diff --git a/.github/workflows/ci.yml b/.github/workflows/ci.yml
index ce9903b5..eb4cc791 100644
--- a/.github/workflows/ci.yml
+++ b/.github/workflows/ci.yml
@@ -154,7 +154,35 @@ jobs:
         env:
           RISC0_DEV_MODE: "1"
           RUST_LOG: "info"
-        run: cargo nextest run -p integration_tests -- --skip tps_test
+        run: cargo nextest run -p integration_tests -- --skip tps_test --skip indexer
+
+  integration-tests-indexer:
+    runs-on: ubuntu-latest
+    timeout-minutes: 60
+    steps:
+      - uses: actions/checkout@v5
+        with:
+          ref: ${{ github.head_ref }}
+
+      - uses: ./.github/actions/install-system-deps
+
+      - uses: ./.github/actions/install-risc0
+
+      - uses: ./.github/actions/install-logos-blockchain-circuits
+        with:
+          github-token: ${{ secrets.GITHUB_TOKEN }}
+
+      - name: Install active toolchain
+        run: rustup install
+
+      - name: Install nextest
+        run: cargo install --locked cargo-nextest
+
+      - name: Run tests
+        env:
+          RISC0_DEV_MODE: "1"
+          RUST_LOG: "info"
+        run: cargo nextest run -p integration_tests indexer -- --skip tps_test 
 
   valid-proof-test:
     runs-on: ubuntu-latest
diff --git a/Cargo.lock b/Cargo.lock
index 5543243a..85856c94 100644
--- a/Cargo.lock
+++ b/Cargo.lock
@@ -1212,6 +1212,7 @@ dependencies = [
  "futures",
  "log",
  "logos-blockchain-chain-broadcast-service",
+ "logos-blockchain-chain-service",
  "logos-blockchain-common-http-client",
  "logos-blockchain-core",
  "reqwest",
@@ -1448,9 +1449,9 @@ dependencies = [
 
 [[package]]
 name = "bumpalo"
-version = "3.19.1"
+version = "3.20.1"
 source = "registry+https://github.com/rust-lang/crates.io-index"
-checksum = "5dd9dc738b7a8311c7ade152424974d8115f2cdad61e8dab8dac9f2362298510"
+checksum = "5c6f81257d10a0f602a294ae4182251151ff97dbb504ef9afcdda4a64b24d9b4"
 
