diff --git a/.github/README.md b/.github/README.md
index b6197b5b..801e8b28 100644
--- a/.github/README.md
+++ b/.github/README.md
@@ -1,6 +1,6 @@
 # The KYVE Network
 
-###### v1.3.0
+###### v1.3.1
 
 The KYVE consensus layer is the backbone of the KYVE ecosystem. This layer is a
 sovereign Delegated Proof of Stake network built using the
diff --git a/.github/mergify.yml b/.github/mergify.yml
index 8d0dd702..807ba194 100644
--- a/.github/mergify.yml
+++ b/.github/mergify.yml
@@ -38,3 +38,11 @@ pull_request_rules:
       backport:
         branches:
           - release/v1.3.x
+  - name: backport patches to v1.4.x branch
+    conditions:
+      - base=main
+      - label=backport/v1.4.x
+    actions:
+      backport:
+        branches:
+          - release/v1.4.x
diff --git a/CHANGELOG.md b/CHANGELOG.md
index 30a13225..87563bfc 100644
--- a/CHANGELOG.md
+++ b/CHANGELOG.md
@@ -14,6 +14,12 @@
 
 An '!' indicates a state machine breaking change.
 
+## [v1.3.1](https://github.com/KYVENetwork/chain/releases/tag/v1.3.1) - 2023-08-02
+
+### Bug Fixes
+
+- [#122](https://github.com/KYVENetwork/chain/pull/122) Fix makefile go version parse cmd.
+
 ## [v1.3.0](https://github.com/KYVENetwork/chain/releases/tag/v1.3.0) - 2023-07-15
 
 ### Features
diff --git a/Makefile b/Makefile
index c0b08608..ad3ee575 100644
--- a/Makefile
+++ b/Makefile
@@ -1,6 +1,6 @@
 COMMIT := $(shell git log -1 --format='%H')
 GO_VERSION := $(shell go version | cut -c 14- | cut -d' ' -f1 | cut -d'.' -f1,2)
-VERSION := v1.3.0 # $(shell echo $(shell git describe --tags) | sed 's/^v//')
+VERSION := v1.3.1 # $(shell echo $(shell git describe --tags) | sed 's/^v//')
 
 TEAM_ALLOCATION := 165000000000000
 ifeq ($(ENV),kaon)
diff --git a/app/app.go b/app/app.go
index 5a7b9adc..5b6a32f9 100644
--- a/app/app.go
+++ b/app/app.go
@@ -7,7 +7,7 @@ import (
 	"os"
 	"path/filepath"
 
-	v1p3 "github.com/KYVENetwork/chain/app/upgrades/v1_3"
+	v1p4 "github.com/KYVENetwork/chain/app/upgrades/v1_4"
 
 	"github.com/cosmos/cosmos-sdk/baseapp"
 	"github.com/cosmos/cosmos-sdk/client"
@@ -802,15 +802,10 @@ func NewKYVEApp(
 	app.SetEndBlocker(app.EndBlocker)
 
 	app.UpgradeKeeper.SetUpgradeHandler(
-		v1p3.UpgradeName,
-		v1p3.CreateUpgradeHandler(
+		v1p4.UpgradeName,
+		v1p4.CreateUpgradeHandler(
 			app.mm,
 			app.configurator,
-			app.PoolKeeper,
-			app.AccountKeeper,
-			app.BankKeeper,
-			app.StakingKeeper,
-			app.BundlesKeeper,
 		),
 	)
 
@@ -819,8 +814,8 @@ func NewKYVEApp(
 		panic(err)
 	}
 
-	if upgradeInfo.Name == v1p3.UpgradeName && !app.UpgradeKeeper.IsSkipHeight(upgradeInfo.Height) {
-		app.SetStoreLoader(v1p3.CreateStoreLoader(upgradeInfo.Height))
+	if upgradeInfo.Name == v1p4.UpgradeName && !app.UpgradeKeeper.IsSkipHeight(upgradeInfo.Height) {
+		app.SetStoreLoader(v1p4.CreateStoreLoader(upgradeInfo.Height))
 	}
 
