diff --git a/.gitmodules b/.gitmodules
index 5e7659f..eed115c 100644
--- a/.gitmodules
+++ b/.gitmodules
@@ -1,6 +1,6 @@
 [submodule "ext/zeromq"]
 	path = ext/zeromq
-	url = https://github.com/zeromq/zeromq4-x
+	url = https://github.com/zeromq/libzmq
 [submodule "ext/czmq"]
 	path = ext/czmq
 	url = https://github.com/zeromq/czmq
diff --git a/ext/czmq b/ext/czmq
index 3e6c11a..e4af2e7 160000
--- a/ext/czmq
+++ b/ext/czmq
@@ -1 +1 @@
-Subproject commit 3e6c11a7b75ef6f51a0eac895564306b88e5d24f
+Subproject commit e4af2e7850ad0cdb74429bb57b6fc9bd63869045
diff --git a/ext/rbczmq/beacon.c b/ext/rbczmq/beacon.c
index ef1d285..799d789 100644
--- a/ext/rbczmq/beacon.c
+++ b/ext/rbczmq/beacon.c
@@ -8,10 +8,15 @@
 static VALUE rb_czmq_nogvl_beacon_destroy(void *ptr)
 {
     zmq_beacon_wrapper *beacon = ptr;
+
     if (beacon->beacon) {
-        zbeacon_destroy(&beacon->beacon);
+        zactor_destroy(&beacon->beacon);
         beacon->beacon = NULL;
     }
+
+    if (beacon->hostname) {
+        zstr_free(&beacon->hostname);
+    }
     return Qnil;
 }
 
@@ -36,8 +41,16 @@ static void rb_czmq_free_beacon_gc(void *ptr)
 */
 static VALUE rb_czmq_nogvl_new_beacon(void *ptr)
 {
-    int port = (int)ptr;
-    return (VALUE)zbeacon_new(port);
+    zmq_beacon_wrapper *beacon = ptr;
+
+    beacon->beacon = zactor_new(zbeacon, NULL);
+    beacon->interval = 1000;
+
+    zsock_send(beacon->beacon, "si", "CONFIGURE", beacon->port);
+    beacon->hostname = zstr_recv(beacon->beacon);
+    assert (beacon->hostname != NULL);
+
+    return Qnil;
 }
 
 /*
@@ -53,11 +66,12 @@ static VALUE rb_czmq_nogvl_new_beacon(void *ptr)
 static VALUE rb_czmq_beacon_s_new(VALUE beacon, VALUE port)
 {
     zmq_beacon_wrapper *bcn = NULL;
-    int prt;
     Check_Type(port, T_FIXNUM);
     beacon = Data_Make_Struct(rb_cZmqBeacon, zmq_beacon_wrapper, 0, rb_czmq_free_beacon_gc, bcn);
-    prt = FIX2INT(port);
-    bcn->beacon = (zbeacon_t*)rb_thread_call_without_gvl(rb_czmq_nogvl_new_beacon, (void *)prt, RUBY_UBF_IO, 0);
+    bcn->port = FIX2INT(port);
+    if (bcn->port == 0)
+        rb_raise(rb_eArgError, "port must not be zero!");
+    rb_thread_call_without_gvl(rb_czmq_nogvl_new_beacon, (void *)bcn, RUBY_UBF_IO, 0);
     ZmqAssertObjOnAlloc(bcn->beacon, bcn);
     rb_obj_call_init(beacon, 0, NULL);
     return beacon;
@@ -94,20 +108,7 @@ static VALUE rb_czmq_beacon_destroy(VALUE obj)
 static VALUE rb_czmq_beacon_hostname(VALUE obj)
 {
     GetZmqBeacon(obj);
-    return rb_str_new2(zbeacon_hostname(beacon->beacon));
-}
-
-/*
- * :nodoc:
- *  Set the beacon broadcast interval while the GIL is released.
- *
-*/
-static VALUE rb_czmq_nogvl_set_interval(void *ptr)
-{
-    struct nogvl_beacon_interval_args *args = ptr;
-    zmq_beacon_wrapper *beacon = args->beacon;
-    zbeacon_set_interval(beacon->beacon, args->interval);
-    return Qnil;
+    return rb_str_new2(beacon->hostname);
 }
 