 [[package]]
 name = "bytemuck"
@@ -4647,7 +4648,7 @@ checksum = "5e5032e24019045c762d3c0f28f5b6b8bbf38563a65908389bf7978758920897"
 [[package]]
 name = "logos-blockchain-blend-crypto"
 version = "0.1.0"
-source = "git+https://github.com/logos-blockchain/logos-blockchain.git#b862e6f640a79097b8a42c072e1f78bc430fa222"
+source = "git+https://github.com/logos-blockchain/logos-blockchain.git#81192877116cbc3eedf6688b85fab6dd0e448290"
 dependencies = [
  "blake2",
  "logos-blockchain-groth16",
@@ -4661,7 +4662,7 @@ dependencies = [
 [[package]]
 name = "logos-blockchain-blend-message"
 version = "0.1.0"
-source = "git+https://github.com/logos-blockchain/logos-blockchain.git#b862e6f640a79097b8a42c072e1f78bc430fa222"
+source = "git+https://github.com/logos-blockchain/logos-blockchain.git#81192877116cbc3eedf6688b85fab6dd0e448290"
 dependencies = [
  "blake2",
  "derivative",
@@ -4683,7 +4684,7 @@ dependencies = [
 [[package]]
 name = "logos-blockchain-blend-proofs"
 version = "0.1.0"
-source = "git+https://github.com/logos-blockchain/logos-blockchain.git#b862e6f640a79097b8a42c072e1f78bc430fa222"
+source = "git+https://github.com/logos-blockchain/logos-blockchain.git#81192877116cbc3eedf6688b85fab6dd0e448290"
 dependencies = [
  "ed25519-dalek",
  "generic-array 1.3.5",
@@ -4700,7 +4701,7 @@ dependencies = [
 [[package]]
 name = "logos-blockchain-chain-broadcast-service"
 version = "0.1.0"
-source = "git+https://github.com/logos-blockchain/logos-blockchain.git#b862e6f640a79097b8a42c072e1f78bc430fa222"
+source = "git+https://github.com/logos-blockchain/logos-blockchain.git#81192877116cbc3eedf6688b85fab6dd0e448290"
 dependencies = [
  "async-trait",
  "derivative",
@@ -4716,7 +4717,7 @@ dependencies = [
 [[package]]
 name = "logos-blockchain-chain-service"
 version = "0.1.0"
-source = "git+https://github.com/logos-blockchain/logos-blockchain.git#b862e6f640a79097b8a42c072e1f78bc430fa222"
+source = "git+https://github.com/logos-blockchain/logos-blockchain.git#81192877116cbc3eedf6688b85fab6dd0e448290"
 dependencies = [
  "async-trait",
  "bytes",
@@ -4746,7 +4747,7 @@ dependencies = [
 [[package]]
 name = "logos-blockchain-circuits-prover"
 version = "0.1.0"
-source = "git+https://github.com/logos-blockchain/logos-blockchain.git#b862e6f640a79097b8a42c072e1f78bc430fa222"
+source = "git+https://github.com/logos-blockchain/logos-blockchain.git#81192877116cbc3eedf6688b85fab6dd0e448290"
 dependencies = [
  "logos-blockchain-circuits-utils",
  "tempfile",
@@ -4755,7 +4756,7 @@ dependencies = [
 [[package]]
 name = "logos-blockchain-circuits-utils"
 version = "0.1.0"
-source = "git+https://github.com/logos-blockchain/logos-blockchain.git#b862e6f640a79097b8a42c072e1f78bc430fa222"
+source = "git+https://github.com/logos-blockchain/logos-blockchain.git#81192877116cbc3eedf6688b85fab6dd0e448290"
 dependencies = [
  "dirs",
 ]
@@ -4763,7 +4764,7 @@ dependencies = [
 [[package]]
 name = "logos-blockchain-common-http-client"
 version = "0.1.0"
-source = "git+https://github.com/logos-blockchain/logos-blockchain.git#b862e6f640a79097b8a42c072e1f78bc430fa222"
+source = "git+https://github.com/logos-blockchain/logos-blockchain.git#81192877116cbc3eedf6688b85fab6dd0e448290"
 dependencies = [
  "futures",
  "hex",
@@ -4783,7 +4784,7 @@ dependencies = [
 [[package]]
 name = "logos-blockchain-core"
 version = "0.1.0"
-source = "git+https://github.com/logos-blockchain/logos-blockchain.git#b862e6f640a79097b8a42c072e1f78bc430fa222"
+source = "git+https://github.com/logos-blockchain/logos-blockchain.git#81192877116cbc3eedf6688b85fab6dd0e448290"
 dependencies = [
  "ark-ff 0.4.2",
  "bincode",
@@ -4813,7 +4814,7 @@ dependencies = [
 [[package]]
 name = "logos-blockchain-cryptarchia-engine"
 version = "0.1.0"
-source = "git+https://github.com/logos-blockchain/logos-blockchain.git#b862e6f640a79097b8a42c072e1f78bc430fa222"
+source = "git+https://github.com/logos-blockchain/logos-blockchain.git#81192877116cbc3eedf6688b85fab6dd0e448290"
 dependencies = [
  "cfg_eval",
  "logos-blockchain-pol",
@@ -4829,7 +4830,7 @@ dependencies = [
 [[package]]
 name = "logos-blockchain-cryptarchia-sync"
 version = "0.1.0"
-source = "git+https://github.com/logos-blockchain/logos-blockchain.git#b862e6f640a79097b8a42c072e1f78bc430fa222"
+source = "git+https://github.com/logos-blockchain/logos-blockchain.git#81192877116cbc3eedf6688b85fab6dd0e448290"
 dependencies = [
  "bytes",
  "futures",
@@ -4846,7 +4847,7 @@ dependencies = [
 [[package]]
 name = "logos-blockchain-groth16"
 version = "0.1.0"
-source = "git+https://github.com/logos-blockchain/logos-blockchain.git#b862e6f640a79097b8a42c072e1f78bc430fa222"
+source = "git+https://github.com/logos-blockchain/logos-blockchain.git#81192877116cbc3eedf6688b85fab6dd0e448290"
 dependencies = [
  "ark-bn254 0.4.0",
  "ark-ec 0.4.2",
@@ -4864,7 +4865,7 @@ dependencies = [
 [[package]]
 name = "logos-blockchain-http-api-common"
 version = "0.1.0"
-source = "git+https://github.com/logos-blockchain/logos-blockchain.git#b862e6f640a79097b8a42c072e1f78bc430fa222"
+source = "git+https://github.com/logos-blockchain/logos-blockchain.git#81192877116cbc3eedf6688b85fab6dd0e448290"
 dependencies = [
  "axum 0.7.9",
  "logos-blockchain-core",
@@ -4878,7 +4879,7 @@ dependencies = [
 [[package]]
 name = "logos-blockchain-key-management-system-keys"
 version = "0.1.0"
-source = "git+https://github.com/logos-blockchain/logos-blockchain.git#b862e6f640a79097b8a42c072e1f78bc430fa222"
+source = "git+https://github.com/logos-blockchain/logos-blockchain.git#81192877116cbc3eedf6688b85fab6dd0e448290"
 dependencies = [
  "async-trait",
  "bytes",
@@ -4904,7 +4905,7 @@ dependencies = [
 [[package]]
 name = "logos-blockchain-key-management-system-macros"
 version = "0.1.0"
-source = "git+https://github.com/logos-blockchain/logos-blockchain.git#b862e6f640a79097b8a42c072e1f78bc430fa222"
+source = "git+https://github.com/logos-blockchain/logos-blockchain.git#81192877116cbc3eedf6688b85fab6dd0e448290"
 dependencies = [
  "proc-macro2",
  "quote",
@@ -4914,7 +4915,7 @@ dependencies = [
 [[package]]
 name = "logos-blockchain-key-management-system-operators"
 version = "0.1.0"
-source = "git+https://github.com/logos-blockchain/logos-blockchain.git#b862e6f640a79097b8a42c072e1f78bc430fa222"
+source = "git+https://github.com/logos-blockchain/logos-blockchain.git#81192877116cbc3eedf6688b85fab6dd0e448290"
 dependencies = [
  "async-trait",
  "logos-blockchain-blend-proofs",
@@ -4930,7 +4931,7 @@ dependencies = [
 [[package]]
 name = "logos-blockchain-key-management-system-service"
 version = "0.1.0"
-source = "git+https://github.com/logos-blockchain/logos-blockchain.git#b862e6f640a79097b8a42c072e1f78bc430fa222"
+source = "git+https://github.com/logos-blockchain/logos-blockchain.git#81192877116cbc3eedf6688b85fab6dd0e448290"
 dependencies = [
  "async-trait",
  "log",
@@ -4946,7 +4947,7 @@ dependencies = [
 [[package]]
 name = "logos-blockchain-ledger"
 version = "0.1.0"
-source = "git+https://github.com/logos-blockchain/logos-blockchain.git#b862e6f640a79097b8a42c072e1f78bc430fa222"
+source = "git+https://github.com/logos-blockchain/logos-blockchain.git#81192877116cbc3eedf6688b85fab6dd0e448290"
 dependencies = [
  "derivative",
  "logos-blockchain-blend-crypto",
@@ -4970,7 +4971,7 @@ dependencies = [
 [[package]]
 name = "logos-blockchain-network-service"
 version = "0.1.0"
-source = "git+https://github.com/logos-blockchain/logos-blockchain.git#b862e6f640a79097b8a42c072e1f78bc430fa222"
+source = "git+https://github.com/logos-blockchain/logos-blockchain.git#81192877116cbc3eedf6688b85fab6dd0e448290"
 dependencies = [
  "async-trait",
  "futures",
@@ -4986,7 +4987,7 @@ dependencies = [
 [[package]]
 name = "logos-blockchain-poc"
 version = "0.1.0"
-source = "git+https://github.com/logos-blockchain/logos-blockchain.git#b862e6f640a79097b8a42c072e1f78bc430fa222"
+source = "git+https://github.com/logos-blockchain/logos-blockchain.git#81192877116cbc3eedf6688b85fab6dd0e448290"
 dependencies = [
  "logos-blockchain-circuits-prover",
  "logos-blockchain-circuits-utils",
@@ -5002,7 +5003,7 @@ dependencies = [
 [[package]]
 name = "logos-blockchain-pol"
 version = "0.1.0"
-source = "git+https://github.com/logos-blockchain/logos-blockchain.git#b862e6f640a79097b8a42c072e1f78bc430fa222"
+source = "git+https://github.com/logos-blockchain/logos-blockchain.git#81192877116cbc3eedf6688b85fab6dd0e448290"
 dependencies = [
  "astro-float",
  "logos-blockchain-circuits-prover",
@@ -5021,7 +5022,7 @@ dependencies = [
 [[package]]
 name = "logos-blockchain-poq"
 version = "0.1.0"
-source = "git+https://github.com/logos-blockchain/logos-blockchain.git#b862e6f640a79097b8a42c072e1f78bc430fa222"
+source = "git+https://github.com/logos-blockchain/logos-blockchain.git#81192877116cbc3eedf6688b85fab6dd0e448290"
 dependencies = [
  "logos-blockchain-circuits-prover",
  "logos-blockchain-circuits-utils",
@@ -5038,7 +5039,7 @@ dependencies = [
 [[package]]
 name = "logos-blockchain-poseidon2"
 version = "0.1.0"
-source = "git+https://github.com/logos-blockchain/logos-blockchain.git#b862e6f640a79097b8a42c072e1f78bc430fa222"
+source = "git+https://github.com/logos-blockchain/logos-blockchain.git#81192877116cbc3eedf6688b85fab6dd0e448290"
 dependencies = [
  "ark-bn254 0.4.0",
  "ark-ff 0.4.2",
@@ -5049,7 +5050,7 @@ dependencies = [
 [[package]]
 name = "logos-blockchain-services-utils"
 version = "0.1.0"
-source = "git+https://github.com/logos-blockchain/logos-blockchain.git#b862e6f640a79097b8a42c072e1f78bc430fa222"
+source = "git+https://github.com/logos-blockchain/logos-blockchain.git#81192877116cbc3eedf6688b85fab6dd0e448290"
 dependencies = [
  "async-trait",
  "futures",
@@ -5064,7 +5065,7 @@ dependencies = [
 [[package]]
 name = "logos-blockchain-storage-service"
 version = "0.1.0"
-source = "git+https://github.com/logos-blockchain/logos-blockchain.git#b862e6f640a79097b8a42c072e1f78bc430fa222"
+source = "git+https://github.com/logos-blockchain/logos-blockchain.git#81192877116cbc3eedf6688b85fab6dd0e448290"
 dependencies = [
  "async-trait",
  "bytes",
@@ -5081,7 +5082,7 @@ dependencies = [
 [[package]]
 name = "logos-blockchain-time-service"
 version = "0.1.0"
-source = "git+https://github.com/logos-blockchain/logos-blockchain.git#b862e6f640a79097b8a42c072e1f78bc430fa222"
+source = "git+https://github.com/logos-blockchain/logos-blockchain.git#81192877116cbc3eedf6688b85fab6dd0e448290"
 dependencies = [
  "async-trait",
  "futures",
@@ -5099,7 +5100,7 @@ dependencies = [
 [[package]]
 name = "logos-blockchain-utils"
 version = "0.1.0"
-source = "git+https://github.com/logos-blockchain/logos-blockchain.git#b862e6f640a79097b8a42c072e1f78bc430fa222"
+source = "git+https://github.com/logos-blockchain/logos-blockchain.git#81192877116cbc3eedf6688b85fab6dd0e448290"
 dependencies = [
  "async-trait",
  "blake2",
@@ -5116,7 +5117,7 @@ dependencies = [
 [[package]]
 name = "logos-blockchain-utxotree"
 version = "0.1.0"
-source = "git+https://github.com/logos-blockchain/logos-blockchain.git#b862e6f640a79097b8a42c072e1f78bc430fa222"
+source = "git+https://github.com/logos-blockchain/logos-blockchain.git#81192877116cbc3eedf6688b85fab6dd0e448290"
 dependencies = [
  "ark-ff 0.4.2",
  "logos-blockchain-groth16",
@@ -5130,7 +5131,7 @@ dependencies = [
 [[package]]
 name = "logos-blockchain-witness-generator"
 version = "0.1.0"
-source = "git+https://github.com/logos-blockchain/logos-blockchain.git#b862e6f640a79097b8a42c072e1f78bc430fa222"
+source = "git+https://github.com/logos-blockchain/logos-blockchain.git#81192877116cbc3eedf6688b85fab6dd0e448290"
 dependencies = [
  "tempfile",
 ]
@@ -5138,7 +5139,7 @@ dependencies = [
 [[package]]
 name = "logos-blockchain-zksign"
 version = "0.1.0"
-source = "git+https://github.com/logos-blockchain/logos-blockchain.git#b862e6f640a79097b8a42c072e1f78bc430fa222"
+source = "git+https://github.com/logos-blockchain/logos-blockchain.git#81192877116cbc3eedf6688b85fab6dd0e448290"
 dependencies = [
  "logos-blockchain-circuits-prover",
  "logos-blockchain-circuits-utils",
@@ -5450,9 +5451,9 @@ dependencies = [
 
