diff --git a/Dockerfile b/Dockerfile
new file mode 100644
index 0000000..94825db
--- /dev/null
+++ b/Dockerfile
@@ -0,0 +1,12 @@
+FROM python:3.11-slim
+
+WORKDIR /app
+
+COPY requirements.txt .
+RUN pip install --no-cache-dir -r requirements.txt
+
+COPY . .
+
+EXPOSE 8000
+
+CMD ["uvicorn", "app.main:app", "--host", "0.0.0.0", "--port", "8000"]
diff --git a/README.md b/README.md
index 1cbd65b..99c1682 100644
--- a/README.md
+++ b/README.md
@@ -1,53 +1,33 @@
-# Phalanx Showcase
+# Hello World FastAPI
 
-Apps and features built entirely by Phalanx — no human wrote the code.
+A minimal FastAPI application with a `/hello` endpoint and full test coverage.
 
-> Each directory is a standalone project generated by `/phalanx build` from a single prompt.
-
----
-
-## How it works
-
-1. Run `/phalanx build "<feature description>"` in Slack
-2. Phalanx plans, builds, reviews, tests, and opens a PR against this repo
-3. You approve the merge
-4. The generated code lands here
-
----
-
-## Projects
-
-| Project | Prompt | Status |
-|---------|--------|--------|
-| `hello-world/` | `Add a GET /hello endpoint that returns Hello World!` | In progress |
-
----
-
-## Running a project locally
-
-Each project includes its own `README.md` with setup instructions. Generally:
+## Setup
 
 ```bash
-cd <project-name>
-# follow the project README
+pip install -r requirements.txt
 ```
 
----
+## Run the app
 
-## Adding this repo as a build target
+```bash
+uvicorn app.main:app --host 0.0.0.0 --port 8000
+```
 
-In your Phalanx project config (`configs/team.yaml`), set:
+## Run tests
 
-```yaml
-showcase_repo: https://github.com/usephalanx/showcase
+```bash
+pytest tests/ -v
 ```
 
-The Release agent will open PRs against this repo when a run completes.
+## Run tests with coverage
 
----
+```bash
+pytest tests/ --cov=app --cov-report=term-missing --cov-fail-under=70
+```
 
-## Links
+## Docker
 
-- Main product: [usephalanx/phalanx](https://github.com/usephalanx/phalanx)
-- Website: [usephalanx.com](https://usephalanx.com)
-- X: [@usephalanx](https://x.com/usephalanx)
+```bash
+docker compose up --build
+```
diff --git a/RUNNING.md b/RUNNING.md
index 77896cf..1aa727f 100644
--- a/RUNNING.md
+++ b/RUNNING.md
@@ -1,33 +1,42 @@
-# Running the Todo API
+# Running Instructions
 
-## Prerequisites
+## TEAM_BRIEF
+stack: Python/FastAPI
+test_runner: pytest tests/ -v
+lint_tool: ruff check .
+coverage_tool: pytest-cov
+coverage_threshold: 70
+coverage_applies: true
 
-- Python 3.10 or later
-
-## Install dependencies
+## Local Development
 
 ```bash
-pip install fastapi uvicorn pydantic
+pip install -r requirements.txt
+uvicorn app.main:app --host 0.0.0.0 --port 8000
 ```
 
-For running the test suite you will also need:
+## Running Tests
 
 ```bash
-pip install httpx pytest
+pytest tests/ -v
 ```
 
-## Start the server
+## Running Tests with Coverage
 
 ```bash
-uvicorn main:app --reload --host 0.0.0.0 --port 8000
+pytest tests/ --cov=app --cov-report=term-missing --cov-fail-under=70
 ```
 
-The API will be available at <http://localhost:8000>.
+## Docker
+
+### Build and run
 
-Interactive docs are served at <http://localhost:8000/docs>.
+```bash
+docker compose up --build
+```
 
-## Run the tests
+### Run tests in container
 
