diff --git a/app/cli/cmd/workflow_contract_apply.go b/app/cli/cmd/workflow_contract_apply.go
index 98e95976d..5aaf3e9d0 100644
--- a/app/cli/cmd/workflow_contract_apply.go
+++ b/app/cli/cmd/workflow_contract_apply.go
@@ -23,6 +23,7 @@ import (
 
 func newWorkflowContractApplyCmd() *cobra.Command {
 	var contractPath, name, description, projectName string
+	var contractName string
 
 	cmd := &cobra.Command{
 		Use:   "apply",
@@ -31,13 +32,23 @@ func newWorkflowContractApplyCmd() *cobra.Command {
 or update it if it already exists.`,
 		Example: `  # Apply a contract from file
   chainloop workflow contract apply --contract my-contract.yaml --name my-contract --project my-project`,
+		PreRunE: func(_ *cobra.Command, _ []string) error {
+			// Validate and extract the contract name
+			var err error
+			contractName, err = action.ValidateAndExtractName(name, contractPath)
+			if err != nil {
+				return err
+			}
+
+			return nil
+		},
 		RunE: func(cmd *cobra.Command, _ []string) error {
 			var desc *string
 			if cmd.Flags().Changed("description") {
 				desc = &description
 			}
 
-			res, err := action.NewWorkflowContractApply(ActionOpts).Run(cmd.Context(), name, contractPath, desc, projectName)
+			res, err := action.NewWorkflowContractApply(ActionOpts).Run(cmd.Context(), contractName, contractPath, desc, projectName)
 			if err != nil {
 				return err
 			}
@@ -48,8 +59,6 @@ or update it if it already exists.`,
 	}
 
 	cmd.Flags().StringVar(&name, "name", "", "contract name")
-	err := cmd.MarkFlagRequired("name")
-	cobra.CheckErr(err)
 
 	cmd.Flags().StringVarP(&contractPath, "contract", "f", "", "path or URL to the contract schema")
 	cmd.Flags().StringVar(&description, "description", "", "description of the contract")
diff --git a/app/cli/cmd/workflow_contract_create.go b/app/cli/cmd/workflow_contract_create.go
index b9963876e..c2fbc6bb1 100644
--- a/app/cli/cmd/workflow_contract_create.go
+++ b/app/cli/cmd/workflow_contract_create.go
@@ -23,16 +23,27 @@ import (
 
 func newWorkflowContractCreateCmd() *cobra.Command {
 	var name, description, contractPath, projectName string
+	var contractName string
 
 	cmd := &cobra.Command{
 		Use:   "create",
 		Short: "Create a new contract",
+		PreRunE: func(_ *cobra.Command, _ []string) error {
+			// Validate and extract the contract name
+			var err error
+			contractName, err = action.ValidateAndExtractName(name, contractPath)
+			if err != nil {
+				return err
+			}
+
+			return nil
+		},
 		RunE: func(cmd *cobra.Command, args []string) error {
 			var desc *string
 			if cmd.Flags().Changed("description") {
 				desc = &description
 			}
-			res, err := action.NewWorkflowContractCreate(ActionOpts).Run(name, desc, contractPath, projectName)
+			res, err := action.NewWorkflowContractCreate(ActionOpts).Run(contractName, desc, contractPath, projectName)
 			if err != nil {
 				return err
 			}
@@ -43,9 +54,6 @@ func newWorkflowContractCreateCmd() *cobra.Command {
 	}
 
 	cmd.Flags().StringVar(&name, "name", "", "contract name")
-	err := cmd.MarkFlagRequired("name")
-	cobra.CheckErr(err)
-
 	cmd.Flags().StringVarP(&contractPath, "contract", "f", "", "path or URL to the contract schema")
 	cmd.Flags().StringVar(&description, "description", "", "description of the contract")
 	cmd.Flags().StringVar(&projectName, "project", "", "project name used to scope the contract, if not set the contract will be created in the organization")
diff --git a/app/cli/cmd/workflow_contract_update.go b/app/cli/cmd/workflow_contract_update.go
index 130079ff6..8666fb875 100644
--- a/app/cli/cmd/workflow_contract_update.go
+++ b/app/cli/cmd/workflow_contract_update.go
@@ -1,5 +1,5 @@
 //
-// Copyright 2024 The Chainloop Authors.
+// Copyright 2024-2025 The Chainloop Authors.
 //
 // Licensed under the Apache License, Version 2.0 (the "License");
 // you may not use this file except in compliance with the License.
@@ -16,8 +16,6 @@
 package cmd
 
