Record live and negative Tempo e2e runs in the execution log

Co-Authored-By: Claude <noreply@anthropic.com>

.claude/agents/operator-reviewer.md

@@ -0,0 +1,15 @@
+---
+name: operator-reviewer
+description: Reviews Kubernetes operator PRs for controller-runtime correctness, reconcile semantics, and API design
+tools: Read, Grep, Glob, Bash
+---
+You are a senior reviewer specializing in Kubernetes operators.
+Review with focus on:
+- Reconcile idempotency and requeue behavior; no state assumptions between reconciles
+- Informer cache reads vs direct API reads; stale-cache races
+- Finalizer handling, deletion flow, orphaned resources
+- CRD schema evolution, conversion webhooks, status subresource / conditions conventions
+- RBAC minimality vs what the controller actually touches
+- Leader election, watch predicates, event filtering for churn reduction
+- Go: context propagation, error wrapping, client.Object handling
+Output: findings ranked by severity, with file:line refs. No praise padding.

.claude/settings.json

@@ -63,7 +63,37 @@
       "Bash(grep -n 'func Channel' -A8 __CMDSUB_OUTPUT__/sigs.k8s.io/controller-runtime@v0.24.1/pkg/source/source.go)",
       "Bash(grep -n 'type GenericEvent' __CMDSUB_OUTPUT__/sigs.k8s.io/controller-runtime@v0.24.1/pkg/event/event.go)",
       "Bash(KUBEBUILDER_ASSETS=__TRACKED_VAR__/bin/k8s/1.36.2-darwin-arm64 go test -race ./...)",
-      "Bash(cat >> *)"
+      "Bash(cat >> *)",
+      "Bash(make run-dev *)",
+      "Bash(kubectl get *)",
+      "Bash(kubectl delete *)",
+      "Bash(make docker-build *)",
+      "Bash(kind load *)",
+      "Bash(make deploy *)",
+      "Bash(kubectl -n egress-proxies-operator-system rollout status deploy/egress-proxies-operator-controller-manager --timeout=120s)",
+      "Bash(kubectl -n egress-proxies-operator-system rollout restart deploy/egress-proxies-operator-controller-manager)",
+      "Bash(git -C /Users/jan.novak/srv/go/egress-proxies-operator add docs/plans/2026-08-11-1742-gcp-provider-verbose-logging.md)",
+      "Bash(git -C /Users/jan.novak/srv/go/egress-proxies-operator commit -m 'Add plan: verbose V-level logging in the GCP provider *)",
+      "Bash(echo \"exit: $?\")",
+      "Bash(echo \"tests exit: $?\")",
+      "Bash(./bin/manager --version)",
+      "Bash(./bin/manager-stamped --version)",
+      "Bash(./bin/manager-pkg --version)",
+      "Bash(docker run *)",
+      "Bash(kubectl -n egress-proxies-operator-system get pods -o wide)",
+      "Bash(kubectl -n egress-proxies-operator-system get deploy egress-proxies-operator-controller-manager -o jsonpath='{.spec.template.spec.containers[0].args}')",
+      "Bash(kubectl -n egress-proxies-operator-system logs deploy/egress-proxies-operator-controller-manager)",
+      "Bash(python3 -c \"import json; d=json.load\\(open\\('docs/deploy/sa_key.json'\\)\\); print\\(d.get\\('type'\\), d.get\\('client_email'\\)\\)\")",
+      "Bash(tea pr *)",
+      "Bash(git worktree *)",
+      "Bash(python3 -c \"import yaml; yaml.safe_load\\(open\\('.gitea/workflows/build.yaml'\\)\\); print\\('YAML OK'\\)\")",
+      "Bash(ruby -ryaml -e \"YAML.load_file\\('.gitea/workflows/build.yaml'\\); puts 'YAML OK'\")",
+      "Bash(git -C /Users/jan.novak/srv/go/egress-proxies-operator status --short --branch)",
+      "Bash(git -C /Users/jan.novak/srv/go/egress-proxies-operator log --oneline -1)",
+      "Bash(git -C /Users/jan.novak/srv/go/egress-proxies-operator tag 0.01)",
+      "Bash(git -C /Users/jan.novak/srv/go/egress-proxies-operator push origin 0.01)",
+      "Bash(chmod +x docs/demo/run-demo.sh)",
+      "Bash(bash -n docs/demo/run-demo.sh)"
     ],
     "additionalDirectories": [
       "/Users/jan.novak/srv/go/egress-proxies-operator/.claude",

