diff --git a/backend/app/core/__init__.py b/backend/app/core/__init__.py
new file mode 100644
index 0000000..e69de29
diff --git a/backend/app/core/config.py b/backend/app/core/config.py
new file mode 100644
index 0000000..511f86a
--- /dev/null
+++ b/backend/app/core/config.py
@@ -0,0 +1,29 @@
+import libvirt
+from app.orm.vm import VmORM
+from dotenv import load_dotenv
+from os import getenv
+from sqlmodel import create_engine, SQLModel
+
+load_dotenv()
+
+db_name = getenv("POSTGRES_NAME", "distribox")
+db_user = getenv("POSTGRES_USER", "distribox_user")
+db_pass = getenv("POSTGRES_PASSWORD", "distribox_password")
+db_port = getenv("POSTGRES_PORT", "5432")
+
+database_url = f"postgresql+psycopg2://{db_user}:{db_pass}@localhost:{db_port}/{db_name}"
+engine = create_engine(database_url, echo=True)
+SQLModel.metadata.create_all(engine)
+
+class QEMUConfig:
+    qemu_conn = None
+
+    @classmethod
+    def get_connection(cls):
+        if cls.qemu_conn is None or cls.qemu_conn.isAlive() == 0:
+            try: 
+                qemu_conn = libvirt.open("qemu:///system")
+            except libvirt.libvirtError:
+                raise
+        return qemu_conn
+
diff --git a/backend/app/core/constants.py b/backend/app/core/constants.py
new file mode 100644
index 0000000..38ef94e
--- /dev/null
+++ b/backend/app/core/constants.py
@@ -0,0 +1,17 @@
+from pathlib import Path
+import libvirt
+
+BASE_DIR = Path('/var/lib/distribox/')
+VMS_DIR = BASE_DIR / 'vms'
+IMAGES_DIR = BASE_DIR / 'images'
+
+VM_STATE_NAMES = {
+    libvirt.VIR_DOMAIN_NOSTATE: "No state",
+    libvirt.VIR_DOMAIN_RUNNING: "Running",
+    libvirt.VIR_DOMAIN_BLOCKED: "Blocked on I/O",
+    libvirt.VIR_DOMAIN_PAUSED: "Paused",
+    libvirt.VIR_DOMAIN_SHUTDOWN: "Stopping",
+    libvirt.VIR_DOMAIN_SHUTOFF: "Stopped",
+    libvirt.VIR_DOMAIN_CRASHED: "Crashed",
+    libvirt.VIR_DOMAIN_PMSUSPENDED: "Suspended (power management)",
+}
diff --git a/backend/app/core/xml_builder.py b/backend/app/core/xml_builder.py
new file mode 100644
index 0000000..001a8d3
--- /dev/null
+++ b/backend/app/core/xml_builder.py
@@ -0,0 +1,57 @@
+from lxml import etree
+from app.models.vm import VmRead
+from app.core.constants import VMS_DIR
+
+def build_xml(vm_read: VmRead):
+
+    domain = etree.Element("domain", type="kvm")
+
+    etree.SubElement(domain, "name").text = str(vm_read.id)
+    etree.SubElement(domain, "memory", unit="MiB").text = str(vm_read.mem)
+    etree.SubElement(domain, "vcpu", placement="static").text = str(vm_read.vcpus)
+
+    os_el = etree.SubElement(domain, "os")
+    etree.SubElement(os_el, "type", arch="x86_64", machine="pc").text = "hvm"
+    etree.SubElement(os_el, "boot", dev="hd")
+
+    features = etree.SubElement(domain, "features")
+    for feature in ["acpi", "apic", "pae"]:
+        etree.SubElement(features, feature)
+
+    etree.SubElement(domain, "cpu", mode="host-passthrough")
+
+    etree.SubElement(domain, "clock", offset="utc")
+
+    etree.SubElement(domain, "on_poweroff").text = "destroy"
+    etree.SubElement(domain, "on_reboot").text = "restart"
+    etree.SubElement(domain, "on_crash").text = "destroy"
+
+    devices = etree.SubElement(domain, "devices")
+
+    disk_main = etree.SubElement(devices, "disk", type="file", device="disk")
+    etree.SubElement(disk_main, "driver", name="qemu", type="qcow2")
+    etree.SubElement(disk_main, "source", file=str(VMS_DIR / str(vm_read.id) / f"distribox-{vm_read.os}.qcow2"))
