diff --git a/.prek-config.yaml b/.prek-config.yaml
deleted file mode 100644
index 9ca2491e..00000000
--- a/.prek-config.yaml
+++ /dev/null
@@ -1,102 +0,0 @@
-default_language_version:
-  python: "3.12"
-default_install_hook_types: [commit-msg, pre-commit]
-repos:
-  - repo: https://github.com/compilerla/conventional-pre-commit
-    rev: v4.3.0
-    hooks:
-      - id: conventional-pre-commit
-        stages: [commit-msg]
-  - repo: https://github.com/pre-commit/pre-commit-hooks
-    rev: v6.0.0
-    hooks:
-      - id: check-ast
-      - id: check-case-conflict
-      - id: check-toml
-      - id: debug-statements
-      - id: end-of-file-fixer
-      - id: mixed-line-ending
-      - id: trailing-whitespace
-  - repo: https://github.com/astral-sh/ruff-pre-commit
-    rev: "v0.14.6"
-    hooks:
-      - id: ruff-check
-        args: ["--fix"]
-      - id: ruff-format
-  - repo: https://github.com/sourcery-ai/sourcery
-    rev: v1.40.0
-    hooks:
-      - id: sourcery
-        args: [--diff=git diff HEAD, --no-summary]
-        stages: [commit]
-  - repo: https://github.com/codespell-project/codespell
-    rev: v2.4.1
-    hooks:
-      - id: codespell
-        additional_dependencies:
-          - tomli
-        exclude: >
-          (?x)^(
-              .*\.json |.*\.svg |docs/changelog.rst
-          )$
-  - repo: https://github.com/asottile/blacken-docs
-    rev: 1.20.0
-    hooks:
-      - id: blacken-docs
-  - repo: https://github.com/pre-commit/mirrors-prettier
-    rev: "v4.0.0-alpha.8"
-    hooks:
-      - id: prettier
-        exclude: "_templates|.git"
-  #   - repo: https://github.com/thibaudcolas/curlylint
-  #     rev: v0.13.1
-  #     hooks:
-  #       - id: curlylint
-  #         args: ["--format", "stylish"]
-  - repo: https://github.com/python-formate/flake8-dunder-all
-    rev: v0.5.0
-    hooks:
-      - id: ensure-dunder-all
-        exclude: "test*|examples*|tools"
-        args: ["--use-tuple"]
-  #   - repo: https://github.com/pre-commit/mirrors-mypy
-  #     rev: "v1.6.1"
-  #     hooks:
-  #       - id: mypy
-  #         exclude: "tools|docs"
-  #         additional_dependencies:
-  #           [
-  #             annotated_types,
-  #             httpx,
-  #             httpx_sse,
-  #             hypothesis,
-  #             jsbeautifier,
-  #             pydantic>=2,
-  #             pydantic-extra-types,
-  #             pytest,
-  #             pytest-lazy-fixture,
-  #             pytest-mock,
-  #             pytest_docker,
-  #             python-dotenv,
-  #             click,
-  #             rich,
-  #             rich-click,
-  #             structlog,
-  #             uvicorn,
-  #             prometheus_client,
-  #             litestar,
-  #             polyfactory,
-  #             discord-py,
-  #           ]
-  - repo: local
-    hooks:
-      - id: ty
-        name: ty
-        entry: uvx ty check
-        language: system
-        types: [python]
-        pass_filenames: false
-  - repo: https://github.com/sphinx-contrib/sphinx-lint
-    rev: "v1.0.2"
-    hooks:
-      - id: sphinx-lint
diff --git a/Makefile b/Makefile
index e93c7192..eecc6f77 100644
--- a/Makefile
+++ b/Makefile
@@ -58,7 +58,7 @@ install-backend: ## Install the backend dependencies
 	@echo "=> Backend dependencies installed"
 
