diff --git a/src/components/canvas/canvas.test.tsx b/src/components/canvas/canvas.test.tsx
index feab3c0..7337483 100644
--- a/src/components/canvas/canvas.test.tsx
+++ b/src/components/canvas/canvas.test.tsx
@@ -1,10 +1,13 @@
 import { Canvas } from '@/components/canvas/canvas';
 import { render, screen } from '@/mocks/testing-utils';
 import { EMPLOYEES_NODE, ORDERS_NODE } from '@/mocks/datasets/nodes';
+import { ORDERS_TO_EMPLOYEES_EDGE } from '@/mocks/datasets/edges';
 
 describe('canvas', () => {
   it('Should have elements on the canvas', () => {
-    render(<Canvas title={'MongoDB Diagram'} nodes={[ORDERS_NODE, EMPLOYEES_NODE]} />);
+    render(
+      <Canvas title={'MongoDB Diagram'} nodes={[ORDERS_NODE, EMPLOYEES_NODE]} edges={[ORDERS_TO_EMPLOYEES_EDGE]} />,
+    );
     expect(screen.getByRole('button', { name: /Plus/ })).toBeInTheDocument();
     expect(screen.getByRole('button', { name: /Minus/ })).toBeInTheDocument();
     expect(screen.getByRole('button', { name: /Full Screen/ })).toBeInTheDocument();
diff --git a/src/components/canvas/canvas.tsx b/src/components/canvas/canvas.tsx
index 0c0ba28..caafb67 100644
--- a/src/components/canvas/canvas.tsx
+++ b/src/components/canvas/canvas.tsx
@@ -1,14 +1,14 @@
 import '@xyflow/react/dist/style.css';
 import styled from '@emotion/styled';
-import { useEffect } from 'react';
-import { ReactFlow, Background, ProOptions, ReactFlowProps, useNodesState } from '@xyflow/react';
+import { Background, ProOptions, ReactFlow, ReactFlowProps, useNodesState } from '@xyflow/react';
 
 import { MiniMap } from '@/components/controls/mini-map';
 import { Controls } from '@/components/controls/controls';
-import { Node as ExternalNode } from '@/types';
+import { Edge, Node as ExternalNode } from '@/types';
 import { Node } from '@/components/node/node';
 import { useCanvas } from '@/components/canvas/use-canvas';
 import { InternalNode } from '@/types/internal';
+import { FloatingEdge } from '@/components/edge/floating-edge';
 
 const MAX_ZOOM = 3;
 const MIN_ZOOM = 0.1;
@@ -28,17 +28,16 @@ const nodeTypes = {
   connectable: Node,
 };
 
-type Props = Pick<ReactFlowProps, 'title'> & { nodes: ExternalNode[] };
+const edgeTypes = {
+  floatingEdge: FloatingEdge,
+};
 
-export const Canvas = ({ title, nodes: externalNodes }: Props) => {
-  const { initialNodes } = useCanvas(externalNodes);
+type Props = Pick<ReactFlowProps, 'title'> & { nodes: ExternalNode[]; edges: Edge[] };
 
-  const [nodes, setNodes, onNodesChange] = useNodesState<InternalNode>(initialNodes);
+export const Canvas = ({ title, nodes: externalNodes, edges }: Props) => {
+  const { initialNodes } = useCanvas(externalNodes);
 
-  useEffect(() => {
-    setNodes(initialNodes);
-    // eslint-disable-next-line react-hooks/exhaustive-deps
-  }, [initialNodes]);
+  const [nodes, , onNodesChange] = useNodesState<InternalNode>(initialNodes);
 
   return (
     <ReactFlowWrapper>
@@ -48,7 +47,10 @@ export const Canvas = ({ title, nodes: externalNodes }: Props) => {
         maxZoom={MAX_ZOOM}
         minZoom={MIN_ZOOM}
         nodeTypes={nodeTypes}
+        edgeTypes={edgeTypes}
         nodes={nodes}
+        onlyRenderVisibleElements={true}
+        edges={edges}
         onNodesChange={onNodesChange}
       >
         <Background />
diff --git a/src/components/canvas/use-canvas.test.tsx b/src/components/canvas/use-canvas.test.tsx
index 4ab6454..a6b4b4f 100644
--- a/src/components/canvas/use-canvas.test.tsx
+++ b/src/components/canvas/use-canvas.test.tsx
@@ -14,6 +14,10 @@ describe('use-canvas', () => {
           x: 100,
           y: 100,
         },
+        measured: {
+          height: 36,
+          width: 244,
+        },
         data: {
           borderVariant: undefined,
           fields: [
@@ -30,6 +34,10 @@ describe('use-canvas', () => {
           x: 300,
           y: 300,
         },
+        measured: {
+          height: 72,
+          width: 244,
+        },
         data: {
           borderVariant: undefined,
           fields: [
diff --git a/src/components/diagram.stories.tsx b/src/components/diagram.stories.tsx
index f8947af..38a9840 100644
--- a/src/components/diagram.stories.tsx
+++ b/src/components/diagram.stories.tsx
@@ -2,6 +2,7 @@ import { Meta, StoryObj } from '@storybook/react';
 