+    etree.SubElement(disk_main, "target", dev="vda", bus="virtio")
+
+    channel = etree.SubElement(devices, "channel", type="unix")
+    etree.SubElement(channel, "source", mode="bind")
+    etree.SubElement(channel, "target", type="virtio", name="org.qemu.guest_agent.0")
+
+    # disk_seed = etree.SubElement(devices, "disk", type="file", device="cdrom")
+    # etree.SubElement(disk_seed, "driver", name="qemu", type="raw")
+    # etree.SubElement(disk_seed, "source", file="/var/lib/distribox/images/seed.iso")
+    # etree.SubElement(disk_seed, "target", dev="hdb", bus="ide")
+    # etree.SubElement(disk_seed, "readonly")
+
+    iface = etree.SubElement(devices, "interface", type="network")
+    etree.SubElement(iface, "source", network="default")
+    etree.SubElement(iface, "model", type="virtio")
+
+    etree.SubElement(devices, "graphics", type="vnc", port="-1", autoport="yes", listen="127.0.0.1")
+
+    etree.SubElement(devices, "console", type="pty")
+    etree.SubElement(devices, "input", type="keyboard", bus="ps2")
+    etree.SubElement(devices, "input", type="tablet", bus="usb")
+
+    xml_string = etree.tostring(domain, pretty_print=True, encoding="utf-8").decode()
+    return xml_string
diff --git a/backend/app/main.py b/backend/app/main.py
index 30d4a45..3c9bd37 100644
--- a/backend/app/main.py
+++ b/backend/app/main.py
@@ -1,15 +1,20 @@
-from typing import Union
-
-from fastapi import FastAPI
-
+from fastapi import FastAPI, HTTPException
+from fastapi.responses import JSONResponse
+from app.routes import vm 
 app = FastAPI()
 
 
-@app.get("/")
-def read_root():
-    return {"Hello": "World"}
-
+@app.exception_handler(HTTPException)
+async def global_exception_handler(_, exc: HTTPException):
+    return JSONResponse(
+        status_code=exc.status_code,
+        content={"detail": exc.detail}
+    )
 
-@app.get("/items/{item_id}")
-def read_item(item_id: int, q: Union[str, None] = None):
-    return {"item_id": item_id, "q": q}
+@app.exception_handler(Exception)
+async def global_exception_handler(_, exc: Exception):
+    return JSONResponse(
+        status_code=500,
+        content={"detail": str(exc)}
+    )
+app.include_router(vm.router, prefix="/vms")
diff --git a/backend/app/models/vm.py b/backend/app/models/vm.py
new file mode 100644
index 0000000..d907020
--- /dev/null
+++ b/backend/app/models/vm.py
@@ -0,0 +1,15 @@
+from pydantic import BaseModel
+from typing import Optional
+
+class VmBase(BaseModel):
+    os: str
+    mem: int
+    vcpus: int
+    disk_size: int
+
+class VmRead(VmBase):
+    id: str
+    state: str
+
+class VmCreate(VmBase):
+    pass
diff --git a/backend/app/orm/vm.py b/backend/app/orm/vm.py
new file mode 100644
index 0000000..3a66890
--- /dev/null
+++ b/backend/app/orm/vm.py
@@ -0,0 +1,12 @@
+from sqlmodel import SQLModel, Field
+import uuid
+
+class VmORM(SQLModel, table=True, ):
+    __tablename__ = "vms"
+    
+    id: uuid.UUID = Field(default_factory=uuid.uuid4, primary_key=True)
+    os: str
+    mem: int
+    vcpus: int
+    disk_size: int
+    password: str | None = None
\ No newline at end of file
diff --git a/backend/app/routes/vm.py b/backend/app/routes/vm.py
new file mode 100644
index 0000000..b69394d
--- /dev/null
+++ b/backend/app/routes/vm.py
@@ -0,0 +1,39 @@
+from fastapi import  status, APIRouter
+from app.models.vm import VmCreate
+from app.services.vm_service import VmService
+
+router = APIRouter()
+
