diff --git a/core/src/main/scala/org/bitcoins/core/hd/AddressType.scala b/core/src/main/scala/org/bitcoins/core/hd/AddressType.scala
new file mode 100644
index 0000000000..e7b12bdc0b
--- /dev/null
+++ b/core/src/main/scala/org/bitcoins/core/hd/AddressType.scala
@@ -0,0 +1,18 @@
+package org.bitcoins.core.hd
+
+/** The address types covered by BIP44, BIP49 and BIP84 */
+sealed abstract class AddressType
+
+object AddressType {
+
+  /** Uses BIP84 address derivation, gives bech32 address (`bc1...`) */
+  final case object SegWit extends AddressType
+
+  /** Uses BIP49 address derivation, gives SegWit addresses wrapped
+    * in P2SH addresses (`3...`)
+    */
+  final case object NestedSegWit extends AddressType
+
+  /** Uses BIP44 address derivation (`1...`) */
+  final case object Legacy extends AddressType
+}
diff --git a/wallet-test/src/test/scala/org/bitcoins/wallet/LegacyWalletTest.scala b/wallet-test/src/test/scala/org/bitcoins/wallet/LegacyWalletTest.scala
index 1610563fa0..63f258d93d 100644
--- a/wallet-test/src/test/scala/org/bitcoins/wallet/LegacyWalletTest.scala
+++ b/wallet-test/src/test/scala/org/bitcoins/wallet/LegacyWalletTest.scala
@@ -11,6 +11,9 @@ import org.bitcoins.wallet.api.UnlockWalletError.MnemonicNotFound
 import com.typesafe.config.ConfigFactory
 import org.bitcoins.core.protocol.P2PKHAddress
 import org.bitcoins.core.hd.HDPurposes
+import org.bitcoins.core.protocol.Bech32Address
+import org.bitcoins.core.protocol.P2SHAddress
+import org.bitcoins.core.hd.AddressType
 
 class LegacyWalletTest extends BitcoinSWalletTest {
 
@@ -24,13 +27,41 @@ class LegacyWalletTest extends BitcoinSWalletTest {
       addr <- wallet.getNewAddress()
       account <- wallet.getDefaultAccount()
       otherAddr <- wallet.getNewAddress()
+      thirdAddr <- wallet.getNewAddress(AddressType.Legacy)
       allAddrs <- wallet.listAddresses()
     } yield {
       assert(account.hdAccount.purpose == HDPurposes.Legacy)
       assert(allAddrs.forall(_.address.isInstanceOf[P2PKHAddress]))
-      assert(allAddrs.length == 2)
+      assert(allAddrs.length == 3)
       assert(allAddrs.exists(_.address == addr))
       assert(allAddrs.exists(_.address == otherAddr))
+      assert(allAddrs.exists(_.address == thirdAddr))
+    }
+  }
+
+  it should "generate segwit addresses" in { wallet =>
+    for {
+      account <- wallet.getDefaultAccountForType(AddressType.SegWit)
+      addr <- wallet.getNewAddress(AddressType.SegWit)
+    } yield {
+      assert(account.hdAccount.purpose == HDPurposes.SegWit)
+      assert(addr.isInstanceOf[Bech32Address])
+    }
+  }
+
+  it should "generate mixed addresses" in { wallet =>
+    for {
+      segwit <- wallet.getNewAddress(AddressType.SegWit)
+      legacy <- wallet.getNewAddress(AddressType.Legacy)
+      // TODO: uncomment this once nested segwit is implemented
+      // https://github.com/bitcoin-s/bitcoin-s/issues/407
+      // nested <- wallet.getNewAddress(AddressType.NestedSegWit)
+    } yield {
+      assert(segwit.isInstanceOf[Bech32Address])
+      assert(legacy.isInstanceOf[P2PKHAddress])
+      // TODO: uncomment this once nested segwit is implemented
+      // https://github.com/bitcoin-s/bitcoin-s/issues/407
+      // assert(nested.isInstanceOf[P2SHAddress])
     }
   }
 }
diff --git a/wallet-test/src/test/scala/org/bitcoins/wallet/SegwitWalletTest.scala b/wallet-test/src/test/scala/org/bitcoins/wallet/SegwitWalletTest.scala
index 5f406b7009..a09e270ccb 100644
--- a/wallet-test/src/test/scala/org/bitcoins/wallet/SegwitWalletTest.scala
+++ b/wallet-test/src/test/scala/org/bitcoins/wallet/SegwitWalletTest.scala
@@ -12,6 +12,8 @@ import com.typesafe.config.ConfigFactory
 import org.bitcoins.core.protocol.P2PKHAddress
 import org.bitcoins.core.protocol.Bech32Address
 import org.bitcoins.core.hd.HDPurposes
+import org.bitcoins.core.hd.AddressType
+import org.bitcoins.core.protocol.P2SHAddress
 
