diff --git a/.github/workflows/ci.yml b/.github/workflows/ci.yml
index 7c1c012..65250b3 100644
--- a/.github/workflows/ci.yml
+++ b/.github/workflows/ci.yml
@@ -17,6 +17,7 @@ jobs:
       - uses: actions/checkout@v4
       - uses: actions/setup-node@v4
       - run: npm install
+      - run: npm run lint
       - run: npm run format:check
 
   test:
diff --git a/Readme.md b/Readme.md
index 6b93f5f..7466796 100644
--- a/Readme.md
+++ b/Readme.md
@@ -43,6 +43,9 @@ To reuse a previously deployed `Token` contract, define the environment variable
 The deployment script will use `contractAt` from Hardhat Ignition to retrieve the existing contract
 instead of deploying a new one.
 
+When deploying to other network then Hardhat localhost's, you have to specify the Proxy's owner address
+using the env. variable `PROXY_ADMIN_ADDRESS`. This account then can perform upgrades to the contract.
+
 The deployment files are kept under version control [as recommended by Hardhat](https://hardhat.org/ignition/docs/advanced/versioning), except the build files, which are 18 MB.
 
 Running the prover
diff --git a/contracts/FuzzMarketplace.sol b/contracts/FuzzMarketplace.sol
deleted file mode 100644
index 3291e36..0000000
--- a/contracts/FuzzMarketplace.sol
+++ /dev/null
@@ -1,39 +0,0 @@
-// SPDX-License-Identifier: MIT
-pragma solidity ^0.8.28;
-
-import "./TestToken.sol";
-import "./Marketplace.sol";
-import "./TestVerifier.sol";
-
-contract FuzzMarketplace is Marketplace {
-  constructor()
-    Marketplace(
-      MarketplaceConfig(
-        CollateralConfig(10, 5, 10, 20),
-        ProofConfig(10, 5, 64, 67, ""),
-        SlotReservationsConfig(20),
-        60 * 60 * 24 * 30 // 30 days
-      ),
-      new TestToken(),
-      new TestVerifier()
-    )
-  // solhint-disable-next-line no-empty-blocks
-  {
-
-  }
-
-  // Properties to be tested through fuzzing
-
-  MarketplaceTotals private _lastSeenTotals;
-
-  function neverDecreaseTotals() public {
-    assert(_marketplaceTotals.received >= _lastSeenTotals.received);
-    assert(_marketplaceTotals.sent >= _lastSeenTotals.sent);
-    _lastSeenTotals = _marketplaceTotals;
-  }
-
-  function neverLoseFunds() public view {
-    uint256 total = _marketplaceTotals.received - _marketplaceTotals.sent;
-    assert(token().balanceOf(address(this)) >= total);
-  }
-}
diff --git a/contracts/Marketplace.sol b/contracts/Marketplace.sol
index 8b0a29c..8a09004 100644
--- a/contracts/Marketplace.sol
+++ b/contracts/Marketplace.sol
@@ -2,6 +2,7 @@
 pragma solidity 0.8.28;
 
 import "@openzeppelin/contracts/token/ERC20/IERC20.sol";
+import "@openzeppelin/contracts/proxy/utils/Initializable.sol";
 import "@openzeppelin/contracts/utils/math/Math.sol";
 import "@openzeppelin/contracts/utils/structs/EnumerableSet.sol";
 import "./Configuration.sol";
@@ -12,7 +13,7 @@ import "./StateRetrieval.sol";
 import "./Endian.sol";
 import "./Groth16.sol";
 
-contract Marketplace is SlotReservations, Proofs, StateRetrieval, Endian {
+contract Marketplace is Initializable, SlotReservations, Proofs, StateRetrieval, Endian {
   error Marketplace_RepairRewardPercentageTooHigh();
   error Marketplace_SlashPercentageTooHigh();
   error Marketplace_MaximumSlashingTooHigh();
@@ -46,7 +47,7 @@ contract Marketplace is SlotReservations, Proofs, StateRetrieval, Endian {
   using Requests for Request;
   using AskHelpers for Ask;
 
-  IERC20 private immutable _token;
+  IERC20 private _token;
   MarketplaceConfig private _config;
 
   mapping(RequestId => Request) private _requests;
@@ -96,11 +97,13 @@ contract Marketplace is SlotReservations, Proofs, StateRetrieval, Endian {
     uint64 slotIndex;
   }
 