+@router.get('/', status_code=status.HTTP_200_OK)
+def get_vm_list():
+    vm_list = VmService.get_vm_list()
+    return vm_list
+
+@router.get("/{vm_id}", status_code=status.HTTP_200_OK)
+def get_vm(vm_id: str):
+    vm = VmService.get_vm(vm_id)
+    return vm
+
+@router.get("/{vm_id}/state", status_code=status.HTTP_200_OK)
+def get_vm(vm_id: str):
+    state = VmService.get_state(vm_id)
+    return state
+
+@router.post("/{vm_id}/start", status_code=status.HTTP_200_OK)
+def start_vm(vm_id: str):
+    vm = VmService.start_vm(vm_id)
+    return vm
+
+@router.post("/{vm_id}/stop", status_code=status.HTTP_200_OK)
+def stop_vm(vm_id: str):
+    vm = VmService.stop_vm(vm_id)
+    return vm
+
+@router.post("/", status_code=status.HTTP_201_CREATED)
+def create_vm(vm:VmCreate):
+    created_vm = VmService.create_vm(vm)
+    return created_vm
+
+@router.put("/{vm_id}/password", status_code=status.HTTP_200_OK)
+def set_vm_password(vm_id):
+    return VmService.set_vm_password(vm_id)
\ No newline at end of file
diff --git a/backend/app/services/vm_service.py b/backend/app/services/vm_service.py
new file mode 100644
index 0000000..28c34f8
--- /dev/null
+++ b/backend/app/services/vm_service.py
@@ -0,0 +1,172 @@
+import uuid
+import shutil
+import libvirt
+import hashlib
+from app.utils.vm import wait_for_state
+from typing import Optional
+from app.core.constants import VMS_DIR, IMAGES_DIR, VM_STATE_NAMES
+from app.models.vm import VmCreate
+from app.core.xml_builder import build_xml
+from app.core.config import QEMUConfig, engine
+from sqlmodel import Session, select, update
+from app.orm.vm import VmORM
+from fastapi import status, HTTPException
+
+class Vm:
+    def __init__(self, vm_create: VmCreate):
+        self.id = uuid.uuid4()
+        self.os = vm_create.os
+        self.mem = vm_create.mem
+        self.vcpus = vm_create.vcpus
+        self.disk_size = vm_create.disk_size
+        self.state: Optional[str] = None
+    
+
+    def create(self):
+        if self.state :
+            return self
+        self.state = 'Stopped'
+        vm_dir = VMS_DIR / str(self.id)
+        distribox_image_dir = IMAGES_DIR / f"distribox-{self.os}.qcow2"
+        try:
+            vm_dir.mkdir(parents=True, exist_ok=True)
+            shutil.copy(distribox_image_dir, vm_dir)
+            vm_xml = build_xml(self)
+            conn = QEMUConfig.get_connection()
+            conn.defineXML(vm_xml)
+            with Session(engine) as session:
+                vm_record = VmORM(
+                    id = self.id,
+                    os = self.os,
+                    mem = self.mem,
+                    vcpus = self.vcpus,
+                    disk_size= self.disk_size,
+                )
+                session.add(vm_record)
+                session.commit()
+            return self
+        except Exception:
+            raise
+
+    @classmethod
+    def get(cls, vm_id: str):
+        try: 
+            conn = QEMUConfig.get_connection()
+            vm = conn.lookupByName(vm_id)
+            vm_state, _ = vm.state()
+            with Session(engine) as session:
+                vm_record = session.get(VmORM, uuid.UUID(vm_id))
+                vm_instance = cls.__new__(cls)
+                vm_instance.id = vm_record.id
+                vm_instance.os = vm_record.os
+                vm_instance.mem = vm_record.mem
+                vm_instance.vcpus = vm_record.vcpus
+                vm_instance.disk_size =vm_record.disk_size