 /*
@@ -125,21 +126,7 @@ static VALUE rb_czmq_beacon_set_interval(VALUE obj, VALUE interval)
     struct nogvl_beacon_interval_args args;
     GetZmqBeacon(obj);
     Check_Type(interval, T_FIXNUM);
-    args.beacon = beacon;
-    args.interval = FIX2INT(interval);
-    rb_thread_call_without_gvl(rb_czmq_nogvl_set_interval, (void *)&args, RUBY_UBF_IO, 0);
-    return Qnil;
-}
-
-/*
- * :nodoc:
- *  Filter beacons while the GIL is released.
- *
-*/
-static VALUE rb_czmq_nogvl_noecho(void *ptr)
-{
-    zmq_beacon_wrapper *beacon = ptr;
-    zbeacon_noecho(beacon->beacon);
+    beacon->interval = FIX2INT(interval);
     return Qnil;
 }
 
@@ -156,7 +143,7 @@ static VALUE rb_czmq_nogvl_noecho(void *ptr)
 static VALUE rb_czmq_beacon_noecho(VALUE obj)
 {
     GetZmqBeacon(obj);
-    rb_thread_call_without_gvl(rb_czmq_nogvl_noecho, (void *)beacon, RUBY_UBF_IO, 0);
+    /* XXX: Nothing to do here, as v3 always filters out our own message */
     return Qnil;
 }
 
@@ -169,7 +156,8 @@ static VALUE rb_czmq_nogvl_publish(void *ptr)
 {
     struct nogvl_beacon_publish_args *args = ptr;
     zmq_beacon_wrapper *beacon = args->beacon;
-    zbeacon_publish(beacon->beacon, (byte *)args->transmit ,args->length);
+    zsock_send(beacon->beacon, "sbi", "PUBLISH", (byte *)args->transmit,
+               args->length, beacon->interval);
     return Qnil;
 }
 
@@ -203,7 +191,7 @@ static VALUE rb_czmq_beacon_publish(VALUE obj, VALUE transmit)
 static VALUE rb_czmq_nogvl_silence(void *ptr)
 {
     zmq_beacon_wrapper *beacon = ptr;
-    zbeacon_silence(beacon->beacon);
+    zstr_sendx(beacon->beacon, "SILENCE", NULL);
     return Qnil;
 }
 
@@ -233,7 +221,8 @@ static VALUE rb_czmq_nogvl_subscribe(void *ptr)
 {
     struct nogvl_beacon_subscribe_args *args = ptr;
     zmq_beacon_wrapper *beacon = args->beacon;
-    zbeacon_subscribe(beacon->beacon, (byte *)args->filter ,args->length);
+    zsock_send(beacon->beacon, "sb", "SUBSCRIBE", (byte *)args->filter,
+               args->length);
     return Qnil;
 }
 
@@ -272,7 +261,7 @@ static VALUE rb_czmq_beacon_subscribe(VALUE obj, VALUE filter)
 static VALUE rb_czmq_nogvl_unsubscribe(void *ptr)
 {
     zmq_beacon_wrapper *beacon = ptr;
-    zbeacon_unsubscribe(beacon->beacon);
+    zstr_sendx(beacon->beacon, "UNSUBSCRIBE", NULL);
     return Qnil;
 }
 
@@ -298,7 +287,7 @@ static VALUE rb_czmq_beacon_pipe(VALUE obj)
     zmq_sock_wrapper *sock = NULL;
     VALUE socket;
     GetZmqBeacon(obj);
-    socket = rb_czmq_socket_alloc(Qnil, NULL, zbeacon_socket(beacon->beacon));
+    socket = rb_czmq_socket_alloc(Qnil, NULL, zsock_resolve(beacon->beacon));
     GetZmqSocket(socket);
     sock->state = ZMQ_SOCKET_BOUND;
     return socket;
diff --git a/ext/rbczmq/beacon.h b/ext/rbczmq/beacon.h
index 6fc72d9..e9ec4df 100644
--- a/ext/rbczmq/beacon.h
+++ b/ext/rbczmq/beacon.h
@@ -2,7 +2,10 @@
 #define RBCZMQ_BEACON_H
 
 typedef struct {
-    zbeacon_t *beacon;
+    zactor_t *beacon;
+    char *hostname;
+    int interval;
+    int port;
 } zmq_beacon_wrapper;
 
