diff --git a/.dockerignore b/.dockerignore
new file mode 100644
index 00000000..a9c8231f
--- /dev/null
+++ b/.dockerignore
@@ -0,0 +1,3 @@
+.dockerignore
+Dockerfile
+node_modules
diff --git a/Dockerfile b/Dockerfile
index 90902791..a33734e9 100644
--- a/Dockerfile
+++ b/Dockerfile
@@ -1,6 +1,30 @@
-FROM node:hydrogen-alpine
-WORKDIR /app
+FROM node:21-alpine
+
+# Set labels
+LABEL repo="https://github.com/HeyPuter/puter"
+LABEL license="AGPL-3.0,https://github.com/HeyPuter/puter/blob/master/LICENSE.txt"
+LABEL version="v1.2.40-beta"
+
+# Debugging
+RUN apk add --no-cache bash # useful for debugging
+
+# Setup working directory
+RUN mkdir -p /opt/puter/app
+WORKDIR /opt/puter/app
+
+# Add source files
+# NOTE: This might change (https://github.com/HeyPuter/puter/discussions/32)
 COPY . .
-RUN yarn install
-CMD ["node", "dev-server.js"]
+
+# Set permissions
+RUN chown -R node:node /opt/puter/app
+USER node
+
+# Install node modules
+RUN npm cache clean --force \
+    && npm install
+
 EXPOSE 4000
+
+
+CMD [ "npm", "start" ]