 [[package]]
 name = "native-tls"
-version = "0.2.16"
+version = "0.2.18"
 source = "registry+https://github.com/rust-lang/crates.io-index"
-checksum = "9d5d26952a508f321b4d3d2e80e78fc2603eaefcdf0c30783867f19586518bdc"
+checksum = "465500e14ea162429d264d44189adc38b199b62b1c21eea9f69e4b73cb03bbf2"
 dependencies = [
  "libc",
  "log",
diff --git a/Cargo.toml b/Cargo.toml
index 5f2a7033..520844b6 100644
--- a/Cargo.toml
+++ b/Cargo.toml
@@ -113,6 +113,7 @@ logos-blockchain-common-http-client = { git = "https://github.com/logos-blockcha
 logos-blockchain-key-management-system-service = { git = "https://github.com/logos-blockchain/logos-blockchain.git" }
 logos-blockchain-core = { git = "https://github.com/logos-blockchain/logos-blockchain.git" }
 logos-blockchain-chain-broadcast-service = { git = "https://github.com/logos-blockchain/logos-blockchain.git" }
+logos-blockchain-chain-service = { git = "https://github.com/logos-blockchain/logos-blockchain.git" }
 
 rocksdb = { version = "0.24.0", default-features = false, features = [
   "snappy",
diff --git a/README.md b/README.md
index 4f9fa7ca..b94a68d4 100644
--- a/README.md
+++ b/README.md
@@ -157,7 +157,7 @@ The sequencer and logos blockchain node can be run locally:
 ### Notes on cleanup
 