-  constructor(
+  function initialize (
     MarketplaceConfig memory config,
     IERC20 token_,
     IGroth16Verifier verifier
-  ) SlotReservations(config.reservations) Proofs(config.proofs, verifier) {
+  ) public initializer {
+    _initializeSlotReservations(config.reservations);
+    _initializeProofs(config.proofs, verifier);
     _token = token_;
 
     if (config.collateral.repairRewardPercentage > 100)
diff --git a/contracts/Periods.sol b/contracts/Periods.sol
index 5e18ee1..08a9353 100644
--- a/contracts/Periods.sol
+++ b/contracts/Periods.sol
@@ -1,14 +1,16 @@
 // SPDX-License-Identifier: MIT
 pragma solidity 0.8.28;
 
-contract Periods {
+import "@openzeppelin/contracts/proxy/utils/Initializable.sol";
+
+contract Periods is Initializable {
   error Periods_InvalidSecondsPerPeriod();
 
   type Period is uint64;
 
-  uint64 internal immutable _secondsPerPeriod;
+  uint64 internal _secondsPerPeriod;
 
-  constructor(uint64 secondsPerPeriod) {
+  function _initializePeriods(uint64 secondsPerPeriod) internal onlyInitializing {
     if (secondsPerPeriod == 0) {
       revert Periods_InvalidSecondsPerPeriod();
     }
diff --git a/contracts/Proofs.sol b/contracts/Proofs.sol
index 1dfc7ce..ba9df9e 100644
--- a/contracts/Proofs.sol
+++ b/contracts/Proofs.sol
@@ -1,6 +1,8 @@
 // SPDX-License-Identifier: MIT
 pragma solidity 0.8.28;
 
+import "@openzeppelin/contracts/proxy/utils/Initializable.sol";
+
 import "./Configuration.sol";
 import "./Requests.sol";
 import "./Periods.sol";
@@ -26,15 +28,17 @@ abstract contract Proofs is Periods {
   /**
    * Creation of the contract requires at least 256 mined blocks!
    * @param config Proving configuration
+   * @param verifier Proof verifier
    */
-  constructor(
+  function _initializeProofs(
     ProofConfig memory config,
     IGroth16Verifier verifier
-  ) Periods(config.period) {
+  ) internal onlyInitializing {
     if (block.number <= 256) {
       revert Proofs_InsufficientBlockHeight();
     }
 
+    _initializePeriods(config.period);
     _config = config;
     _verifier = verifier;
   }
diff --git a/contracts/Proxies.sol b/contracts/Proxies.sol
new file mode 100644
index 0000000..6560c68
--- /dev/null
+++ b/contracts/Proxies.sol
@@ -0,0 +1,6 @@
+// SPDX-License-Identifier: MIT
+pragma solidity ^0.8.28;
+
+
+import "@openzeppelin/contracts/proxy/transparent/ProxyAdmin.sol";
+import "@openzeppelin/contracts/proxy/transparent/TransparentUpgradeableProxy.sol";
\ No newline at end of file
diff --git a/contracts/SlotReservations.sol b/contracts/SlotReservations.sol
index 8faa87b..bc7c392 100644
--- a/contracts/SlotReservations.sol
+++ b/contracts/SlotReservations.sol
@@ -1,18 +1,20 @@
 // SPDX-License-Identifier: MIT
 pragma solidity 0.8.28;
 
+import "@openzeppelin/contracts/proxy/utils/Initializable.sol";
 import "@openzeppelin/contracts/utils/structs/EnumerableSet.sol";
+
 import "./Requests.sol";
 import "./Configuration.sol";
 
-abstract contract SlotReservations {
+abstract contract SlotReservations is Initializable {
   using EnumerableSet for EnumerableSet.AddressSet;
   error SlotReservations_ReservationNotAllowed();
 
   mapping(SlotId => EnumerableSet.AddressSet) internal _reservations;
   SlotReservationsConfig private _config;
 
-  constructor(SlotReservationsConfig memory config) {
+  function _initializeSlotReservations(SlotReservationsConfig memory config) internal onlyInitializing {
     _config = config;
   }
 
diff --git a/contracts/TestMarketplace.sol b/contracts/TestMarketplace.sol
index c18d369..815d8ea 100644
--- a/contracts/TestMarketplace.sol
+++ b/contracts/TestMarketplace.sol
@@ -5,14 +5,6 @@ import "./Marketplace.sol";
 