+            vm_instance.state = VM_STATE_NAMES.get(vm_state, 'None')
+        except libvirt.libvirtError as e:
+            if e.get_error_code() == libvirt.VIR_ERR_NO_DOMAIN:
+                raise HTTPException(status.HTTP_404_NOT_FOUND, f'Vm {vm_id} not found')
+        except Exception:
+            raise
+        return vm_instance
+    
+    @classmethod
+    def get_all(cls):
+        try:
+            with Session(engine) as session:
+                statement = select(VmORM)
+                vm_records = session.scalars(statement).all()
+            vm_list = []
+            for vm_record in vm_records:
+                vm_list.append(cls.get(str(vm_record.id)))
+            return vm_list
+        except Exception:
+            raise
+
+    def start(self):
+        try:
+            conn = QEMUConfig.get_connection()
+            vm = conn.lookupByName(str(self.id))
+            if vm.isActive() == 0:
+                vm.create()
+        except libvirt.libvirtError as e:
+            if e.get_error_code() == libvirt.VIR_ERR_NO_DOMAIN:
+                raise HTTPException(status.HTTP_404_NOT_FOUND, f'Vm {vm.id} not found')
+        except Exception:
+            raise
+        state_code = wait_for_state(vm, libvirt.VIR_DOMAIN_RUNNING, 0.5, 10)
+        self.state=VM_STATE_NAMES.get(state_code, 'None')
+        return self
+    
+    def stop(self):
+        try:
+            conn = QEMUConfig.get_connection()
+            vm = conn.lookupByName(str(self.id))
+            if vm.isActive() == 1:
+                vm.shutdown()
+        except libvirt.libvirtError as e:
+            if e.get_error_code() == libvirt.VIR_ERR_NO_DOMAIN:
+                raise HTTPException(status.HTTP_404_NOT_FOUND, f'Vm {vm.id} not found')                
+        except Exception:
+            raise
+        state_code = wait_for_state(vm, libvirt.VIR_DOMAIN_SHUTOFF, 5, 10)
+        self.state=VM_STATE_NAMES.get(state_code, 'None')
+        return self
+    
+    def get_state(self):
+        try:
+            conn = QEMUConfig.get_connection()
+            vm = conn.lookupByName(str(self.id))
+            state, _ = vm.state()
+        except Exception:
+            raise 
+        return {"state" : VM_STATE_NAMES.get(state, 'None')}
+    
+    def generate_password(self):
+        try:
+            random_uuid = str(uuid.uuid4())
+            uuid_bytes = random_uuid.encode('utf-8')
+            hasher = hashlib.sha256()
+            hasher.update(uuid_bytes)
+            password = hasher.hexdigest()
+            with Session(engine) as session:
+                statement = update(VmORM).where(VmORM.id == self.id).values(password=password)
+                session.exec(statement)
+                session.commit()
+            return {"password": password}
+        except Exception:
+            raise
+
+    
+class VmService:
+
+    def get_vm_list():
+        vm = Vm.get_all()
+        return vm
+    def get_vm(vm_id: str):
+        vm = Vm.get(vm_id)
+        return vm
+
+    def get_state(vm_id:str):
+        vm = Vm.get(vm_id)
+        state = vm.get_state()
+        return state
+
+    def create_vm(vm_create: VmCreate):
+        vm = Vm(vm_create)
+        vm.create()
+        return vm
+
+    def start_vm(vm_id: str):
+        vm = Vm.get(vm_id)
+        return vm.start()
+
+    def stop_vm(vm_id: str):
+        vm = Vm.get(vm_id)
+        return vm.stop()
+    