 	if loadLatest {
diff --git a/app/upgrades/v1_3/constants.go b/app/upgrades/v1_3/constants.go
deleted file mode 100644
index 0f2ec299..00000000
--- a/app/upgrades/v1_3/constants.go
+++ /dev/null
@@ -1,49 +0,0 @@
-package v1_3
-
-// UpgradeName is the name of this specific software upgrade used on-chain.
-const UpgradeName = "v1.3.0"
-
-// TestnetChainID is the Chain ID of the KYVE testnet (Kaon).
-const TestnetChainID = "kaon-1"
-
-// MainnetChainID is the Chain ID of the KYVE mainnet.
-const MainnetChainID = "kyve-1"
-
-// InvestorAccounts is a list of accounts from our second funding round.
-var InvestorAccounts = []string{
-	"kyve1lmmvd34rn05uuxyzyajyht5eykksvas9gpz9ln",
-	"kyve10ucfmct7epngs7k3y77qrfpvjlsgfv2qqjytm4",
-	"kyve10we97qv6nujhx4eyzskw9p23s0qfnr5rq6uadp",
-	"kyve1z2d4fvcv8gf72zvdp23x6ryswywh0ptrjrkdhp",
-	"kyve1hae0u8jqfedpm7u5ng6k464xsxx32tvluqus8t",
-	"kyve1gcz2tjuel4w6q3v4ec92eu4nvey6fkgnyfcavm",
-	"kyve1matxpxlw4cna4xr77jaqqmst74j35puy0nf87f",
-	"kyve1946pdjdg6dqxfd5et4g3k6glkkvt8l9r5zqmp9",
-	"kyve1ag2mctnvgwqea7au0lh92xd4ncfysw8gs94r6v",
-	"kyve1e7rmpdrrnjeuypn733c9lt2vg2cvkj788pvtvr",
-	"kyve1ewy2yfxr8aw3v9jv2kjgt4z6tj9ved3a9qyjh2",
-	"kyve1u26sz6kydnmpr5zq6nureav4xhasak8nu5q8d8",
-	"kyve194rvm2rjxhe0gfnv2095z6k5tnyszxh9sdyzhy",
-	"kyve1j7p7jg4cuw9ww6zyjf2gvpjxgseffjuhaj4qcq",
-	"kyve1kcmdhddxnwvmnekrsejnr4n87xqyxq9tlqlyqn",
-	"kyve13agpsm0r2sr3wl0yqqfxdncl7mxla0nh6jteum",
-	"kyve1jp7tv4g2ks855spj4cppmdnx4jtx26h5u5y3x2",
-	"kyve1hlsaz3fegeze2mk6a9f7mh93y72edfmxuq2as7",
-	"kyve1a9zlytywun0sq8gxjkqhsc4knzm8zw3tprq4x8",
-	"kyve1uqm9n8a769nvwagz7gmpx5x52nmqn3z05gdrqe",
-	"kyve1tmjvtgv6a447dewwhd4j2ehqsm8x4d2ttm053n",
-	"kyve1xlg7pgptqujg72csewpx7rytr4f0sgngqrj3gu",
-	"kyve1th6v7yygmxsfm2x2uwsp582eagnrcrjywwaf7f",
-	"kyve159ufwz58rzkcvjk94wkxv5uyz877pwpf6h7xy2",
-	"kyve1z73v6kqhutr5fq5eem2256l5a45empuk0xkxxm",
-	"kyve17rdl2fadf82qx4r0wd2ehtqyy3qsazeqyun9dd",
-	"kyve1tp5uz49gvvl5kys795re80e3mf9w9up0yzhzq7",
-	"kyve18d8t7nj9jqyyrzr76wea38u7er3ljzzqqys5nl",
-	"kyve14l2zxt75ylgnumjevxxans20uapctnke698vq2",
-	"kyve17zfy84an63jqdmm632th7sp2tj2tmh82hrysn9",
-	"kyve1m297tfaystezangz7wrm9j5s55a3j8xz7g5nkp",
-	"kyve1yxt5u93an2as4csf2xqv8sw96rgm2y3rrzmj2g",
-	"kyve1eddmugm8k5eyaa96v7e3rwrw97040q8awmkwdy",
-	"kyve1uxarsjawzcu3xjvydnmlgmceq3eldx2yas2djf",
-	"kyve1rtx3akgca36lrevmzal050ehxpxnwtn9xv7taz",
-}
diff --git a/app/upgrades/v1_3/upgrade.go b/app/upgrades/v1_3/upgrade.go
deleted file mode 100644
index 54939de5..00000000
--- a/app/upgrades/v1_3/upgrade.go
+++ /dev/null
@@ -1,134 +0,0 @@
-package v1_3
-
-import (
-	"fmt"
-
-	bundlesKeeper "github.com/KYVENetwork/chain/x/bundles/keeper"
-	bundlesTypes "github.com/KYVENetwork/chain/x/bundles/types"
-
-	sdk "github.com/cosmos/cosmos-sdk/types"
-	"github.com/cosmos/cosmos-sdk/types/module"
-	"github.com/tendermint/tendermint/libs/log"
-
-	// Pool
-	poolKeeper "github.com/KYVENetwork/chain/x/pool/keeper"
-	poolTypes "github.com/KYVENetwork/chain/x/pool/types"
-	// Upgrade
-	bankKeeper "github.com/cosmos/cosmos-sdk/x/bank/keeper"
-
-	// Auth
-	authKeeper "github.com/cosmos/cosmos-sdk/x/auth/keeper"
-	vestingExported "github.com/cosmos/cosmos-sdk/x/auth/vesting/exported"
-	// Staking
-	stakingKeeper "github.com/cosmos/cosmos-sdk/x/staking/keeper"
-	// Upgrade
-	upgradeTypes "github.com/cosmos/cosmos-sdk/x/upgrade/types"
-)
-
-func CreateUpgradeHandler(
-	mm *module.Manager,
-	configurator module.Configurator,
-	poolKeeper poolKeeper.Keeper,
-	accountKeeper authKeeper.AccountKeeper,
-	bankKeeper bankKeeper.Keeper,
-	stakingKeeper stakingKeeper.Keeper,
-	bundlesKeeper bundlesKeeper.Keeper,
-) upgradeTypes.UpgradeHandler {
-	return func(ctx sdk.Context, _ upgradeTypes.Plan, vm module.VersionMap) (module.VersionMap, error) {
-		logger := ctx.Logger().With("upgrade", UpgradeName)
-
-		// Multiple Bundle Versions
-		UpdateBundlesVersionMap(bundlesKeeper, ctx)
-
-		// Configure Inflation Splitting
-		CheckPoolAccounts(ctx, logger, poolKeeper)
-		SetBundleParams(ctx, poolKeeper)
-		AdjustOperatingCost(ctx, poolKeeper)
-
-		// Vesting Account Delegation Fix
-		if ctx.ChainID() == MainnetChainID {
-			for _, address := range InvestorAccounts {
-				TrackInvestorDelegation(ctx, logger, sdk.MustAccAddressFromBech32(address), accountKeeper, bankKeeper, stakingKeeper)
-			}
-		}
-
-		return mm.RunMigrations(ctx, configurator, vm)
