diff --git a/Cargo.toml b/Cargo.toml
index 338d970..f1b7590 100644
--- a/Cargo.toml
+++ b/Cargo.toml
@@ -5,7 +5,15 @@ edition = "2021"
 
 # See more keys and their definitions at https://doc.rust-lang.org/cargo/reference/manifest.html
 
+[features]
+default = ["kms"]
+kms = ["dep:aws-config", "dep:aws-sdk-kms"]
+
 [dependencies]
+aws-config = { version = "0.55.3", optional = true }
+aws-sdk-kms = { version = "0.28.0", optional = true }
+base64 = "0.21.2"
+futures = "0.3.28"
 # Tokio Dependencies
 tokio = { version = "1.33.0", features = ["macros", "rt-multi-thread"] }
 axum = "0.6.20"
diff --git a/config/development.toml b/config/development.toml
index ac0521e..5d1539d 100644
--- a/config/development.toml
+++ b/config/development.toml
@@ -8,3 +8,7 @@ url = "postgres://sam:damn@localhost/locker"
 [secrets]
 tenant = "hyperswitch"
 master_key = "feffe9928665731c6d6a8f9467308308feffe9928665731c6d6a8f9467308308"
+
+[kms]
+region = "us-west-2"
+key_id = "abc"
diff --git a/src/app.rs b/src/app.rs
index 46154e9..e397039 100644
--- a/src/app.rs
+++ b/src/app.rs
@@ -5,6 +5,14 @@ use hyper::server::conn;
 
 use crate::{config, error, routes, storage};
 
+#[cfg(feature = "kms")]
+use crate::crypto::{
+    kms::{self, Base64Encoded, KmsData, Raw},
+    Encryption,
+};
+#[cfg(feature = "kms")]
+use std::marker::PhantomData;
+
 ///
 /// AppState:
 ///
@@ -43,6 +51,25 @@ where
 
 impl AppState {
     async fn new(config: config::Config) -> error_stack::Result<Self, error::ConfigurationError> {
+        #[cfg(feature = "kms")]
+        {
+            let master_key_kms_input: KmsData<Base64Encoded> = KmsData {
+                data: String::from_utf8(config.secrets.master_key.clone())
+                    .expect("Failed while converting bytes to String"),
+                decode_op: PhantomData,
+            };
+
+            #[allow(clippy::expect_used)]
+            let kms_decrypted_master_key: KmsData<Raw> = kms::get_kms_client(&config.kms)
+                .await
+                .decrypt(master_key_kms_input)
+                .await
+                .expect("Failed while performing KMS decryption");
+
+            let mut config = config.clone();
+            config.secrets.master_key = kms_decrypted_master_key.data;
+        }
+
         Ok(Self {
             db: storage::Storage::new(config.database.url.to_owned())
                 .await
diff --git a/src/config.rs b/src/config.rs
index 54c8e95..70ad3a5 100644
--- a/src/config.rs
+++ b/src/config.rs
@@ -1,3 +1,6 @@
+#[cfg(feature = "kms")]
+use crate::crypto::kms;
+
 use std::path::PathBuf;
 
 #[derive(Clone, serde::Deserialize)]
@@ -5,6 +8,8 @@ pub struct Config {
     pub server: Server,
     pub database: Database,
     pub secrets: Secrets,
+    #[cfg(feature = "kms")]
+    pub kms: kms::KmsConfig,
 }
 
 #[derive(Clone, serde::Deserialize)]
@@ -25,19 +30,13 @@ pub struct Secrets {
     pub master_key: Vec<u8>,
 }
 
-/// Function to deserialize hex -> Vec<u8> this is used in case of non KMS decryption
 fn deserialize_hex<'de, D>(deserializer: D) -> Result<Vec<u8>, D::Error>
 where
     D: serde::Deserializer<'de>,
 {
-    let hex_str: String = serde::Deserialize::deserialize(deserializer)?;
-
-    let bytes = match hex::decode(hex_str) {
-        Ok(data) => data,
-        Err(_) => return Err(serde::de::Error::custom("Base64 decoding error")),
-    };
+    let deserialized_str: String = serde::Deserialize::deserialize(deserializer)?;
 