 import { Diagram } from '@/components/diagram';
 import { EMPLOYEES_NODE, ORDERS_NODE } from '@/mocks/datasets/nodes';
+import { ORDERS_TO_EMPLOYEES_EDGE } from '@/mocks/datasets/edges';
 
 const diagram: Meta<typeof Diagram> = {
   title: 'Diagram',
@@ -9,6 +10,7 @@ const diagram: Meta<typeof Diagram> = {
   args: {
     title: 'MongoDB Diagram',
     isDarkMode: true,
+    edges: [ORDERS_TO_EMPLOYEES_EDGE],
     nodes: [ORDERS_NODE, EMPLOYEES_NODE],
   },
 };
diff --git a/src/components/edge/floating-edge.test.tsx b/src/components/edge/floating-edge.test.tsx
new file mode 100644
index 0000000..b68fd46
--- /dev/null
+++ b/src/components/edge/floating-edge.test.tsx
@@ -0,0 +1,62 @@
+import { Position, useNodes } from '@xyflow/react';
+import { ComponentProps } from 'react';
+
+import { EMPLOYEES_NODE, ORDERS_NODE } from '@/mocks/datasets/nodes';
+import { render, screen } from '@/mocks/testing-utils';
+import { FloatingEdge } from '@/components/edge/floating-edge';
+
+vi.mock('@xyflow/react', async () => {
+  const actual = await vi.importActual<typeof import('@xyflow/react')>('@xyflow/react');
+  return {
+    ...actual,
+    useNodes: vi.fn(),
+  };
+});
+
+describe('floating-edge', () => {
+  beforeEach(() => {
+    const nodes = [
+      { ...ORDERS_NODE, data: { title: ORDERS_NODE.title, fields: ORDERS_NODE.fields } },
+      { ...EMPLOYEES_NODE, data: { title: EMPLOYEES_NODE.title, fields: EMPLOYEES_NODE.fields } },
+    ];
+    const mockedNodes = vi.mocked(useNodes);
+    mockedNodes.mockReturnValue(nodes);
+  });
+
+  const renderComponent = (props?: Partial<ComponentProps<typeof FloatingEdge>>) => {
+    return render(
+      <FloatingEdge
+        sourceX={100}
+        sourceY={100}
+        targetX={500}
+        targetY={500}
+        sourcePosition={Position.Left}
+        targetPosition={Position.Top}
+        id={'orders-to-employees'}
+        source={'orders'}
+        target={'employees'}
+        {...props}
+      />,
+    );
+  };
+
+  it('Should render edge', () => {
+    renderComponent();
+    const path = screen.getByTestId('floating-edge-orders-to-employees');
+    expect(path).toHaveAttribute('id', 'orders-to-employees');
+    expect(path).toHaveAttribute(
+      'd',
+      'M240 136L240 156L 240,213Q 240,218 245,218L 381,218Q 386,218 386,223L386 280L386 300',
+    );
+  });
+
+  it('Should not render edge if source does not exist', () => {
+    renderComponent({ source: 'unknown' });
+    expect(screen.queryByTestId('floating-edge-orders-to-employees')).not.toBeInTheDocument();
+  });
+
+  it('Should not render edge if target does not exist', () => {
+    renderComponent({ target: 'unknown' });
+    expect(screen.queryByTestId('floating-edge-orders-to-employees')).not.toBeInTheDocument();
+  });
+});
diff --git a/src/components/edge/floating-edge.tsx b/src/components/edge/floating-edge.tsx
new file mode 100644
index 0000000..5e5b260
--- /dev/null
+++ b/src/components/edge/floating-edge.tsx
@@ -0,0 +1,30 @@
+import { EdgeProps, getSmoothStepPath, useNodes } from '@xyflow/react';
+import { useMemo } from 'react';
+
+import { getEdgeParams } from '@/utilities/get-edge-params';
+import { InternalNode } from '@/types/internal';
+
+export const FloatingEdge = ({ id, source, target }: EdgeProps) => {
+  const nodes = useNodes<InternalNode>();
+
+  const { sourceNode, targetNode } = useMemo(() => {
+    const sourceNode = nodes.find(n => n.id === source);
+    const targetNode = nodes.find(n => n.id === target);
+    return { sourceNode, targetNode };
+  }, [nodes, source, target]);
+
+  if (!sourceNode || !targetNode) return null;
+
+  const { sx, sy, tx, ty, sourcePos, targetPos } = getEdgeParams(sourceNode, targetNode);
+
+  const [path] = getSmoothStepPath({
+    sourceX: sx,
+    sourceY: sy,
+    sourcePosition: sourcePos,
+    targetPosition: targetPos,
+    targetX: tx,
+    targetY: ty,
+  });
+
+  return <path data-testId={`floating-edge-${id}`} className="react-flow__edge-path" d={path} id={id} />;
+};
diff --git a/src/components/node/node.tsx b/src/components/node/node.tsx
index 05b3090..0c5af4c 100644
--- a/src/components/node/node.tsx
+++ b/src/components/node/node.tsx
@@ -1,4 +1,4 @@
-import { NodeProps, useViewport } from '@xyflow/react';
+import { Handle, NodeProps, Position, useViewport } from '@xyflow/react';
 import styled from '@emotion/styled';
 import { fontFamilies, spacing } from '@leafygreen-ui/tokens';
 import { useTheme } from '@emotion/react';
@@ -76,6 +76,10 @@ const NodeHeaderTitle = styled.div`
   ${ellipsisTruncation}
 `;
 
