diff --git a/tests/e2e/main_test.go b/tests/e2e/main_test.go
index e91f148..26e6031 100644
--- a/tests/e2e/main_test.go
+++ b/tests/e2e/main_test.go
@@ -93,16 +93,25 @@ func (s *BabylonSDKTestSuite) Test1ContractDeployment() {
 	s.NoError(err)
 	s.Equal(adminResp["admin"], s.ConsumerCli.GetSender().String())
 
+	// get Babylon contract address
+	babylonContractAddress := s.ConsumerContract.Babylon.String()
+	btcStakingContractAddress := s.ConsumerContract.BTCStaking.String()
+
 	// update the contract address in parameters
 	msgUpdateParams := &bbntypes.MsgUpdateParams{
 		Authority: s.ConsumerApp.BabylonKeeper.GetAuthority(),
 		Params: bbntypes.Params{
 			MaxGasBeginBlocker:        500_000,
-			BabylonContractAddress:    s.ConsumerContract.Babylon.String(),
-			BtcStakingContractAddress: s.ConsumerContract.BTCStaking.String(),
+			BabylonContractAddress:    babylonContractAddress,
+			BtcStakingContractAddress: btcStakingContractAddress,
 		},
 	}
 	s.ConsumerCli.MustExecGovProposal(msgUpdateParams)
+
+	// assert the contract addresses are updated
+	params := s.ConsumerApp.BabylonKeeper.GetParams(s.ConsumerChain.GetContext())
+	s.Equal(babylonContractAddress, params.BabylonContractAddress)
+	s.Equal(btcStakingContractAddress, params.BtcStakingContractAddress)
 }
 
 // TestExample is an example test case