-    Ok(bytes)
+    Ok(deserialized_str.into_bytes())
 }
 
 /// Get the origin directory of the project
diff --git a/src/crypto.rs b/src/crypto.rs
index d353d0e..1ef9a16 100644
--- a/src/crypto.rs
+++ b/src/crypto.rs
@@ -4,10 +4,21 @@
 /// A trait to be used internally for maintaining and managing encryption algorithms
 ///
 pub trait Encryption<I, O> {
-    type ReturnType<T>;
-    fn encrypt(&self, input: I) -> Self::ReturnType<O>;
-    fn decrypt(&self, input: O) -> Self::ReturnType<I>;
+    type ReturnType<'b, T>
+    where
+        Self: 'b;
+    fn encrypt(&self, input: I) -> Self::ReturnType<'_, O>;
+    fn decrypt(&self, input: O) -> Self::ReturnType<'_, I>;
 }
 
 pub mod aes;
 pub mod jw;
+#[cfg(feature = "kms")]
+pub mod kms;
+
+#[cfg(feature = "kms")]
+pub mod consts {
+    /// General purpose base64 engine
+    pub(crate) const BASE64_ENGINE: base64::engine::GeneralPurpose =
+        base64::engine::general_purpose::STANDARD;
+}
diff --git a/src/crypto/aes.rs b/src/crypto/aes.rs
index bfa639e..57beeed 100644
--- a/src/crypto/aes.rs
+++ b/src/crypto/aes.rs
@@ -71,8 +71,8 @@ impl ring::aead::NonceSequence for NonceSequence {
 }
 
 impl super::Encryption<Vec<u8>, Vec<u8>> for GcmAes256 {
-    type ReturnType<T> = error_stack::Result<T, error::CryptoError>;
-    fn encrypt(&self, mut input: Vec<u8>) -> Self::ReturnType<Vec<u8>> {
+    type ReturnType<'b, T> = error_stack::Result<T, error::CryptoError>;
+    fn encrypt(&self, mut input: Vec<u8>) -> Self::ReturnType<'_, Vec<u8>> {
         let nonce_sequence =
             NonceSequence::new().change_context(error::CryptoError::EncryptionError)?;
         let current_nonce = nonce_sequence.current();
@@ -87,7 +87,7 @@ impl super::Encryption<Vec<u8>, Vec<u8>> for GcmAes256 {
         Ok(input)
     }
 
-    fn decrypt(&self, input: Vec<u8>) -> Self::ReturnType<Vec<u8>> {
+    fn decrypt(&self, input: Vec<u8>) -> Self::ReturnType<'_, Vec<u8>> {
         let key = aead::UnboundKey::new(&aead::AES_256_GCM, &self.secret)
             .change_context(error::CryptoError::DecryptionError)?;
 
diff --git a/src/crypto/jw.rs b/src/crypto/jw.rs
index 3b8dc1f..51f7f54 100644
--- a/src/crypto/jw.rs
+++ b/src/crypto/jw.rs
@@ -72,9 +72,9 @@ impl JweBody {
 }
 
 impl super::Encryption<Vec<u8>, Vec<u8>> for JWEncryption {
-    type ReturnType<T> = Result<T, error::CryptoError>;
+    type ReturnType<'a, T> = Result<T, error::CryptoError>;
 
-    fn encrypt(&self, input: Vec<u8>) -> Self::ReturnType<Vec<u8>> {
+    fn encrypt(&self, input: Vec<u8>) -> Self::ReturnType<'_, Vec<u8>> {
         let payload = input;
         let jws_encoded = jws_sign_payload(&payload, self.private_key.as_bytes())?;
         let jws_body = JwsBody::from_str(&jws_encoded).ok_or(error::CryptoError::InvalidData(
@@ -87,7 +87,7 @@ impl super::Encryption<Vec<u8>, Vec<u8>> for JWEncryption {
         Ok(serde_json::to_vec(&jwe_body)?)
     }
 