.gitea/workflows/build.yaml

@@ -0,0 +1,76 @@
+name: Build and Push
+
+on:
+  workflow_dispatch:
+    inputs:
+      tag:
+        description: 'Image tag'
+        required: true
+        default: 'latest'
+  push:
+    tags:
+      - '*'
+
+concurrency:
+  group: build-${{ github.ref }}
+  cancel-in-progress: true
+
+jobs:
+  check:
+    runs-on: ubuntu-latest
+    steps:
+      - uses: actions/checkout@v4
+      - uses: actions/setup-go@v5
+        with:
+          go-version-file: go.mod
+          cache: true
+      - name: Vet
+        run: go vet ./...
+      - name: Build
+        run: go build ./...
+      - name: Test (short)
+        run: go test -short ./...
+
+  build:
+    needs: check
+    runs-on: ubuntu-latest
+    permissions:
+      contents: read
+      packages: write
+    steps:
+      - uses: actions/checkout@v4
+
+      - name: Compute image tags
+        id: meta
+        run: |
+          if [ "${{ github.event_name }}" = "workflow_dispatch" ]; then
+            TAG="${{ inputs.tag }}"
+          else
+            TAG="${{ github.ref_name }}"
+          fi
+          echo "tag=$TAG" >> "$GITHUB_OUTPUT"
+          echo "sha=sha-$(echo '${{ github.sha }}' | cut -c1-12)" >> "$GITHUB_OUTPUT"
+
+      - name: Login to Gitea registry
+        run: echo "${{ secrets.REGISTRY_TOKEN }}" | docker login -u ${{ github.actor }} --password-stdin gitea.home.hrajfrisbee.cz
+
+      - name: Build and push
+        run: |
+          IMAGE=gitea.home.hrajfrisbee.cz/${{ github.repository }}
+          docker build \
+            --build-arg GIT_COMMIT=$(echo '${{ github.sha }}' | cut -c1-12) \
+            --label org.opencontainers.image.source=https://gitea.home.hrajfrisbee.cz/${{ github.repository }} \
+            --label org.opencontainers.image.created=$(date -u +%Y-%m-%dT%H:%M:%SZ) \
+            -t "$IMAGE:${{ steps.meta.outputs.tag }}" \
+            -t "$IMAGE:${{ steps.meta.outputs.sha }}" \
+            .
+          docker push "$IMAGE:${{ steps.meta.outputs.tag }}"
+          docker push "$IMAGE:${{ steps.meta.outputs.sha }}"
+
+      # Only real tag pushes move :latest — an ad-hoc dispatch of an old ref must not clobber it.
+      - name: Push latest (tag builds only)
+        if: github.event_name == 'push'
+        run: |
+          IMAGE=gitea.home.hrajfrisbee.cz/${{ github.repository }}
+          docker tag "$IMAGE:${{ steps.meta.outputs.tag }}" "$IMAGE:latest"
+          docker push "$IMAGE:latest"

.gitignore

@@ -28,3 +28,6 @@ go.work
 
 # Kubeconfig might contain secrets
 *.kubeconfig
+
+# GCP service-account keys (created per docs/gcp-in-specific-project.md)
+sa_key.json