 #define ZmqAssertBeacon(obj) ZmqAssertType(obj, rb_cZmqBeacon, "ZMQ::Beacon")
diff --git a/ext/rbczmq/extconf.rb b/ext/rbczmq/extconf.rb
index 14ac131..5d1c6e1 100644
--- a/ext/rbczmq/extconf.rb
+++ b/ext/rbczmq/extconf.rb
@@ -87,6 +87,7 @@ def check_heads heads = [], fatal = false
 
 when /linux/
   CZMQ_CFLAGS << "-fPIC"
+  CONFIG['LDSHARED'] = "$(CXX) -shared -lstdc++ -fPIC"
 
 else
   # on Unix we need a g++ link, not gcc.
@@ -105,7 +106,7 @@ def check_heads heads = [], fatal = false
   lib = libs_path + "libsodium.#{LIBEXT}"
   Dir.chdir libsodium_path do
     sys "./autogen.sh", "libsodium autogen failed!" unless File.exist?(libsodium_path + 'configure')
-    sys "./configure --prefix=#{dst_path} --without-documentation --enable-shared",
+    sys "./configure CFLAGS='#{CZMQ_CFLAGS.join(" ")}' CXXFLAGS='#{CZMQ_CFLAGS.join(" ")}' --prefix=#{dst_path} --without-documentation --disable-shared --enable-static --disable-pie",
         "libsodium configure failed" unless File.exist?(libsodium_path + 'Makefile')
     sys "make && make install", "libsodium compile error!"
   end
@@ -118,7 +119,7 @@ def check_heads heads = [], fatal = false
   lib = libs_path + "libzmq.#{LIBEXT}"
   Dir.chdir zmq_path do
     sys "./autogen.sh", "ZeroMQ autogen failed!" unless File.exist?(zmq_path + 'configure')
-    sys "./configure --prefix=#{dst_path} --without-documentation --enable-shared",
+    sys "./configure CFLAGS='#{CZMQ_CFLAGS.join(" ")}' CXXFLAGS='#{CZMQ_CFLAGS.join(" ")}' PKG_CONFIG_PATH='#{libs_path}/pkgconfig' --prefix=#{dst_path} --without-documentation --disable-shared --enable-static --with-libsodium=#{dst_path}",
         "ZeroMQ configure failed" unless File.exist?(zmq_path + 'Makefile')
     sys "make && make install", "ZeroMQ compile error!"
   end
@@ -131,7 +132,7 @@ def check_heads heads = [], fatal = false
   lib = libs_path + "libczmq.#{LIBEXT}"
   Dir.chdir czmq_path do
     sys "./autogen.sh", "CZMQ autogen failed!" unless File.exist?(czmq_path + 'configure')
-    sys "./configure LDFLAGS=-L#{libs_path} CFLAGS='#{CZMQ_CFLAGS.join(" ")}' --prefix=#{dst_path} --with-libzmq=#{dst_path}  --disable-shared",
+    sys "./configure LDFLAGS='-L#{libs_path} -lm' CFLAGS='#{CZMQ_CFLAGS.join(" ")}' PKG_CONFIG_PATH='#{libs_path}/pkgconfig' --prefix=#{dst_path} --disable-shared --enable-static --without-makecert --without-test_zgossip --with-libsodium=#{dst_path}",
         "CZMQ configure error!" unless File.exist?(czmq_path + 'Makefile')
     sys "make all && make install", "CZMQ compile error!"
   end
@@ -143,7 +144,7 @@ def check_heads heads = [], fatal = false
 have_func('rb_thread_blocking_region')
 have_func('rb_thread_call_without_gvl')
 
-$INCFLAGS << " -I#{libsodium_include_path}" if find_header("sodidum.h", libsodium_include_path)
+$INCFLAGS << " -I#{libsodium_include_path}" if find_header("sodium.h", libsodium_include_path)
 $INCFLAGS << " -I#{zmq_include_path}" if find_header("zmq.h", zmq_include_path)
 $INCFLAGS << " -I#{czmq_include_path}" if find_header("czmq.h", czmq_include_path)
 