+    def set_vm_password(vm_id: str):
+        vm = Vm.get(vm_id)
+        return vm.generate_password()
+        
+
diff --git a/backend/app/utils/vm.py b/backend/app/utils/vm.py
new file mode 100644
index 0000000..34cf761
--- /dev/null
+++ b/backend/app/utils/vm.py
@@ -0,0 +1,8 @@
+from time import sleep
+def wait_for_state(vm, state_code: int, timeout: float, retries:  int,):
+    for _ in range(0, retries):
+        code, _ = vm.state()
+        if state_code == code:
+            return code
+        sleep(timeout)
+    return code
diff --git a/backend/requirements.txt b/backend/requirements.txt
index 13712cc..01700dc 100644
--- a/backend/requirements.txt
+++ b/backend/requirements.txt
@@ -1 +1,3 @@
 fastapi[standard]
+libvirt-python
+lxml
\ No newline at end of file
diff --git a/docker-compose.yml b/docker-compose.yml
index 446725a..caacd2c 100644
--- a/docker-compose.yml
+++ b/docker-compose.yml
@@ -12,7 +12,7 @@ services:
     volumes:
       - postgres_data:/var/lib/postgresql/data
     healthcheck:
-      test: ["CMD-SHELL", "pg_isready -U ${POSTGRES_USER:-poker_user} -d ${POSTGRES_NAME:-poker}"]
+      test: ["CMD-SHELL", "pg_isready -U ${POSTGRES_USER:-distribox_user} -d ${POSTGRES_NAME:-distribox}"]
       interval: 10s
       timeout: 5s
       retries: 5
diff --git a/test/create-distribox-image/clear_vm.sh b/test/create-distribox-image/clear_vm.sh
new file mode 100644
index 0000000..eb01491
--- /dev/null
+++ b/test/create-distribox-image/clear_vm.sh
@@ -0,0 +1,5 @@
+##on host machine 
+virt-sysprep -a /var/lib/distribox/images/os.qcow2   --operations bash-history,logfiles,tmp-files,crash-data,utmp
+virt-sparsify --compress /var/lib/distribox/images/os.qcow2 /var/lib/distribox/images/distribox-ubuntu.qcow2
+rm -f /var/lib/distribox/images/os.qcow2 
+rm -f /var/lib/distribox/images/seed.iso
\ No newline at end of file
diff --git a/test/create-distribox-image/create-distribox-image.sh b/test/create-distribox-image/create-distribox-image.sh
new file mode 100644
index 0000000..5be3845
--- /dev/null
+++ b/test/create-distribox-image/create-distribox-image.sh
@@ -0,0 +1,27 @@
+VM_NAME=ubuntu-cloud-vm
+CLOUD_IMG_URL=https://cloud-images.ubuntu.com/jammy/current/jammy-server-cloudimg-amd64.img
+CLOUD_IMG_QCOW="os.qcow2"
+LIBVIRT_IMG_PATH="/tmp/"
+DISTRIBOX_IMG_PATH=/var/lib/distribox/images/
+
+virsh destroy $VM_NAME
+virsh undefine $VM_NAME --remove-all-storage
+rm -f "${DISTRIBOX_IMG_PATH}${CLOUD_IMG_QCOW}"
+rm -f "${DISTRIBOX_IMG_PATH}seed.iso"
+
+# download cloud image
+wget -nc -P $LIBVIRT_IMG_PATH $CLOUD_IMG_URL
+
+cp "${LIBVIRT_IMG_PATH}${CLOUD_IMG_URL##*/}" "${DISTRIBOX_IMG_PATH}${CLOUD_IMG_QCOW}"
+
+qemu-img resize "${DISTRIBOX_IMG_PATH}${CLOUD_IMG_QCOW}" +5G
+
+
+#generate configuration iso for cloud image, see what's in seed-config/
+genisoimage -output "${DISTRIBOX_IMG_PATH}seed.iso" -volid cidata -joliet -rock seed-config/
+
+#defines and starts vm using vm.xml
+virsh define vm.xml
+virsh start $VM_NAME
+
+##run clear_vm.sh after the vm creation. It will shutdown when init is finished
\ No newline at end of file
diff --git a/test/create-distribox-image/seed-config/meta-data b/test/create-distribox-image/seed-config/meta-data
new file mode 100644
index 0000000..52ca435
--- /dev/null
+++ b/test/create-distribox-image/seed-config/meta-data
@@ -0,0 +1,2 @@
+instance-id: ubuntu-cloud-vm
+local-hostname: ubuntu-cloud-vm
diff --git a/test/create-distribox-image/seed-config/user-data b/test/create-distribox-image/seed-config/user-data
