diff --git a/mcp/Readme.md b/mcp/Readme.md
index 68e04044171..d8b6db6fa12 100644
--- a/mcp/Readme.md
+++ b/mcp/Readme.md
@@ -1,13 +1,151 @@
-# Mesh Configuration Protocol Protos
-
-This folder contains the proto buffers used by the Mesh Configuration Protocol, 
-an [XDS](https://github.com/envoyproxy/data-plane-api/blob/master/XDS_PROTOCOL.md#streaming-grpc-subscriptions)
-inspired protocol for transferring configuration among Istio components 
-during runtime.
-
-The protocol buffers in this folder are not used for configuring Istio. 
-Instead, they define an internal protocol through which the configuration proto
-instances can be delivered to components, such as Mixer and Pilot.
-   
-The server side of the protocol is implemented in Galley, Istio's config 
-aggregation and distribution component.
+# Mesh Configuration Protocol (MCP)
+
+## Introduction
+
+This folder contains the proto buffers for the Mesh Configuration
+Protocol (MCP). MCP is based on
+[XDS](https://github.com/envoyproxy/data-plane-api/blob/master/XDS_PROTOCOL.md#streaming-grpc-subscriptions)
+and maintains conceptual alignment with it, despite the specific
+service and proto definitions being different.
+
+## Overview
+
+MCP is a subscription-based configuration distribution API. The
+configuration consumer (i.e. sink) requests updates for collections of
+resources from a configuration producer (i.e. source). The source
+pushes resource updates to the sink when resources are added, updated,
+or deleted. The sink positively ACK's the resource update, if it was
+accepted, and NACK's if it was rejected, e.g. because a resource was
+invalid. The source may push additional update once the previous
+update was ACK/NACK'd. The source should only have one outstanding
+update (per-collection) in flight at a time.
+
+MCP is a pair of bidirectional streaming gRPC API services
+(`ResourceSource` and `ResourceSink`).
+
+* The `ResourceSource` service is used when the resource source is the
+server and the sink is a client. By default, Galley implements the
+`ResourceSource` service and Pilot/Mixer connect as clients.
+
+* The `ResourceSink` service is used when the resource source is a
+client and the sink is the server. Galley can be configured to
+optionally "dial-out" to a remote configuration sink, e.g. Pilot is in
+another cluster where it cannot, as a client, initiate
+connection to Galley. In this scenario, Pilot would implement the
+`ResourceSink` service and Galley would connect as a client.
+
+ResourceSource and ResourceSink are semantically equivalent with
+regards to the message exchange. The only meaningful difference is who
+initiates the connection and opens the grpc stream.
+
+## Data model
+
+MCP is the mechanism of transport whereby Pilot and Mixer can be
+configured by a manager component. MCP defines a common per-resource
+metadata format and resource specific contents is defined elsewhere
+(e.g. https://github.com/istio/api/tree/master/networking/v1alpha3).
+
+### Collections
+
+Resources of the same type are organization into named
+collections. Istio API collection names are of the form
+`istio/<area>/<version>/<api>` where `<area>`, `<version>`, and `<api`
+are defined by the [API style guidelines](../GUIDELINES.md). For
+example, the collection name for VirtualService is
+`istio/networking/v1alpha3/virtualservices`.
+
+### Metadata
+
+## Connection establishment
+
+* `ResourceSource` service - The client is the resource sink. The
+client dials the server and establishes a new gRPC stream. The client
+sends RequestResources and receive Resources messages.
+
+![ResourceSource connection setup](v1alpha1/diagrams/ResourceSource-connection-setup.svg)
+
+* `ResourceSink` service - The client is the resource source. The
+client dials the server and establishes a new gRPC stream. The server
+sends RequestResources and receive Resources messages.
+
+![ResourceSink connection setup](v1alpha1/diagrams/ResourceSink-connection-setup.svg)
+
+## Configuration updates
+
+The following overview applies to both ResourceSink and ResourceSource
+services, regardless of client/server roles.
+
+The resource update protocol is derived from Incremental xDS. The
+protocol exchange is mostly the same except that resource hints have
+been removed. Most of the text and diagrams below are copied from the
+Incremental xDS docs and adjusted accordingly.
+
+In MCP, resources are first organized by collection. Within each
+collection, resources are uniquely identifiable by their metadata
+name. Individual resources are versioned to differentiate newer
+versions of the same named resource.