 class SegwitWalletTest extends BitcoinSWalletTest {
 
@@ -26,13 +28,39 @@ class SegwitWalletTest extends BitcoinSWalletTest {
       addr <- wallet.getNewAddress()
       account <- wallet.getDefaultAccount()
       otherAddr <- wallet.getNewAddress()
+      thirdAddr <- wallet.getNewAddress(AddressType.SegWit)
       allAddrs <- wallet.listAddresses()
     } yield {
       assert(account.hdAccount.purpose == HDPurposes.SegWit)
       assert(allAddrs.forall(_.address.isInstanceOf[Bech32Address]))
-      assert(allAddrs.length == 2)
+      assert(allAddrs.length == 3)
       assert(allAddrs.exists(_.address == addr))
       assert(allAddrs.exists(_.address == otherAddr))
+      assert(allAddrs.exists(_.address == thirdAddr))
+    }
+  }
+
+  it should "generate legacy addresses" in { wallet =>
+    for {
+      account <- wallet.getDefaultAccountForType(AddressType.Legacy)
+      addr <- wallet.getNewAddress(AddressType.Legacy)
+    } yield {
+      assert(account.hdAccount.purpose == HDPurposes.Legacy)
+      assert(addr.isInstanceOf[P2PKHAddress])
+    }
+  }
+
+  it should "generate mixed addresses" in { wallet =>
+    for {
+      segwit <- wallet.getNewAddress(AddressType.SegWit)
+      legacy <- wallet.getNewAddress(AddressType.Legacy)
+      // TODO: uncomment this once nested segwit is implemented
+      // nested <- wallet.getNewAddress(AddressType.NestedSegWit)
+    } yield {
+      assert(segwit.isInstanceOf[Bech32Address])
+      assert(legacy.isInstanceOf[P2PKHAddress])
+      // TODO: uncomment this once nested segwit is implemented
+      // assert(nested.isInstanceOf[P2SHAddress])
     }
   }
 }
diff --git a/wallet-test/src/test/scala/org/bitcoins/wallet/WalletUnitTest.scala b/wallet-test/src/test/scala/org/bitcoins/wallet/WalletUnitTest.scala
index 80dd6b9faf..29133e6752 100644
--- a/wallet-test/src/test/scala/org/bitcoins/wallet/WalletUnitTest.scala
+++ b/wallet-test/src/test/scala/org/bitcoins/wallet/WalletUnitTest.scala
@@ -17,6 +17,7 @@ import org.bitcoins.core.hd.HDChainType.External
 import org.bitcoins.core.protocol.BitcoinAddress
 import org.bitcoins.wallet.models.AddressDb
 import org.bitcoins.core.hd.HDChain
+import org.bitcoins.core.hd.HDPurpose
 
 class WalletUnitTest extends BitcoinSWalletTest {
 
@@ -53,12 +54,15 @@ class WalletUnitTest extends BitcoinSWalletTest {
     val wallet = walletApi.asInstanceOf[Wallet]
 
     def getMostRecent(
+        purpose: HDPurpose,
         chain: HDChainType,
         acctIndex: Int
     ): Future[AddressDb] = {
       val recentOptFut: Future[Option[AddressDb]] = chain match {
-        case Change   => wallet.addressDAO.findMostRecentChange(acctIndex)
-        case External => wallet.addressDAO.findMostRecentExternal(acctIndex)
+        case Change =>
+          wallet.addressDAO.findMostRecentChange(purpose, acctIndex)
+        case External =>
+          wallet.addressDAO.findMostRecentExternal(purpose, acctIndex)
       }
 
