diff --git a/backend/.env.example b/backend/.env.example
index 4e8c186..a97a59d 100644
--- a/backend/.env.example
+++ b/backend/.env.example
@@ -14,6 +14,10 @@ PLATFORM_SERVICE_URL=http://localhost:4003
 EXTRACTION_SERVICE_URL=http://localhost:4005
 MCP_SERVER_URL=http://localhost:4007
 
+# Observability
+TELEMETRY_ENABLED=false
+FEATURE_FLAGS_ENABLED=false
+
 # LLM (@bytelyst/llm)
 LLM_PROVIDER=mock
 OPENAI_API_KEY=
@@ -25,7 +29,12 @@ LLM_VISION_MODEL=gpt-4o
 LLM_EMBEDDING_MODEL=text-embedding-3-small
 
 # Field-level encryption
+FIELD_ENCRYPT_ENABLED=true
 FIELD_ENCRYPT_KEY_PROVIDER=memory
 FIELD_ENCRYPT_KEY=
 FIELD_ENCRYPT_MEK_NAME=notelett-mek
 AZURE_KEYVAULT_URL=
+
+# Palace (MemPalace)
+PALACE_ENABLED=true
+PALACE_EXTRACTION_ENABLED=true
diff --git a/backend/src/lib/event-bus.ts b/backend/src/lib/event-bus.ts
new file mode 100644
index 0000000..03b8425
--- /dev/null
+++ b/backend/src/lib/event-bus.ts
@@ -0,0 +1,84 @@
+/**
+ * Domain event bus singleton for NoteLett backend.
+ *
+ * Lightweight typed pub/sub for domain events. Handlers run via
+ * Promise.allSettled — a failing handler never blocks others.
+ */
+
+export interface NoteCreatedEvent {
+  noteId: string;
+  workspaceId: string;
+  userId: string;
+  title: string;
+}
+
+export interface NoteUpdatedEvent {
+  noteId: string;
+  workspaceId: string;
+  userId: string;
+  title: string;
+}
+
+export interface NoteDeletedEvent {
+  noteId: string;
+  workspaceId: string;
+  userId: string;
+}
+
+export interface TaskCreatedEvent {
+  taskId: string;
+  noteId: string;
+  workspaceId: string;
+  userId: string;
+  title: string;
+}
+
+export interface WorkspaceCreatedEvent {
+  workspaceId: string;
+  userId: string;
+  name: string;
+}
+
+export type NoteLettEventMap = {
+  'note.created': NoteCreatedEvent;
+  'note.updated': NoteUpdatedEvent;
+  'note.deleted': NoteDeletedEvent;
+  'task.created': TaskCreatedEvent;
+  'workspace.created': WorkspaceCreatedEvent;
+};
+
+type Handler<T> = (payload: T) => void | Promise<void>;
+
+class DomainEventBus {
+  private handlers = new Map<string, Set<Handler<unknown>>>();
+
+  on<K extends keyof NoteLettEventMap>(event: K, handler: Handler<NoteLettEventMap[K]>): () => void {
+    if (!this.handlers.has(event)) this.handlers.set(event, new Set());
+    this.handlers.get(event)!.add(handler as Handler<unknown>);
+    return () => { this.handlers.get(event)?.delete(handler as Handler<unknown>); };
+  }
+
+  async emit<K extends keyof NoteLettEventMap>(event: K, payload: NoteLettEventMap[K]): Promise<void> {
+    const fns = this.handlers.get(event);
+    if (!fns || fns.size === 0) return;
+    await Promise.allSettled([...fns].map(fn => fn(payload)));
+  }
+
+  removeAll(): void {
+    this.handlers.clear();
+  }
+}
+
+let _bus: DomainEventBus | null = null;
+
+export function getEventBus(): DomainEventBus {
+  if (!_bus) {
+    _bus = new DomainEventBus();
+  }
+  return _bus;
+}
+
+/** @internal — for testing only. */
+export function _resetEventBus(): void {
+  _bus = null;
+}
diff --git a/backend/src/modules/notes/repository.ts b/backend/src/modules/notes/repository.ts
index e2d14a3..4d62906 100644
--- a/backend/src/modules/notes/repository.ts
+++ b/backend/src/modules/notes/repository.ts
@@ -1,5 +1,6 @@
 import { getCollection } from '../../lib/datastore.js';
 import { getEncryptor } from '../../lib/field-encrypt.js';
+import { getEventBus } from '../../lib/event-bus.js';
 import { isEncryptedField, type EncryptedField } from '@bytelyst/field-encrypt';
 import type { NoteDoc, ListNotesQuery } from './types.js';
 import type { FilterMap } from '@bytelyst/datastore';
@@ -78,7 +79,14 @@ export async function getNote(id: string, workspaceId: string): Promise<NoteDoc
 export async function createNote(doc: NoteDoc): Promise<NoteDoc> {
   const encrypted = await encryptFields(doc);
   const created = await collection().create(encrypted);
-  return decryptFields(created);
+  const result = await decryptFields(created);
+  getEventBus().emit('note.created', {
+    noteId: result.id,
+    workspaceId: result.workspaceId,
+    userId: result.userId,
+    title: result.title,
+  }).catch(() => {});
+  return result;
 }
 
 export async function deleteNote(id: string, workspaceId: string): Promise<boolean> {
@@ -93,6 +101,11 @@ export async function deleteNote(id: string, workspaceId: string): Promise<boole
   } as NoteDoc);
 
   await collection().upsert(merged);
+  getEventBus().emit('note.deleted', {
+    noteId: id,
+    workspaceId: existing.workspaceId,
+    userId: existing.userId,
+  }).catch(() => {});
   return true;
 }
 
@@ -120,5 +133,12 @@ export async function updateNote(
 
   const encrypted = await encryptFields(merged);
   const result = await collection().upsert(encrypted);
-  return decryptFields(result);
+  const decryptedResult = await decryptFields(result);
+  getEventBus().emit('note.updated', {
+    noteId: decryptedResult.id,
+    workspaceId: decryptedResult.workspaceId,
+    userId: decryptedResult.userId,
+    title: decryptedResult.title,
+  }).catch(() => {});
+  return decryptedResult;
 }