-	}
-}
-
-// TrackInvestorDelegation performs a correction of the delegation tracking inside the vesting account.
-// The correction is done by performing a full untracking and then tracking the actual total delegated amount
-// (including slashed amounts).
-func TrackInvestorDelegation(ctx sdk.Context, logger log.Logger, address sdk.AccAddress, ak authKeeper.AccountKeeper, bk bankKeeper.Keeper, sk stakingKeeper.Keeper) {
-	denom := sk.BondDenom(ctx)
-	account, _ := ak.GetAccount(ctx, address).(vestingExported.VestingAccount)
-
-	// Obtain total delegation of address
-	totalDelegation := sdk.NewInt(0)
-	for _, delegation := range sk.GetAllDelegatorDelegations(ctx, address) {
-		// We take the shares as the total delegation as this is the amount which is
-		// tracked inside the vesting account. (slashes are ignored, which is correct)
-		totalDelegation = totalDelegation.Add(delegation.GetShares().TruncateInt())
-	}
-
-	// Fetch current balance.
-	balanceCoin := bk.GetBalance(ctx, address, denom)
-
-	// This is the balance a user would have if all tokens are unbonded (even the ones which got slashed).
-	maxPossibleBalance := balanceCoin.Amount.Add(totalDelegation)
-	maxPossibleBalanceCoins := sdk.NewCoins().Add(sdk.NewCoin(denom, maxPossibleBalance))
-
-	if totalDelegation.GT(sdk.ZeroInt()) {
-
-		// Untrack entire vesting delegation using maximum amount. This will set both `delegated_free`
-		// and `delegated_vesting` back to zero.
-		account.TrackUndelegation(sdk.NewCoins(sdk.NewCoin("ukyve", maxPossibleBalance)))
-
-		// Track the delegation using the total delegation
-		account.TrackDelegation(ctx.BlockTime(), maxPossibleBalanceCoins, sdk.NewCoins(sdk.NewCoin("ukyve", totalDelegation)))
-
-		logger.Info(fmt.Sprintf("tracked delegation of %s with %s", address.String(), totalDelegation.String()))
-		ak.SetAccount(ctx, account)
-	}
-}
-
-// CheckPoolAccounts ensures that each pool account exists post upgrade.
-func CheckPoolAccounts(ctx sdk.Context, logger log.Logger, keeper poolKeeper.Keeper) {
-	pools := keeper.GetAllPools(ctx)
-
-	for _, pool := range pools {
-		keeper.EnsurePoolAccount(ctx, pool.Id)
-
-		name := fmt.Sprintf("%s/%d", poolTypes.ModuleName, pool.Id)
-		logger.Info("successfully initialised pool account", "name", name)
-	}
-}
-
-func UpdateBundlesVersionMap(keeper bundlesKeeper.Keeper, ctx sdk.Context) {
-	keeper.SetBundleVersionMap(ctx, bundlesTypes.BundleVersionMap{
-		Versions: []*bundlesTypes.BundleVersionEntry{
-			{
-				Height:  uint64(ctx.BlockHeight()),
-				Version: 2,
-			},
-		},
-	})
-}
-
-// SetBundleParams initializes the parameters for inflation splitting.
-// The inflation share is 8.45 % resulting in a 40% APY on 10M target stake for the CosmosHub Pool.
-// This value needs to be adjusted by the governance in the future.
-// The inflation payout rate of 5% turned out to be a good damping factor for the inflation payout.
-func SetBundleParams(ctx sdk.Context, keeper poolKeeper.Keeper) {
-	keeper.SetParams(ctx, poolTypes.Params{
-		ProtocolInflationShare:  sdk.MustNewDecFromStr("0.0845"),
-		PoolInflationPayoutRate: sdk.MustNewDecFromStr("0.05"),
-	})
-}
-
-// AdjustOperatingCost calculates the new operating. Because of inflation splitting the
-// operating cost needs to be adjusted to a lower value to maintain the same pool APY.
-func AdjustOperatingCost(ctx sdk.Context, keeper poolKeeper.Keeper) {
-	cosmosHubPool, _ := keeper.GetPool(ctx, 0)
-	cosmosHubPool.OperatingCost = 3_100_000 // 3.1 $KYVE
-}
diff --git a/app/upgrades/v1_4/constants.go b/app/upgrades/v1_4/constants.go
new file mode 100644
index 00000000..4f8b6010
--- /dev/null
+++ b/app/upgrades/v1_4/constants.go
@@ -0,0 +1,10 @@
+package v1_4
+
+// UpgradeName is the name of this specific software upgrade used on-chain.
+const UpgradeName = "v1.4.0"
+
+// TestnetChainID is the Chain ID of the KYVE testnet (Kaon).
+const TestnetChainID = "kaon-1"
+
+// MainnetChainID is the Chain ID of the KYVE mainnet.
+const MainnetChainID = "kyve-1"
diff --git a/app/upgrades/v1_3/store.go b/app/upgrades/v1_4/store.go
similarity index 70%
rename from app/upgrades/v1_3/store.go
rename to app/upgrades/v1_4/store.go
index 38e843ed..a52d207f 100644
--- a/app/upgrades/v1_3/store.go
+++ b/app/upgrades/v1_4/store.go
@@ -1,20 +1,16 @@
-package v1_3
+package v1_4
 