CHANGELOG.md

@@ -1 +1,25 @@
 # Changelog
+
+## 2026-08-10 09:34 CEST — kind e2e verified; fix Squid OOM in containers; quickstart goes in-cluster
+
+- Full end-to-end pass on a throwaway kind cluster: Squid pod Ready with a real CONNECT
+  probe (89 ms), lease grant/report/cooldown-409/release through the discovery API,
+  finalizer cleanup on delete.
+- Fixed the kubernetes provider's generated squid.conf: `max_filedescriptors 1024`
+  (squid sizes FD tables from the container's effectively-unlimited RLIMIT_NOFILE and
+  was OOM-killed at startup under kind/containerd) + `cache_mem 16 MB`.
+- README quickstart now deploys the operator in-cluster: `make run-dev` on a laptop
+  cannot reach kind pod IPs, so health probes fail by construction there (documented).
+
+## 2026-08-09 17:27 CEST — Operator wired end to end: reconciler, health, leases, discovery, GC, two providers
+
+- `cmd/main.go` is now the full composition root: `--providers-config` (required, fail-fast),
+  `--discovery-addr`, `--proxy-namespace`, `--health-workers`, `--gc-interval`, `--gc-min-age`,
+  `--gc-allow-namespaced`, `--lease-cooldown`, `--max-lease-ttl`; wires the kubernetes + gcp
+  providers (metrics-instrumented), health engine, lease store, discovery API, orphan GC, and
+  Prometheus metrics onto one manager.
+- Deploy manifests: providers ConfigMap mount, optional `DISCOVERY_TOKEN` Secret env,
+  discovery port 8090 + Service; pods RBAC for the kubernetes provider.
+- Samples for all three proxy flavors + providers-config; `make run-dev` for local development.
+- README rewritten (kind quickstart, GCP setup, the two load-bearing caveats); architecture doc
+  completed with components table and the full decision log.

CLAUDE.md

@@ -199,8 +199,18 @@ Always append a `Co-Authored-By` trailer to indicate AI assistance:
 
     Co-Authored-By: Claude <noreply@anthropic.com>
 
-TODO: no `.gitea/workflows/` CI pipeline exists yet — add a CI/CD subsection here once
+### CI/CD
-one is set up.
+
+`.gitea/workflows/build.yaml` builds the manager image and pushes it to the Gitea
+registry. Triggers: any tag push, or manual `workflow_dispatch` with a `tag` input.
+A lightweight `check` job (`go vet` / `go build` / `go test -short`) gates the build.
+
+- Images: `gitea.home.hrajfrisbee.cz/kacerr/egress-proxies-operator:<tag>` plus an
+  immutable `sha-<12-char-commit>` tag on every build; `:latest` moves only on real
+  tag pushes, never on manual dispatch.
+- Requires the `REGISTRY_TOKEN` repo secret (Gitea PAT with `write:package`),
+  same convention as the other projects on this Gitea instance.
+- The commit is baked into the binary via the `GIT_COMMIT` build arg (see Dockerfile).
 
 ## Gotchas
 

Dockerfile

@@ -2,6 +2,7 @@
 FROM golang:1.26 AS builder
 ARG TARGETOS
 ARG TARGETARCH
+ARG GIT_COMMIT=unknown
 
 WORKDIR /workspace
 # Copy the Go Modules manifests
@@ -19,11 +20,15 @@ COPY . .
 # was called. For example, if we call make docker-build in a local env which has the Apple Silicon M1 SO
 # the docker BUILDPLATFORM arg will be linux/arm64 when for Apple x86 it will be linux/amd64. Therefore,
 # by leaving it empty we can ensure that the container and binary shipped on it will have the same platform.
-RUN CGO_ENABLED=0 GOOS=${TARGETOS:-linux} GOARCH=${TARGETARCH} go build -a -o manager cmd/main.go
+RUN CGO_ENABLED=0 GOOS=${TARGETOS:-linux} GOARCH=${TARGETARCH} go build -a \
+    -ldflags "-X gitea.home.hrajfrisbee.cz/kacerr/egress-proxies-operator/internal/version.Commit=${GIT_COMMIT}" \
+    -o manager cmd/main.go
 