 .PHONY: install
-install: clean destroy ## Install the project, dependencies, and pre-commit for local development
+install: clean destroy ## Install the project, dependencies, and prek for local development
 	@if ! $(UV) --version > /dev/null; then $(MAKE) install-uv; fi
 	@$(MAKE) install-backend
 	@$(MAKE) install-frontend
diff --git a/services/bot/Dockerfile b/services/bot/Dockerfile
new file mode 100644
index 00000000..6af1451a
--- /dev/null
+++ b/services/bot/Dockerfile
@@ -0,0 +1,69 @@
+# syntax=docker/dockerfile:1
+
+# ============================================================================
+# Builder Stage: Install dependencies and build virtual environment
+# ============================================================================
+FROM python:3.12-slim AS builder
+
+# Set working directory
+WORKDIR /app
+
+# Install system dependencies required for building Python packages
+RUN apt-get update && apt-get install -y \
+    gcc \
+    g++ \
+    make \
+    && rm -rf /var/lib/apt/lists/*
+
+# Copy uv binary from official image
+COPY --from=ghcr.io/astral-sh/uv:latest /uv /usr/local/bin/uv
+
+# Set uv environment variables for optimal performance
+ENV UV_SYSTEM_PYTHON=1 \
+    UV_COMPILE_BYTECODE=1 \
+    UV_LINK_MODE=copy
+
+# Copy workspace configuration files
+COPY pyproject.toml uv.lock ./
+
+# Copy shared packages and service code
+COPY packages/byte-common ./packages/byte-common
+COPY services/bot ./services/bot
+
+# Install dependencies with frozen lockfile (no dev dependencies)
+# This creates a .venv directory with all dependencies
+RUN uv sync --frozen --no-dev --no-editable
+
+# ============================================================================
+# Runtime Stage: Minimal production image
+# ============================================================================
+FROM python:3.12-slim
+
+# Set working directory
+WORKDIR /app
+
+# Create non-root user for security
+RUN groupadd -r botuser && \
+    useradd -r -g botuser -u 1000 -d /app -s /sbin/nologin botuser
+
+# Copy virtual environment from builder stage
+COPY --from=builder --chown=botuser:botuser /app/.venv /app/.venv
+
+# Copy application code from builder stage
+COPY --from=builder --chown=botuser:botuser /app/services/bot /app/services/bot
+COPY --from=builder --chown=botuser:botuser /app/packages/byte-common /app/packages/byte-common
+
+# Copy workspace configuration (needed for uv run commands)
+COPY --from=builder --chown=botuser:botuser /app/pyproject.toml /app/uv.lock ./
+
+# Set PATH to use virtual environment binaries
+ENV PATH="/app/.venv/bin:$PATH" \
+    PYTHONUNBUFFERED=1 \
+    PYTHONDONTWRITEBYTECODE=1 \
+    PYTHONPATH="/app"
+
+# Switch to non-root user
+USER botuser
+
+# Run the Discord bot
+CMD ["python", "-m", "byte_bot"]
diff --git a/services/bot/README.md b/services/bot/README.md
index 7f43bf0a..b7763051 100644
--- a/services/bot/README.md
+++ b/services/bot/README.md
@@ -6,34 +6,228 @@ Discord bot service for the Byte Bot application.
 
 This service handles all Discord-related functionality including:
 
-- Discord bot event handling
+- Discord bot event handling (on_message, on_guild_join, etc.)
 - Slash commands and interactions
-- Discord.py integration
-- Bot-specific plugins and cogs
+- Discord.py plugin system (cogs)
+- Discord UI components (views, modals, buttons)
+- Integration with Byte API for database operations
 
