diff --git a/README.md b/README.md
index 9b1d8aa..a45256d 100644
--- a/README.md
+++ b/README.md
@@ -977,21 +977,31 @@ The container supports both MCP transport modes:
 
 #### 2. HTTP Transport
 
-- For remote MCP server access
+- For remote MCP server access (self-host once, serve many users)
 - Set `MCP_TRANSPORT` environment variable to `http` to enable
+- **Credentials are provided per-client via request headers, not server env vars.** Each client acts under its own env0 API key (and therefore its own RBAC role), so the server holds no shared key:
 
 ```bash
+# No ENV0_API_KEY / ENV0_API_SECRET needed on the server in HTTP mode
 docker run -d -p 3000:3000 -e PORT=3000 -e MCP_TRANSPORT=http env0/mcp-server
 ```
 
-Then, configure your MCP client to use the HTTP transport mode:
+Then, configure your MCP client to send its credentials as headers:
 
 ```json
 {
   "mcpServers": {
     "env0": {
-      "serverUrl": "http://localhost:3000/mcp"
+      "url": "http://localhost:3000/mcp",
+      "headers": {
+        "Authorization": "Basic <base64(apiKeyId:apiKeySecret)>",
+        "x-env0-organization-id": "your-org-id-here"
+      }
     }
   }
 }
 ```
+
+The `Authorization` header is forwarded verbatim to the env0 API. Requests without it are rejected with `401 Unauthorized`. (`ENV0_API_URL` may still be set on the server to target a non-default env0 API.)
+
+> ⚠️ **Run behind TLS.** Remote HTTP mode sends env0 API keys per request. You should run behind TLS (reverse proxy / LB). Do not expose the plain HTTP port to a network.
diff --git a/src/cli.ts b/src/cli.ts
index e3aa813..d789cb2 100644
--- a/src/cli.ts
+++ b/src/cli.ts
@@ -14,18 +14,25 @@ const port = process.env.PORT || 3000;
 export async function startServer(): Promise<void> {
   const isHttpMode = process.argv.includes('--http') || process.env.MCP_TRANSPORT === 'http';
 
-  const config = getAndValidateConfig();
-  const env0Client = new Env0Client(config);
-  const env0Service = new Env0Service(config, env0Client);
-
-  const server = createMcpServer(env0Service);
-
   if (isHttpMode) {
+    // HTTP mode: credentials come per-request from each client's headers, not env vars
+    const baseConfig = getAndValidateConfig(undefined, false);
     console.log(`Initializing Env0 MCP Server in HTTP mode on port ${port}...`);
-    await startHttpServer(+port, server);
+    await startHttpServer(+port, headers => {
+      const orgId = headers['x-env0-organization-id'];
+      const config = {
+        ...baseConfig,
+        organizationId: (Array.isArray(orgId) ? orgId[0] : orgId) || baseConfig.organizationId,
+        // authorization is guaranteed present (buildSessionServer 401s otherwise)
+        ...(headers.authorization ? { authHeader: headers.authorization } : {})
+      };
+      return createMcpServer(new Env0Service(config, new Env0Client(config)));
+    });
   } else {
+    const config = getAndValidateConfig();
+    const env0Service = new Env0Service(config, new Env0Client(config));
     const transport = new StdioServerTransport();
-    await server.connect(transport);
+    await createMcpServer(env0Service).connect(transport);
   }
 }
 
diff --git a/src/common/config.ts b/src/common/config.ts
index 39e670b..1d33cb2 100644
--- a/src/common/config.ts
+++ b/src/common/config.ts
@@ -1,6 +1,10 @@
 import type { Env0Config } from '../env0-service/env0-client';
 
-export function getAndValidateConfig(overrides?: Partial<Env0Config>): Env0Config {
+export function getAndValidateConfig(
+  overrides?: Partial<Env0Config>,
+  // HTTP mode receives credentials per-request, so the startup env-var key is optional there
+  requireCredentials = true
+): Env0Config {
   const config: Env0Config = {
     apiUrl: overrides?.apiUrl || process.env.ENV0_API_URL || 'https://api.env0.com',
     organizationId: overrides?.organizationId || process.env.ENV0_ORGANIZATION_ID || '',
@@ -8,12 +12,12 @@ export function getAndValidateConfig(overrides?: Partial<Env0Config>): Env0Confi
     apiKeySecret: overrides?.apiKeySecret || process.env.ENV0_API_SECRET || ''
   };
 
-  validateConfig(config);
+  validateConfig(config, requireCredentials);
   return config;
 }
 