 # Use distroless as minimal base image to package the manager binary
 # Refer to https://github.com/GoogleContainerTools/distroless for more details
 FROM gcr.io/distroless/static:nonroot
+ARG GIT_COMMIT=unknown
+LABEL org.opencontainers.image.revision="${GIT_COMMIT}"
 WORKDIR /
 COPY --from=builder /workspace/manager .
 USER 65532:65532

Makefile

@@ -2,6 +2,9 @@
 IMG ?= controller:latest
 # YEAR defines the year value used for substituting the YEAR placeholder in the boilerplate header.
 YEAR ?= $(shell date +%Y)
+# GIT_COMMIT is baked into the image (-ldflags in the Dockerfile); -dirty
+# covers staged and untracked changes too, which `git diff --quiet` misses.
+GIT_COMMIT ?= $(shell git rev-parse --short=12 HEAD 2>/dev/null || echo unknown)$(shell test -z "$$(git status --porcelain 2>/dev/null)" || echo -dirty)
 
 # Get the currently used golang install path (in GOPATH/bin, unless GOBIN is set)
 ifeq (,$(shell go env GOBIN))
@@ -61,7 +64,7 @@ vet: ## Run go vet against code.
 
 .PHONY: test
 test: manifests generate fmt vet setup-envtest ## Run tests.
-	KUBEBUILDER_ASSETS="$(shell "$(ENVTEST)" use $(ENVTEST_K8S_VERSION) --bin-dir "$(LOCALBIN)" -p path)" go test $$(go list ./... | grep -v /e2e) -coverprofile cover.out
+	KUBEBUILDER_ASSETS="$(shell "$(ENVTEST)" use $(ENVTEST_K8S_VERSION) --bin-dir "$(LOCALBIN)" -p path)" go test -race $$(go list ./... | grep -v /e2e) -coverprofile cover.out
 
 # TODO(user): To use a different vendor for e2e tests, modify the setup under 'tests/e2e'.
 # The default setup assumes Kind is pre-installed and builds/loads the Manager Docker image locally.
@@ -87,7 +90,8 @@ setup-test-e2e: ## Set up a Kind cluster for e2e tests if it does not exist
 
 .PHONY: test-e2e
 test-e2e: setup-test-e2e manifests generate fmt vet ## Run the e2e tests. Expected an isolated environment using Kind.
-	KIND=$(KIND) KIND_CLUSTER=$(KIND_CLUSTER) go test -tags=e2e ./test/e2e/ -v -ginkgo.v
+	KIND=$(KIND) KIND_CLUSTER=$(KIND_CLUSTER) TEMPO_URL=$(TEMPO_URL) OTLP_ENDPOINT=$(OTLP_ENDPOINT) \
+		go test -tags=e2e ./test/e2e/ -v -ginkgo.v -timeout 30m
 	$(MAKE) cleanup-test-e2e
 
 .PHONY: cleanup-test-e2e
@@ -110,18 +114,22 @@ lint-config: golangci-lint ## Verify golangci-lint linter configuration
 
 .PHONY: build
 build: manifests generate fmt vet ## Build manager binary.
-	go build -o bin/manager cmd/main.go
+	go build -o bin/manager ./cmd
 
 .PHONY: run
 run: manifests generate fmt vet ## Run a controller from your host.
 	go run ./cmd/main.go
 
+.PHONY: run-dev
+run-dev: manifests generate fmt vet ## Run locally against the current kubeconfig with the kubernetes-pod provider.
+	go run ./cmd/main.go --providers-config hack/providers-dev.yaml --metrics-bind-address :8080 --metrics-secure=false
+
 # If you wish to build the manager image targeting other platforms you can use the --platform flag.
 # (i.e. docker build --platform linux/arm64). However, you must enable docker buildKit for it.
 # More info: https://docs.docker.com/develop/develop-images/build_enhancements/
 .PHONY: docker-build
 docker-build: ## Build docker image with the manager.
-	$(CONTAINER_TOOL) build -t ${IMG} .
+	$(CONTAINER_TOOL) build --build-arg GIT_COMMIT=$(GIT_COMMIT) -t ${IMG} .
 
