update readme

Author: vaibhavbhalla2505

README.md

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+<a href="https://sourcefuse.github.io/arc-docs/arc-api-docs" target="_blank"><img src="https://github.com/sourcefuse/loopback4-microservice-catalog/blob/master/docs/assets/logo-dark-bg.png?raw=true" alt="ARC By SourceFuse logo" title="ARC By SourceFuse" align="right" width="150" /></a>
+# [loopback4-mcp](https://github.com/sourcefuse/loopback4-mcp)
+<p align="left">
+</a>
+<a href="https://loopback.io/" target="_blank">
+<img alt="Powered By LoopBack 4" src="https://img.shields.io/badge/Powered%20by-LoopBack 4-brightgreen" />
+</a>
+</p>
+
+## Overview
+
+This extension provides a plug-and-play integration between LoopBack4 applications and the Model Context Protocol (MCP) specification.
+
+Its purpose is to enable LoopBack APIs, services, and business logic to be exposed as MCP Tools, allowing external MCP clients (such as LLMs, agents, or MCP-compatible apps) to discover and execute server-defined operations.
+### Key Features
+- Automatic MCP Tool Discovery :-
+  The extension scans your application at boot time and automatically registers all methods decorated with the custom @mcpTool() decorator.
+
+  This allows you to define MCP tools anywhere in your LoopBack project without manually wiring metadata.
+
+- Lifecycle-managed Tool Registry :-
+  A dedicated `McpToolRegistry` service maintains all discovered tool metadata,their handlers and execution context.
+  
+  A `McpToolRegistryBootObserver` ensures that registration happens only after the application has fully booted.
+## Installation
+```sh
+npm install loopback4-mcp
+```
+Then register the component inside your `application.ts`.
+```ts
+this.component(McpComponent);
+```
+## Usage
+Add the `@mcpTool()` decorator to any controller in your application.
+```ts
+@mcpTool({
+  name: 'create-user',
+  description: 'Creates a new user in the system',
+  schema?: {
+    email: z.string().email(),
+    name: z.string(),
+  },
+})
+async createUser(args: {email: string; name: string}) {
+  return {message: `User ${args.name} created`};
+}
+```
+### Mcp Hook Usage Details
+  To use hooks with MCP tools, follow the provider-based approach:
+  Step 1: Create a hook provider:
+  ```typescript
+  // src/providers/my-hook.provider.ts
+  export class MyHookProvider implements Provider<McpHookFunction> {
+    constructor(@inject(LOGGER.LOGGER_INJECT) private logger: ILogger) {}
+    value(): McpHookFunction {
+      return async (context: McpHookContext) => {
+        this.logger.info(`Hook executed for tool: ${context.toolName}`);
+      };
+    }
+ }
+  ```
+  Step 2: Add binding key to McpHookBindings:
+  ```typescript
+  // src/keys.ts
+  export namespace McpHookBindings {
+    export const MY_HOOK = BindingKey.create<McpHookFunction>('hooks.mcp.myHook');
+  }
+  ```
+  Step 3: Bind provider in `application.ts`:
+  ```typescript
+  this.bind(McpHookBindings.MY_HOOK).toProvider(MyHookProvider);
+ ```
+  Step 4: Use in decorator:
+  ```typescript
+  @mcpTool({
+   name: 'my-tool',
+   description: 'my-description'
+   preHookBinding: McpHookBindings.MY_HOOK,
+    postHookBinding: 'hooks.mcp.myOtherHook' // or string binding key
+  })