-    fn decrypt(&self, input: Vec<u8>) -> Self::ReturnType<Vec<u8>> {
+    fn decrypt(&self, input: Vec<u8>) -> Self::ReturnType<'_, Vec<u8>> {
         let jwe_body: JweBody = serde_json::from_slice(&input)?;
         let jwe_encoded = jwe_body.get_dotted_jwe();
         let algo = jwe::RSA_OAEP;
diff --git a/src/crypto/kms.rs b/src/crypto/kms.rs
new file mode 100644
index 0000000..19dbfc8
--- /dev/null
+++ b/src/crypto/kms.rs
@@ -0,0 +1,225 @@
+use std::{marker::PhantomData, pin::Pin};
+
+use aws_config::meta::region::RegionProviderChain;
+use aws_sdk_kms::{config::Region, primitives::Blob, Client};
+use base64::Engine;
+use error_stack::{report, ResultExt};
+use futures::Future;
+
+use crate::crypto::Encryption;
+
+use super::consts;
+
+static KMS_CLIENT: tokio::sync::OnceCell<KmsClient> = tokio::sync::OnceCell::const_new();
+
+/// Returns a shared KMS client, or initializes a new one if not previously initialized.
+#[inline]
+pub async fn get_kms_client(config: &KmsConfig) -> &'static KmsClient {
+    KMS_CLIENT.get_or_init(|| KmsClient::new(config)).await
+}
+
+/// Configuration parameters required for constructing a [`KmsClient`].
+#[derive(Clone, Debug, Default, serde::Deserialize)]
+#[serde(default)]
+pub struct KmsConfig {
+    /// The AWS key identifier of the KMS key used to encrypt or decrypt data.
+    pub key_id: String,
+
+    /// The AWS region to send KMS requests to.
+    pub region: String,
+}
+
+/// Client for KMS operations.
+#[derive(Debug)]
+pub struct KmsClient {
+    inner_client: Client,
+    key_id: String,
+}
+
+impl KmsClient {
+    /// Constructs a new KMS client.
+    pub async fn new(config: &KmsConfig) -> Self {
+        let region_provider = RegionProviderChain::first_try(Region::new(config.region.clone()));
+        let sdk_config = aws_config::from_env().region(region_provider).load().await;
+
+        Self {
+            inner_client: Client::new(&sdk_config),
+            key_id: config.key_id.clone(),
+        }
+    }
+}
+
+/// Errors that could occur during KMS operations.
+#[derive(Debug, thiserror::Error)]
+pub enum KmsError {
+    /// An error occurred when base64 decoding input data.
+    #[error("Failed to base64 decode input data")]
+    Base64DecodingFailed,
+
+    /// An error occurred when hex decoding input data.
+    #[error("Failed to hex decode input data")]
+    HexDecodingFailed,
+
+    /// An error occurred when KMS decrypting input data.
+    #[error("Failed to KMS decrypt input data")]
+    DecryptionFailed,
+
+    /// The KMS decrypted output does not include a plaintext output.
+    #[error("Missing plaintext KMS decryption output")]
+    MissingPlaintextDecryptionOutput,
+
+    /// An error occurred UTF-8 decoding KMS decrypted output.
+    #[error("Failed to UTF-8 decode decryption output")]
+    Utf8DecodingFailed,
+
+    /// The KMS client has not been initialized.
+    #[error("The KMS client has not been initialized")]
+    KmsClientNotInitialized,
+}
+
+impl KmsConfig {
+    /// Verifies that the [`KmsClient`] configuration is usable.
+    pub fn validate(&self) -> Result<(), &'static str> {
+        if self.key_id.trim().is_empty() {
+            return Err("KMS AWS key ID must not be empty");
+        };
+
+        if self.region.trim().is_empty() {
+            return Err("KMS AWS region must not be empty");
+        }
+
+        Ok(())
+    }
+}
+
+#[derive(Clone, Debug, Default, serde::Deserialize, Eq, PartialEq)]
+
+pub struct KmsData<T: Decoder> {
+    pub data: T::Data,
+    pub decode_op: PhantomData<T>,
+}
+
+impl<T: Decoder> KmsData<T> {
+    pub fn into_decoded(self) -> Result<Vec<u8>, T::Error> {
+        T::decode(self.data)
+    }
+    pub fn encode(data: Vec<u8>) -> Result<Self, T::Error> {
+        Ok(Self {
+            data: T::encode(data)?,
+            decode_op: PhantomData,
+        })
+    }
+}
+
+pub trait Decoder {