 import (
-	"errors"
-
 	"github.com/chainloop-dev/chainloop/app/cli/cmd/output"
 	"github.com/chainloop-dev/chainloop/app/cli/pkg/action"
 	"github.com/spf13/cobra"
@@ -25,13 +23,17 @@ import (
 
 func newWorkflowContractUpdateCmd() *cobra.Command {
 	var name, description, contractPath string
+	var contractName string
 
 	cmd := &cobra.Command{
 		Use:   "update",
 		Short: "Update an existing contract",
-		PreRunE: func(cmd *cobra.Command, args []string) error {
-			if contractPath == "" && name == "" && description == "" {
-				return errors.New("no updates provided")
+		PreRunE: func(_ *cobra.Command, _ []string) error {
+			// Validate and extract the contract name
+			var err error
+			contractName, err = action.ValidateAndExtractName(name, contractPath)
+			if err != nil {
+				return err
 			}
 
 			return nil
@@ -42,7 +44,7 @@ func newWorkflowContractUpdateCmd() *cobra.Command {
 				desc = &description
 			}
 
-			res, err := action.NewWorkflowContractUpdate(ActionOpts).Run(name, desc, contractPath)
+			res, err := action.NewWorkflowContractUpdate(ActionOpts).Run(contractName, desc, contractPath)
 			if err != nil {
 				return err
 			}
@@ -53,12 +55,7 @@ func newWorkflowContractUpdateCmd() *cobra.Command {
 	}
 
 	cmd.Flags().StringVar(&name, "name", "", "contract name")
-	err := cmd.MarkFlagRequired("name")
-	cobra.CheckErr(err)
-
 	cmd.Flags().StringVarP(&contractPath, "contract", "f", "", "path or URL to the contract schema")
-
-	cobra.CheckErr(err)
 	cmd.Flags().StringVar(&description, "description", "", "description of the contract")
 
 	return cmd
diff --git a/app/cli/pkg/action/util.go b/app/cli/pkg/action/util.go
index ebe7f7855..ee04e057d 100644
--- a/app/cli/pkg/action/util.go
+++ b/app/cli/pkg/action/util.go
@@ -16,12 +16,16 @@
 package action
 
 import (
+	"encoding/json"
 	"errors"
+	"fmt"
 	"io"
 	"net/http"
 	"os"
 	"path/filepath"
 	"strings"
+
+	"github.com/chainloop-dev/chainloop/app/controlplane/pkg/unmarshal"
 )
 
 // LoadFileOrURL loads a file from a local path or a URL
@@ -47,3 +51,93 @@ func LoadFileOrURL(fileRef string) ([]byte, error) {
 