 // exposes internal functions of Marketplace for testing
 contract TestMarketplace is Marketplace {
-  constructor(
-    MarketplaceConfig memory config,
-    IERC20 token,
-    IGroth16Verifier verifier
-  )
-    Marketplace(config, token, verifier) // solhint-disable-next-line no-empty-blocks
-  {}
-
   function forciblyFreeSlot(SlotId slotId) public {
     _forciblyFreeSlot(slotId);
   }
diff --git a/contracts/TestPeriods.sol b/contracts/TestPeriods.sol
new file mode 100644
index 0000000..d21ff17
--- /dev/null
+++ b/contracts/TestPeriods.sol
@@ -0,0 +1,13 @@
+// SPDX-License-Identifier: MIT
+pragma solidity ^0.8.28;
+
+import "./Periods.sol";
+
+contract TestPeriods is Periods {
+  
+  function initialize (
+    uint64 secondsPerPeriod
+  ) public initializer {
+    _initializePeriods(secondsPerPeriod);
+  }
+}
diff --git a/contracts/TestProofs.sol b/contracts/TestProofs.sol
index 4d49aad..bca6057 100644
--- a/contracts/TestProofs.sol
+++ b/contracts/TestProofs.sol
@@ -13,11 +13,12 @@ contract TestProofs is Proofs {
   // private to internal, which may cause problems in the Marketplace contract.
   ProofConfig private _proofConfig;
 
-  constructor(
+  function initialize (
     ProofConfig memory config,
     IGroth16Verifier verifier
-  ) Proofs(config, verifier) {
+  ) public initializer {
     _proofConfig = config;
+    _initializeProofs(config, verifier);
   }
 
   function slotState(SlotId slotId) public view override returns (SlotState) {
diff --git a/contracts/TestSlotReservations.sol b/contracts/TestSlotReservations.sol
index 3793223..f72a1fd 100644
--- a/contracts/TestSlotReservations.sol
+++ b/contracts/TestSlotReservations.sol
@@ -8,9 +8,11 @@ contract TestSlotReservations is SlotReservations {
 
   mapping(SlotId => SlotState) private _states;
 
-  // solhint-disable-next-line no-empty-blocks
-  constructor(SlotReservationsConfig memory config) SlotReservations(config) {}
-
+  function initialize (
+    SlotReservationsConfig memory config
+  ) public initializer {
+    _initializeSlotReservations(config);
+  }
   function contains(SlotId slotId, address host) public view returns (bool) {
     return _reservations[slotId].contains(host);
   }
diff --git a/ignition/modules/marketplace.js b/ignition/modules/marketplace.js
index e0798eb..b0fc732 100644
--- a/ignition/modules/marketplace.js
+++ b/ignition/modules/marketplace.js
@@ -1,4 +1,4 @@
-const { buildModule } = require("@nomicfoundation/hardhat-ignition/modules")
+const { buildModule } = require('@nomicfoundation/hardhat-ignition/modules')
 const { loadZkeyHash } = require("../../verifier/verifier.js")
 const { loadConfiguration } = require("../../configuration/configuration.js")
 const TokenModule = require("./token.js")
@@ -11,33 +11,146 @@ function getDefaultConfig() {
   return config
 }
 
-module.exports = buildModule("Marketplace", (m) => {
-  const { token } = m.useModule(TokenModule)
-  const { verifier } = m.useModule(VerifierModule)
-  const configuration = m.getParameter("configuration", getDefaultConfig())
-
-  const marketplace = m.contract(
-    "Marketplace",
-    [configuration, token, verifier],
-    {},
-  )
+/**
+ * Module that deploy the Marketplace logic
+ */
+const marketplaceLogicModule = buildModule("MarketplaceLogic", (m) => {
+  const marketplace = m.contract("Marketplace", [])
 
   let testMarketplace
   const config = hre.network.config
 
   if (config && config.tags && config.tags.includes("local")) {
-    const { testVerifier } = m.useModule(VerifierModule)
-
-    testMarketplace = m.contract(
-      "TestMarketplace",
-      [configuration, token, testVerifier],
-      {},
-    )
+    testMarketplace = m.contract("TestMarketplace", [])
   }
 
