diff --git a/.codecov.yml b/.codecov.yml
new file mode 100644
index 00000000..4b0cd4a4
--- /dev/null
+++ b/.codecov.yml
@@ -0,0 +1,70 @@
+#
+# This codecov.yml is the default configuration for
+# all repositories on Codecov. You may adjust the settings
+# below in your own codecov.yml in your repository.
+#
+coverage:
+  precision: 2
+  round: down
+  range: 70...100
+
+  status:
+    # Learn more at https://docs.codecov.io/docs/commit-status
+    project:
+      default:
+        threshold: 1% # allow this much decrease on project
+      app:
+        target: 70%
+        flags:
+          - app
+      modules:
+        target: 90%
+        flags:
+          - modules
+      core:
+        target: 90%
+        flags:
+          - core
+      client:
+        flags:
+          - client
+    changes: false
+
+comment:
+  layout: "reach, diff, files"
+  behavior: default # update if exists else create new
+  require_changes: true
+
+flags:
+  app:
+    paths:
+      - "app"
+  modules:
+    paths:
+      - "x"
+      - "!x/**/client" # ignore client package
+  core:
+    paths:
+      - "core"
+      - "crypto"
+      - "types"
+  clients:
+    paths:
+      - "x/**/client"
+      - "x/**/keeper/grpc_query.go"
+
+ignore:
+  - "docs"
+  - "**/*.md"
+  - "cmd"
+  - "client"
+  - "proto"
+  - "third_party"
+  - "testutil"
+  - "**/test_*.go"
+  - "**/*.pb.go"
+  - "**/*.pb.gw.go"
+  - "x/**/module.go"
+  - "scripts"
+  - "ibc/testing"
+  - "version"
\ No newline at end of file
diff --git a/.github/workflows/codecov.yml b/.github/workflows/codecov.yml
new file mode 100644
index 00000000..ee214cdf
--- /dev/null
+++ b/.github/workflows/codecov.yml
@@ -0,0 +1,42 @@
+name: Tests
+on:
+  pull_request:
+  push:
+    branches:
+      - main
+      - release/**
+    tags:
+      - v*
+
+jobs:
+  cleanup-runs:
+    runs-on: ubuntu-latest
+    steps:
+      - uses: rokroskar/workflow-run-cleanup-action@master
+        env:
+          GITHUB_TOKEN: "${{ secrets.GITHUB_TOKEN }}"
+    if: "!startsWith(github.ref, 'refs/tags/') && github.ref != 'refs/heads/main'"
+
+  test-unit-cover:
+    runs-on: ubuntu-latest
+    steps:
+      - uses: actions/setup-go@v4
+        with:
+          go-version: '1.20'
+          check-latest: true
+      - uses: actions/checkout@v3
+      - uses: technote-space/get-diff-action@v6.1.2
+        with:
+          PATTERNS: |
+            **/**.go
+            go.mod
+            go.sum
+      - name: Test and Create Coverage Report
+        run: |
+          make test-unit-cover
+        if: env.GIT_DIFF
+      - uses: codecov/codecov-action@v3
+        with:
+          file: ./coverage.txt
+          fail_ci_if_error: true
+        if: env.GIT_DIFF
\ No newline at end of file