diff --git a/core/vm/evm.go b/core/vm/evm.go
index c84fc1ee7..42d450578 100644
--- a/core/vm/evm.go
+++ b/core/vm/evm.go
@@ -441,7 +441,7 @@ func (evm *EVM) create(caller ContractRef, codeAndHash *codeAndHash, gas uint64,
 	// because this check targets raw transactions from EOA, and `CREATE2`
 	// within internal transactions is excluded.
 	// Need to check after nonce increment to evict failed tx from the pool.
-	if typ == CREATE && !IsAllowedToCreate(evm.StateDB, caller.Address()) {
+	if evm.depth == 0 && typ == CREATE && !IsAllowedToCreate(evm.StateDB, caller.Address()) {
 		return nil, common.Address{}, 0, ErrUnauthorizedCreate
 	}
 	// We add this to the access list _before_ taking a snapshot. Even if the creation fails,
diff --git a/params/version.go b/params/version.go
index 388c8d671..0346fb86a 100644
--- a/params/version.go
+++ b/params/version.go
@@ -23,7 +23,7 @@ import (
 const (
 	VersionMajor = 1  // Major version component of the current release
 	VersionMinor = 7  // Minor version component of the current release
-	VersionPatch = 1  // Patch version component of the current release
+	VersionPatch = 2  // Patch version component of the current release
 	VersionMeta  = "" // Version metadata to append to the version string
 )