       recentOptFut.map {
@@ -68,10 +72,11 @@ class WalletUnitTest extends BitcoinSWalletTest {
     }
 
     def assertIndexIs(
+        purpose: HDPurpose,
         chain: HDChainType,
         addrIndex: Int,
         accountIndex: Int): Future[Assertion] = {
-      getMostRecent(chain, accountIndex) map { addr =>
+      getMostRecent(purpose, chain, accountIndex) map { addr =>
         assert(addr.path.address.index == addrIndex)
       }
     }
@@ -80,10 +85,13 @@ class WalletUnitTest extends BitcoinSWalletTest {
     val addrRange = 0 to addressesToGenerate
 
     /**
-      * Generate some addresse, and verify that the correct address index is
+      * Generate some addresses, and verify that the correct address index is
       * being reported
       */
-    def testChain(chain: HDChainType, accIdx: Int): Future[Assertion] = {
+    def testChain(
+        purpose: HDPurpose,
+        chain: HDChainType,
+        accIdx: Int): Future[Assertion] = {
       val getAddrFunc: () => Future[BitcoinAddress] = chain match {
         case Change   => wallet.getNewChangeAddress _
         case External => wallet.getNewAddress _
@@ -91,8 +99,10 @@ class WalletUnitTest extends BitcoinSWalletTest {
       for {
         _ <- {
           val addrF = chain match {
-            case Change   => wallet.addressDAO.findMostRecentChange(accIdx)
-            case External => wallet.addressDAO.findMostRecentExternal(accIdx)
+            case Change =>
+              wallet.addressDAO.findMostRecentChange(purpose, accIdx)
+            case External =>
+              wallet.addressDAO.findMostRecentExternal(purpose, accIdx)
           }
           addrF.map {
             case Some(addr) =>
@@ -102,11 +112,12 @@ class WalletUnitTest extends BitcoinSWalletTest {
           }
         }
         _ <- FutureUtil.sequentially(addrRange)(_ => getAddrFunc())
-        _ <- assertIndexIs(chain,
+        _ <- assertIndexIs(purpose,
+                           chain,
                            accountIndex = accIdx,
                            addrIndex = addressesToGenerate)
         newest <- getAddrFunc()
-        res <- getMostRecent(chain, accIdx).map { found =>
+        res <- getMostRecent(purpose, chain, accIdx).map { found =>
           assert(found.address == newest)
           assert(found.path.address.index == addressesToGenerate + 1)
         }
@@ -116,8 +127,8 @@ class WalletUnitTest extends BitcoinSWalletTest {
     for {
       account <- wallet.getDefaultAccount()
       accIdx = account.hdAccount.index
-      _ <- testChain(External, accIdx)
-      res <- testChain(Change, accIdx)
+      _ <- testChain(wallet.DEFAULT_HD_PURPOSE, External, accIdx)
+      res <- testChain(wallet.DEFAULT_HD_PURPOSE, Change, accIdx)
     } yield res
   }
 
diff --git a/wallet/src/main/scala/org/bitcoins/wallet/api/WalletApi.scala b/wallet/src/main/scala/org/bitcoins/wallet/api/WalletApi.scala
index b6acc38f2f..ef7372820e 100644
--- a/wallet/src/main/scala/org/bitcoins/wallet/api/WalletApi.scala
+++ b/wallet/src/main/scala/org/bitcoins/wallet/api/WalletApi.scala
@@ -15,6 +15,7 @@ import scala.concurrent.Future
 import scala.concurrent.ExecutionContext
 import org.bitcoins.wallet.config.WalletAppConfig
 import org.bitcoins.core.bloom.BloomFilter
+import org.bitcoins.core.hd.AddressType
 
 /**
   * API for the wallet project.
@@ -83,12 +84,15 @@ trait LockedWalletApi extends WalletApi {
   def listAddresses(): Future[Vector[AddressDb]]
 
