diff --git a/.env.example b/.env.example
index ab0c8055..b6d8b038 100644
--- a/.env.example
+++ b/.env.example
@@ -1,7 +1,5 @@
 APP_NAME=Urban Tree 5.0
 
-ENV=development
-
 #* Database
 
 DB_NAME=urbantree
@@ -12,3 +10,7 @@ DB_ROOT_PASS="J0¿H.MXA;'J6!XE"
 # If you are using docker-compose, you can ignore the following variables
 DB_HOST=database
 DB_PORT=3306
+
+#* Sentry
+SENTRY_DSN_API=https://{PUBLIC_KEY}@{HOST}.ingest.de.sentry.io/{PROJECT_ID}
+SENTRY_DSN_APP=https://{PUBLIC_KEY}@{HOST}.ingest.de.sentry.io/{PROJECT_ID}
diff --git a/.github/workflows/main.yml b/.github/workflows/main.yml
index 4fe15796..0afb2246 100644
--- a/.github/workflows/main.yml
+++ b/.github/workflows/main.yml
@@ -153,6 +153,17 @@ jobs:
           subject-digest: ${{ steps.build-and-push.outputs.digest }}
           push-to-registry: true
 
+      # https://github.com/getsentry/action-release/tree/e769183448303de84c5a06aaaddf9da7be26d6c7
+      - name: 📦 Release to Sentry
+        uses: getsentry/action-release@e769183448303de84c5a06aaaddf9da7be26d6c7
+        if: ${{ github.event_name != 'pull_request' }}
+        env:
+          SENTRY_AUTH_TOKEN: ${{ secrets.SENTRY_AUTH_TOKEN }}
+          SENTRY_ORG: ${{ secrets.SENTRY_ORG }}
+        with:
+          projects: api
+          environment: production
+
   deploy:
     name: 🚀 Deploy to production
     runs-on: ubuntu-latest
diff --git a/api/Dockerfile b/api/Dockerfile
index b7126d6f..e4201ce9 100644
--- a/api/Dockerfile
+++ b/api/Dockerfile
@@ -21,6 +21,7 @@ RUN --mount=type=cache,target=/root/.cache/pip \
     python -m pip install -r requirements-dev.txt
 
 FROM dev-deps AS development
+ENV APP_ENV=development
 ENV PYTHONDONTWRITEBYTECODE=1
 ENV PYTHONUNBUFFERED=1
 WORKDIR /app
@@ -29,10 +30,12 @@ EXPOSE 8000
 CMD ["python3", "-m", "uvicorn", "src.app:app", "--host=0.0.0.0", "--port=8000"]
 
 FROM development AS test
+ENV APP_ENV=test
 WORKDIR /app
 CMD ["pytest", "tests"]
 
 FROM prod-deps AS final
+ENV APP_ENV=production
 # Prevents Python from writing pyc files.
 ENV PYTHONDONTWRITEBYTECODE=1
 # Keeps Python from buffering stdout and stderr to avoid situations where
diff --git a/api/requirements.txt b/api/requirements.txt
index 62185c1b..7e8d1cd8 100644
--- a/api/requirements.txt
+++ b/api/requirements.txt
@@ -5,3 +5,4 @@ pydantic-settings==2.3.4
 uvicorn==0.30.1
 sqlmodel==0.0.19
 databases[mysql]
+sentry-sdk[fastapi]==2.19.0
diff --git a/api/src/app.py b/api/src/app.py
index 7d78bc63..6d92c10a 100644
--- a/api/src/app.py
+++ b/api/src/app.py
@@ -1,9 +1,24 @@
 from fastapi import FastAPI
+import sentry_sdk
 from sqlmodel import Session, SQLModel, create_engine
 from src.config import settings
 from src.services.sensor_service import insert_data
 from src.utils.file_loader import load_sensor_data
 