 ## Technology Stack
 
+- **Python**: 3.12+
+- **Discord.py**: v2.3.2+
+- **HTTP Client**: httpx (for API calls)
+- **Settings**: pydantic-settings
+- **Shared Code**: `byte-common` package (workspace dependency)
+
+## Project Structure
+
+```
+services/bot/
+├── src/
+│   └── byte_bot/          # Bot source code
+│       ├── __init__.py
+│       ├── __main__.py    # Entry point
+│       ├── bot.py         # Bot class and runner
+│       ├── api_client.py  # HTTP client for Byte API
+│       ├── config.py      # Bot settings
+│       ├── lib/           # Bot infrastructure
+│       │   ├── checks.py  # Permission checks
+│       │   ├── log.py     # Logging configuration
+│       │   ├── utils.py   # Utilities
+│       │   ├── common/    # Common resources (links, messages)
+│       │   └── types/     # Type definitions (Astral, Python)
+│       ├── plugins/       # Discord commands (auto-loaded)
+│       │   ├── admin.py   # Admin commands
+│       │   ├── config.py  # Configuration commands
+│       │   ├── events.py  # Event handlers
+│       │   ├── forums.py  # Forum management
+│       │   ├── github.py  # GitHub integration
+│       │   ├── python.py  # Python documentation lookups
+│       │   ├── astral.py  # Astral project lookups
+│       │   ├── general.py # General commands
+│       │   └── custom/    # Custom plugins (Litestar, etc.)
+│       └── views/         # Discord UI components
+│           ├── astral.py  # Astral project views
+│           ├── config.py  # Configuration modals
+│           ├── forums.py  # Forum management views
+│           └── python.py  # Python documentation views
+├── tests/                 # Bot-specific tests (TODO)
+├── pyproject.toml         # Package configuration
+├── Dockerfile             # Production container
+└── README.md              # This file
+```
+
+## Development
+
+### Prerequisites
+
 - Python 3.12+
-- Discord.py v2
-- Shared code from `byte-common` package
+- uv package manager
+- Discord bot token (from Discord Developer Portal)
+- Access to Byte API (or run locally)
 
-## Status
+### Setup
 
-**Phase 0.1**: Directory structure created. Implementation pending.
+From the **workspace root** (`/byte`):
 
-## Future Structure
+```bash
+# Install all dependencies (including bot service)
+uv sync
 
+# Set up environment variables
+cp .env.example .env
+# Edit .env and set:
+# - DISCORD_TOKEN
+# - DISCORD_DEV_GUILD_ID
+# - DISCORD_DEV_USER_ID
+# - API_URL (defaults to http://localhost:8000)
 ```
-services/bot/
-├── byte_bot/          # Bot source code
-│   ├── plugins/       # Discord plugins/cogs
-│   ├── lib/           # Bot-specific utilities
-│   └── views/         # Discord UI components
-├── tests/             # Bot-specific tests
-├── pyproject.toml     # Bot service configuration
-└── Dockerfile         # Bot service container
+
+### Running Locally
+
+**Option 1: Via workspace command (recommended)**
+
+```bash
+# From workspace root
+uv run app run-bot
 ```
 
-## Development
+**Option 2: Directly via module**
+
+```bash
+# From workspace root
+uv run python -m byte_bot
+```
+
+**Option 3: Via entry point**
+
+```bash
+# From workspace root