   /**
-    * Gets a new external address from the specified
-    * account. Calling this method multiple
+    * Gets a new external address with the specified
+    * type. Calling this method multiple
     * times will return the same address, until it has
     * received funds.
+    *
     */
-  def getNewAddress(account: AccountDb): Future[BitcoinAddress]
+  // TODO: Last sentence is not true, implement that
+  // https://github.com/bitcoin-s/bitcoin-s/issues/628
+  def getNewAddress(addressType: AddressType): Future[BitcoinAddress]
 
   /**
     * Gets a new external address from the default account.
@@ -98,8 +102,7 @@ trait LockedWalletApi extends WalletApi {
     */
   def getNewAddress(): Future[BitcoinAddress] = {
     for {
-      account <- getDefaultAccount()
-      address <- getNewAddress(account)
+      address <- getNewAddress(walletConfig.defaultAddressType)
     } yield address
   }
 
@@ -129,6 +132,10 @@ trait LockedWalletApi extends WalletApi {
     */
   protected[wallet] def getDefaultAccount(): Future[AccountDb]
 
+  /** Fetches the default account for the given address/acount kind  */
+  protected[wallet] def getDefaultAccountForType(
+      addressType: AddressType): Future[AccountDb]
+
   /**
     * Unlocks the wallet with the provided passphrase,
     * making it possible to send transactions.
diff --git a/wallet/src/main/scala/org/bitcoins/wallet/config/WalletAppConfig.scala b/wallet/src/main/scala/org/bitcoins/wallet/config/WalletAppConfig.scala
index 52e893f4ca..d1328fb959 100644
--- a/wallet/src/main/scala/org/bitcoins/wallet/config/WalletAppConfig.scala
+++ b/wallet/src/main/scala/org/bitcoins/wallet/config/WalletAppConfig.scala
@@ -9,6 +9,7 @@ import scala.util.Success
 import java.nio.file.Files
 import org.bitcoins.core.hd.HDPurpose
 import org.bitcoins.core.hd.HDPurposes
+import org.bitcoins.core.hd.AddressType
 
 case class WalletAppConfig(private val conf: Config*) extends AppConfig {
   override val configOverrides: List[Config] = conf.toList
@@ -27,6 +28,17 @@ case class WalletAppConfig(private val conf: Config*) extends AppConfig {
         throw new RuntimeException(s"$other is not a valid account type!")
     }
 
+  lazy val defaultAddressType: AddressType = {
+    defaultAccountKind match {
+      case HDPurposes.Legacy       => AddressType.Legacy
+      case HDPurposes.NestedSegWit => AddressType.NestedSegWit
+      case HDPurposes.SegWit       => AddressType.SegWit
+      // todo: validate this pre-app startup
+      case other =>
+        throw new RuntimeException(s"$other is not a valid account type!")
+    }
+  }
+
   lazy val bloomFalsePositiveRate: Double =
     config.getDouble("wallet.bloomFalsePositiveRate")
 
diff --git a/wallet/src/main/scala/org/bitcoins/wallet/internal/AccountHandling.scala b/wallet/src/main/scala/org/bitcoins/wallet/internal/AccountHandling.scala
index ef90e51402..593ddde007 100644
--- a/wallet/src/main/scala/org/bitcoins/wallet/internal/AccountHandling.scala
+++ b/wallet/src/main/scala/org/bitcoins/wallet/internal/AccountHandling.scala
@@ -8,6 +8,10 @@ import org.bitcoins.core.hd.HDCoin
 import org.bitcoins.core.protocol.blockchain.TestNetChainParams
 import org.bitcoins.core.protocol.blockchain.RegTestNetChainParams
 import org.bitcoins.core.protocol.blockchain.MainNetChainParams
+import org.bitcoins.core.hd.HDPurpose
+import org.bitcoins.core.hd.AddressType._
+import org.bitcoins.core.hd.AddressType
+import org.bitcoins.core.hd.HDPurposes
 
 /**
   * Provides functionality related enumerating accounts. Account
@@ -19,23 +23,51 @@ private[wallet] trait AccountHandling { self: LockedWallet =>
   override def listAccounts(): Future[Vector[AccountDb]] =
     accountDAO.findAll()
 