 After stopping services above you need to remove 3 folders to start cleanly:
- 1. In the `logos-blockchain/logos-blockchain` folder `db` (not needed in case of docker setup)
+ 1. In the `logos-blockchain/logos-blockchain` folder `state` (not needed in case of docker setup)
  2. In the `lssa` folder `sequencer_runner/rocksdb`
  3. In the `lssa` file `sequencer_runner/bedrock_signing_key`
  4. In the `lssa` folder `indexer/service/rocksdb`
diff --git a/bedrock_client/Cargo.toml b/bedrock_client/Cargo.toml
index bd275d8b..6f8b8a74 100644
--- a/bedrock_client/Cargo.toml
+++ b/bedrock_client/Cargo.toml
@@ -16,3 +16,4 @@ serde.workspace = true
 logos-blockchain-common-http-client.workspace = true
 logos-blockchain-core.workspace = true
 logos-blockchain-chain-broadcast-service.workspace = true
+logos-blockchain-chain-service.workspace = true
diff --git a/bedrock_client/src/lib.rs b/bedrock_client/src/lib.rs
index 7655a31c..7aae7783 100644
--- a/bedrock_client/src/lib.rs
+++ b/bedrock_client/src/lib.rs
@@ -5,6 +5,7 @@ use common::config::BasicAuth;
 use futures::{Stream, TryFutureExt};
 use log::{info, warn};
 pub use logos_blockchain_chain_broadcast_service::BlockInfo;
+use logos_blockchain_chain_service::CryptarchiaInfo;
 pub use logos_blockchain_common_http_client::{CommonHttpClient, Error};
 pub use logos_blockchain_core::{block::Block, header::HeaderId, mantle::SignedMantleTx};
 use reqwest::{Client, Url};
@@ -82,6 +83,15 @@ impl BedrockClient {
         .await
     }
 
+    pub async fn get_consensus_info(&self) -> Result<CryptarchiaInfo, Error> {
+        Retry::spawn(self.backoff_strategy(), || {
+            self.http_client
+                .consensus_info(self.node_url.clone())
+                .inspect_err(|err| warn!("Block fetching failed with error: {err:#}"))
+        })
+        .await
+    }
+
     fn backoff_strategy(&self) -> impl Iterator<Item = Duration> {
         tokio_retry::strategy::FibonacciBackoff::from_millis(self.backoff.start_delay_millis)
             .take(self.backoff.max_retries)
diff --git a/indexer/core/src/block_store.rs b/indexer/core/src/block_store.rs
index 496d0bf3..fc7641a1 100644
--- a/indexer/core/src/block_store.rs
+++ b/indexer/core/src/block_store.rs
@@ -1,6 +1,7 @@
 use std::{path::Path, sync::Arc};
 
 use anyhow::Result;
+use bedrock_client::HeaderId;
 use common::{block::Block, transaction::NSSATransaction};
 use nssa::{Account, AccountId, V02State};
 use storage::indexer::RocksDBIO;
@@ -31,6 +32,13 @@ impl IndexerStore {
         Self::open_db_with_genesis(location, None)
     }
 
+    pub fn last_observed_l1_lib_header(&self) -> Result<Option<HeaderId>> {
+        Ok(self
+            .dbio
+            .get_meta_last_observed_l1_lib_header_in_db()?
+            .map(HeaderId::from))
+    }
+
     pub fn get_last_block_id(&self) -> Result<u64> {
         Ok(self.dbio.get_meta_last_block_in_db()?)
     }
@@ -92,7 +100,7 @@ impl IndexerStore {
         Ok(self.final_state()?.get_account_by_id(*account_id))
     }
 
-    pub fn put_block(&self, block: Block) -> Result<()> {
+    pub fn put_block(&self, block: Block, l1_header: HeaderId) -> Result<()> {
         let mut final_state = self.dbio.final_state()?;
 
         for transaction in &block.body.transactions {
@@ -102,6 +110,6 @@ impl IndexerStore {
                 .execute_check_on_state(&mut final_state)?;
         }
 
-        Ok(self.dbio.put_block(block)?)
+        Ok(self.dbio.put_block(block, l1_header.into())?)
     }
 }
diff --git a/indexer/core/src/config.rs b/indexer/core/src/config.rs
index 968678e5..e3cd4d04 100644
--- a/indexer/core/src/config.rs
+++ b/indexer/core/src/config.rs
@@ -32,12 +32,8 @@ pub struct IndexerConfig {
     /// List of initial commitments
     pub initial_commitments: Vec<CommitmentsInitialData>,
     /// Sequencers signing key
-    ///
-    /// ToDo: Remove it after introducing bedrock block parsing.
-    /// Currently can not be removed, because indexer must start
-    /// chain BEFORE sequencer.
     pub signing_key: [u8; 32],
-    pub resubscribe_interval_millis: u64,
+    pub consensus_info_polling_interval_millis: u64,
     pub bedrock_client_config: ClientConfig,
     pub channel_id: ChannelId,
 }
diff --git a/indexer/core/src/lib.rs b/indexer/core/src/lib.rs
index 0497e68a..1e2986a3 100644
--- a/indexer/core/src/lib.rs
+++ b/indexer/core/src/lib.rs
@@ -1,10 +1,11 @@
+use std::collections::VecDeque;
+
 use anyhow::Result;
-use bedrock_client::BedrockClient;
+use bedrock_client::{BedrockClient, HeaderId};
 use common::block::{Block, HashableBlockData};
 // ToDo: Remove after testnet
 use common::{HashType, PINATA_BASE58};
-use futures::StreamExt;
-use log::info;
+use log::{debug, error, info};
 use logos_blockchain_core::mantle::{
     Op, SignedMantleTx,
     ops::channel::{ChannelId, inscribe::InscriptionOp},
@@ -23,9 +24,22 @@ pub struct IndexerCore {
     pub store: IndexerStore,
 }
 