+
+A `RequestResource` message can be sent in two situations:
+
+* Initial message in an MCP bidirectional change stream
+
+* As an ACK or NACK response to a previous `Resources` message. In
+this case the `response_nonce` is set to the nonce value from the
+`Resources` message. ACK/NACK is determined by the presence of
+`error_detail` in the subsequent request.
+
+The initial `RequestResources` messages includes the collection
+corresponding to the subscribed set of resources
+(e.g. VirtualService), the node sink identifier, and nonce fields, and
+initial_resource_version (more on that later). The source send a
+`Resources` message when the requested resources are available.  After
+processing the `Resources` message , the sink sends a new
+`RequestResources` message on the stream, specifying the last version
+successfully applied and the nonce provided by the source.
+
+The nonce field is used to pair `RequestResources` and `Resources`
+messages per collection. The source should only send one outstanding
+`Resource` message at a time (per-collection) and wait for the sink to
+ACK/NACK. Upon receiving an update, the sink is expected to send an
+ACK/NACK relatively quickly after decoding, validating, and persisting
+the update to its internal configuration store.
+
+The source should ignore requests with stale and unknown nonces that
+do not match the nonce in the most recently sent `Resource` message.
+
+### Success examples
+
+The following example shows the sink receiving a sequence of changes
+which are successfully ACK'd.
+
+![Resource full-state update success](v1alpha1/diagrams/collection-full-state-update-success.svg)
+
+The following example shows the same desired resource delivered with
+incremental updates. This example assumes incremental is supported by
+the source. When source does not support incremental updates, the
+pushed `Resources` will always have incremental set to false,
+regardles of whether the sink requested an incremental update. At any
+time, the source can decide to push a full-state update, ignoring the
+sink's request. Both sides must negotiate (i.e. agree) to use
+incremental on a per request/response basis for an update to be sent
+incrementally.
+
+![Resource full-state incremental success](v1alpha1/diagrams/collection-incremental-update-success.svg)
+
+### Error example
+
+The following example shows what happens when a change cannot be applied.
+
+![Resource update error](v1alpha1/diagrams/collection-update-error.svg)
+
+The sink should only NACK in _exceptional_ cases. For example, if a set of 
+resources was invalid, malformed, or could not be decoded. NACK'd updates
+should raise an alarm for subsequent investigation by a human. The source 
+should not resend the same set of resources that were previously NACK'd. 
+Canary pushes to dedicated sinks may also be used to verify correctness 
+(non-NACK) before pushing to a larger fleet of resource sinks.
+
+The nonce in MCP is used to match RequestResources and Resources. On
+reconnect, the sinks may attempt to resume a session with the same
+source by specifying the known resources version with
+initial_resource_version for each collection.
diff --git a/mcp/v1alpha1/diagrams/ResourceSink-connection-setup.svg b/mcp/v1alpha1/diagrams/ResourceSink-connection-setup.svg
new file mode 100644
index 00000000000..7cf99b50e39
--- /dev/null
+++ b/mcp/v1alpha1/diagrams/ResourceSink-connection-setup.svg
@@ -0,0 +1 @@
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\ No newline at end of file
diff --git a/mcp/v1alpha1/diagrams/ResourceSource-connection-setup.svg b/mcp/v1alpha1/diagrams/ResourceSource-connection-setup.svg
new file mode 100644
index 00000000000..71af7d3a034
--- /dev/null
+++ b/mcp/v1alpha1/diagrams/ResourceSource-connection-setup.svg
@@ -0,0 +1 @@
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\ No newline at end of file
diff --git a/mcp/v1alpha1/diagrams/collection-full-state-update-success.svg b/mcp/v1alpha1/diagrams/collection-full-state-update-success.svg
new file mode 100644
index 00000000000..0be0e75ed0d
--- /dev/null
+++ b/mcp/v1alpha1/diagrams/collection-full-state-update-success.svg
@@ -0,0 +1 @@
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diff --git a/mcp/v1alpha1/diagrams/collection-update-error.svg b/mcp/v1alpha1/diagrams/collection-update-error.svg
new file mode 100644
index 00000000000..8b4a86fbade
--- /dev/null
+++ b/mcp/v1alpha1/diagrams/collection-update-error.svg
@@ -0,0 +1 @@
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