 	return os.ReadFile(filepath.Clean(fileRef))
 }
+
+// ValidateAndExtractName validates and extracts a name from either
+// an explicit name parameter OR from metadata.name in the file content.
+// Ensures exactly one source is provided. Returns error when:
+// - Neither explicit name nor metadata.name is provided
+// - Both explicit name and metadata.name are provided (ambiguous)
+func ValidateAndExtractName(explicitName, filePath string) (string, error) {
+	// Load file content if provided
+	var content []byte
+	var err error
+	if filePath != "" {
+		content, err = LoadFileOrURL(filePath)
+		if err != nil {
+			return "", fmt.Errorf("load file: %w", err)
+		}
+	}
+
+	// Extract name from v2 metadata (if present)
+	metadataName, err := extractNameFromMetadata(content)
+	if err != nil {
+		return "", fmt.Errorf("parse content: %w", err)
+	}
+
+	// Both provided - ambiguous
+	if explicitName != "" && metadataName != "" {
+		return "", fmt.Errorf("conflicting names: explicit name (%q) and metadata.name (%q) both provided", explicitName, metadataName)
+	}
+
+	// Neither provided - missing required name
+	if explicitName == "" && metadataName == "" {
+		if len(content) == 0 {
+			return "", errors.New("name is required when no file is provided")
+		}
+		return "", errors.New("name is required: either provide explicit name or include metadata.name in the schema")
+	}
+
+	// Return whichever name was provided
+	if explicitName != "" {
+		return explicitName, nil
+	}
+	return metadataName, nil
+}
+
+// metadataWithName represents a partial structure to extract metadata.name field
+type metadataWithName struct {
+	Metadata struct {
+		Name string `json:"name"`
+	} `json:"metadata"`
+}
+
+// extractNameFromMetadata attempts to extract the name from metadata.name.
+func extractNameFromMetadata(content []byte) (string, error) {
+	if len(content) == 0 {
+		return "", nil
+	}
+
+	// Identify the format
+	format, err := unmarshal.IdentifyFormat(content)
+	if err != nil {
+		return "", err
+	}
+
+	// Convert to JSON for consistent unmarshaling
+	var jsonData []byte
+	switch format {
+	case unmarshal.RawFormatJSON:
+		jsonData = content
+	case unmarshal.RawFormatYAML:
+		jsonData, err = unmarshal.LoadJSONBytes(content, ".yaml")
+		if err != nil {
+			return "", err
+		}
+	case unmarshal.RawFormatCUE:
+		jsonData, err = unmarshal.LoadJSONBytes(content, ".cue")
+		if err != nil {
+			return "", err
+		}
+	default:
+		return "", fmt.Errorf("unsupported format: %s", format)
+	}
+
+	// Unmarshal just the metadata field
+	var schema metadataWithName
+	if err := json.Unmarshal(jsonData, &schema); err != nil {
+		// Not a v2 schema or invalid format
+		return "", nil
+	}
+
+	return schema.Metadata.Name, nil
+}
diff --git a/app/controlplane/api/controlplane/v1/workflow_contract.pb.go b/app/controlplane/api/controlplane/v1/workflow_contract.pb.go
index 5b65e3d17..663bca79b 100644
--- a/app/controlplane/api/controlplane/v1/workflow_contract.pb.go
+++ b/app/controlplane/api/controlplane/v1/workflow_contract.pb.go
@@ -671,38 +671,74 @@ var file_controlplane_v1_workflow_contract_proto_rawDesc = []byte{
 	0x03, 0x28, 0x0b, 0x32, 0x25, 0x2e, 0x63, 0x6f, 0x6e, 0x74, 0x72, 0x6f, 0x6c, 0x70, 0x6c, 0x61,
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+	0x76, 0x69, 0x63, 0x65, 0x44, 0x65, 0x6c, 0x65, 0x74, 0x65, 0x52, 0x65, 0x71, 0x75, 0x65, 0x73,
+	0x74, 0x1a, 0x36, 0x2e, 0x63, 0x6f, 0x6e, 0x74, 0x72, 0x6f, 0x6c, 0x70, 0x6c, 0x61, 0x6e, 0x65,
+	0x2e, 0x76, 0x31, 0x2e, 0x57, 0x6f, 0x72, 0x6b, 0x66, 0x6c, 0x6f, 0x77, 0x43, 0x6f, 0x6e, 0x74,
+	0x72, 0x61, 0x63, 0x74, 0x53, 0x65, 0x72, 0x76, 0x69, 0x63, 0x65, 0x44, 0x65, 0x6c, 0x65, 0x74,
+	0x65, 0x52, 0x65, 0x73, 0x70, 0x6f, 0x6e, 0x73, 0x65, 0x42, 0x4c, 0x5a, 0x4a, 0x67, 0x69, 0x74,
+	0x68, 0x75, 0x62, 0x2e, 0x63, 0x6f, 0x6d, 0x2f, 0x63, 0x68, 0x61, 0x69, 0x6e, 0x6c, 0x6f, 0x6f,
+	0x70, 0x2d, 0x64, 0x65, 0x76, 0x2f, 0x63, 0x68, 0x61, 0x69, 0x6e, 0x6c, 0x6f, 0x6f, 0x70, 0x2f,
+	0x61, 0x70, 0x70, 0x2f, 0x63, 0x6f, 0x6e, 0x74, 0x72, 0x6f, 0x6c, 0x70, 0x6c, 0x61, 0x6e, 0x65,
+	0x2f, 0x61, 0x70, 0x69, 0x2f, 0x63, 0x6f, 0x6e, 0x74, 0x72, 0x6f, 0x6c, 0x70, 0x6c, 0x61, 0x6e,
+	0x65, 0x2f, 0x76, 0x31, 0x3b, 0x76, 0x31, 0x62, 0x06, 0x70, 0x72, 0x6f, 0x74, 0x6f, 0x33,
 }
 
 var (
diff --git a/app/controlplane/api/controlplane/v1/workflow_contract.proto b/app/controlplane/api/controlplane/v1/workflow_contract.proto
index b78f29796..8e6510aae 100644
--- a/app/controlplane/api/controlplane/v1/workflow_contract.proto
+++ b/app/controlplane/api/controlplane/v1/workflow_contract.proto
@@ -39,10 +39,11 @@ message WorkflowContractServiceListResponse {
 
 message WorkflowContractServiceCreateRequest {
   string name = 1 [(buf.validate.field) = {
+    ignore_empty: true
     cel: {
+      id: "name.dns-1123"
       message: "must contain only lowercase letters, numbers, and hyphens."
       expression: "this.matches('^[a-z0-9]([-a-z0-9]*[a-z0-9])?$')"
-      id: "name.dns-1123"
     }
   }];
 