@@ -154,13 +155,15 @@ def check_heads heads = [], fatal = false
   CONFIG['LDSHARED'] = "#{CONFIG['LDSHARED']} -Wl,-rpath=#{libs_path.to_s}"
 end
 
+fail "Error compiling and linking libsodium" unless have_library("sodium")
 fail "Error compiling and linking libzmq" unless have_library("zmq")
 fail "Error compiling and linking libczmq" unless have_library("czmq")
+fail "Error linking against libm" unless have_library("m")
 
 $defs << "-pedantic"
 
 $CFLAGS  << ' -Wall -funroll-loops'
 $CFLAGS  << ' -Wextra -O0 -ggdb3' if ENV['DEBUG']
-$LDFLAGS << " -Wl,-rpath,ext/rbczmq/dst/lib/"
+$LDFLAGS << " -Wl,-rpath,'$$ORIGIN/dst/lib/'"
 
 create_makefile('rbczmq_ext')
diff --git a/ext/rbczmq/rbczmq_ext.c b/ext/rbczmq/rbczmq_ext.c
index ab842a6..4f5a3ef 100644
--- a/ext/rbczmq/rbczmq_ext.c
+++ b/ext/rbczmq/rbczmq_ext.c
@@ -113,7 +113,7 @@ static VALUE rb_czmq_m_now(ZMQ_UNUSED VALUE obj)
 static VALUE rb_czmq_m_log(ZMQ_UNUSED VALUE obj, VALUE msg)
 {
     Check_Type(msg, T_STRING);
-    zclock_log(StringValueCStr(msg));
+    zclock_log("%s", StringValueCStr(msg));
     return Qnil;
 }
 
diff --git a/ext/rbczmq/socket.c b/ext/rbczmq/socket.c
index 5d5a6b0..cdd8cfd 100644
--- a/ext/rbczmq/socket.c
+++ b/ext/rbczmq/socket.c
@@ -1737,6 +1737,39 @@ static VALUE rb_czmq_socket_opt_last_endpoint(VALUE obj)
     return result;
 }
 
+/*
+ *  call-seq:
+ *     sock.stream_notify = false =>  nil
+ *
+ *  Sets the socket stream_notify value.
+ *
+ * === Examples
+ *     ctx = ZMQ::Context.new
+ *     sock = ctx.socket(:STREAM)
+ *     sock.stream_notify = false  =>  nil
+ *
+*/
+
+static VALUE rb_czmq_socket_set_opt_stream_notify(VALUE obj, VALUE value)
+{
+    int rc, optval;
+    zmq_sock_wrapper *sock = NULL;
+
+    GetZmqSocket(obj);
+    ZmqSockGuardCrossThread(sock);
+    CheckBoolean(value);
+    optval = (value == Qtrue) ? 1 : 0;
+
+    rc = zmq_setsockopt(sock->socket, ZMQ_STREAM_NOTIFY, &optval, sizeof(optval));
+    ZmqAssert(rc);
+
+    if (sock->verbose)
+        zclock_log ("I: %s socket %p: set option \"STREAM_NOTIFY\" %d",
+                    zsocket_type_str(sock->socket), (void *)obj, optval);
+
+    return Qnil;
+}
+
 /*
  * :nodoc:
  *  Receives a monitoring event message while the GIL is released.
@@ -1974,4 +2007,5 @@ void _init_rb_czmq_socket()
     rb_define_method(rb_cZmqSocket, "sndtimeo=", rb_czmq_socket_set_opt_sndtimeo, 1);
     rb_define_method(rb_cZmqSocket, "monitor", rb_czmq_socket_monitor, -1);
     rb_define_method(rb_cZmqSocket, "last_endpoint", rb_czmq_socket_opt_last_endpoint, 0);
+    rb_define_method(rb_cZmqStreamSocket, "stream_notify=", rb_czmq_socket_set_opt_stream_notify, 1);
 }
diff --git a/ext/rbczmq/socket.h b/ext/rbczmq/socket.h
index 78760c7..b707ec4 100644
--- a/ext/rbczmq/socket.h
+++ b/ext/rbczmq/socket.h
@@ -156,4 +156,11 @@ extern VALUE intern_on_disconnected;
 void _init_rb_czmq_socket();
 VALUE rb_czmq_nogvl_zsocket_destroy(void *ptr);
 