 import (
 	"github.com/cosmos/cosmos-sdk/baseapp"
 	storeTypes "github.com/cosmos/cosmos-sdk/store/types"
 
-	// PFM
-	pfmTypes "github.com/strangelove-ventures/packet-forward-middleware/v6/router/types"
 	// Upgrade
 	upgradeTypes "github.com/cosmos/cosmos-sdk/x/upgrade/types"
 )
 
 func CreateStoreLoader(upgradeHeight int64) baseapp.StoreLoader {
 	storeUpgrades := storeTypes.StoreUpgrades{
-		Added: []string{
-			pfmTypes.StoreKey,
-		},
+		Added: []string{},
 	}
 
 	return upgradeTypes.UpgradeStoreLoader(upgradeHeight, &storeUpgrades)
diff --git a/app/upgrades/v1_4/upgrade.go b/app/upgrades/v1_4/upgrade.go
new file mode 100644
index 00000000..193c9393
--- /dev/null
+++ b/app/upgrades/v1_4/upgrade.go
@@ -0,0 +1,21 @@
+package v1_4
+
+import (
+	sdk "github.com/cosmos/cosmos-sdk/types"
+	"github.com/cosmos/cosmos-sdk/types/module"
+
+	// Upgrade
+	upgradeTypes "github.com/cosmos/cosmos-sdk/x/upgrade/types"
+)
+
+func CreateUpgradeHandler(
+	mm *module.Manager,
+	configurator module.Configurator,
+) upgradeTypes.UpgradeHandler {
+	return func(ctx sdk.Context, _ upgradeTypes.Plan, vm module.VersionMap) (module.VersionMap, error) {
+		logger := ctx.Logger().With("upgrade", UpgradeName)
+		logger.Info("Run v1.4 upgrade")
+
+		return mm.RunMigrations(ctx, configurator, vm)
+	}
+}