+const NodeHandle = styled(Handle)`
+  visibility: hidden;
+`;
+
 export const Node = ({ type, data: { title, fields, borderVariant } }: NodeProps<InternalNode>) => {
   const theme = useTheme();
   const { zoom } = useViewport();
@@ -91,6 +95,8 @@ export const Node = ({ type, data: { title, fields, borderVariant } }: NodeProps
 
   return (
     <NodeBorder variant={borderVariant}>
+      <NodeHandle id="source" position={Position.Right} type="source" />
+      <NodeHandle id="source" position={Position.Left} type="target" />
       <NodeWrapper accent={getAccent()}>
         <NodeHeader>
           {!isContextualZoom && (
diff --git a/src/mocks/datasets/edges.ts b/src/mocks/datasets/edges.ts
new file mode 100644
index 0000000..3af7794
--- /dev/null
+++ b/src/mocks/datasets/edges.ts
@@ -0,0 +1,10 @@
+import { Edge } from '@/types';
+
+export const ORDERS_TO_EMPLOYEES_EDGE: Edge = {
+  id: 'employees-to-orders',
+  type: 'floatingEdge',
+  source: 'employees',
+  target: 'orders',
+  markerEnd: 'one',
+  markerStart: 'one',
+};
diff --git a/src/mocks/datasets/nodes.tsx b/src/mocks/datasets/nodes.tsx
index 770af32..93edeaf 100644
--- a/src/mocks/datasets/nodes.tsx
+++ b/src/mocks/datasets/nodes.tsx
@@ -1,4 +1,5 @@
-import { Node } from '@/types/node';
+import { Node } from '@/types';
+import { DEFAULT_FIELD_HEIGHT, DEFAULT_NODE_WIDTH } from '@/utilities/constants';
 