+#if (ZMQ_VERSION_MAJOR == 4 && ZMQ_VERSION_MINOR >= 1)
+typedef struct {
+    uint16_t event;  // id of the event as bitfield
+    int32_t  value; // value is either error code, fd or reconnect interval
+} zmq_event_t;
+#endif
+
 #endif
diff --git a/ext/zeromq b/ext/zeromq
index ba8f58e..c557221 160000
--- a/ext/zeromq
+++ b/ext/zeromq
@@ -1 +1 @@
-Subproject commit ba8f58ecfcc2ca93384db8a8aad4b4063509873c
+Subproject commit c5572211e7f3552f65dbc791061298dd1c92c3c8
diff --git a/rbczmq.gemspec b/rbczmq.gemspec
index ab120ac..883da5f 100644
--- a/rbczmq.gemspec
+++ b/rbczmq.gemspec
@@ -34,4 +34,4 @@ Gem::Specification.new do |s|
       end
     end
   end
-end
\ No newline at end of file
+end
diff --git a/test/socket/test_stream_socket.rb b/test/socket/test_stream_socket.rb
index 3b9caca..eac4512 100644
--- a/test/socket/test_stream_socket.rb
+++ b/test/socket/test_stream_socket.rb
@@ -23,6 +23,14 @@ def test_recv_and_send
     tcp.write("hello")
 
     Timeout.timeout(5) do
+      # The first message we receive is a connection message:
+      # The first frame is an identity frame.
+      # The second frame is an empty frame.
+      # see: https://github.com/zeromq/libzmq/pull/1487
+      msg = sock.recv_message
+      assert_equal 2, msg.size
+      assert_equal "", msg.last.to_s
+
       msg = sock.recv_message
 
       # Messages received from a STREAM socket are in two parts:
@@ -46,24 +54,81 @@ def test_recv_and_send
     ctx.destroy
   end
 
+  def test_recv_no_notify
+    ctx = ZMQ::Context.new
+    sock = ctx.socket(:STREAM)
+    sock.stream_notify = false
+    port = sock.bind("tcp://127.0.0.1:*")
+
+    tcp = TCPSocket.new('127.0.0.1', port)
+    tcp.write("hello")
+
+    Timeout.timeout(5) do
+      msg = sock.recv_message
+
+      # Messages received from a STREAM socket are in two parts:
+      # The first frame is an identiy frame.
+      # The second frame is the data received over the TCP socket.
+      assert_equal 2, msg.size
+
+      # first frame is the identity frame.
+      identity = msg.pop
+      assert_equal "hello", msg.first.to_s
+    end
+
+  ensure
+    tcp.close if tcp
+    ctx.destroy
+  end
+
+  def test_notify_connect_disconnect
+    ctx = ZMQ::Context.new
+    sock = ctx.socket(:STREAM)
+    sock.stream_notify = true
+    port = sock.bind("tcp://127.0.0.1:*")
+
+    tcp = TCPSocket.new('127.0.0.1', port)
+
+    Timeout.timeout(5) do
+      # The first message we receive is a connection message:
+      # The first frame is an identity frame.
+      # The second frame is an empty frame.
+      # see: https://github.com/zeromq/libzmq/pull/1487
+      msg = sock.recv_message
+      assert_equal 2, msg.size
+      assert_equal "", msg.last.to_s
+
+      tcp.close
+
+      msg = sock.recv_message
+      assert_equal 2, msg.size
+      assert_equal "", msg.last.to_s
+    end
+
+  ensure
+    ctx.destroy
+  end
+
   # This test should work, but may be a bug in zmq. leaving out for now:
   # def test_close_tcp_connection
   #   ctx = ZMQ::Context.new
   #   sock = ctx.socket(:STREAM)
+  #   sock.stream_notify = false
   #   port = sock.bind("tcp://127.0.0.1:*")
   #
   #   tcp = TCPSocket.new('127.0.0.1', port)
   #   tcp.write("hello")
   #
   #   Timeout.timeout(5) do
-  #     identity = sock.recv
-  #     message = sock.recv
+  #     msg = sock.recv_message
+  #     identity = msg.pop
   #
-  #     sock.sendm identity
-  #     sock.send ""
+  #     # Close the connection by sending a zero-length message.
+  #     sock.sendm(identity)
+  #     sock.send("")
   #
   #     # receiving a zero length string is a TCP end of stream = closed normally.
-  #     assert_equal "", tcp.recvfrom(100)
+  #     assert_equal "", tcp.recv(500)
   #   end
   #
   # ensure
diff --git a/test/test_beacon.rb b/test/test_beacon.rb
index 5011bb5..0d7a566 100644
--- a/test/test_beacon.rb
+++ b/test/test_beacon.rb
@@ -9,7 +9,7 @@ def setup
   end
 