-function validateConfig(config: Env0Config): void {
-  if (!config.apiKeyId || !config.apiKeySecret) {
+function validateConfig(config: Env0Config, requireCredentials: boolean): void {
+  if (requireCredentials && (!config.apiKeyId || !config.apiKeySecret)) {
     throw new Error('Missing required env0 API credentials (ENV0_API_KEY and ENV0_API_SECRET)');
   }
 
diff --git a/src/env0-service/env0-client.ts b/src/env0-service/env0-client.ts
index 0867920..d6d1491 100644
--- a/src/env0-service/env0-client.ts
+++ b/src/env0-service/env0-client.ts
@@ -5,13 +5,17 @@ export interface Env0Config {
   apiUrl: string;
   apiKeyId: string;
   apiKeySecret: string;
+  // ponytail: forwarded verbatim (HTTP per-client mode); falls back to id:secret Basic
+  authHeader?: string;
 }
 
 export class Env0Client {
   private readonly client: AxiosInstance;
 
   constructor(config: Env0Config) {
-    const authHeader = `Basic ${Buffer.from(`${config.apiKeyId}:${config.apiKeySecret}`).toString('base64')}`;
+    const authHeader =
+      config.authHeader ??
+      `Basic ${Buffer.from(`${config.apiKeyId}:${config.apiKeySecret}`).toString('base64')}`;
 
     this.client = axios.create({
       baseURL: config.apiUrl,
diff --git a/src/server.ts b/src/server.ts
index cde65e3..037822d 100644
--- a/src/server.ts
+++ b/src/server.ts
@@ -11,8 +11,34 @@ const transports = {
   streamable: {} as Record<string, StreamableHTTPServerTransport>,
   sse: {} as Record<string, SSEServerTransport>
 };
+// Per-session MCP servers, each bound to that client's forwarded credentials
+const servers = {
+  streamable: {} as Record<string, McpServer>,
+  sse: {} as Record<string, McpServer>
+};
+
+// Builds an MCP server bound to the credentials in the request headers.
+// Returns null (and writes a 401) when the Authorization header is missing.
+// eslint-disable-next-line no-unused-vars
+export type McpServerFactory = (requestHeaders: Request['headers']) => McpServer;
+
+function buildSessionServer(
+  req: Request,
+  res: Response,
+  createServer: McpServerFactory
+): McpServer | null {
+  if (!req.headers.authorization) {
+    res.status(401).json({
+      jsonrpc: '2.0',
+      error: { code: -32001, message: 'Unauthorized: missing Authorization header' },
+      id: null
+    });
+    return null;
+  }
+  return createServer(req.headers);
+}
 
-export async function startHttpServer(port: number, mcpServer: McpServer): Promise<void> {
+export async function startHttpServer(port: number, createServer: McpServerFactory): Promise<void> {
   const app = express();
 
   // Parse JSON requests for the Streamable HTTP endpoint only, will break SSE endpoint
@@ -23,21 +49,28 @@ export async function startHttpServer(port: number, mcpServer: McpServer): Promi
     const sessionId = req.headers['mcp-session-id'] as string | undefined;
 
     let transport: StreamableHTTPServerTransport;
+    let mcpServer: McpServer;
 
     if (sessionId && transports.streamable[sessionId]) {
       console.log('Reusing existing StreamableHTTP transport for sessionId', sessionId);
       transport = transports.streamable[sessionId];
+      mcpServer = servers.streamable[sessionId]!;
     } else if (!sessionId && isInitializeRequest(req.body)) {
       console.log('New initialization request for StreamableHTTP sessionId', sessionId);
+      const sessionServer = buildSessionServer(req, res, createServer);
+      if (!sessionServer) return;
+      mcpServer = sessionServer;
       transport = new StreamableHTTPServerTransport({
         sessionIdGenerator: () => randomUUID(),
         onsessioninitialized: sessionId => {
           transports.streamable[sessionId] = transport;
+          servers.streamable[sessionId] = mcpServer;
         }
       });
       transport.onclose = () => {
         if (transport.sessionId) {
           delete transports.streamable[transport.sessionId];
+          delete servers.streamable[transport.sessionId];
         }
       };
       await mcpServer.connect(transport);
@@ -113,14 +146,16 @@ export async function startHttpServer(port: number, mcpServer: McpServer): Promi
 
   app.get('/sse', async (req, res): Promise<void> => {
     console.log('Establishing new SSE connection');
+    const mcpServer = buildSessionServer(req, res, createServer);
+    if (!mcpServer) return;
     const transport = new SSEServerTransport('/messages', res);
     console.log(`New SSE connection established for sessionId ${transport.sessionId}`);
-    console.log('/sse request headers:', req.headers);
-    console.log('/sse request body:', req.body);
 
     transports.sse[transport.sessionId] = transport;
+    servers.sse[transport.sessionId] = mcpServer;
     res.on('close', () => {
       delete transports.sse[transport.sessionId];
+      delete servers.sse[transport.sessionId];
     });
 
     await mcpServer.connect(transport);