@@ -61,10 +62,11 @@ message WorkflowContractServiceCreateResponse {
 
 message WorkflowContractServiceUpdateRequest {
   string name = 1 [(buf.validate.field) = {
+    ignore_empty: true
     cel: {
+      id: "name.dns-1123"
       message: "must contain only lowercase letters, numbers, and hyphens."
       expression: "this.matches('^[a-z0-9]([-a-z0-9]*[a-z0-9])?$')"
-      id: "name.dns-1123"
     }
   }];
 
diff --git a/app/controlplane/api/workflowcontract/v1/crafting_schema_validations.go b/app/controlplane/api/workflowcontract/v1/crafting_schema_validations.go
index 8415c8231..ce774b528 100644
--- a/app/controlplane/api/workflowcontract/v1/crafting_schema_validations.go
+++ b/app/controlplane/api/workflowcontract/v1/crafting_schema_validations.go
@@ -1,5 +1,5 @@
 //
-// Copyright 2024 The Chainloop Authors.
+// Copyright 2024-2025 The Chainloop Authors.
 //
 // Licensed under the Apache License, Version 2.0 (the "License");
 // you may not use this file except in compliance with the License.
@@ -212,3 +212,79 @@ func validateIsDNS1123(name string) error {
 
 	return nil
 }
+
+// ValidateUniqueMaterialName validates that only one material definition
+// with the same ID is present in the schema
+func (contract *CraftingSchemaV2) ValidateUniqueMaterialName() error {
+	spec := contract.GetSpec()
+	if spec == nil {
+		return nil
+	}
+
+	materialNames := make(map[string]bool)
+	for _, m := range spec.GetMaterials() {
+		if _, found := materialNames[m.Name]; found {
+			return fmt.Errorf("material with name=%s is duplicated", m.Name)
+		}
+		materialNames[m.Name] = true
+	}
+
+	return nil
+}
+
+// ValidatePolicyAttachments validates policy references in the schema
+func (contract *CraftingSchemaV2) ValidatePolicyAttachments() error {
+	spec := contract.GetSpec()
+	if spec == nil || spec.GetPolicies() == nil {
+		return nil
+	}
+
+	policies := spec.GetPolicies()
+	attachments := append(policies.GetAttestation(), policies.GetMaterials()...)
+
+	for _, att := range attachments {
+		// Validate refs.
+		if att.GetRef() != "" {
+			if err := ValidatePolicyAttachmentRef(att.GetRef()); err != nil {
+				return fmt.Errorf("invalid reference %q: %w", att.GetRef(), err)
+			}
+		}
+	}
+
+	return nil
+}
+
+// ToV1 converts a v2 contract to v1 format for backward compatibility
+// This allows old CLIs to work with v2 contracts stored on the server
+func (contract *CraftingSchemaV2) ToV1() *CraftingSchema {
+	if contract == nil {
+		return nil
+	}
+
+	spec := contract.GetSpec()
+	if spec == nil {
+		return nil
+	}
+
+	v1 := &CraftingSchema{
+		SchemaVersion: "v1",
+		Materials:     spec.GetMaterials(),
+		EnvAllowList:  spec.GetEnvAllowList(),
+		Runner:        spec.GetRunner(),
+		Policies:      spec.GetPolicies(),
+		PolicyGroups:  spec.GetPolicyGroups(),
+	}
+
+	// Extract annotations from metadata if present
+	// Convert map[string]string to []*Annotation
+	if metadata := contract.GetMetadata(); metadata != nil {
+		for name, value := range metadata.GetAnnotations() {
+			v1.Annotations = append(v1.Annotations, &Annotation{
+				Name:  name,
+				Value: value,
+			})
+		}
+	}
+
+	return v1
+}
diff --git a/app/controlplane/internal/service/workflowcontract.go b/app/controlplane/internal/service/workflowcontract.go
index 96de16897..020ce02dc 100644
--- a/app/controlplane/internal/service/workflowcontract.go
+++ b/app/controlplane/internal/service/workflowcontract.go
@@ -19,6 +19,7 @@ import (
 	"context"
 