+#[derive(Clone)]
+/// This struct represents one L1 block data fetched from backfilling
+pub struct BackfillBlockData {
+    l2_blocks: Vec<Block>,
+    l1_header: HeaderId,
+}
+
+#[derive(Clone)]
+/// This struct represents data fetched fom backfilling in one iteration
+pub struct BackfillData {
+    block_data: VecDeque<BackfillBlockData>,
+    curr_fin_l1_lib_header: HeaderId,
+}
+
 impl IndexerCore {
     pub fn new(config: IndexerConfig) -> Result<Self> {
-        // ToDo: replace with correct startup
         let hashable_data = HashableBlockData {
             block_id: 1,
             transactions: vec![],
@@ -33,10 +47,20 @@ impl IndexerCore {
             timestamp: 0,
         };
 
+        // Genesis creation is fine as it is,
+        // because it will be overwritten by sequencer.
+        // Therefore:
+        // ToDo: remove key from indexer config, use some default.
         let signing_key = nssa::PrivateKey::try_new(config.signing_key).unwrap();
         let channel_genesis_msg_id = [0; 32];
         let start_block = hashable_data.into_pending_block(&signing_key, channel_genesis_msg_id);
 
+        // This is a troubling moment, because changes in key protocol can
+        // affect this. And indexer can not reliably ask this data from sequencer
+        // because indexer must be independent from it.
+        // ToDo: move initial state generation into common and use the same method
+        // for indexer and sequencer. This way both services buit at same version
+        // could be in sync.
         let initial_commitments: Vec<nssa_core::Commitment> = config
             .initial_commitments
             .iter()
@@ -71,71 +95,250 @@ impl IndexerCore {
                 config.bedrock_client_config.auth.clone(),
             )?,
             config,
-            // ToDo: Implement restarts
             store: IndexerStore::open_db_with_genesis(&home, Some((start_block, state)))?,
         })
     }
 
     pub async fn subscribe_parse_block_stream(&self) -> impl futures::Stream<Item = Result<Block>> {
         async_stream::stream! {
-        loop {
-            let mut stream_pinned = Box::pin(self.bedrock_client.get_lib_stream().await?);
+            info!("Searching for initial header");
 
-            info!("Block stream joined");
+            let last_l1_lib_header = self.store.last_observed_l1_lib_header()?;
 
-            while let Some(block_info) = stream_pinned.next().await {
-                let header_id = block_info.header_id;
+            let mut prev_last_l1_lib_header = match last_l1_lib_header {
+                Some(last_l1_lib_header) => {
+                    info!("Last l1 lib header found: {last_l1_lib_header}");
+                    last_l1_lib_header
+                },
+                None => {
+                    info!("Last l1 lib header not found in DB");
+                    info!("Searching for the start of a channel");
 
-                info!("Observed L1 block at height {}", block_info.height);
+                    let BackfillData {
+                        block_data: start_buff,
+                        curr_fin_l1_lib_header: last_l1_lib_header,
+                    } = self.search_for_channel_start().await?;
 
-                if let Some(l1_block) = self
-                    .bedrock_client
-                    .get_block_by_id(header_id)
-                    .await?
-                {
-                    info!("Extracted L1 block at height {}", block_info.height);
+                    for BackfillBlockData {
+                        l2_blocks: l2_block_vec,
+                        l1_header,
+                    } in start_buff {
+                        for l2_block in l2_block_vec {
+                            self.store.put_block(l2_block.clone(), l1_header)?;
 
-                    let l2_blocks_parsed = parse_blocks(
-                        l1_block.into_transactions().into_iter(),
-                        &self.config.channel_id,
-                    ).collect::<Vec<_>>();
+                            yield Ok(l2_block);
+                        }
+                    }
 
-                    let mut l2_blocks_parsed_ids: Vec<_> = l2_blocks_parsed.iter().map(|block| block.header.block_id).collect();
-                    l2_blocks_parsed_ids.sort();
-                    info!("Parsed {} L2 blocks with ids {:?}", l2_blocks_parsed.len(), l2_blocks_parsed_ids);
+                    last_l1_lib_header
+                },
+            };
 
-                    for l2_block in l2_blocks_parsed {
-                        self.store.put_block(l2_block.clone())?;
+            info!("Searching for initial header finished");
+
+            info!("Starting backfilling from {prev_last_l1_lib_header}");
+
+            loop {
+                let BackfillData {
+                    block_data: buff,
+                    curr_fin_l1_lib_header,
+                } = self
+                    .backfill_to_last_l1_lib_header_id(prev_last_l1_lib_header, &self.config.channel_id)
+                    .await
+                    .inspect_err(|err| error!("Failed to backfill to last l1 lib header id with err {err:#?}"))?;
+
+                prev_last_l1_lib_header = curr_fin_l1_lib_header;
+
+                for BackfillBlockData {
+                    l2_blocks: l2_block_vec,
+                    l1_header: header,
+                } in buff {
+                    for l2_block in l2_block_vec {
+                        self.store.put_block(l2_block.clone(), header)?;
 
                         yield Ok(l2_block);
                     }
                 }
             }
+        }
+    }
 
