diff --git a/src/app/globals.css b/src/app/globals.css
index c36f85b..5a59bb6 100644
--- a/src/app/globals.css
+++ b/src/app/globals.css
@@ -17,6 +17,24 @@
     --radius: 0.5rem;
   }
 
-  * { @apply border-border; }
-  body { @apply bg-background text-foreground; }
+  .dark {
+    --background: 222.2 84% 4.9%;
+    --foreground: 210 40% 98%;
+    --card: 222.2 84% 7%;
+    --card-foreground: 210 40% 98%;
+    --primary: 142.1 70% 45%;
+    --primary-foreground: 144.9 80.4% 10%;
+    --secondary: 217.2 91.2% 59.8%;
+    --muted: 222.2 47% 11%;
+    --muted-foreground: 215 20.2% 65.1%;
+    --border: 217.2 32.6% 17.5%;
+  }
+
+  * {
+    @apply border-border;
+  }
+
+  body {
+    @apply bg-background text-foreground;
+  }
 }
diff --git a/src/components/providers.tsx b/src/components/providers.tsx
index 9bba174..3db1aff 100644
--- a/src/components/providers.tsx
+++ b/src/components/providers.tsx
@@ -1,20 +1,14 @@
 "use client";
 
 import { QueryClient, QueryClientProvider } from "@tanstack/react-query";
-import { useState } from "react";
+import { ThemeProvider } from "@/components/ui/theme-provider";
 
-export function Providers({ children }: { children: React.ReactNode }) {
-  const [queryClient] = useState(
-    () => new QueryClient({
-      defaultOptions: {
-        queries: { staleTime: 30_000, retry: 2 },
-      },
-    })
-  );
+const queryClient = new QueryClient();
 
+export function Providers({ children }: { children: React.ReactNode }) {
   return (
-    <QueryClientProvider client={queryClient}>
-      {children}
-    </QueryClientProvider>
+    <ThemeProvider attribute="class" defaultTheme="system" enableSystem disableTransitionOnChange>
+      <QueryClientProvider client={queryClient}>{children}</QueryClientProvider>
+    </ThemeProvider>
   );
 }
diff --git a/src/components/ui/sidebar.tsx b/src/components/ui/sidebar.tsx
index bdfc975..dd0b8a1 100644
--- a/src/components/ui/sidebar.tsx
+++ b/src/components/ui/sidebar.tsx
@@ -6,6 +6,7 @@ import {
   LayoutDashboard, Users, CreditCard, Vote, Landmark, BarChart3, Settings,
 } from "lucide-react";
 import { clsx } from "clsx";
+import { ThemeToggle } from "@/components/ui/theme-toggle";
 
 const navItems = [
   { href: "/dashboard",  label: "Dashboard",  icon: LayoutDashboard },
@@ -57,11 +58,14 @@ export function Sidebar() {
         })}
       </nav>
 
-      {/* Stellar indicator */}
-      <div className="px-4 py-3 border-t border-gray-100">
-        <div className="flex items-center gap-2 text-xs text-gray-400">
-          <span className="w-2 h-2 rounded-full bg-green-400 animate-pulse" />
-          <span>Stellar Testnet</span>
+      {/* Stellar indicator + Theme toggle */}
+      <div className="px-4 py-3 border-t border-gray-100 dark:border-gray-800">
+        <div className="flex items-center justify-between text-xs text-gray-400 dark:text-gray-500">
+          <div className="flex items-center gap-2">
+            <span className="w-2 h-2 rounded-full bg-green-400 animate-pulse" />
+            <span>Stellar Testnet</span>
+          </div>
+          <ThemeToggle />
         </div>
       </div>
     </aside>
diff --git a/src/components/ui/theme-provider.tsx b/src/components/ui/theme-provider.tsx
new file mode 100644
index 0000000..c06a57b
--- /dev/null
+++ b/src/components/ui/theme-provider.tsx
@@ -0,0 +1,8 @@
+"use client";
+
+import { ThemeProvider as NextThemesProvider } from "next-themes";
+import type { ThemeProviderProps } from "next-themes/dist/types";
+
+export function ThemeProvider({ children, ...props }: ThemeProviderProps) {
+  return <NextThemesProvider {...props}>{children}</NextThemesProvider>;
+}
diff --git a/src/components/ui/theme-toggle.tsx b/src/components/ui/theme-toggle.tsx
new file mode 100644
index 0000000..04b2fa0
--- /dev/null
+++ b/src/components/ui/theme-toggle.tsx
@@ -0,0 +1,43 @@
+"use client";
+
+import * as React from "react";
+import { Moon, Sun } from "lucide-react";
+import { useTheme } from "next-themes";
+
+export function ThemeToggle() {
+  const { theme, setTheme } = useTheme();
+  const [mounted, setMounted] = React.useState(false);
+
+  React.useEffect(() => {
+    setMounted(true);
+  }, []);
+
+  if (!mounted) {
+    return (
+      <button className="w-8 h-8 flex items-center justify-center rounded-md opacity-0" aria-label="Toggle theme">
+        <Sun className="w-4 h-4" />
+      </button>
+    );
+  }
+
+  const isDark = theme === "dark";
+
+  return (
+    <button
+      onClick={() => setTheme(isDark ? "light" : "dark")}
+      className="w-8 h-8 flex items-center justify-center rounded-md hover:bg-gray-100 dark:hover:bg-gray-800 transition-colors"
+      aria-label="Toggle theme"
+    >
+      <Sun
+        className={`w-4 h-4 transition-all duration-300 ${
+          isDark ? "rotate-90 scale-0 opacity-0" : "rotate-0 scale-100 opacity-100"
+        } absolute`}
+      />
+      <Moon
+        className={`w-4 h-4 transition-all duration-300 ${
+          isDark ? "rotate-0 scale-100 opacity-100" : "-rotate-90 scale-0 opacity-0"
+        } absolute`}
+      />
+    </button>
+  );
+}