 	pb "github.com/chainloop-dev/chainloop/app/controlplane/api/controlplane/v1"
+	schemav1 "github.com/chainloop-dev/chainloop/app/controlplane/api/workflowcontract/v1"
 	"github.com/chainloop-dev/chainloop/app/controlplane/internal/usercontext/entities"
 	"github.com/chainloop-dev/chainloop/app/controlplane/pkg/authz"
 	"github.com/chainloop-dev/chainloop/app/controlplane/pkg/biz"
@@ -132,10 +133,15 @@ func (s *WorkflowContractService) Create(ctx context.Context, req *pb.WorkflowCo
 		}
 	}
 
-	// Currently supporting only v1 version
+	// Validate and extract contract name
+	contractName, err := validateAndExtractName(req.RawContract, req.Name)
+	if err != nil {
+		return nil, err
+	}
+
 	schema, err := s.contractUseCase.Create(ctx, &biz.WorkflowContractCreateOpts{
 		OrgID:       currentOrg.ID,
-		Name:        req.Name,
+		Name:        contractName,
 		Description: req.Description,
 		RawSchema:   req.RawContract,
 		ProjectID:   projectID,
@@ -153,7 +159,13 @@ func (s *WorkflowContractService) Update(ctx context.Context, req *pb.WorkflowCo
 		return nil, err
 	}
 
-	contract, err := s.contractUseCase.FindByNameInOrg(ctx, currentOrg.ID, req.GetName())
+	// Validate and extract contract name
+	contractName, err := validateAndExtractName(req.RawContract, req.GetName())
+	if err != nil {
+		return nil, err
+	}
+
+	contract, err := s.contractUseCase.FindByNameInOrg(ctx, currentOrg.ID, contractName)
 	if err != nil {
 		return nil, handleUseCaseErr(err, s.log)
 	} else if contract == nil {
@@ -176,7 +188,7 @@ func (s *WorkflowContractService) Update(ctx context.Context, req *pb.WorkflowCo
 		}
 	}
 
-	schemaWithVersion, err := s.contractUseCase.Update(ctx, currentOrg.ID, req.Name,
+	schemaWithVersion, err := s.contractUseCase.Update(ctx, currentOrg.ID, contractName,
 		&biz.WorkflowContractUpdateOpts{
 			Description: req.Description,
 			RawSchema:   req.RawContract,
@@ -295,3 +307,66 @@ func (s *WorkflowContractService) checkContractAccess(ctx context.Context, contr
 