-            // Refetch stream after delay
-            tokio::time::sleep(std::time::Duration::from_millis(
-                self.config.resubscribe_interval_millis,
-            ))
-            .await;
+    async fn get_lib(&self) -> Result<HeaderId> {
+        Ok(self.bedrock_client.get_consensus_info().await?.lib)
+    }
+
+    async fn get_next_lib(&self, prev_lib: HeaderId) -> Result<HeaderId> {
+        loop {
+            let next_lib = self.get_lib().await?;
+            if next_lib != prev_lib {
+                break Ok(next_lib);
+            } else {
+                info!(
+                    "Wait {}ms to not spam the node",
+                    self.config.consensus_info_polling_interval_millis
+                );
+                tokio::time::sleep(std::time::Duration::from_millis(
+                    self.config.consensus_info_polling_interval_millis,
+                ))
+                .await;
+            }
         }
+    }
+
+    /// WARNING: depending on channel state,
+    /// may take indefinite amount of time
+    pub async fn search_for_channel_start(&self) -> Result<BackfillData> {
+        let mut curr_last_l1_lib_header = self.get_lib().await?;
+        let mut backfill_start = curr_last_l1_lib_header;
+        // ToDo: How to get root?
+        let mut backfill_limit = HeaderId::from([0; 32]);
+        // ToDo: Not scalable, initial buffer should be stored in DB to not run out of memory
+        // Don't want to complicate DB even more right now.
+        let mut block_buffer = VecDeque::new();
+
+        'outer: loop {
+            let mut cycle_header = curr_last_l1_lib_header;
+
+            loop {
+                let cycle_block =
+                    if let Some(block) = self.bedrock_client.get_block_by_id(cycle_header).await? {
+                        block
+                    } else {
+                        // First run can reach root easily
+                        // so here we are optimistic about L1
+                        // failing to get parent.
+                        break;
+                    };
+
+                // It would be better to have id, but block does not have it, so slot will do.
+                info!(
+                    "INITIAL SEARCH: Observed L1 block at slot {}",
+                    cycle_block.header().slot().into_inner()
+                );
+                debug!(
+                    "INITIAL SEARCH: This block header is {}",
+                    cycle_block.header().id()
+                );
+                debug!(
+                    "INITIAL SEARCH: This block parent is {}",
+                    cycle_block.header().parent()
+                );
+
+                let (l2_block_vec, l1_header) =
+                    parse_block_owned(&cycle_block, &self.config.channel_id);
+
+                info!("Parsed {} L2 blocks", l2_block_vec.len());
+
+                if !l2_block_vec.is_empty() {
+                    block_buffer.push_front(BackfillBlockData {
+                        l2_blocks: l2_block_vec.clone(),
+                        l1_header,
+                    });
+                }
+
+                if let Some(first_l2_block) = l2_block_vec.first()
+                    && first_l2_block.header.block_id == 1
+                {
+                    info!("INITIAL_SEARCH: Found channel start");
+                    break 'outer;
+                }
+
+                // Step back to parent
+                let parent = cycle_block.header().parent();
+
+                if parent == backfill_limit {
+                    break;
+                }
+
+                cycle_header = parent;
+            }
+
+            info!("INITIAL_SEARCH: Reached backfill limit, refetching last l1 lib header");
+
+            block_buffer.clear();
+            backfill_limit = backfill_start;
+            curr_last_l1_lib_header = self.get_next_lib(curr_last_l1_lib_header).await?;
+            backfill_start = curr_last_l1_lib_header;
         }
+
+        Ok(BackfillData {
+            block_data: block_buffer,
+            curr_fin_l1_lib_header: backfill_limit,
+        })
+    }
+
+    pub async fn backfill_to_last_l1_lib_header_id(
+        &self,
+        last_fin_l1_lib_header: HeaderId,
+        channel_id: &ChannelId,
+    ) -> Result<BackfillData> {
+        let curr_fin_l1_lib_header = self.get_next_lib(last_fin_l1_lib_header).await?;
+        // ToDo: Not scalable, buffer should be stored in DB to not run out of memory
+        // Don't want to complicate DB even more right now.
+        let mut block_buffer = VecDeque::new();
+
+        let mut cycle_header = curr_fin_l1_lib_header;
+        loop {
+            let Some(cycle_block) = self.bedrock_client.get_block_by_id(cycle_header).await? else {
+                return Err(anyhow::anyhow!("Parent not found"));
+            };
+
+            if cycle_block.header().id() == last_fin_l1_lib_header {
+                break;
+            } else {
+                // Step back to parent
+                cycle_header = cycle_block.header().parent();
+            }
+
+            // It would be better to have id, but block does not have it, so slot will do.
+            info!(
+                "Observed L1 block at slot {}",
+                cycle_block.header().slot().into_inner()
+            );
+
+            let (l2_block_vec, l1_header) = parse_block_owned(&cycle_block, channel_id);
+
+            info!("Parsed {} L2 blocks", l2_block_vec.len());
+
+            if !l2_block_vec.is_empty() {
+                block_buffer.push_front(BackfillBlockData {
+                    l2_blocks: l2_block_vec,
+                    l1_header,
+                });
+            }
+        }
+
+        Ok(BackfillData {
+            block_data: block_buffer,
+            curr_fin_l1_lib_header,
+        })
     }
 }
 
-fn parse_blocks(
-    block_txs: impl Iterator<Item = SignedMantleTx>,
+fn parse_block_owned(
+    l1_block: &bedrock_client::Block<SignedMantleTx>,
     decoded_channel_id: &ChannelId,
-) -> impl Iterator<Item = Block> {
-    block_txs.flat_map(|tx| {
-        tx.mantle_tx.ops.into_iter().filter_map(|op| match op {
-            Op::ChannelInscribe(InscriptionOp {
-                channel_id,
-                inscription,
-                ..
-            }) if channel_id == *decoded_channel_id => {
-                borsh::from_slice::<Block>(&inscription).ok()
-            }
-            _ => None,
-        })
-    })
+) -> (Vec<Block>, HeaderId) {
+    (
+        l1_block
+            .transactions()
+            .flat_map(|tx| {
+                tx.mantle_tx.ops.iter().filter_map(|op| match op {
+                    Op::ChannelInscribe(InscriptionOp {
+                        channel_id,
+                        inscription,
+                        ..
+                    }) if channel_id == decoded_channel_id => {
+                        borsh::from_slice::<Block>(inscription)
+                            .inspect_err(|err| {
+                                error!("Failed to deserialize our inscription with err: {err:#?}")
+                            })
+                            .ok()
+                    }
+                    _ => None,
+                })
+            })
+            .collect(),
+        l1_block.header().id(),
+    )
 }
diff --git a/indexer/service/configs/indexer_config.json b/indexer/service/configs/indexer_config.json
index 97461b8b..e748d96a 100644
--- a/indexer/service/configs/indexer_config.json
+++ b/indexer/service/configs/indexer_config.json
@@ -1,6 +1,6 @@
 {
     "home": "./indexer/service",
-    "resubscribe_interval_millis": 1000,
+    "consensus_info_polling_interval_millis": 10000,
     "bedrock_client_config": {
         "addr": "http://localhost:8080",
         "backoff": {
diff --git a/integration_tests/src/config.rs b/integration_tests/src/config.rs
index 62e34860..445929dd 100644
--- a/integration_tests/src/config.rs
+++ b/integration_tests/src/config.rs
@@ -19,7 +19,7 @@ pub fn indexer_config(
 ) -> Result<IndexerConfig> {
     Ok(IndexerConfig {
         home,
-        resubscribe_interval_millis: 1000,
+        consensus_info_polling_interval_millis: 10000,
         bedrock_client_config: ClientConfig {
             addr: addr_to_url(UrlProtocol::Http, bedrock_addr)
                 .context("Failed to convert bedrock addr to URL")?,
@@ -74,7 +74,7 @@ pub fn sequencer_config(
         max_num_tx_in_block,
         mempool_max_size,
         block_create_timeout_millis,
-        retry_pending_blocks_timeout_millis: 240_000,
+        retry_pending_blocks_timeout_millis: 120_000,
         port: 0,
         initial_accounts: initial_data.sequencer_initial_accounts(),
         initial_commitments: initial_data.sequencer_initial_commitments(),
diff --git a/integration_tests/tests/indexer.rs b/integration_tests/tests/indexer.rs
index d0bb80cf..d5207a41 100644
--- a/integration_tests/tests/indexer.rs
+++ b/integration_tests/tests/indexer.rs
@@ -12,10 +12,9 @@ use tokio::test;
 use wallet::cli::{Command, programs::native_token_transfer::AuthTransferSubcommand};
 