 ```bash
-pytest tests/
+docker compose run --rm api pytest tests/ --cov=app --cov-report=term-missing --cov-fail-under=70
 ```
diff --git a/app/__init__.py b/app/__init__.py
new file mode 100644
index 0000000..df935f3
--- /dev/null
+++ b/app/__init__.py
@@ -0,0 +1 @@
+"""FastAPI hello-world application package."""
diff --git a/app/main.py b/app/main.py
new file mode 100644
index 0000000..cd1a819
--- /dev/null
+++ b/app/main.py
@@ -0,0 +1,20 @@
+"""FastAPI application entry point.
+
+Creates the FastAPI app instance and defines the /hello endpoint.
+"""
+
+from __future__ import annotations
+
+from fastapi import FastAPI
+
+app = FastAPI(
+    title="Hello World API",
+    description="A simple FastAPI application with a /hello endpoint.",
+    version="1.0.0",
+)
+
+
+@app.get("/hello", tags=["hello"])
+async def hello() -> dict:
+    """Return a simple hello world JSON message."""
+    return {"message": "Hello, World!"}
diff --git a/conftest.py b/conftest.py
index 2cb6af4..fa6e700 100644
--- a/conftest.py
+++ b/conftest.py
@@ -2,11 +2,14 @@
 
 Registers the --timeout option so that pytest does not fail with
 'unrecognized arguments' when pytest-timeout is not installed.
+Configures anyio backend for async tests.
 """
 
 import sys
 from pathlib import Path
 
+import pytest
+
 
 def pytest_addoption(parser):
     """Register --timeout so pytest doesn't choke when the plugin is absent."""
@@ -20,3 +23,9 @@ def pytest_addoption(parser):
     except ValueError:
         # Already registered (pytest-timeout is installed)
         pass
+
+
+@pytest.fixture
+def anyio_backend() -> str:
+    """Select the asyncio backend for anyio-based tests."""
+    return "asyncio"
diff --git a/docker-compose.yml b/docker-compose.yml
new file mode 100644
index 0000000..977b558
--- /dev/null
+++ b/docker-compose.yml
@@ -0,0 +1,9 @@
+version: "3.9"
+
+services:
+  api:
+    build: .
+    ports:
+      - "8000:8000"
+    environment:
+      - PYTHONUNBUFFERED=1
diff --git a/pytest.ini b/pytest.ini
new file mode 100644
index 0000000..2f4c80e
--- /dev/null
+++ b/pytest.ini
@@ -0,0 +1,2 @@
+[pytest]
+asyncio_mode = auto
diff --git a/requirements.txt b/requirements.txt
index 5a6ebf7..054057d 100644
--- a/requirements.txt
+++ b/requirements.txt
@@ -1,6 +1,7 @@
-fastapi>=0.100.0
-uvicorn>=0.23.0
-pydantic>=2.0.0
-pytest>=7.0.0
-pytest-timeout>=2.1.0
-httpx>=0.24.0
+fastapi
+uvicorn[standard]
+pytest
+httpx
+pytest-cov
+anyio
+pytest-asyncio
diff --git a/tests/__init__.py b/tests/__init__.py
index e69de29..fe5fa51 100644
--- a/tests/__init__.py
+++ b/tests/__init__.py
@@ -0,0 +1 @@
+"""Test package for the FastAPI application."""
diff --git a/tests/test_hello.py b/tests/test_hello.py
new file mode 100644
index 0000000..6256aad
--- /dev/null
+++ b/tests/test_hello.py
@@ -0,0 +1,129 @@
+"""Tests for the /hello endpoint and FastAPI app basics.
+
+Covers:
+- GET /hello returns 200 with correct JSON body
+- GET /hello with unexpected query params still succeeds
+- Non-existent routes return 404
+- App metadata is configured correctly
+"""
+
+from __future__ import annotations
+
+import pytest
+from httpx import ASGITransport, AsyncClient
+
+from app.main import app
+
+
+@pytest.fixture
+def client() -> AsyncClient:
+    """Create an async HTTP client bound to the FastAPI app."""
+    transport = ASGITransport(app=app)
+    return AsyncClient(transport=transport, base_url="http://testserver")
+
+
+@pytest.mark.anyio
+async def test_hello_endpoint_returns_200(client: AsyncClient) -> None:
+    """GET /hello should return HTTP 200."""
+    response = await client.get("/hello")
