         };
-        let instance = module.instantiate(&import_obj).context(WasmerErr {})?;
+        let wasmer_instance = module.instantiate(&import_obj).context(WasmerErr {})?;
+        Ok(Instance::from_wasmer(wasmer_instance, deps))
+    }
+
+    pub fn from_wasmer(wasmer_instance: wasmer_runtime_core::Instance, deps: Extern<S, A>) -> Self {
         let res = Instance {
-            instance,
-            api,
-            storage: PhantomData::<S> {},
+            wasmer_instance: wasmer_instance,
+            api: deps.api,
+            type_storage: PhantomData::<S> {},
         };
         res.leave_storage(Some(deps.storage));
-        Ok(res)
+        res
+    }
+
+    /// Takes ownership of instance and decomposes it into its components.
+    /// The components we want to preserve are returned, the rest is dropped.
+    pub fn recycle(instance: Self) -> (wasmer_runtime_core::Instance, A) {
+        (instance.wasmer_instance, instance.api)
     }
 
     pub fn get_gas(&self) -> u64 {
-        get_gas(&self.instance)
+        get_gas(&self.wasmer_instance)
     }
 
     pub fn set_gas(&mut self, gas: u64) {
-        set_gas(&mut self.instance, gas)
+        set_gas(&mut self.wasmer_instance, gas)
     }
 
     pub fn with_storage<F: FnMut(&mut S)>(&self, func: F) {
-        with_storage_from_context(self.instance.context(), func)
+        with_storage_from_context(self.wasmer_instance.context(), func)
     }
 
     pub fn take_storage(&self) -> Option<S> {
-        take_storage(self.instance.context())
+        take_storage(self.wasmer_instance.context())
     }
 
     pub fn leave_storage(&self, storage: Option<S>) {
-        leave_storage(self.instance.context(), storage);
+        leave_storage(self.wasmer_instance.context(), storage);
     }
 
     pub fn memory(&self, ptr: u32) -> Vec<u8> {
-        read_region(self.instance.context(), ptr)
+        read_region(self.wasmer_instance.context(), ptr)
     }
 
     // allocate memory in the instance and copies the given data in
@@ -109,7 +120,7 @@ where
     pub fn allocate(&mut self, data: &[u8]) -> Result<u32> {
         let alloc: Func<u32, u32> = self.func("allocate")?;
         let ptr = alloc.call(data.len() as u32).context(RuntimeErr {})?;
-        write_region(self.instance.context(), ptr, data)?;
+        write_region(self.wasmer_instance.context(), ptr, data)?;
         Ok(ptr)
     }
 
@@ -127,7 +138,7 @@ where
         Args: WasmTypeList,
         Rets: WasmTypeList,
     {
-        self.instance.func(name).context(ResolveErr {})
+        self.wasmer_instance.func(name).context(ResolveErr {})
     }
 }