   return {
     marketplace,
     testMarketplace,
-    token,
   }
 })
+
+
+/**
+ * This module deploy Proxy with Marketplace contract used as implementation
+ * and it initializes the Marketplace in the Proxy context.
+ */
+const proxyModule = buildModule('Proxy', (m) => {
+  const deployer = m.getAccount(0)
+  const config = hre.network.config
+
+
+  // This address is the owner of the ProxyAdmin contract,
+  // so it will be the only account that can upgrade the proxy when needed.
+  let proxyAdminOwner
+
+  if (config && config.tags && config.tags.includes("local")) {
+    // The Proxy Admin is not allowed to make "forwarded" calls through Proxy,
+    // it can only upgrade it, hence this account must not be used for example in tests.
+    proxyAdminOwner = process.env.PROXY_ADMIN_ADDRESS || m.getAccount(9)
+  } else {
+    if (!process.env.PROXY_ADMIN_ADDRESS) {
+      throw new Error("In non-Hardhat network you need to specify PROXY_ADMIN_ADDRESS env. variable")
+    }
+
+    proxyAdminOwner = process.env.PROXY_ADMIN_ADDRESS
+  }
+
+  const { marketplace } = m.useModule(marketplaceLogicModule)
+  const { token } = m.useModule(TokenModule)
+  const { verifier } = m.useModule(VerifierModule)
+  const configuration = m.getParameter("configuration", getDefaultConfig())
+  const encodedMarketplaceInitializerCall = m.encodeFunctionCall(
+    marketplace,
+    "initialize",
+    [configuration, token, verifier]
+  );
+
+  // The TransparentUpgradeableProxy contract creates the ProxyAdmin within its constructor.
+  const proxy = m.contract(
+    'TransparentUpgradeableProxy',
+    [
+      marketplace,
+      proxyAdminOwner,
+      encodedMarketplaceInitializerCall,
+    ],
+    { from: deployer },
+  )
+
+
+  // We need to get the address of the ProxyAdmin contract that was created by the TransparentUpgradeableProxy
+  // so that we can use it to upgrade the proxy later.
+  const proxyAdminAddress = m.readEventArgument(
+    proxy,
+    'AdminChanged',
+    'newAdmin'
+  )
+
+  // Here we use m.contractAt(...) to create a contract instance for the ProxyAdmin that we can interact with later to upgrade the proxy.
+  const proxyAdmin = m.contractAt('ProxyAdmin', proxyAdminAddress)
+
+
+  return { proxyAdmin, proxy, token }
+})
+
+/**
+ * This module deploy Proxy with TestMarketplace contract used for testing purposes.
+ */
+const testProxyModule = buildModule('TestProxy', (m) => {
+  const deployer = m.getAccount(0)
+  const config = hre.network.config
+
+  // We allow testing contract only in local/Hardhat network
+  if (!(config && config.tags && config.tags.includes("local"))) {
+    return { testProxy: undefined }
+  }
+
+
+  let proxyAdminOwner = process.env.PROXY_ADMIN_ADDRESS || m.getAccount(9)
+  const { testMarketplace } = m.useModule(marketplaceLogicModule)
+  const { token } = m.useModule(TokenModule)
+  const { testVerifier } = m.useModule(VerifierModule)
+  const configuration = m.getParameter("configuration", getDefaultConfig())
+  const encodedMarketplaceInitializerCall = m.encodeFunctionCall(
+    testMarketplace,
+    "initialize",
+    [configuration, token, testVerifier]
+  );
+
+  const testProxy = m.contract(
+    'TransparentUpgradeableProxy',
+    [
+      testMarketplace,
+      proxyAdminOwner,
+      encodedMarketplaceInitializerCall,
+    ],
+    { from: deployer },
+  )
+
+  return { testProxy }
+})
+
+/**
+ * The main module that represents Marketplace contract.
+ * Underneath there is the deployed Proxy contract with Markeplace's logic used as proxy's implementation
+ * and initilized proxy's context with Marketplace's configuration.
+ */
+module.exports = buildModule('Marketplace', (m) => {
+  const { proxy, proxyAdmin, token } = m.useModule(proxyModule)
+  const config = hre.network.config
+
+  // We use the Proxy contract as it would be Marketplace contract
+  const marketplace = m.contractAt('Marketplace', proxy)
+
+  // We allow testing contract only in local/Hardhat network
+  if (config && config.tags && config.tags.includes("local")) {
+    const { testProxy } = m.useModule(testProxyModule)
+    const testMarketplace = m.contractAt('TestMarketplace', testProxy)
+
+    return { marketplace, proxy, proxyAdmin, testMarketplace, token }
+  }
+
+  // Return the contract instance, along with the original proxy and proxyAdmin contracts
+  // so that they can be used by other modules, or in tests and scripts.
+  return { marketplace, proxy, proxyAdmin, token }
+})
diff --git a/ignition/modules/periods.js b/ignition/modules/periods.js
index c3a352a..c2a3b96 100644
--- a/ignition/modules/periods.js
+++ b/ignition/modules/periods.js
@@ -2,8 +2,9 @@ const { buildModule } = require("@nomicfoundation/hardhat-ignition/modules")
 
 module.exports = buildModule("Periods", (m) => {
   const secondsPerPeriod = m.getParameter("secondsPerPeriod", 0)
+  const periods = m.contract("TestPeriods", [])
 