 /// Timeout in milliseconds to reliably await for block finalization
-const L2_TO_L1_TIMEOUT_MILLIS: u64 = 300000;
+const L2_TO_L1_TIMEOUT_MILLIS: u64 = 600000;
 
 #[test]
-#[ignore = "Not reliable with current bedrock node"]
 async fn indexer_test_run() -> Result<()> {
     let ctx = TestContext::new().await?;
 
@@ -45,7 +44,6 @@ async fn indexer_test_run() -> Result<()> {
 }
 
 #[test]
-#[ignore = "Not reliable with current bedrock node"]
 async fn indexer_block_batching() -> Result<()> {
     let ctx = TestContext::new().await?;
 
@@ -81,7 +79,6 @@ async fn indexer_block_batching() -> Result<()> {
 }
 
 #[test]
-#[ignore = "Not reliable with current bedrock node"]
 async fn indexer_state_consistency() -> Result<()> {
     let mut ctx = TestContext::new().await?;
 
diff --git a/storage/src/indexer.rs b/storage/src/indexer.rs
index e5e23455..94a1a1a0 100644
--- a/storage/src/indexer.rs
+++ b/storage/src/indexer.rs
@@ -24,6 +24,9 @@ pub const CACHE_SIZE: usize = 1000;
 pub const DB_META_FIRST_BLOCK_IN_DB_KEY: &str = "first_block_in_db";
 /// Key base for storing metainformation about id of last current block in db
 pub const DB_META_LAST_BLOCK_IN_DB_KEY: &str = "last_block_in_db";
+/// Key base for storing metainformation about id of last observed L1 lib header in db
+pub const DB_META_LAST_OBSERVED_L1_LIB_HEADER_ID_IN_DB_KEY: &str =
+    "last_observed_l1_lib_header_in_db";
 /// Key base for storing metainformation which describe if first block has been set
 pub const DB_META_FIRST_BLOCK_SET_KEY: &str = "first_block_set";
 /// Key base for storing metainformation about the last breakpoint
@@ -214,6 +217,37 @@ impl RocksDBIO {
         }
     }
 
+    pub fn get_meta_last_observed_l1_lib_header_in_db(&self) -> DbResult<Option<[u8; 32]>> {
+        let cf_meta = self.meta_column();
+        let res = self
+            .db
+            .get_cf(
+                &cf_meta,
+                borsh::to_vec(&DB_META_LAST_OBSERVED_L1_LIB_HEADER_ID_IN_DB_KEY).map_err(
+                    |err| {
+                        DbError::borsh_cast_message(
+                        err,
+                        Some(
+                            "Failed to serialize DB_META_LAST_OBSERVED_L1_LIB_HEADER_ID_IN_DB_KEY"
+                                .to_string(),
+                        ),
+                    )
+                    },
+                )?,
+            )
+            .map_err(|rerr| DbError::rocksdb_cast_message(rerr, None))?;
+
+        res.map(|data| {
+            borsh::from_slice::<[u8; 32]>(&data).map_err(|err| {
+                DbError::borsh_cast_message(
+                    err,
+                    Some("Failed to deserialize last l1 lib header".to_string()),
+                )
+            })
+        })
+        .transpose()
+    }
+
     pub fn get_meta_is_first_block_set(&self) -> DbResult<bool> {
         let cf_meta = self.meta_column();
         let res = self
@@ -281,7 +315,7 @@ impl RocksDBIO {
             )
             .map_err(|rerr| DbError::rocksdb_cast_message(rerr, None))?;
 
-        self.put_block(block)?;
+        self.put_block(block, [0; 32])?;
         Ok(())
     }
 
@@ -307,6 +341,36 @@ impl RocksDBIO {
         Ok(())
     }
 
+    pub fn put_meta_last_observed_l1_lib_header_in_db(
+        &self,
+        l1_lib_header: [u8; 32],
+    ) -> DbResult<()> {
+        let cf_meta = self.meta_column();
+        self.db
+            .put_cf(
+                &cf_meta,
+                borsh::to_vec(&DB_META_LAST_OBSERVED_L1_LIB_HEADER_ID_IN_DB_KEY).map_err(
+                    |err| {
+                        DbError::borsh_cast_message(
+                        err,
+                        Some(
+                            "Failed to serialize DB_META_LAST_OBSERVED_L1_LIB_HEADER_ID_IN_DB_KEY"
+                                .to_string(),
+                        ),
+                    )
+                    },
+                )?,
+                borsh::to_vec(&l1_lib_header).map_err(|err| {
+                    DbError::borsh_cast_message(
+                        err,
+                        Some("Failed to serialize last l1 block header".to_string()),
+                    )
+                })?,
+            )
+            .map_err(|rerr| DbError::rocksdb_cast_message(rerr, None))?;
+        Ok(())
+    }
+
     pub fn put_meta_last_breakpoint_id(&self, br_id: u64) -> DbResult<()> {
         let cf_meta = self.meta_column();
         self.db
@@ -348,7 +412,7 @@ impl RocksDBIO {
 
     // Block
 
-    pub fn put_block(&self, block: Block) -> DbResult<()> {
+    pub fn put_block(&self, block: Block, l1_lib_header: [u8; 32]) -> DbResult<()> {
         let cf_block = self.block_column();
         let cf_hti = self.hash_to_id_column();
         let cf_tti: Arc<BoundColumnFamily<'_>> = self.tx_hash_to_id_column();
@@ -377,6 +441,7 @@ impl RocksDBIO {
 
         if block.header.block_id > last_curr_block {
             self.put_meta_last_block_in_db(block.header.block_id)?;
+            self.put_meta_last_observed_l1_lib_header_in_db(l1_lib_header)?;
         }
 
         self.db
@@ -954,7 +1019,7 @@ mod tests {
         let transfer_tx = transfer(1, 0, true);
         let block = common::test_utils::produce_dummy_block(2, Some(prev_hash), vec![transfer_tx]);
 