 export const ORDERS_NODE: Node = {
   id: 'orders',
@@ -7,6 +8,10 @@ export const ORDERS_NODE: Node = {
     x: 100,
     y: 100,
   },
+  measured: {
+    width: DEFAULT_NODE_WIDTH,
+    height: DEFAULT_FIELD_HEIGHT * 2,
+  },
   title: 'orders',
   fields: [
     { name: 'ORDER_ID', type: 'varchar', glyphs: ['key'] },
@@ -21,6 +26,10 @@ export const EMPLOYEES_NODE: Node = {
     x: 300,
     y: 300,
   },
+  measured: {
+    width: DEFAULT_NODE_WIDTH,
+    height: DEFAULT_FIELD_HEIGHT * 4,
+  },
   title: 'employees',
   fields: [
     { name: 'employeeId', type: 'objectId', glyphs: ['key'] },
diff --git a/src/utilities/get-edge-params.test.ts b/src/utilities/get-edge-params.test.ts
new file mode 100644
index 0000000..97e2b7a
--- /dev/null
+++ b/src/utilities/get-edge-params.test.ts
@@ -0,0 +1,19 @@
+import { getEdgeParams } from '@/utilities/get-edge-params';
+import { EMPLOYEES_NODE, ORDERS_NODE } from '@/mocks/datasets/nodes';
+
+describe('get-edge-params', () => {
+  it('Should get parameters', () => {
+    const result = getEdgeParams(
+      { ...ORDERS_NODE, data: { title: ORDERS_NODE.title, fields: ORDERS_NODE.fields } },
+      { ...EMPLOYEES_NODE, data: { title: EMPLOYEES_NODE.title, fields: EMPLOYEES_NODE.fields } },
+    );
+    expect(result).toEqual({
+      sourcePos: 'bottom',
+      sx: 240,
+      sy: 136,
+      targetPos: 'top',
+      tx: 386,
+      ty: 300,
+    });
+  });
+});
diff --git a/src/utilities/get-edge-params.ts b/src/utilities/get-edge-params.ts
new file mode 100644
index 0000000..1e2f1b9
--- /dev/null
+++ b/src/utilities/get-edge-params.ts
@@ -0,0 +1,92 @@
+import { Position, XYPosition } from '@xyflow/react';
+
+import { InternalNode } from '@/types/internal';
+
+/**
+ * Returns the coordinates where a line connecting the centers of the source and target nodes intersects
+ * the edges of those nodes. This implementation is copied from:
+ * https://github.com/xyflow/xyflow/blob/main/examples/react/src/examples/FloatingEdges/utils.ts
+ *
+ * @param intersectionNode The source node
+ * @param targetNode The target node
+ */
+const getNodeIntersection = (intersectionNode: InternalNode, targetNode: InternalNode): XYPosition => {
+  const { width: intersectionNodeWidth, height: intersectionNodeHeight } = intersectionNode.measured ?? {
+    width: 0,
+    height: 0,
+  };
+  const targetPosition = targetNode.position;
+
+  const w = (intersectionNodeWidth ?? 0) / 2;
+  const h = (intersectionNodeHeight ?? 0) / 2;
+
+  const x2 = intersectionNode.position.x + w;
+  const y2 = intersectionNode.position.y + h;
+  const x1 = targetPosition.x + w;
+  const y1 = targetPosition.y + h;
+
+  const xx1 = (x1 - x2) / (2 * w) - (y1 - y2) / (2 * h);
+  const yy1 = (x1 - x2) / (2 * w) + (y1 - y2) / (2 * h);
+  const a = 1 / (Math.abs(xx1) + Math.abs(yy1));
+  const xx3 = a * xx1;
+  const yy3 = a * yy1;
+  const x = w * (xx3 + yy3) + x2;
+  const y = h * (-xx3 + yy3) + y2;
+
+  return { x, y };
+};
+
+/**
+ * Normalises the edge position based on co-ordinates of the edge
+ * @param node The node where the edge is pointing from. This implementation is copied from:
+ * https://github.com/xyflow/xyflow/blob/main/examples/react/src/examples/FloatingEdges/utils.ts
+ *
+ * @param intersectionPoint The position of the edge
+ */
+const getEdgePosition = (node: InternalNode, intersectionPoint: XYPosition) => {
+  const n = { ...node.position, ...node };
+  const nx = Math.round(n.x);
+  const ny = Math.round(n.y);
+  const px = Math.round(intersectionPoint.x);
+  const py = Math.round(intersectionPoint.y);
+
+  if (px <= nx + 1) {
+    return Position.Left;
+  }
+  if (px >= nx + (n.measured?.width ?? 0) - 1) {
+    return Position.Right;
+  }
+  if (py <= ny + 1) {
+    return Position.Top;
+  }
+  if (py >= n.y + (n.measured?.height ?? 0) - 1) {
+    return Position.Bottom;
+  }
+
+  return Position.Top;
+};
+
+/**
+ * Returns the coordinates where a line connecting the centers of the source and target nodes intersects
+ * the edges of those nodes. This implementation is copied from:
+ * https://github.com/xyflow/xyflow/blob/main/examples/react/src/examples/FloatingEdges/utils.ts
+ *
+ * @param source The source node
+ * @param target The target node
+ */
+export const getEdgeParams = (source: InternalNode, target: InternalNode) => {
+  const sourceIntersectionPoint = getNodeIntersection(source, target);
+  const targetIntersectionPoint = getNodeIntersection(target, source);
+
+  const sourcePos = getEdgePosition(source, sourceIntersectionPoint);
+  const targetPos = getEdgePosition(target, targetIntersectionPoint);
+
+  return {
+    sx: sourceIntersectionPoint.x,
+    sy: sourceIntersectionPoint.y,
+    tx: targetIntersectionPoint.x,
+    ty: targetIntersectionPoint.y,
+    sourcePos,
+    targetPos,
+  };
+};
diff --git a/tsconfig.json b/tsconfig.json
index 67d2c46..335b62f 100644
--- a/tsconfig.json
+++ b/tsconfig.json
@@ -30,10 +30,10 @@
   },
   "include": [
     "src",
+    ".storybook"
   ],
   "exclude": [
     "node_modules",
     "src/**/*.d.ts",
-    ".storybook"
   ]
 }