new file mode 100644
index 0000000..3b325b3
--- /dev/null
+++ b/test/create-distribox-image/seed-config/user-data
@@ -0,0 +1,39 @@
+#cloud-config
+
+# Nom d'hôte (peut aussi être mis dans meta-data, mais fonctionne ici)
+hostname: distribox
+fqdn: distribox.local
+
+# Configuration des utilisateurs
+users:
+  - name: user
+    groups: sudo
+    shell: /bin/bash
+    sudo: ["ALL=(ALL) NOPASSWD:ALL"]
+
+# Définition des mots de passe
+chpasswd:
+  list: |
+    user:password
+  expire: false
+ssh_pwauth: true
+
+package_update: true
+package_upgrade: true
+packages:
+  - qemu-guest-agent
+  - xubuntu-desktop
+  - vim
+package_reboot_if_required: false
+
+runcmd:
+  - apt clean
+  - apt autoremove -y
+  - rm -rf /var/log/*
+  - rm -rf /tmp/*
+  - rm -rf /var/cache/apt/archives/*
+  - rm -rf /var/lib/systemd/coredump/*
+  - dd if=/dev/zero of=/EMPTY bs=1M || true
+  - rm -f /EMPTY
+  - sync
+  - shutdown -h now
diff --git a/test/create-distribox-image/vm.xml b/test/create-distribox-image/vm.xml
new file mode 100644
index 0000000..4b053b3
--- /dev/null
+++ b/test/create-distribox-image/vm.xml
@@ -0,0 +1,60 @@
+<domain type='kvm'>
+  <name>ubuntu-cloud-vm</name>
+  <memory unit='MiB'>2048</memory>
+  <vcpu placement='static'>2</vcpu>
+
+  <os>
+    <type arch='x86_64' machine='pc'>hvm</type>
+    <boot dev='hd'/>
+  </os>
+
+  <features>
+    <acpi/>
+    <apic/>
+    <pae/>
+  </features>
+
+  <cpu mode='host-passthrough'/>
+
+  <clock offset='utc'/>
+
+  <on_poweroff>destroy</on_poweroff>
+  <on_reboot>restart</on_reboot>
+  <on_crash>destroy</on_crash>
+
+  <devices>
+    <!-- Disque principal basé sur cloud image -->
+    <disk type='file' device='disk'>
+      <driver name='qemu' type='qcow2'/>
+      <source file='/var/lib/distribox/images/os.qcow2'/>
+      <target dev='vda' bus='virtio'/>
+    </disk>
+
+    <channel type='unix'>
+        <source mode='bind'/>
+      <target type='virtio' name='org.qemu.guest_agent.0'/>
+    </channel>
+
+    <!-- Disque seed ISO cloud-init -->
+
+    <disk type='file' device='cdrom'>
+      <driver name='qemu' type='raw'/>
+      <source file='/var/lib/distribox/images/seed.iso'/>
+      <target dev='hdb' bus='ide'/>
+      <readonly/>
+    </disk>
+
+    <!-- Interface réseau NAT -->
+    <interface type='network'>
+      <source network='default'/>
+      <model type='virtio'/>
+    </interface>
+
+    <!-- Console VNC locale -->
+    <graphics type='vnc' port='-1' autoport='yes' listen='127.0.0.1'/>
+
+    <console type='pty'/>
+    <input type='keyboard' bus='ps2'/>
+    <input type='tablet' bus='usb'/>
+  </devices>
+</domain>
diff --git a/test/libvirt-install.sh b/test/libvirt-install.sh
new file mode 100644
index 0000000..da58ed3
--- /dev/null
+++ b/test/libvirt-install.sh
@@ -0,0 +1,16 @@
+sudo groupadd -f distribox
+sudo usermod -aG distribox "$SUDO_USER"
+sudo apt update
+echo "Installing libvirt dependencies..."
+sudo apt install -y qemu-kvm libvirt-daemon-system genisoimage libvirt-clients bridge-utils virtinst pkg-config libvirt-dev python3-dev 
+echo "Enabling libvirt daemon (libvirtd)..."
+sudo systemctl enable --now libvirtd
+sudo mkdir /var/lib/distribox/
+sudo mkdir /var/lib/distribox/images
+sudo mkdir /var/lib/distribox/vms
+
+sudo chown -R root:distribox /var/lib/distribox
+
+sudo chmod 2775 /var/lib/distribox
+sudo chmod 2775 /var/lib/distribox/images
+sudo chmod 2775 /var/lib/distribox/vms