diff --git a/specs/core/0_beacon-chain.md b/specs/core/0_beacon-chain.md
index 6e54010f2..d07cfbdfb 100644
--- a/specs/core/0_beacon-chain.md
+++ b/specs/core/0_beacon-chain.md
@@ -1140,7 +1140,9 @@ def initialize_beacon_state_from_eth1(eth1_block_hash: Hash,
 
     # Process activations
     for index, validator in enumerate(state.validators):
-        if state.balances[index] >= MAX_EFFECTIVE_BALANCE:
+        balance = state.balances[index]
+        validator.effective_balance = min(balance - balance % EFFECTIVE_BALANCE_INCREMENT, MAX_EFFECTIVE_BALANCE)
+        if validator.effective_balance == MAX_EFFECTIVE_BALANCE:
             validator.activation_eligibility_epoch = GENESIS_EPOCH
             validator.activation_epoch = GENESIS_EPOCH
 
@@ -1690,7 +1692,7 @@ def process_deposit(state: BeaconState, deposit: Deposit) -> None:
             activation_epoch=FAR_FUTURE_EPOCH,
             exit_epoch=FAR_FUTURE_EPOCH,
             withdrawable_epoch=FAR_FUTURE_EPOCH,
-            effective_balance=min(amount - amount % EFFECTIVE_BALANCE_INCREMENT, MAX_EFFECTIVE_BALANCE)
+            effective_balance=min(amount - amount % EFFECTIVE_BALANCE_INCREMENT, MAX_EFFECTIVE_BALANCE),
         ))
         state.balances.append(amount)
     else: