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+# CLAUDE.md
+
+This file provides guidance to Claude Code (claude.ai/code) when working with code in this repository.
+
+## Project Overview
+
+Hypergraph is a local-first framework for building web3 consumer applications that focuses on privacy-preserving apps with interoperable data using the GRC-20 standard. The project is currently in Developer Preview status.
+
+## Common Development Commands
+
+### Development
+```bash
+# Run specific apps
+cd apps/events && pnpm dev      # Events demo app
+cd apps/server && pnpm dev      # Backend sync server
+cd apps/typesync && pnpm dev    # TypeSync development
+cd apps/connect && pnpm dev     # Geo Connect auth app
+```
+
+### Testing
+```bash
+pnpm test                       # Run all tests with Vitest
+vitest                          # Direct vitest usage
+vitest run path/to/test.ts      # Run specific test file
+```
+
+### Linting & Type Checking
+```bash
+pnpm lint                       # Check code with Biome
+pnpm lint:fix                   # Auto-fix linting issues
+pnpm check                      # TypeScript type checking
+```
+
+### Database
+```bash
+pnpm db:migrate:dev             # Run database migrations
+pnpm db:studio                  # Open Prisma Studio
+```
+
+### Building
+```bash
+pnpm build                      # Build all packages and apps
+pnpm clean                      # Clean all build artifacts
+```
+
+## High-Level Architecture
+
+### Monorepo Structure
+- **packages/** - Core libraries
+  - `hypergraph/` - Main SDK with entity management, encryption, spaces, and inboxes
+  - `hypergraph-react/` - React hooks and components
+  - `typesync/` - Schema management utilities
+- **apps/** - Complete applications
+  - `server/` - Backend sync server (Express + Prisma + SQLite/PostgreSQL)
+  - `events/` - Demo app showcasing the framework (Vite + React)
+  - `connect/` - Geo Connect authentication app
+  - `typesync/` - CLI and web interface for schema development
+  - `create-hypergraph/` - Project scaffolding tool
+  - `next-example/` - Next.js integration example
+- **docs/** - Docusaurus documentation site
+
+### Core Architecture Patterns
+
+1. **Local-First with CRDTs**
+   - Uses Automerge for conflict-free replicated data types
+   - Offline-capable with sync when online
+   - Data stored locally with optional server sync
+
+2. **Privacy-Preserving**
+   - Client-side encryption/decryption
+   - Uses Noble cryptographic libraries
+   - Secure key management patterns
+
+3. **Space-Based Organization**
+   - User data organized in "spaces" (private/public)
+   - Each space has its own encryption keys
+   - Spaces can be shared with other users
+
+4. **Identity Management**
+   - Ethereum-based authentication with Privy
+   - Smart account support via Permissionless
+
+5. **Knowledge Graph (GRC-20)**
+   - Structured data format for interoperability
+   - Entity-based data model
+   - Schema-driven development with TypeSync
+
+### Key Technologies
+- **TypeScript** with strict mode
+- **Effect** for functional programming patterns
+- **React** for UI applications
+- **Automerge** for CRDT implementation
+- **Viem** for Ethereum interactions
+- **Prisma** for database ORM
+- **GraphQL** for API queries
+- **Biome** for linting/formatting
+
+### Development Patterns
+
+1. **Effect Usage**
+   - Use Effect for error handling and async operations
+   - Prefer functional patterns with immutable data
+   - Use Effect testing utilities in tests
+
+2. **Module Structure**
+   - Each module exports clear public API
+   - Use barrel exports (index.ts)
+   - Separate concerns by feature
+
+3. **Testing Strategy**
+   - Tests in `./test` directories
+   - Test both success and error scenarios
+   - Mock external dependencies appropriately
+
+4. **Type Safety**
+   - Use branded types for domain identifiers
+   - Discriminated unions for state management
+   - Strict TypeScript configuration
+
+5. **Naming Conventions**
+   - snake_case for service names and API endpoints
+   - camelCase for variables and functions
+   - PascalCase for types and components