-        dbio.put_block(block).unwrap();
+        dbio.put_block(block, [1; 32]).unwrap();
 
         let last_id = dbio.get_meta_last_block_in_db().unwrap();
         let first_id = dbio.get_meta_first_block_in_db().unwrap();
@@ -997,7 +1062,7 @@ mod tests {
             let transfer_tx = transfer(1, (i - 1) as u128, true);
             let block =
                 common::test_utils::produce_dummy_block(i + 1, Some(prev_hash), vec![transfer_tx]);
-            dbio.put_block(block).unwrap();
+            dbio.put_block(block, [i as u8; 32]).unwrap();
         }
 
         let last_id = dbio.get_meta_last_block_in_db().unwrap();
@@ -1051,7 +1116,7 @@ mod tests {
 
         let control_hash1 = block.header.hash;
 
-        dbio.put_block(block).unwrap();
+        dbio.put_block(block, [1; 32]).unwrap();
 
         let last_id = dbio.get_meta_last_block_in_db().unwrap();
         let last_block = dbio.get_block(last_id).unwrap();
@@ -1062,7 +1127,7 @@ mod tests {
 
         let control_hash2 = block.header.hash;
 
-        dbio.put_block(block).unwrap();
+        dbio.put_block(block, [2; 32]).unwrap();
 
         let last_id = dbio.get_meta_last_block_in_db().unwrap();
         let last_block = dbio.get_block(last_id).unwrap();
@@ -1073,7 +1138,7 @@ mod tests {
         let control_tx_hash1 = transfer_tx.hash();
 
         let block = common::test_utils::produce_dummy_block(4, Some(prev_hash), vec![transfer_tx]);
-        dbio.put_block(block).unwrap();
+        dbio.put_block(block, [3; 32]).unwrap();
 
         let last_id = dbio.get_meta_last_block_in_db().unwrap();
         let last_block = dbio.get_block(last_id).unwrap();
@@ -1084,7 +1149,7 @@ mod tests {
         let control_tx_hash2 = transfer_tx.hash();
 
         let block = common::test_utils::produce_dummy_block(5, Some(prev_hash), vec![transfer_tx]);
-        dbio.put_block(block).unwrap();
+        dbio.put_block(block, [4; 32]).unwrap();
 
         let control_block_id1 = dbio.get_block_id_by_hash(control_hash1.0).unwrap();
         let control_block_id2 = dbio.get_block_id_by_hash(control_hash2.0).unwrap();
@@ -1115,7 +1180,7 @@ mod tests {
         let block = common::test_utils::produce_dummy_block(2, Some(prev_hash), vec![transfer_tx]);
 
         block_res.push(block.clone());
-        dbio.put_block(block).unwrap();
+        dbio.put_block(block, [1; 32]).unwrap();
 
         let last_id = dbio.get_meta_last_block_in_db().unwrap();
         let last_block = dbio.get_block(last_id).unwrap();
@@ -1125,7 +1190,7 @@ mod tests {
         let block = common::test_utils::produce_dummy_block(3, Some(prev_hash), vec![transfer_tx]);
 
         block_res.push(block.clone());
-        dbio.put_block(block).unwrap();
+        dbio.put_block(block, [2; 32]).unwrap();
 
         let last_id = dbio.get_meta_last_block_in_db().unwrap();
         let last_block = dbio.get_block(last_id).unwrap();
@@ -1135,7 +1200,7 @@ mod tests {
 
         let block = common::test_utils::produce_dummy_block(4, Some(prev_hash), vec![transfer_tx]);
         block_res.push(block.clone());
-        dbio.put_block(block).unwrap();
+        dbio.put_block(block, [3; 32]).unwrap();
 
         let last_id = dbio.get_meta_last_block_in_db().unwrap();
         let last_block = dbio.get_block(last_id).unwrap();
@@ -1145,7 +1210,7 @@ mod tests {
 
         let block = common::test_utils::produce_dummy_block(5, Some(prev_hash), vec![transfer_tx]);
         block_res.push(block.clone());
-        dbio.put_block(block).unwrap();
+        dbio.put_block(block, [4; 32]).unwrap();
 
         let block_hashes_mem: Vec<[u8; 32]> =
             block_res.into_iter().map(|bl| bl.header.hash.0).collect();
@@ -1189,7 +1254,7 @@ mod tests {
 
         let block = common::test_utils::produce_dummy_block(2, Some(prev_hash), vec![transfer_tx]);
 
-        dbio.put_block(block).unwrap();
+        dbio.put_block(block, [1; 32]).unwrap();
 
         let last_id = dbio.get_meta_last_block_in_db().unwrap();
         let last_block = dbio.get_block(last_id).unwrap();
@@ -1201,7 +1266,7 @@ mod tests {
 
         let block = common::test_utils::produce_dummy_block(3, Some(prev_hash), vec![transfer_tx]);
 
-        dbio.put_block(block).unwrap();
+        dbio.put_block(block, [2; 32]).unwrap();
 
         let last_id = dbio.get_meta_last_block_in_db().unwrap();
         let last_block = dbio.get_block(last_id).unwrap();
@@ -1213,7 +1278,7 @@ mod tests {
 
         let block = common::test_utils::produce_dummy_block(4, Some(prev_hash), vec![transfer_tx]);
 
-        dbio.put_block(block).unwrap();
+        dbio.put_block(block, [3; 32]).unwrap();
 
         let last_id = dbio.get_meta_last_block_in_db().unwrap();
         let last_block = dbio.get_block(last_id).unwrap();
@@ -1225,7 +1290,7 @@ mod tests {
 
         let block = common::test_utils::produce_dummy_block(5, Some(prev_hash), vec![transfer_tx]);
 
-        dbio.put_block(block).unwrap();
+        dbio.put_block(block, [4; 32]).unwrap();
 
         let acc1_tx = dbio.get_acc_transactions(*acc1().value(), 0, 4).unwrap();
         let acc1_tx_hashes: Vec<[u8; 32]> = acc1_tx.into_iter().map(|tx| tx.hash().0).collect();