diff --git a/CHANGELOG.md b/CHANGELOG.md
index d420a893187b..da992685c617 100644
--- a/CHANGELOG.md
+++ b/CHANGELOG.md
@@ -39,6 +39,7 @@ Ref: https://keepachangelog.com/en/1.0.0/
 
 ### Features
 
+* [\#10710](https://github.com/cosmos/cosmos-sdk/pull/10710) Chain-id shouldn't be required for creating a transaction with both --generate-only and --offline flags.
 * [\#10703](https://github.com/cosmos/cosmos-sdk/pull/10703) Create a new grantee account, if the grantee of an authorization does not exist.
 * [\#10592](https://github.com/cosmos/cosmos-sdk/pull/10592) Add a `DecApproxEq` function that checks to see if `|d1 - d2| < tol` for some Dec `d1, d2, tol`.
 * [\#10393](https://github.com/cosmos/cosmos-sdk/pull/10393) Add `HasSupply` method to bank keeper to ensure that input denom actually exists on chain.
diff --git a/client/tx/factory.go b/client/tx/factory.go
index 6d62d6264135..79fe2b45f9f2 100644
--- a/client/tx/factory.go
+++ b/client/tx/factory.go
@@ -28,6 +28,8 @@ type Factory struct {
 	timeoutHeight      uint64
 	gasAdjustment      float64
 	chainID            string
+	offline            bool
+	generateOnly       bool
 	memo               string
 	fees               sdk.Coins
 	tip                *tx.Tip
@@ -64,6 +66,8 @@ func NewFactoryCLI(clientCtx client.Context, flagSet *pflag.FlagSet) Factory {
 		accountRetriever:   clientCtx.AccountRetriever,
 		keybase:            clientCtx.Keyring,
 		chainID:            clientCtx.ChainID,
+		offline:            clientCtx.Offline,
+		generateOnly:       clientCtx.GenerateOnly,
 		gas:                gasSetting.Gas,
 		simulateAndExecute: gasSetting.Simulate,
 		accountNumber:      accNum,
@@ -220,7 +224,11 @@ func (f Factory) WithTimeoutHeight(height uint64) Factory {
 // BuildUnsignedTx builds a transaction to be signed given a set of messages.
 // Once created, the fee, memo, and messages are set.
 func (f Factory) BuildUnsignedTx(msgs ...sdk.Msg) (client.TxBuilder, error) {
-	if f.chainID == "" {
+	if f.offline && f.generateOnly {
+		if f.chainID != "" {
+			return nil, fmt.Errorf("chain ID cannot be used when offline and generate-only flags are set")
+		}
+	} else if f.chainID == "" {
 		return nil, fmt.Errorf("chain ID required but not specified")
 	}
 
diff --git a/x/bank/client/testutil/suite.go b/x/bank/client/testutil/suite.go
index e486de8e91f2..f37d1f24c4d0 100644
--- a/x/bank/client/testutil/suite.go
+++ b/x/bank/client/testutil/suite.go
@@ -414,6 +414,23 @@ func (s *IntegrationTestSuite) TestNewSendTxCmd() {
 			},
 			false, 0, &sdk.TxResponse{},
 		},
+		{
+			"chain-id shouldn't be used with offline and generate-only flags",
+			val.Address,
+			val.Address,
+			sdk.NewCoins(
+				sdk.NewCoin(fmt.Sprintf("%stoken", val.Moniker), sdk.NewInt(10)),
+				sdk.NewCoin(s.cfg.BondDenom, sdk.NewInt(10)),
+			),
+			[]string{
+				fmt.Sprintf("--%s=true", flags.FlagSkipConfirmation),
+				fmt.Sprintf("--%s=%s", flags.FlagBroadcastMode, flags.BroadcastSync),
+				fmt.Sprintf("--%s=%s", flags.FlagFees, sdk.NewCoins(sdk.NewCoin(s.cfg.BondDenom, sdk.NewInt(10))).String()),
+				fmt.Sprintf("--%s=true", flags.FlagOffline),
+				fmt.Sprintf("--%s=true", flags.FlagGenerateOnly),
+			},
+			true, 0, &sdk.TxResponse{},
+		},
 		{
 			"not enough fees",
 			val.Address,