 .PHONY: docker-push
 docker-push: ## Push docker image with the manager.
@@ -140,7 +148,7 @@ docker-buildx: ## Build and push docker image for the manager for cross-platform
 	sed -e '1 s/\(^FROM\)/FROM --platform=\$$\{BUILDPLATFORM\}/; t' -e ' 1,// s//FROM --platform=\$$\{BUILDPLATFORM\}/' Dockerfile > Dockerfile.cross
 	- $(CONTAINER_TOOL) buildx create --name egress-proxies-operator-builder
 	$(CONTAINER_TOOL) buildx use egress-proxies-operator-builder
-	- $(CONTAINER_TOOL) buildx build --push --platform=$(PLATFORMS) --tag ${IMG} -f Dockerfile.cross .
+	- $(CONTAINER_TOOL) buildx build --push --platform=$(PLATFORMS) --build-arg GIT_COMMIT=$(GIT_COMMIT) --tag ${IMG} -f Dockerfile.cross .
 	- $(CONTAINER_TOOL) buildx rm egress-proxies-operator-builder
 	rm Dockerfile.cross
 

README.md

@@ -1,135 +1,300 @@
 # egress-proxies-operator
-// TODO(user): Add simple overview of use/purpose
 
-## Description
+A Kubernetes operator that manages a fleet of HTTP egress proxies for
-// TODO(user): An in-depth paragraph about your project and overview of use
+crawling: each proxy is a `Proxy` custom resource that the operator
+provisions (or merely tracks), actively health-checks **through the proxy
+itself**, and hands out to crawler clients via an HTTP list/lease API.
 
-## Getting Started
+## Architecture in 60 seconds
 
-### Prerequisites
+- **`Proxy` CRD** (`crawl.example.com/v1alpha1`, namespaced, `kubectl get px`):
-- go version v1.24.6+
+  `Managed` proxies are provisioned by a configured provider; `External`
-- docker version 17.03+.
+  proxies exist elsewhere and are only tracked and health-checked.
-- kubectl version v1.11.3+.
+- **Reconciler** — a crash-safe state machine: every reconcile derives one
-- Access to a Kubernetes v1.11.3+ cluster.
+  action from (spec, status, provider Get). Proxies are **immutable
+  cattle**: any meaningful spec change (placement, cloud-init, port)
+  deletes and recreates the VM — never in-place mutation.
+- **Providers** behind one minimal interface: `kubernetes` (a real Squid
+  pod in this cluster — local dev/CI) and `gcp` (Compute Engine VMs with
+  ephemeral external IPs — the real egress fleet). Config is a YAML file
+  (`--providers-config`) with named instances (`gcp-eu`, `gcp-us`, ...).
+- **Health engine** probes every proxy by fetching a URL *through* it (a
+  real CONNECT tunnel — a proxy that accepts TCP but can't egress goes
+  Unhealthy), with threshold logic and transition-only status writes.
+- **Discovery API** (`:8090`): list healthy proxies filtered by
+  attributes, lease one (least-loaded, TTL-based), release, and report
+  rate-limiting — reports put the proxy in a per-target cooldown.
+- **Orphan GC** sweeps each provider for tagged instances whose owning CR
+  is gone — the safety net for crashes mid-create.
 