+    type Data;
+    type Error;
+    fn encode(input: Vec<u8>) -> Result<Self::Data, Self::Error>;
+    fn decode(input: Self::Data) -> Result<Vec<u8>, Self::Error>;
+}
+
+pub struct StringEncoded;
+
+impl Decoder for StringEncoded {
+    type Data = String;
+    type Error = error_stack::Report<KmsError>;
+
+    fn encode(input: Vec<u8>) -> Result<Self::Data, Self::Error> {
+        String::from_utf8(input).change_context(KmsError::Utf8DecodingFailed)
+    }
+    fn decode(input: Self::Data) -> Result<Vec<u8>, Self::Error> {
+        Ok(input.into_bytes())
+    }
+}
+
+pub struct Base64Encoded;
+
+impl Decoder for Base64Encoded {
+    type Data = String;
+    type Error = error_stack::Report<KmsError>;
+
+    fn encode(input: Vec<u8>) -> Result<Self::Data, Self::Error> {
+        Ok(consts::BASE64_ENGINE.encode(input))
+    }
+    fn decode(input: Self::Data) -> Result<Vec<u8>, Self::Error> {
+        consts::BASE64_ENGINE
+            .decode(input)
+            .change_context(KmsError::Base64DecodingFailed)
+    }
+}
+
+pub struct HexEncoded;
+
+impl Decoder for HexEncoded {
+    type Data = String;
+    type Error = error_stack::Report<KmsError>;
+
+    fn encode(input: Vec<u8>) -> Result<Self::Data, Self::Error> {
+        Ok(hex::encode(input))
+    }
+    fn decode(input: Self::Data) -> Result<Vec<u8>, Self::Error> {
+        hex::decode(input).change_context(KmsError::HexDecodingFailed)
+    }
+}
+
+impl<U: Decoder<Error = error_stack::Report<KmsError>>>
+    Encryption<KmsData<U>, KmsData<Base64Encoded>> for KmsClient
+{
+    type ReturnType<'b, T> = Pin<Box<dyn Future<Output = error_stack::Result<T, KmsError>> + 'b>>;
+
+    fn encrypt(&self, _input: KmsData<U>) -> Self::ReturnType<'_, KmsData<Base64Encoded>> {
+        todo!()
+    }
+
+    fn decrypt<'a>(
+        &'a self,
+        input: KmsData<Base64Encoded>,
+    ) -> Pin<Box<dyn Future<Output = error_stack::Result<KmsData<U>, KmsError>> + 'a>> {
+        Box::pin(async move {
+            let data = input.into_decoded()?;
+            let ciphertext_blob = Blob::new(data.clone());
+
+            let decrypt_output = self
+                .inner_client
+                .decrypt()
+                .key_id(&self.key_id)
+                .ciphertext_blob(ciphertext_blob)
+                .send()
+                .await
+                .map_err(|error| {
+                    println!("Failed to KMS decrypt data: {error:?}");
+                    error
+                })
+                .change_context(KmsError::DecryptionFailed)?;
+
+            let output = decrypt_output
+                .plaintext
+                .ok_or(report!(KmsError::MissingPlaintextDecryptionOutput))
+                .and_then(|blob| {
+                    String::from_utf8(blob.into_inner())
+                        .change_context(KmsError::Utf8DecodingFailed)
+                })?;
+            let decoded_output = consts::BASE64_ENGINE
+                .decode(output)
+                .change_context(KmsError::Base64DecodingFailed)?;
+
+            KmsData::encode(decoded_output)
+        })
+    }
+}
+
+pub struct Raw;
+
+impl Decoder for Raw {
+    type Data = Vec<u8>;
+
+    type Error = error_stack::Report<KmsError>;
+
+    fn encode(input: Vec<u8>) -> Result<Self::Data, Self::Error> {
+        Ok(input)
+    }
+
+    fn decode(input: Self::Data) -> Result<Vec<u8>, Self::Error> {
+        Ok(input)
+    }
+}
diff --git a/src/storage/types.rs b/src/storage/types.rs
index 6428094..791d75f 100644
--- a/src/storage/types.rs
+++ b/src/storage/types.rs
@@ -155,7 +155,7 @@ pub(super) trait StorageDecryption: Sized {
     fn decrypt(
         self,
         algo: &Self::Algorithm,
-    ) -> <Self::Algorithm as crypto::Encryption<Vec<u8>, Vec<u8>>>::ReturnType<Self::Output>;
+    ) -> <Self::Algorithm as crypto::Encryption<Vec<u8>, Vec<u8>>>::ReturnType<'_, Self::Output>;
 }
 
