diff --git a/README.md b/README.md
index 2a1cebb..eb6da05 100644
--- a/README.md
+++ b/README.md
@@ -1,19 +1,91 @@
-# LNDHub
+# LndHub.go
+Wrapper for Lightning Network Daemon (lnd). It provides separate accounts with minimum trust for end users.
+
+### [LndHub](https://github.com/BlueWallet/LndHub) compatible API implemented in Go using relational database backends
+
+* Using a relational database (PostgreSQL and SQLite)
+* Focussing only on Lightning (no onchain functionality)
+* No runtime dependencies (simple Go executable)
+
+### Status: WIP
+
+## Known Issues
+
+* Currently no fee handling (users are currently not charged for lightning transaction fees)
+
+## Configuration
+
+All required configuration is done with environment variables and a `.env` file can be used.
+Check the `.env_example` for an example.
+
+```shell
+cp .env_example .env
+vim .env # edit your config
+```
+
+### Available configuration
+
++ `DATABASE_URI`: The URI for the database. If you want to use SQLite use for example: `file:data.db`
++ `JWT_SECRET`: We use [JWT](https://jwt.io/) for access tokens. Configure your secret here
++ `JWT_EXPIRY`: How long the access tokens should be valid (in seconds)
++ `LND_ADDRESS`: LND address (with port)
++ `LND_MACAROON_HEX`: LND macaroon
++ `LND_CERT_HEX`: LND certificate
++ `LOG_FILE_PATH`: (optional) By default all logs are written to STDOUT. If you want to log to a file provide the log file path here 
++ `SENTRY_DSN`: (optional) Sentry DSN for exception tracking
 
-Accounting wrapper for the Lightning Network. It provides separate accounts for end-users. (LNDHub compatible API written in Go)
 
 ## Developing
 
 ```shell
-git clone hhttps://github.com/getAlby/lndhub.go.git
-cd lndhub.go/
+go run main.go
 ```
 
-
 ### Building
 
-To build the project, run the following commands:
+To build an `lndhub` executable, run the following commands:
 
 ```shell
 make
-```
\ No newline at end of file
+```
+
+
+## Database 
+LndHub.go supports PostgreSQL and SQLite as database backend. But SQLite does not support the same data consistency checks as PostgreSQL.
+
+### Ideas
++ Using low level database constraints to prevent data inconsistencies
++ Follow double-entry bookkeeping ideas (Every transaction is a debit of one account and a credit to another one)
++ Support multiple database backends (PostgreSQL for production, SQLite for development and personal/friend setups)
+
+### Data model
+
+```
+                                                               ┌─────────────┐                            
+                                                               │    User     │                            
+                                                               └─────────────┘                            
+                                                                      │                                   
+                                            ┌─────────────────┬───────┴─────────┬─────────────────┐       
+                                            ▼                 ▼                 ▼                 ▼       
+                 Accounts:          ┌──────────────┐  ┌──────────────┐  ┌──────────────┐  ┌──────────────┐
+                                    │   Incoming   │  │   Current    │  │   Outgoing   │  │     Fees     │
+                 Every user has     └──────────────┘  └──────────────┘  └──────────────┘  └──────────────┘
+                 four accounts                                                                            
+                                                                                                          
+                                     Every Transaction Entry is associated to one debit account and one   
+                                                               credit account                             
+                                                                                                          
+                                                           ┌────────────────────────┐                     
+                                                           │Transaction Entry       │                     
+                                                           │                        │                     
+                                                           │+ user_id               │                     
+                             ┌────────────┐                │+ invoice_id            │                     
+                             │  Invoice   │────────────────▶+ debit_account_id      │                     
+                             └────────────┘                │+ credit_account_id     │                     
+                                                           │+ amount                │                     
+                            Invoice holds the              │+ ...                   │                     
+                            lightning related              │                        │                     
+                            data                           └────────────────────────┘                     
+                                                                                                          
+```
+