diff --git a/.changelog/unreleased/bug-fixes/3333-migrate-consensus-params.md b/.changelog/unreleased/bug-fixes/3333-migrate-consensus-params.md
new file mode 100644
index 00000000000..14130a94e78
--- /dev/null
+++ b/.changelog/unreleased/bug-fixes/3333-migrate-consensus-params.md
@@ -0,0 +1,2 @@
+- Migrate consensus params - initialize Version field
+  ([\#3333](https://github.com/cosmos/gaia/pull/3333))
diff --git a/app/upgrades/v20/upgrades.go b/app/upgrades/v20/upgrades.go
index 15e43b63a05..6969cd00cbe 100644
--- a/app/upgrades/v20/upgrades.go
+++ b/app/upgrades/v20/upgrades.go
@@ -5,6 +5,8 @@ import (
 	"encoding/json"
 	"fmt"
 
+	cmtproto "github.com/cometbft/cometbft/proto/tendermint/types"
+
 	providerkeeper "github.com/cosmos/interchain-security/v6/x/ccv/provider/keeper"
 	providertypes "github.com/cosmos/interchain-security/v6/x/ccv/provider/types"
 
@@ -15,6 +17,7 @@ import (
 	sdk "github.com/cosmos/cosmos-sdk/types"
 	"github.com/cosmos/cosmos-sdk/types/module"
 	authtypes "github.com/cosmos/cosmos-sdk/x/auth/types"
+	consensusparamkeeper "github.com/cosmos/cosmos-sdk/x/consensus/keeper"
 	govkeeper "github.com/cosmos/cosmos-sdk/x/gov/keeper"
 	govtypes "github.com/cosmos/cosmos-sdk/x/gov/types"
 	govtypesv1 "github.com/cosmos/cosmos-sdk/x/gov/types/v1"
@@ -54,6 +57,13 @@ func CreateUpgradeHandler(
 			return vm, errorsmod.Wrapf(err, "running module migrations")
 		}
 
+		ctx.Logger().Info("Initializing ConsensusParam Version...")
+		err = InitializeConsensusParamVersion(ctx, keepers.ConsensusParamsKeeper)
+		if err != nil {
+			// don't hard fail here, as this is not critical for the upgrade to succeed
+			ctx.Logger().Error("Error initializing ConsensusParam Version:", "message", err.Error())
+		}
+
 		ctx.Logger().Info("Initializing MaxProviderConsensusValidators parameter...")
 		InitializeMaxProviderConsensusParam(ctx, keepers.ProviderKeeper)
 
@@ -87,6 +97,20 @@ func CreateUpgradeHandler(
 	}
 }
 
+// InitializeConsensusParamVersion initializes the consumer params that were missed in a consensus keeper migration.
+// Some fields were set to nil values instead of zero values, which causes a panic during Txs to modify the params.
+// Context:
+// - https://github.com/cosmos/cosmos-sdk/issues/21483
+// - https://github.com/cosmos/cosmos-sdk/pull/21484
+func InitializeConsensusParamVersion(ctx sdk.Context, consensusKeeper consensusparamkeeper.Keeper) error {
+	params, err := consensusKeeper.ParamsStore.Get(ctx)
+	if err != nil {
+		return err
+	}
+	params.Version = &cmtproto.VersionParams{}
+	return consensusKeeper.ParamsStore.Set(ctx, params)
+}
+
 // InitializeMaxProviderConsensusParam initializes the MaxProviderConsensusValidators parameter.
 // It is set to 180, which is the current number of validators participating in consensus on the Cosmos Hub.
 // This parameter will be used to govern the number of validators participating in consensus on the Cosmos Hub,