 	return nil
 }
+
+// validateAndExtractName validates and extracts a name from either
+// an explicit name parameter OR from metadata.name in the v2 contract.
+// Returns error when:
+// - Neither explicit name nor metadata.name is provided
+// - Both are provided but have different values
+func validateAndExtractName(rawContract []byte, explicitName string) (string, error) {
+	// Extract name from v2 metadata if present
+	metadataName, err := extractNameFromMetadata(rawContract)
+	if err != nil {
+		return "", err
+	}
+
+	// Both provided
+	if explicitName != "" && metadataName != "" {
+		// If both are provided but different, that's a conflict
+		if explicitName != metadataName {
+			return "", errors.BadRequest("invalid", "conflicting names: explicit name and metadata.name are different")
+		}
+		// Names match, return it
+		return explicitName, nil
+	}
+
+	// Neither provided
+	if explicitName == "" && metadataName == "" {
+		if len(rawContract) == 0 {
+			return "", errors.BadRequest("invalid", "name is required when no contract is provided")
+		}
+		return "", errors.BadRequest("invalid", "name is required: either provide explicit name or include metadata.name in the schema")
+	}
+
+	// Return whichever name was provided
+	if explicitName != "" {
+		return explicitName, nil
+	}
+	return metadataName, nil
+}
+
+// extractNameFromMetadata attempts to extract the name from metadata.name in v2 contracts
+func extractNameFromMetadata(rawContract []byte) (string, error) {
+	if len(rawContract) == 0 {
+		return "", nil
+	}
+
+	// Identify the format
+	format, err := unmarshal.IdentifyFormat(rawContract)
+	if err != nil {
+		return "", errors.BadRequest("invalid", "failed to identify contract format")
+	}
+
+	// Try parsing as v2 Contract
+	v2Contract := &schemav1.CraftingSchemaV2{}
+	if err := unmarshal.FromRaw(rawContract, format, v2Contract, true); err == nil {
+		if v2Contract.GetMetadata() != nil {
+			if metadataName := v2Contract.GetMetadata().GetName(); metadataName != "" {
+				return metadataName, nil
+			}
+		}
+	}
+
+	// If v2 parsing failed or no metadata name, return empty string
+	return "", nil
+}
diff --git a/app/controlplane/pkg/biz/testdata/contracts/contract_v2.json b/app/controlplane/pkg/biz/testdata/contracts/contract_v2.json
new file mode 100644
index 000000000..4294c7991
--- /dev/null
+++ b/app/controlplane/pkg/biz/testdata/contracts/contract_v2.json
@@ -0,0 +1,29 @@
+{
+  "apiVersion": "chainloop.dev/v1",
+  "kind": "Contract",
+  "metadata": {
+    "name": "my-contract",
+    "description": "Test contract in new format"
+  },
+  "spec": {
+    "materials": [
+      {
+        "name": "my-image",
+        "type": "CONTAINER_IMAGE",
+        "optional": false
+      },
+      {
+        "name": "source-code", 
+        "type": "ARTIFACT",
+        "optional": true
+      }
+    ],
+    "runner": {
+      "type": "GITHUB_ACTION"
+    },
+    "envAllowList": [
+      "NODE_ENV",
+      "BUILD_VERSION"
+    ]
+  }
+}
\ No newline at end of file
diff --git a/app/controlplane/pkg/biz/testdata/contracts/contract_v2.yaml b/app/controlplane/pkg/biz/testdata/contracts/contract_v2.yaml
new file mode 100644
index 000000000..fad7c5fe7
--- /dev/null
+++ b/app/controlplane/pkg/biz/testdata/contracts/contract_v2.yaml
@@ -0,0 +1,18 @@
+apiVersion: chainloop.dev/v1
+kind: Contract
+metadata:
+  name: my-contract
+  description: Test contract in new format
+spec:
+  materials:
+    - name: my-image
+      type: CONTAINER_IMAGE
+      optional: false
+    - name: source-code
+      type: ARTIFACT
+      optional: true
+  runner:
+    type: GITHUB_ACTION
+  envAllowList:
+    - NODE_ENV
+    - BUILD_VERSION
\ No newline at end of file
diff --git a/app/controlplane/pkg/biz/testdata/contracts/invalid_contract_v2.yaml b/app/controlplane/pkg/biz/testdata/contracts/invalid_contract_v2.yaml
new file mode 100644
index 000000000..fb0d1f60b
--- /dev/null
+++ b/app/controlplane/pkg/biz/testdata/contracts/invalid_contract_v2.yaml
@@ -0,0 +1,10 @@
+apiVersion: chainloop.dev/v1
+kind: Contract
+metadata:
+  name: INVALID_NAME
+spec:
+  materials:
+    - name: duplicate
+      type: CONTAINER_IMAGE
+    - name: duplicate
+      type: ARTIFACT
\ No newline at end of file
diff --git a/app/controlplane/pkg/biz/workflowcontract.go b/app/controlplane/pkg/biz/workflowcontract.go
index 801e8c341..8386bfef7 100644
--- a/app/controlplane/pkg/biz/workflowcontract.go
+++ b/app/controlplane/pkg/biz/workflowcontract.go
@@ -68,8 +68,20 @@ type Contract struct {
 	Raw []byte
 	// Detected format as provided by the user
 	Format unmarshal.RawFormat
-	// marhalled proto contract
+	// marshalled proto v1 contract
 	Schema *schemav1.CraftingSchema
+	// marshalled proto v2 contract
+	Schemav2 *schemav1.CraftingSchemaV2
+}
+
+// isV2Schema returns true if the contract uses the v2 CraftingSchema format
+func (c *Contract) isV2Schema() bool {
+	return c.Schemav2 != nil
+}
+
+// isV1Schema returns true if the contract uses the v1 CraftingSchema format
+func (c *Contract) isV1Schema() bool {
+	return c.Schema != nil
 }
 
 type WorkflowContractWithVersion struct {
@@ -202,10 +214,9 @@ var EmptyDefaultContract = &Contract{
 	Raw: []byte("schemaVersion: v1"), Format: unmarshal.RawFormatYAML,
 }
 