-### To Deploy on the cluster
+Details, diagrams, and recorded design decisions: [docs/architecture.md](docs/architecture.md).
-**Build and push your image to the location specified by `IMG`:**
+
+## Quickstart on kind (~5 minutes)
+
+Requires: kind, kubectl, docker, Go 1.26, jq (optional). The
+kubernetes-pod provider needs no cloud account — proxies are real
+`ubuntu/squid` pods in the kind cluster itself.
+
+The operator runs **in-cluster** for this quickstart. (Running it on your
+laptop with `make run-dev` provisions pods fine, but the health probe then
+originates on your machine, which cannot reach kind's pod IPs — the proxy
+would sit at `Unhealthy` forever. In-cluster, probes run where the pod
+network is routable.)
 
 ```sh
-make docker-build docker-push IMG=<some-registry>/egress-proxies-operator:tag
+kind create cluster --name proxy-operator-demo
+make install                                          # install the CRD
+make docker-build IMG=egress-proxies-operator:dev
+kind load docker-image egress-proxies-operator:dev --name proxy-operator-demo
+make deploy IMG=egress-proxies-operator:dev
+kubectl -n egress-proxies-operator-system rollout status deploy/egress-proxies-operator-controller-manager
 ```
 
-**NOTE:** This image ought to be published in the personal registry you specified.
+Create a proxy and watch it come up:
-And it is required to have access to pull the image from the working environment.
-Make sure you have the proper permission to the registry if the above commands don’t work.
-
-**Install the CRDs into the cluster:**
 
 ```sh
-make install
+kubectl apply -f config/samples/proxy_kubernetes.yaml
+kubectl get px -w
+# NAME                      MODE      PROVIDER     PHASE   IP           HEALTHY
+# proxy-kubernetes-sample   Managed   kubernetes   Ready   10.244.x.x   True
 ```
 
-**Deploy the Manager to the cluster with the image specified by `IMG`:**
+Once it's `Ready`, port-forward the discovery API and use it (full
+reference with schemas and error codes: [docs/api.md](docs/api.md)):
 
 ```sh
-make deploy IMG=<some-registry>/egress-proxies-operator:tag
+kubectl -n egress-proxies-operator-system port-forward \
+  svc/egress-proxies-operator-controller-manager-discovery-service 8090:8090 &
 ```
 
-> **NOTE**: If you encounter RBAC errors, you may need to grant yourself cluster-admin
-privileges or be logged in as admin.
-
-**Create instances of your solution**
-You can apply the samples (examples) from the config/sample:
-
 ```sh
-kubectl apply -k config/samples/
+# List healthy proxies
+curl -s 'localhost:8090/v1/proxies?healthy=true' | jq
+
+# Lease one (5-minute TTL)
+curl -s -XPOST localhost:8090/v1/leases \
+  -d '{"selector":{"geo":"local"},"ttlSeconds":300}' | jq
+# → {"leaseID":"...", "proxy":{"id":"default/proxy-kubernetes-sample", "ip":..., ...}}
+
+# Actually crawl through it (from inside the cluster, or port-forward the pod)
+# curl -x http://<proxy-ip>:3128 https://example.com
+
+# Report the proxy got rate-limited by a site → 15-minute cooldown for that target
+curl -s -XPOST localhost:8090/v1/leases/<leaseID>/report \
+  -d '{"result":"rate_limited","target":"example.com"}'
+
+# Release early (idempotent — 204 both times)
+curl -si -XDELETE localhost:8090/v1/leases/<leaseID>
 ```
 
->**NOTE**: Ensure that the samples has default values to test it out.
+Tear down:
-
-### To Uninstall
-**Delete the instances (CRs) from the cluster:**
 
 ```sh
-kubectl delete -k config/samples/
+kubectl delete -f config/samples/proxy_kubernetes.yaml   # finalizer deletes the pod
+kind delete cluster --name proxy-operator-demo
 ```
 
-**Delete the APIs(CRDs) from the cluster:**
+## Deploying in-cluster
 
 ```sh
-make uninstall
+make docker-build IMG=<registry>/egress-proxies-operator:dev
+make deploy IMG=<registry>/egress-proxies-operator:dev
 ```
 