+uv run byte-bot
+```
+
+### Configuration
+
+The bot service uses environment variables for configuration. See `src/byte_bot/config.py` for all available settings:
+
+**Required:**
+
+- `DISCORD_TOKEN` - Bot token from Discord Developer Portal
+
+**Optional:**
+
+- `DISCORD_COMMAND_PREFIX` - Command prefix (default: `!`)
+- `DISCORD_DEV_GUILD_ID` - Guild ID for slash command sync
+- `DISCORD_DEV_USER_ID` - Your Discord user ID
+- `DISCORD_PLUGINS_LOC` - Plugin module path (default: `byte_bot.plugins`)
+- `API_URL` - Byte API base URL (default: `http://localhost:8000`)
+- `LOG_LEVEL` - Logging level (default: `INFO`)
+- `LOG_FILE` - Log file path (optional)
+
+### Plugin Development
+
+Plugins are automatically loaded from `byte_bot/plugins/`. To create a new plugin:
+
+```python
+# src/byte_bot/plugins/my_plugin.py
+from discord.ext import commands
+from discord import ApplicationContext
+
+
+class MyPlugin(commands.Cog):
+    """My custom plugin."""
+
+    def __init__(self, bot: commands.Bot):
+        self.bot = bot
+
+    @commands.slash_command(description="My command")
+    async def my_command(self, ctx: ApplicationContext):
+        """Handle command."""
+        await ctx.respond("Hello!")
+
+
+def setup(bot: commands.Bot):
+    """Required for auto-loading."""
+    bot.add_cog(MyPlugin(bot))
+```
+
+The plugin will be automatically loaded when the bot starts.
+
+## Docker
+
+### Building
+
+From the **workspace root**:
+
+```bash
+docker build -f services/bot/Dockerfile -t byte-bot .
+```
+
+### Running
+
+```bash
+docker run -d \
+  --name byte-bot \
+  -e DISCORD_TOKEN=your_token_here \
+  -e API_URL=http://api:8000 \
+  byte-bot
+```
+
+### Docker Compose
+
+```yaml
+services:
+  bot:
+    build:
+      context: .
+      dockerfile: services/bot/Dockerfile
+    environment:
+      - DISCORD_TOKEN=${DISCORD_TOKEN}
+      - API_URL=http://api:8000
+    depends_on:
+      - api
+    restart: unless-stopped
+```
+
+## API Integration
+
+The bot service calls the Byte API for database operations. See `src/byte_bot/api_client.py` for available methods:
+
+- `get_guild(guild_id: int)` - Fetch guild configuration
+- `create_guild(guild_data: dict)` - Create new guild
+- `update_guild(guild_id: str, guild_data: dict)` - Update guild
+- `delete_guild(guild_id: str)` - Delete guild
+
+All database operations go through the API - the bot does not directly access the database.
+
+## Testing
+
+```bash
+# Run bot service tests (from workspace root)
+uv run pytest services/bot/tests
+```
+
+## Status
+
+**Phase 1.2**: ✅ Complete
+
+- [x] Bot service extracted from monolith
+- [x] All plugins migrated to `services/bot/src/byte_bot/plugins/`
+- [x] All views migrated to `services/bot/src/byte_bot/views/`
+- [x] API client implemented
+- [x] Configuration system set up
+- [x] Entry points configured
+- [x] Import errors fixed
+- [x] Dockerfile created
+- [ ] Tests implemented (TODO: Phase 1.3)
+
+## Next Steps
+
+- **Phase 1.3**: Implement comprehensive test suite
+- **Phase 2**: Remove old monolith code (`byte_bot/byte/`)
+- **Phase 3**: Deploy bot and API services independently
+
+## License
 