 pub(super) trait StorageEncryption: Sized {
@@ -164,7 +164,7 @@ pub(super) trait StorageEncryption: Sized {
     fn encrypt(
         self,
         algo: &Self::Algorithm,
-    ) -> <Self::Algorithm as crypto::Encryption<Vec<u8>, Vec<u8>>>::ReturnType<Self::Output>;
+    ) -> <Self::Algorithm as crypto::Encryption<Vec<u8>, Vec<u8>>>::ReturnType<'_, Self::Output>;
 }
 
 impl StorageDecryption for MerchantInner {
@@ -175,7 +175,8 @@ impl StorageDecryption for MerchantInner {
     fn decrypt(
         self,
         algo: &Self::Algorithm,
-    ) -> <Self::Algorithm as crypto::Encryption<Vec<u8>, Vec<u8>>>::ReturnType<Self::Output> {
+    ) -> <Self::Algorithm as crypto::Encryption<Vec<u8>, Vec<u8>>>::ReturnType<'_, Self::Output>
+    {
         Ok(Self::Output {
             merchant_id: self.merchant_id,
             enc_key: algo.decrypt(self.enc_key.into_inner().expose())?.into(),
@@ -193,7 +194,8 @@ impl StorageEncryption for MerchantNew {
     fn encrypt(
         self,
         algo: &Self::Algorithm,
-    ) -> <Self::Algorithm as crypto::Encryption<Vec<u8>, Vec<u8>>>::ReturnType<Self::Output> {
+    ) -> <Self::Algorithm as crypto::Encryption<Vec<u8>, Vec<u8>>>::ReturnType<'_, Self::Output>
+    {
         Ok(Self::Output {
             merchant_id: self.merchant_id,
             enc_key: algo.encrypt(self.enc_key.expose())?.into(),
@@ -210,7 +212,8 @@ impl StorageDecryption for LockerInner {
     fn decrypt(
         self,
         algo: &Self::Algorithm,
-    ) -> <Self::Algorithm as crypto::Encryption<Vec<u8>, Vec<u8>>>::ReturnType<Self::Output> {
+    ) -> <Self::Algorithm as crypto::Encryption<Vec<u8>, Vec<u8>>>::ReturnType<'_, Self::Output>
+    {
         Ok(Self::Output {
             locker_id: self.locker_id,
             tenant_id: self.tenant_id,
@@ -230,7 +233,8 @@ impl StorageEncryption for LockerNew {
     fn encrypt(
         self,
         algo: &Self::Algorithm,
-    ) -> <Self::Algorithm as crypto::Encryption<Vec<u8>, Vec<u8>>>::ReturnType<Self::Output> {
+    ) -> <Self::Algorithm as crypto::Encryption<Vec<u8>, Vec<u8>>>::ReturnType<'_, Self::Output>
+    {
         Ok(Self::Output {
             locker_id: self.locker_id,
             tenant_id: self.tenant_id,