   def test_beacon
-    beacon = ZMQ::Beacon.new(0)
+    beacon = ZMQ::Beacon.new(5670)
     assert_instance_of ZMQ::Beacon, beacon
     assert_nil beacon.destroy
     assert_raises TypeError do
@@ -20,14 +20,14 @@ def test_beacon
   end
 
   def test_hostname
-    beacon = ZMQ::Beacon.new(0)
+    beacon = ZMQ::Beacon.new(5670)
     assert_instance_of String, beacon.hostname
   ensure
     beacon.destroy
   end
 
   def test_set_interval
-    beacon = ZMQ::Beacon.new(0)
+    beacon = ZMQ::Beacon.new(5670)
     beacon.interval = 100
     assert_raises TypeError do
       beacon.interval = :invalid
@@ -37,14 +37,14 @@ def test_set_interval
   end
 
   def test_noecho
-    beacon = ZMQ::Beacon.new(0)
+    beacon = ZMQ::Beacon.new(5670)
     assert_nil beacon.noecho
   ensure
     beacon.destroy
   end
 
   def test_publish
-    beacon = ZMQ::Beacon.new(0)
+    beacon = ZMQ::Beacon.new(5670)
     assert_raises TypeError do
       beacon.publish :invalid
     end
@@ -55,7 +55,7 @@ def test_publish
   end
 
   def test_subscribe
-    beacon = ZMQ::Beacon.new(0)
+    beacon = ZMQ::Beacon.new(5670)
     assert_raises TypeError do
       beacon.subscribe :invalid
     end
@@ -67,7 +67,7 @@ def test_subscribe
 
   def test_pipe
     GC.start
-    beacon = ZMQ::Beacon.new(0)
+    beacon = ZMQ::Beacon.new(5670)
     assert_instance_of ZMQ::Socket::Pair, beacon.pipe
     GC.start # check GC cycle with "detached" socket
   ensure
diff --git a/test/test_loop.rb b/test/test_loop.rb
index fc99b61..aa48cac 100644
--- a/test/test_loop.rb
+++ b/test/test_loop.rb
@@ -86,7 +86,7 @@ def test_cancel_timer
     ctx = ZMQ::Context.new
     fired = 0
     ZMQ::Loop.run do
-      timer = ZL.add_timer(0.1, 5) do
+      timer = ZL.add_timer(0.5, 5) do
         fired += 1
         fired < 5
       end
diff --git a/test/test_socket.rb b/test/test_socket.rb
index bbb65c4..7f2e5f3 100644
--- a/test/test_socket.rb
+++ b/test/test_socket.rb
@@ -501,11 +501,13 @@ def test_sock_options
     xpub = ctx.socket(:XPUB)
     xpub.xpub_verbose = true
 
-    assert_equal 0, sock.sndbuf
+    # TODO: sndbuf/rcvbuf now return -1 before a setsockopt, as per LIBZMQ-195
+    # assert_equal 0, sock.sndbuf
     sock.sndbuf = 1000
     assert_equal 1000, sock.sndbuf
 
-    assert_equal 0, sock.rcvbuf
+    # TODO: sndbuf/rcvbuf now return -1 before a setsockopt, as per LIBZMQ-195
+    # assert_equal 0, sock.rcvbuf
     sock.rcvbuf = 1000
     assert_equal 1000, sock.rcvbuf