-**UnDeploy the controller from the cluster:**
+- Provider config comes from the `providers-config` ConfigMap
+  ([config/manager/providers_config.yaml](config/manager/providers_config.yaml));
+  the default ships only the kubernetes provider.
+- The discovery API is exposed by the
+  `controller-manager-discovery-service` Service on port 8090.
+- Auth: create the token Secret, or the API serves **unauthenticated**
+  (it warns loudly at startup):
+
+  ```sh
+  kubectl -n egress-proxies-operator-system create secret generic discovery-token \
+    --from-literal=token="$(openssl rand -hex 24)"
+  ```
+
+## GCP setup
+
+1. Add a `gcp` entry to the providers config (see
+   [config/samples/providers-config.yaml](config/samples/providers-config.yaml)) —
+   only `project` is required.
+2. Credentials are **Application Default Credentials**: workload identity
+   in-cluster, `gcloud auth application-default login` locally. No
+   key-file plumbing exists.
+3. The identity needs `roles/compute.instanceAdmin.v1` on the project —
+   plus `roles/iam.serviceAccountUser` if instances attach a service
+   account.
+4. Managed GCP proxies must set all of `placement.zone`,
+   `placement.machineType`, and `placement.image`
+   (see [config/samples/proxy_gcp.yaml](config/samples/proxy_gcp.yaml),
+   which also installs Squid via cloud-init). A missing field fails the
+   Proxy with a message naming it.
+
+Cloud-init from a Secret: the Secret **must** carry the label
+`crawl.example.com/cloud-init: "true"` — the operator's cache only holds
+labelled Secrets, so an unlabelled one is invisible (the Proxy reports
+`CloudInitError`). Rotating the Secret's content triggers VM replacement.
+
+## Providers
+
+`Managed` proxies are provisioned by a provider — a small compute backend
+behind one minimal interface. Providers are configured in the
+`--providers-config` YAML file as **named instances**: `spec.provider` on a
+Proxy refers to an entry's `name`, not its `type`, so `gcp-eu` and `gcp-us`
+can be two differently-configured instances of the same `gcp` type (see
+[config/samples/providers-config.yaml](config/samples/providers-config.yaml)).
+
+### Implemented providers
+
+| Type | Creates | Per-instance config | Notes |
+| --- | --- | --- | --- |
+| `kubernetes` | A real Squid pod (`ubuntu/squid:6.6-24.04_edge` by default) in the same cluster the operator runs in | `image` (optional) | Needs no cloud account — local dev, CI, and the kind quickstart. Pods share the cluster's egress IP, so it exercises the full lifecycle but not distinct egress paths. |
+| `gcp` | A Compute Engine VM with an ephemeral external IP | `project` (required), `network`, `networkTag`, `diskSizeGb` | The real egress fleet. Deliberately uses only four API calls (Insert / Get / Delete / AggregatedList), all fire-and-forget: `Create` returns as soon as the operation is submitted and the reconciler discovers progress by polling `Get`. Auth is Application Default Credentials — workload identity in-cluster, `gcloud` ADC locally; no key-file plumbing. |
+
+### Adding a provider
+
+A new backend (Hetzner, AWS, ...) is four pieces; the contract lives in
+[internal/provider/provider.go](internal/provider/provider.go):
+
+1. **Implement the 4-method `Provider` interface** in a new
+   `internal/provider/<type>/` package:
+   - `Create` submits and returns — it never blocks until the VM runs, and
+     must be idempotent keyed on `req.Name` (a deterministic name derived
+     from the Proxy's UID), so a repeat call after a crash finds the
+     existing instance instead of duplicating it.
+   - `Get` returns `provider.ErrNotFound` as a *normal* outcome — the
+     reconciler branches on it for replacement and adoption, so don't
+     treat it as exceptional.
+   - `Delete` is idempotent: deleting an already-gone instance is not an
+     error.
+   - `ListByTag` returns every instance the operator ever tagged, for
+     orphan GC.