-To be populated during Phase 0.2 (Bot Service Migration).
+MIT License - See workspace LICENSE file
diff --git a/services/bot/src/byte_bot/__metadata__.py b/services/bot/src/byte_bot/__metadata__.py
new file mode 100644
index 00000000..e965ddc7
--- /dev/null
+++ b/services/bot/src/byte_bot/__metadata__.py
@@ -0,0 +1,6 @@
+"""Byte Bot Service metadata."""
+
+__all__ = ["__project__", "__version__"]
+
+__version__ = "0.2.0"
+__project__ = "byte-bot-service"
diff --git a/services/bot/src/byte_bot/lib/settings.py b/services/bot/src/byte_bot/lib/settings.py
new file mode 100644
index 00000000..7d74766e
--- /dev/null
+++ b/services/bot/src/byte_bot/lib/settings.py
@@ -0,0 +1,167 @@
+"""Project Settings."""
+
+from __future__ import annotations
+
+import os
+from pathlib import Path  # noqa: TC003
+from typing import Final
+
+from dotenv import load_dotenv
+from litestar.utils.module_loader import module_to_os_path
+from pydantic import ValidationError, field_validator
+from pydantic_settings import BaseSettings, SettingsConfigDict
+
+from byte_bot.__metadata__ import __version__ as version
+
+__all__ = [
+    "DiscordSettings",
+    "LogSettings",
+    "ProjectSettings",
+    "discord",
+    "log",
+    "project",
+]
+
+load_dotenv()
+
+DEFAULT_MODULE_NAME: str = "byte_bot"
+BASE_DIR: Final = module_to_os_path(DEFAULT_MODULE_NAME)
+PLUGINS_DIR: Final = module_to_os_path("byte_bot.byte.plugins")
+
+
+class DiscordSettings(BaseSettings):
+    """Discord Settings."""
+
+    model_config = SettingsConfigDict(case_sensitive=True, env_file=".env", env_prefix="DISCORD_", extra="ignore")
+
+    TOKEN: str
+    """Discord API token."""
+    COMMAND_PREFIX: list[str] = ["!"]
+    """Command prefix for bot commands."""
+    DEV_GUILD_ID: int
+    """Discord Guild ID for development."""
+    DEV_USER_ID: int
+    """Discord User ID for development."""
+    DEV_GUILD_INTERNAL_ID: int = 1136100160510902272
+    """Internal channel ID for the development guild."""
+    PLUGINS_LOC: Path = PLUGINS_DIR
+    """Base Path to plugins directory."""
+    PLUGINS_DIRS: list[Path] = [PLUGINS_DIR]
+    """Directories to search for plugins."""
+    PRESENCE_URL: str = ""
+
+    @field_validator("COMMAND_PREFIX")
+    @classmethod
+    def assemble_command_prefix(cls, value: list[str]) -> list[str]:
+        """Assembles the bot command prefix based on the environment.
+
+        Args:
+            value: Default value of ``COMMAND_PREFIX``. Currently ``["!"]``
+
+        Returns:
+            The assembled prefix string.
+        """
+        env_urls = {
+            "prod": "byte ",
+            "test": "bit ",
+            "dev": "nibble ",
+        }
+        environment = os.getenv("ENVIRONMENT", "dev")
+        # Add env specific command prefix in addition to the default "!"
+        env_prefix = os.getenv("COMMAND_PREFIX", env_urls[environment])
+        if env_prefix not in value:
+            value.append(env_prefix)
+        return value
+
+    @field_validator("PRESENCE_URL")
+    @classmethod
+    def assemble_presence_url(cls, value: str) -> str:  # noqa: ARG003
+        """Assembles the bot presence url based on the environment.
+
+        Args:
+            value: Not used.
+
+        Returns:
+            The assembled prefix string.
+        """
+        env_urls = {
+            "prod": "https://byte-bot.app/",
+            "test": "https://dev.byte-bot.app/",
+            "dev": "https://dev.byte-bot.app/",
+        }
+        environment = os.getenv("ENVIRONMENT", "dev")
+        return os.getenv("PRESENCE_URL", env_urls[environment])
+
+
+class LogSettings(BaseSettings):
+    """Logging config for the Project."""
+
+    model_config = SettingsConfigDict(case_sensitive=True, env_file=".env", env_prefix="LOG_", extra="ignore")
+
+    LEVEL: int = 20
+    """Stdlib log levels.
+
+    Only emit logs at this level, or higher.
+    """
+    DISCORD_LEVEL: int = 30
+    """Sets the log level for the discord.py library."""
+    WEBSOCKETS_LEVEL: int = 30
+    """Sets the log level for the websockets library."""
+    ASYNCIO_LEVEL: int = 20
+    """Sets the log level for the asyncio library."""
+    HTTP_CORE_LEVEL: int = 20
+    """Sets the log level for the httpcore library. (Used in cert. validation)"""
+    HTTPX_LEVEL: int = 30
+    """Sets the log level for the httpx library."""
+    FORMAT: str = "[[ %(asctime)s ]] - [[ %(name)s ]] - [[ %(levelname)s ]] - %(message)s"
+    """Log format string."""
+    FILE: Path = BASE_DIR / "logs" / "byte.log"
+    """Log file path."""
+
+
+class ProjectSettings(BaseSettings):
+    """Project Settings."""
+
+    model_config = SettingsConfigDict(case_sensitive=True, env_file=".env", extra="ignore")
+
+    DEBUG: bool = False
+    """Run app with ``debug=True``."""
+    ENVIRONMENT: str = "prod"
+    """``dev``, ``prod``, ``test``, etc."""
+    VERSION: str = version
+    """The current version of the application."""
+
+
+# noinspection PyShadowingNames
+def load_settings() -> tuple[
+    DiscordSettings,
+    LogSettings,
+    ProjectSettings,
+]:
+    """Load Settings file.
+
+    Returns:
+        Settings: application settings
+    """
+    try:
+        """Override Application reload dir."""
+
+        discord: DiscordSettings = DiscordSettings.model_validate({})
+        log: LogSettings = LogSettings.model_validate({})
+        project: ProjectSettings = ProjectSettings.model_validate({})
+
+    except ValidationError as error:
+        print(f"Could not load settings. Error: {error!r}")  # noqa: T201
+        raise error from error
+    return (
+        discord,
+        log,
+        project,
+    )
+
+
+(
+    discord,
+    log,
+    project,
+) = load_settings()