-// we currently only support schema v1
 func (uc *WorkflowContractUseCase) Create(ctx context.Context, opts *WorkflowContractCreateOpts) (*WorkflowContract, error) {
-	if opts.OrgID == "" || opts.Name == "" {
-		return nil, NewErrValidationStr("organization and name are required")
+	if opts.OrgID == "" {
+		return nil, NewErrValidationStr("organization is required")
 	}
 
 	orgUUID, err := uuid.Parse(opts.OrgID)
@@ -213,6 +224,10 @@ func (uc *WorkflowContractUseCase) Create(ctx context.Context, opts *WorkflowCon
 		return nil, err
 	}
 
+	if opts.Name == "" {
+		return nil, NewErrValidationStr("name is required")
+	}
+
 	if err := ValidateIsDNS1123(opts.Name); err != nil {
 		return nil, NewErrValidation(err)
 	}
@@ -388,20 +403,48 @@ func (uc *WorkflowContractUseCase) ValidateContractPolicies(rawSchema []byte, to
 		return NewErrValidation(err)
 	}
 
-	for _, att := range c.Schema.GetPolicies().GetAttestation() {
-		if _, err := uc.findAndValidatePolicy(att, token); err != nil {
-			return NewErrValidation(err)
+	switch {
+	case c.isV1Schema():
+		// Handle v1 schema
+		// DEPRECATED: v1 schema is deprecated, use v2 Contract format instead
+		schema := c.Schema
+		for _, att := range schema.GetPolicies().GetAttestation() {
+			if _, err := uc.findAndValidatePolicy(att, token); err != nil {
+				return NewErrValidation(err)
+			}
 		}
-	}
-	for _, att := range c.Schema.GetPolicies().GetMaterials() {
-		if _, err := uc.findAndValidatePolicy(att, token); err != nil {
-			return NewErrValidation(err)
+		for _, att := range schema.GetPolicies().GetMaterials() {
+			if _, err := uc.findAndValidatePolicy(att, token); err != nil {
+				return NewErrValidation(err)
+			}
 		}
-	}
-	for _, gatt := range c.Schema.GetPolicyGroups() {
-		if _, err := uc.findPolicyGroup(gatt, token); err != nil {
-			return NewErrValidation(err)
+		for _, gatt := range schema.GetPolicyGroups() {
+			if _, err := uc.findPolicyGroup(gatt, token); err != nil {
+				return NewErrValidation(err)
+			}
+		}
+	case c.isV2Schema():
+		// Handle v2 schema
+		spec := c.Schemav2.GetSpec()
+		if spec.GetPolicies() != nil {
+			for _, att := range spec.GetPolicies().GetAttestation() {
+				if _, err := uc.findAndValidatePolicy(att, token); err != nil {
+					return NewErrValidation(err)
+				}
+			}
+			for _, att := range spec.GetPolicies().GetMaterials() {
+				if _, err := uc.findAndValidatePolicy(att, token); err != nil {
+					return NewErrValidation(err)
+				}
+			}
+		}
+		for _, gatt := range spec.GetPolicyGroups() {
+			if _, err := uc.findPolicyGroup(gatt, token); err != nil {
+				return NewErrValidation(err)
+			}
 		}
+	default:
+		return NewErrValidation(fmt.Errorf("invalid schema format"))
 	}
 
 	return nil
@@ -601,22 +644,40 @@ func (uc *WorkflowContractUseCase) findProvider(providerName string) (*policies.
 