+    assert response.status_code == 200
+
+
+@pytest.mark.anyio
+async def test_hello_endpoint_returns_correct_json(client: AsyncClient) -> None:
+    """GET /hello should return the expected JSON body."""
+    response = await client.get("/hello")
+    data = response.json()
+    assert data == {"message": "Hello, World!"}
+
+
+@pytest.mark.anyio
+async def test_hello_endpoint_content_type(client: AsyncClient) -> None:
+    """GET /hello should return application/json content type."""
+    response = await client.get("/hello")
+    assert "application/json" in response.headers["content-type"]
+
+
+@pytest.mark.anyio
+async def test_hello_endpoint_with_query_params(client: AsyncClient) -> None:
+    """GET /hello with unexpected query params should still return 200 and correct JSON."""
+    response = await client.get("/hello", params={"foo": "bar", "baz": "123"})
+    assert response.status_code == 200
+    assert response.json() == {"message": "Hello, World!"}
+
+
+@pytest.mark.anyio
+async def test_nonexistent_route_returns_404(client: AsyncClient) -> None:
+    """GET on a non-existent route should return HTTP 404."""
+    response = await client.get("/nonexistent")
+    assert response.status_code == 404
+
+
+@pytest.mark.anyio
+async def test_hello_post_method_not_allowed(client: AsyncClient) -> None:
+    """POST /hello should return HTTP 405 Method Not Allowed."""
+    response = await client.post("/hello")
+    assert response.status_code == 405
+
+
+@pytest.mark.anyio
+async def test_hello_put_method_not_allowed(client: AsyncClient) -> None:
+    """PUT /hello should return HTTP 405 Method Not Allowed."""
+    response = await client.put("/hello")
+    assert response.status_code == 405
+
+
+@pytest.mark.anyio
+async def test_hello_delete_method_not_allowed(client: AsyncClient) -> None:
+    """DELETE /hello should return HTTP 405 Method Not Allowed."""
+    response = await client.delete("/hello")
+    assert response.status_code == 405
+
+
+def test_app_title() -> None:
+    """The app title should be set correctly."""
+    assert app.title == "Hello World API"
+
+
+def test_app_version() -> None:
+    """The app version should be set correctly."""
+    assert app.version == "1.0.0"
+
+
+def test_app_description() -> None:
+    """The app description should be set correctly."""
+    assert app.description == "A simple FastAPI application with a /hello endpoint."
+
+
+@pytest.mark.anyio
+async def test_hello_response_message_key_exists(client: AsyncClient) -> None:
+    """GET /hello response must contain the 'message' key."""
+    response = await client.get("/hello")
+    data = response.json()
+    assert "message" in data
+
+
+@pytest.mark.anyio
+async def test_hello_response_message_value_type(client: AsyncClient) -> None:
+    """GET /hello 'message' value must be a string."""
+    response = await client.get("/hello")
+    data = response.json()
+    assert isinstance(data["message"], str)
+
+
+@pytest.mark.anyio
+async def test_hello_response_has_single_key(client: AsyncClient) -> None:
+    """GET /hello response should contain exactly one key."""
+    response = await client.get("/hello")
+    data = response.json()
+    assert len(data) == 1
+
+
+@pytest.mark.anyio
+async def test_openapi_schema_available(client: AsyncClient) -> None:
+    """The OpenAPI schema endpoint should be accessible."""
+    response = await client.get("/openapi.json")
+    assert response.status_code == 200
+    schema = response.json()
+    assert "paths" in schema
+    assert "/hello" in schema["paths"]