diff --git a/Gemfile b/Gemfile
index bc1a5f7..0c4b682 100644
--- a/Gemfile
+++ b/Gemfile
@@ -15,6 +15,7 @@ gem "jwt_authentication", github: "barsoom/jwt_authentication"
 gem "logger" # Ruby 3.5.0 will no longer have this as a part of standard gems. Reason: activesupport 7.1.4
 gem "mail"
 gem "ostruct" # Ruby 3.5.0 will no longer have this as a part of standard gems. Reason: pry 0.14.2
+gem "paper_trail"
 gem "pg"
 gem "puma"
 gem "redis"
diff --git a/Gemfile.lock b/Gemfile.lock
index 91f459a..a5994a0 100644
--- a/Gemfile.lock
+++ b/Gemfile.lock
@@ -182,6 +182,9 @@ GEM
     nokogiri (1.16.7-x86_64-linux)
       racc (~> 1.4)
     ostruct (0.6.0)
+    paper_trail (16.0.0)
+      activerecord (>= 6.1)
+      request_store (~> 1.4)
     parallel (1.26.3)
     parser (3.3.5.0)
       ast (~> 2.4.1)
@@ -244,6 +247,8 @@ GEM
     regexp_parser (2.9.2)
     reline (0.5.10)
       io-console (~> 0.5)
+    request_store (1.7.0)
+      rack (>= 1.4)
     rspec-core (3.13.1)
       rspec-support (~> 3.13.0)
     rspec-expectations (3.13.3)
@@ -330,6 +335,7 @@ DEPENDENCIES
   logger
   mail
   ostruct
+  paper_trail
   pg
   pry
   puma
diff --git a/app/models/cloud_init.rb b/app/models/cloud_init.rb
index b22372a..ad6b310 100644
--- a/app/models/cloud_init.rb
+++ b/app/models/cloud_init.rb
@@ -1,4 +1,6 @@
 class CloudInit < ActiveRecord::Base
+  has_paper_trail
+
   validates :name, :template, presence: true
 
   before_validation :generate_password_salt, on: :create
diff --git a/config/initializers/paper_trail.rb b/config/initializers/paper_trail.rb
new file mode 100644
index 0000000..30038ee
--- /dev/null
+++ b/config/initializers/paper_trail.rb
@@ -0,0 +1 @@
+PaperTrail.serializer = PaperTrail::Serializers::JSON
diff --git a/db/migrate/20241213122306_create_versions.rb b/db/migrate/20241213122306_create_versions.rb
new file mode 100644
index 0000000..ba3f5e4
--- /dev/null
+++ b/db/migrate/20241213122306_create_versions.rb
@@ -0,0 +1,14 @@
+class CreateVersions < ActiveRecord::Migration[7.1]
+  def change
+    create_table :versions do |t|
+      t.string   :whodunnit
+      t.datetime :created_at
+      t.bigint   :item_id,   null: false
+      t.string   :item_type, null: false
+      t.string   :event,     null: false
+      t.json     :object
+      t.json     :object_changes
+    end
+    add_index :versions, %i[item_type item_id]
+  end
+end
diff --git a/db/schema.rb b/db/schema.rb
index 329d38f..ff8634d 100644
--- a/db/schema.rb
+++ b/db/schema.rb
@@ -10,7 +10,7 @@
 #
 # It's strongly recommended that you check this file into your version control system.
 
-ActiveRecord::Schema[7.1].define(version: 2024_12_10_133507) do
+ActiveRecord::Schema[7.1].define(version: 2024_12_13_122306) do
   # These are extensions that must be enabled in order to support this database
   enable_extension "plpgsql"
 
@@ -48,4 +48,15 @@
     t.datetime "updated_at", null: false
   end
 
+  create_table "versions", force: :cascade do |t|
+    t.string "whodunnit"
+    t.datetime "created_at"
+    t.bigint "item_id", null: false
+    t.string "item_type", null: false
+    t.string "event", null: false
+    t.json "object"
+    t.json "object_changes"
+    t.index ["item_type", "item_id"], name: "index_versions_on_item_type_and_item_id"
+  end
+
 end