+  private def getOrThrowAccount(account: Option[AccountDb]): AccountDb =
+    account.getOrElse(
+      throw new RuntimeException(
+        s"Could not find account with ${DEFAULT_HD_COIN.purpose.constant} " +
+          s"purpose field and ${DEFAULT_HD_COIN.coinType.toInt} coin field"))
+
   /** @inheritdoc */
   override protected[wallet] def getDefaultAccount(): Future[AccountDb] = {
     for {
       account <- accountDAO.read((DEFAULT_HD_COIN, 0))
-    } yield
-      account.getOrElse(
-        throw new RuntimeException(
-          s"Could not find account with ${DEFAULT_HD_COIN.purpose.constant} " +
-            s"purpose field and ${DEFAULT_HD_COIN.coinType.toInt} coin field"))
+    } yield getOrThrowAccount(account)
+  }
+
+  /** @inheritdoc */
+  override protected[wallet] def getDefaultAccountForType(
+      addressType: AddressType): Future[AccountDb] = {
+    val hdCoin = addressType match {
+      case Legacy       => HDCoin(HDPurposes.Legacy, DEFAULT_HD_COIN_TYPE)
+      case NestedSegWit => HDCoin(HDPurposes.NestedSegWit, DEFAULT_HD_COIN_TYPE)
+      case SegWit       => HDCoin(HDPurposes.SegWit, DEFAULT_HD_COIN_TYPE)
+    }
+    for {
+      account <- accountDAO.read((hdCoin, 0))
+    } yield getOrThrowAccount(account)
   }
 
   /** The default HD coin for this wallet, read from config */
   protected[wallet] lazy val DEFAULT_HD_COIN: HDCoin = {
-    val coinType = chainParams match {
-      case MainNetChainParams                         => HDCoinType.Bitcoin
-      case RegTestNetChainParams | TestNetChainParams => HDCoinType.Testnet
-    }
+    val coinType = DEFAULT_HD_COIN_TYPE
     HDCoin(walletConfig.defaultAccountKind, coinType)
   }
+
+  /** The default HD coin type for this wallet, derived from
+    * the network we're on
+    */
+  protected[wallet] lazy val DEFAULT_HD_COIN_TYPE: HDCoinType = {
+    chainParams match {
+      case MainNetChainParams                         => HDCoinType.Bitcoin
+      case RegTestNetChainParams | TestNetChainParams => HDCoinType.Testnet
+
+    }
+
+  }
+
+  /** The default HD purpose for this wallet, read from config */
+  protected[wallet] lazy val DEFAULT_HD_PURPOSE: HDPurpose =
+    walletConfig.defaultAccountKind
 }
diff --git a/wallet/src/main/scala/org/bitcoins/wallet/internal/AddressHandling.scala b/wallet/src/main/scala/org/bitcoins/wallet/internal/AddressHandling.scala
index cbdbf900b1..ed3e3e3566 100644
--- a/wallet/src/main/scala/org/bitcoins/wallet/internal/AddressHandling.scala
+++ b/wallet/src/main/scala/org/bitcoins/wallet/internal/AddressHandling.scala
@@ -8,7 +8,6 @@ import org.bitcoins.wallet.models.AccountDb
 import org.bitcoins.core.hd.HDChainType
 import org.bitcoins.core.protocol.BitcoinAddress
 import org.bitcoins.core.hd.HDPath
-import org.bitcoins.core.hd.HDAccount
 import org.bitcoins.core.hd.HDAddress
 import scala.util.Failure
 import scala.util.Success
@@ -22,6 +21,7 @@ import org.bitcoins.core.protocol.transaction.TransactionOutput
 import org.bitcoins.core.protocol.script.ScriptPubKey
 import org.bitcoins.core.protocol.transaction.TransactionOutPoint
 import org.bitcoins.core.number.UInt32
+import org.bitcoins.core.hd.AddressType
 
