diff --git a/.changeset/red-nails-trade.md b/.changeset/red-nails-trade.md
new file mode 100644
index 000000000..42981e08f
--- /dev/null
+++ b/.changeset/red-nails-trade.md
@@ -0,0 +1,5 @@
+---
+'@hyperlane-xyz/sdk': minor
+---
+
+Sorted cwNative funds by denom in transfer tx
diff --git a/typescript/sdk/src/token/adapters/CosmWasmTokenAdapter.ts b/typescript/sdk/src/token/adapters/CosmWasmTokenAdapter.ts
index e1b476520..10f32e5b0 100644
--- a/typescript/sdk/src/token/adapters/CosmWasmTokenAdapter.ts
+++ b/typescript/sdk/src/token/adapters/CosmWasmTokenAdapter.ts
@@ -394,6 +394,7 @@ export class CwHypNativeAdapter
     const { addressOrDenom: igpDenom, amount: igpAmount } = interchainGas;
     assert(igpDenom, 'Interchain gas denom required for Cosmos');
 
+    // If more than one denom is used as funds, they must be sorted by the denom
     const funds: Coin[] =
       collateralDenom === igpDenom
         ? [
@@ -411,7 +412,7 @@ export class CwHypNativeAdapter
               amount: igpAmount.toString(),
               denom: igpDenom,
             },
-          ];
+          ].sort((a, b) => a.denom.localeCompare(b.denom));
 
     return this.cw20adapter.prepareRouter(
       {