-  const periods = m.contract("Periods", [secondsPerPeriod], {})
+  m.call(periods, "initialize", [secondsPerPeriod]);
 
   return { periods }
 })
diff --git a/ignition/modules/proofs.js b/ignition/modules/proofs.js
index bc71762..570f663 100644
--- a/ignition/modules/proofs.js
+++ b/ignition/modules/proofs.js
@@ -5,7 +5,8 @@ module.exports = buildModule("Proofs", (m) => {
   const { verifier } = m.useModule(VerifierModule)
   const configuration = m.getParameter("configuration", null)
 
-  const testProofs = m.contract("TestProofs", [configuration, verifier], {})
+  const testProofs = m.contract("TestProofs", [])
+  m.call(testProofs, "initialize", [configuration, verifier])
 
   return { testProofs }
 })
diff --git a/ignition/modules/slot-reservations.js b/ignition/modules/slot-reservations.js
index d795381..64989f2 100644
--- a/ignition/modules/slot-reservations.js
+++ b/ignition/modules/slot-reservations.js
@@ -2,12 +2,9 @@ const { buildModule } = require("@nomicfoundation/hardhat-ignition/modules")
 
 module.exports = buildModule("SlotReservations", (m) => {
   const configuration = m.getParameter("configuration", null)
+  const testSlotReservations = m.contract("TestSlotReservations", [])
 
-  const testSlotReservations = m.contract(
-    "TestSlotReservations",
-    [configuration],
-    {},
-  )
+  m.call(testSlotReservations, "initialize", [configuration]);
 
   return { testSlotReservations }
 })
diff --git a/package-lock.json b/package-lock.json
index da57f6a..669ed22 100644
--- a/package-lock.json
+++ b/package-lock.json
@@ -8,7 +8,7 @@
       "license": "MIT",
       "devDependencies": {
         "@nomicfoundation/hardhat-chai-matchers": "^2.0.8",
-        "@nomicfoundation/hardhat-ignition-ethers": "^0.15.11",
+        "@nomicfoundation/hardhat-ignition-ethers": "^0.15.12",
         "@nomicfoundation/hardhat-toolbox": "^5.0.0",
         "@openzeppelin/contracts": "^5.3.0",
         "@stdlib/stats-binomial-test": "^0.2.2",
diff --git a/package.json b/package.json
index 8d972d4..8d88f5c 100644
--- a/package.json
+++ b/package.json
@@ -2,7 +2,7 @@
   "name": "codex-contracts-eth",
   "license": "MIT",
   "scripts": {
-    "test": "npm run lint && hardhat test",
+    "test": "hardhat test",
     "fuzz": "hardhat compile && fuzzing/fuzz.sh",
     "start": "concurrently --names \"hardhat,deployment\"  --prefix \"[{time} {name}]\" \"hardhat node\" \"sleep 2 && npm run mine && npm run deploy -- --network localhost\"",
     "compile": "hardhat compile",
@@ -18,10 +18,10 @@
     "gas:report": "REPORT_GAS=true hardhat test"
   },
   "devDependencies": {
-    "@openzeppelin/contracts": "^5.3.0",
     "@nomicfoundation/hardhat-chai-matchers": "^2.0.8",
-    "@nomicfoundation/hardhat-ignition-ethers": "^0.15.11",
+    "@nomicfoundation/hardhat-ignition-ethers": "^0.15.12",
     "@nomicfoundation/hardhat-toolbox": "^5.0.0",
+    "@openzeppelin/contracts": "^5.3.0",
     "@stdlib/stats-binomial-test": "^0.2.2",
     "chai": "^4.5.0",
     "ethers": "6.14.4",
diff --git a/test/Marketplace.test.js b/test/Marketplace.test.js
index 153f9a1..9c472f7 100644
--- a/test/Marketplace.test.js
+++ b/test/Marketplace.test.js
@@ -62,7 +62,7 @@ describe("Marketplace constructor", function () {
 
       const promise = ignition.deploy(MarketplaceModule, {
         parameters: {
-          Marketplace: {
+          TestProxy: {
             configuration: config,
           },
         },
@@ -90,7 +90,7 @@ describe("Marketplace constructor", function () {
 
     const promise = ignition.deploy(MarketplaceModule, {
       parameters: {
-        Marketplace: {
+        TestProxy: {
           configuration: config,
         },
       },
@@ -143,7 +143,7 @@ describe("Marketplace", function () {
       MarketplaceModule,
       {
         parameters: {
-          Marketplace: {
+          TestProxy: {
             configuration: config,
           },
         },