 // UnmarshalAndValidateRawContract Takes the raw contract + format and will unmarshal the contract and validate it
 func UnmarshalAndValidateRawContract(raw []byte, format unmarshal.RawFormat) (*Contract, error) {
-	contract := &schemav1.CraftingSchema{}
-	err := unmarshal.FromRaw(raw, format, contract, true)
-	if err != nil {
-		return nil, NewErrValidation(err)
-	}
-
-	// Custom Validations
-	if err := contract.ValidateUniqueMaterialName(); err != nil {
-		return nil, NewErrValidation(err)
-	}
-
-	if err := contract.ValidatePolicyAttachments(); err != nil {
-		return nil, NewErrValidation(err)
+	// Try parsing as v2 Contract format first
+	v2Contract := &schemav1.CraftingSchemaV2{}
+	v2Err := unmarshal.FromRaw(raw, format, v2Contract, true)
+	if v2Err == nil {
+		// Custom Validations
+		if err := v2Contract.ValidateUniqueMaterialName(); err != nil {
+			return nil, NewErrValidation(fmt.Errorf("unique material name validation failed: %w", err))
+		}
+		if err := v2Contract.ValidatePolicyAttachments(); err != nil {
+			return nil, NewErrValidation(fmt.Errorf("policy attachment validation failed: %w", err))
+		}
+		// Convert to v1 for backward compatibility with old CLIs
+		v1Schema := v2Contract.ToV1()
+		return &Contract{Raw: raw, Format: format, Schema: v1Schema, Schemav2: v2Contract}, nil
+	}
+
+	// Fallback to v1 CraftingSchema format
+	// DEPRECATED: v1 schema is deprecated, use v2 Contract format instead
+	v1Contract := &schemav1.CraftingSchema{}
+	v1Err := unmarshal.FromRaw(raw, format, v1Contract, true)
+	if v1Err == nil {
+		// Custom Validations
+		if err := v1Contract.ValidateUniqueMaterialName(); err != nil {
+			return nil, NewErrValidation(fmt.Errorf("unique material name validation failed: %w", err))
+		}
+		if err := v1Contract.ValidatePolicyAttachments(); err != nil {
+			return nil, NewErrValidation(fmt.Errorf("policy attachment validation failed: %w", err))
+		}
+		return &Contract{Raw: raw, Format: format, Schema: v1Contract}, nil
 	}
 
-	return &Contract{Raw: raw, Format: format, Schema: contract}, nil
+	// Both parsing attempts failed
+	// Best effort: provide errors for both schemas
+	return nil, NewErrValidation(fmt.Errorf("contract validation failed:\n  v2 Contract format error: %w\n  v1 CraftingSchema format error: %w", v2Err, v1Err))
 }
 
 // Will try to figure out the format of the raw contract and validate it
diff --git a/app/controlplane/pkg/biz/workflowcontract_test.go b/app/controlplane/pkg/biz/workflowcontract_test.go
index 02feb719d..97b27e8a4 100644
--- a/app/controlplane/pkg/biz/workflowcontract_test.go
+++ b/app/controlplane/pkg/biz/workflowcontract_test.go
@@ -55,6 +55,18 @@ func TestIdentifyAndValidateRawContract(t *testing.T) {
 			filename:      "invalid_format.json",
 			wantFormatErr: true,
 		},
+		{
+			filename:   "contract_v2.yaml",
+			wantFormat: unmarshal.RawFormatYAML,
+		},
+		{
+			filename:   "contract_v2.json",
+			wantFormat: unmarshal.RawFormatJSON,
+		},
+		{
+			filename:          "invalid_contract_v2.yaml",
+			wantValidationErr: true,
+		},
 	}
 
 	for _, tc := range testData {
diff --git a/app/controlplane/pkg/data/workflowcontract.go b/app/controlplane/pkg/data/workflowcontract.go
index 81d589f38..29f24412c 100644
--- a/app/controlplane/pkg/data/workflowcontract.go
+++ b/app/controlplane/pkg/data/workflowcontract.go
@@ -29,7 +29,6 @@ import (
 	"github.com/chainloop-dev/chainloop/app/controlplane/pkg/data/ent/workflow"
 	"github.com/chainloop-dev/chainloop/app/controlplane/pkg/data/ent/workflowcontract"
 	"github.com/chainloop-dev/chainloop/app/controlplane/pkg/data/ent/workflowcontractversion"
-	"github.com/chainloop-dev/chainloop/app/controlplane/pkg/unmarshal"
 
 	"github.com/go-kratos/kratos/v2/log"
 	"github.com/google/uuid"
@@ -357,13 +356,13 @@ func entContractVersionToBizContractVersion(w *ent.WorkflowContractVersion) (*bi
 		}
 		// Scenario 2: contracts that have been updated after the introduction of the raw_body field will have the raw_body field populated
 		// but we also want to keep the Body field populated for backward compatibility
+		// Note: UnmarshalAndValidateRawContract ensures both Schema (v1) and Schemav2 (v2) are populated for v2 contracts
 	} else if len(w.Body) == 0 {
-		schema := &schemav1.CraftingSchema{}
-		err := unmarshal.FromRaw(w.RawBody, w.RawBodyFormat, schema, false)
+		parsedContract, err := biz.UnmarshalAndValidateRawContract(w.RawBody, w.RawBodyFormat)
 		if err != nil {
 			return nil, fmt.Errorf("failed to unmarshal raw body: %w", err)
 		}
-		contract.Schema = schema
+		contract.Schema = parsedContract.Schema
 	}
 
 	return &biz.WorkflowContractVersion{