 /**
   * Provides functionality related to addresses. This includes
@@ -75,9 +75,10 @@ private[wallet] trait AddressHandling { self: LockedWallet =>
 
     val lastAddrOptF = chainType match {
       case HDChainType.External =>
-        addressDAO.findMostRecentExternal(accountIndex)
+        addressDAO.findMostRecentExternal(account.hdAccount.purpose,
+                                          accountIndex)
       case HDChainType.Change =>
-        addressDAO.findMostRecentChange(accountIndex)
+        addressDAO.findMostRecentChange(account.hdAccount.purpose, accountIndex)
     }
 
     lastAddrOptF.flatMap { lastAddrOpt =>
@@ -88,8 +89,7 @@ private[wallet] trait AddressHandling { self: LockedWallet =>
             s"Found previous address at path=${addr.path}, next=$next")
           next
         case None =>
-          val account = HDAccount(DEFAULT_HD_COIN, accountIndex)
-          val chain = account.toChain(chainType)
+          val chain = account.hdAccount.toChain(chainType)
           val address = HDAddress(chain, 0)
           val path = address.toPath
           logger.debug(s"Did not find previous address, next=$path")
@@ -135,12 +135,21 @@ private[wallet] trait AddressHandling { self: LockedWallet =>
     }
   }
 
-  /** @inheritdoc */
-  override def getNewAddress(account: AccountDb): Future[BitcoinAddress] = {
-    val addrF = getNewAddressHelper(account, HDChainType.External)
+  def getNewAddress(account: AccountDb): Future[BitcoinAddress] = {
+    val addrF =
+      getNewAddressHelper(account, HDChainType.External)
     addrF
   }
 
+  /** @inheritdoc */
+  override def getNewAddress(
+      addressType: AddressType): Future[BitcoinAddress] = {
+    for {
+      account <- getDefaultAccountForType(addressType)
+      address <- getNewAddressHelper(account, HDChainType.External)
+    } yield address
+  }
+
   /** Generates a new change address */
   override protected[wallet] def getNewChangeAddress(
       account: AccountDb): Future[BitcoinAddress] = {
diff --git a/wallet/src/main/scala/org/bitcoins/wallet/models/AddressDAO.scala b/wallet/src/main/scala/org/bitcoins/wallet/models/AddressDAO.scala
index 9388e69abe..3a887820c6 100644
--- a/wallet/src/main/scala/org/bitcoins/wallet/models/AddressDAO.scala
+++ b/wallet/src/main/scala/org/bitcoins/wallet/models/AddressDAO.scala
@@ -12,6 +12,7 @@ import org.bitcoins.core.hd.HDChainType
 import org.bitcoins.wallet.config.WalletAppConfig
 import org.bitcoins.core.crypto.ECPublicKey
 import org.bitcoins.core.protocol.script.ScriptPubKey
+import org.bitcoins.core.hd.HDPurpose
 
 case class AddressDAO()(
     implicit val ec: ExecutionContext,
@@ -44,8 +45,11 @@ case class AddressDAO()(
   /**
     * Finds the most recent change address in the wallet, if any
     */
-  def findMostRecentChange(accountIndex: Int): Future[Option[AddressDb]] = {
-    val query = findMostRecentForChain(accountIndex, HDChainType.Change)
+  def findMostRecentChange(
+      purpose: HDPurpose,
+      accountIndex: Int): Future[Option[AddressDb]] = {
+    val query =
+      findMostRecentForChain(purpose, accountIndex, HDChainType.Change)
 
     database.run(query)
   }
@@ -63,9 +67,11 @@ case class AddressDAO()(
   }
 
   private def findMostRecentForChain(
+      purpose: HDPurpose,
       accountIndex: Int,
       chain: HDChainType): SqlAction[Option[AddressDb], NoStream, Effect.Read] = {
     addressesForAccountQuery(accountIndex)
+      .filter(_.purpose === purpose)
       .filter(_.accountChainType === chain)
       .sortBy(_.addressIndex.desc)
       .take(1)
@@ -76,8 +82,11 @@ case class AddressDAO()(
   /**
     * Finds the most recent external address in the wallet, if any
     */
-  def findMostRecentExternal(accountIndex: Int): Future[Option[AddressDb]] = {
-    val query = findMostRecentForChain(accountIndex, HDChainType.External)
+  def findMostRecentExternal(
+      purpose: HDPurpose,
+      accountIndex: Int): Future[Option[AddressDb]] = {
+    val query =
+      findMostRecentForChain(purpose, accountIndex, HDChainType.External)
     database.run(query)
   }
 }