+sentry_sdk.init(
+    dsn=settings.SENTRY_DSN,
+    environment=settings.APP_ENV,
+    # Set traces_sample_rate to 1.0 to capture 100%
+    # of transactions for tracing.
+    traces_sample_rate=1.0,
+    _experiments={
+        # Set continuous_profiling_auto_start to True
+        # to automatically start the profiler on when
+        # possible.
+        "continuous_profiling_auto_start": True,
+    },
+)
+
 engine = create_engine(str(settings.SQLALCHEMY_DATABASE_URI))
 
 def create_db_and_tables():
diff --git a/api/src/config.py b/api/src/config.py
index 9ffb4b28..e5d62eef 100644
--- a/api/src/config.py
+++ b/api/src/config.py
@@ -1,7 +1,5 @@
+from pydantic_settings import BaseSettings, SettingsConfigDict
 import os
-
-from typing import Any
-
 from pydantic import (
     MariaDBDsn,
     computed_field,
@@ -9,13 +7,14 @@
     model_validator,
 )
 from pydantic_core import MultiHostUrl
-from pydantic_settings import BaseSettings, SettingsConfigDict
-
+from typing import Any
 
 class Settings(BaseSettings):
     if os.path.exists('/run/secrets'):
         model_config = SettingsConfigDict(secrets_dir='/run/secrets')
 
+    APP_ENV: str = "development"
+
     MARIADB_SERVER: str
     MARIADB_PORT: int = 3306
     MARIADB_USER: str
@@ -23,6 +22,8 @@ class Settings(BaseSettings):
     MARIADB_PASSWORD_FILE: str | None = None
     MARIADB_DB: str
 
+    SENTRY_DSN: str
+
     @model_validator(mode="before")
     @classmethod
     def check_mariadb_password(cls, data: Any) -> Any:
@@ -54,4 +55,6 @@ def SQLALCHEMY_DATABASE_URI(self) -> MariaDBDsn:
             path=self.MARIADB_DB,
         )
 
-settings = Settings()
+# instantiate the settings object if APP_ENV is production
+if os.environ.get("APP_ENV") == "production":
+    settings = Settings()
diff --git a/api/tests/test_config.py b/api/tests/test_config.py
new file mode 100644
index 00000000..b25156e8
--- /dev/null
+++ b/api/tests/test_config.py
@@ -0,0 +1,47 @@
+import pytest
+from pydantic import ValidationError
+from src.config import Settings
+
+def test_settings_with_password():
+	settings = Settings(
+		MARIADB_SERVER="localhost",
+		MARIADB_USER="user",
+		MARIADB_PASSWORD="password",
+		MARIADB_DB="test_db",
+		SENTRY_DSN="http://example.com"
+	)
+	assert settings.MARIADB_PASSWORD == "password"
+	assert str(settings.SQLALCHEMY_DATABASE_URI) == "mysql+pymysql://user:password@localhost:3306/test_db"
+
+def test_settings_with_password_file(tmp_path):
+	password_file = tmp_path / "password.txt"
+	password_file.write_text("file_password")
+
+	settings = Settings(
+		MARIADB_SERVER="localhost",
+		MARIADB_USER="user",
+		MARIADB_PASSWORD_FILE=str(password_file),
+		MARIADB_DB="test_db",
+		SENTRY_DSN="http://example.com"
+	)
+	assert settings.MARIADB_PASSWORD_FILE == "file_password"
+	assert str(settings.SQLALCHEMY_DATABASE_URI) == "mysql+pymysql://user:file_password@localhost:3306/test_db"
+
+def test_settings_missing_password():
+	with pytest.raises(ValidationError):
+		Settings(
+			MARIADB_SERVER="localhost",
+			MARIADB_USER="user",
+			MARIADB_DB="test_db",
+			SENTRY_DSN="http://example.com"
+		)
+
+def test_password_file_does_not_exist():
+	with pytest.raises(ValueError, match="Password file /non/existent/path does not exist."):
+		Settings(
+			MARIADB_SERVER="localhost",
+			MARIADB_USER="user",
+			MARIADB_PASSWORD_FILE="/non/existent/path",
+			MARIADB_DB="test_db",
+			SENTRY_DSN="http://example.com"
+		)
diff --git a/compose.yml b/compose.yml
index 71fb991c..11992e56 100644
--- a/compose.yml
+++ b/compose.yml
@@ -79,12 +79,12 @@ services:
       - db_pass
     environment:
       - APP_NAME=${APP_NAME}
-      - APP_ENV=${APP_ENV}
       - MARIADB_SERVER=database
       - MARIADB_PORT=3306
       - MARIADB_DB=${DB_NAME}
       - MARIADB_USER=${DB_USER}
       - MARIADB_PASSWORD_FILE=/run/secrets/db_pass
+      - SENTRY_DSN=${SENTRY_DSN_API}
     develop:
       watch:
         - action: rebuild