+2. **Tag every created resource** with `LabelManaged=true` and
+   `LabelUID=<Proxy UID>`, and report `CreatedAt` — orphan GC relies on
+   all three to find owned resources and skip in-flight creates.
+3. **Classify every returned error** with `provider.Wrap` into the
+   four-sentinel taxonomy in
+   [internal/provider/errors.go](internal/provider/errors.go)
+   (`ErrNotFound` / `ErrQuotaExceeded` / `ErrTransient` / `ErrPermanent`)
+   — the reconciler decides retry, slow backoff, or latching `Failed`
+   purely from that classification, never from provider-specific types.
+4. **Wire it up**: add a type-specific config block in
+   [internal/provider/config.go](internal/provider/config.go), and
+   register the constructor in the builtins map in
+   [cmd/main.go](cmd/main.go) (`"<type>": <pkg>.New`). The registry
+   ([internal/provider/registry](internal/provider/registry/registry.go))
+   handles named instances, and the metrics wrapper is applied
+   automatically.
+
+Test against a fake API seam rather than the real cloud — see the
+`instancesAPI` seam in
+[internal/provider/gcp/gcp.go](internal/provider/gcp/gcp.go) for the
+pattern.
+
+## Tracing
+
+OpenTelemetry tracing is built in but **off by default** — the operator
+only exports spans when pointed at an OTLP receiver:
+
+```bash
+# In config/manager/manager.yaml (commented-out block is already there):
+#   OTEL_EXPORTER_OTLP_ENDPOINT=http://jaeger-collector.observability:4318
+# Local dev: print spans to stdout instead
+OTEL_TRACES_EXPORTER=console go run ./cmd --providers-config hack/providers-dev.yaml
+```
+
+Every reconcile, discovery API request, and GC sweep becomes a trace, with
+child spans for provider and Kubernetes API calls; log lines inside a traced
+operation carry matching `traceID`/`spanID` fields (point Grafana/Loki
+derived fields at `traceID`). Sampling and endpoints follow the standard
+`OTEL_*` env vars; `--trace-health-probes` additionally traces each health
+probe (high volume). Details in `docs/architecture.md` §10.
+
+## Caveats — read these two
+
+**Changing a proxy changes its IP.** Proxies are immutable cattle: editing
+`placement`, `cloudInit` (or rotating its Secret), or `port` deletes the
+VM and creates a replacement with the **same name but a new IP**. Clients
+discover the new address via the discovery API; anything that pinned the
+old IP breaks by design.
+
+**Operator restart drops all leases and cooldowns.** Lease state is
+in-memory (`replicas: 1` accordingly). Clients must tolerate a lease
+vanishing — requests through the proxy keep working; they just re-lease.
+The lease store sits behind an interface so a persistent backend can
+replace it without touching the API handlers.
+
+Smaller notes:
+
+- `status.lastHealthCheckTime` is the time of the last *status-affecting*
+  probe, not the most recent probe — status writes are transition-only by
+  design. True probe recency lives in the metrics
+  (`proxy_operator_healthcheck_*`).
+- The discovery API is served by every replica but is not leader-elected;
+  the operator ships with `replicas: 1` (see the lease caveat above).
+
+## Version pins
+
+Built and verified against the spec's pins with **no substitutions
+needed**: Go 1.26, kubebuilder v4.15.0, controller-runtime v0.24.1,
+k8s.io/* v0.36.3 (Kubernetes 1.36 API level), controller-tools v0.21.0,
+cloud.google.com/go/compute v1.65.0. envtest uses the 1.36.2 binary
+bundle (the latest 1.36 patch with published binaries — do not "fix" the
+Makefile's derived version to 1.36.3, which has none).
+
+## Gitea CI
+
+[.gitea/workflows/build.yaml](.gitea/workflows/build.yaml) builds the
+manager image and pushes it to this Gitea instance's container registry.
+It runs on **any tag push** or manually via **Run workflow** (with a `tag`
+input) — never on branch pushes. A lightweight `check` job (`go vet`,
+`go build`, `go test -short`) gates the build.
+
+Every build pushes two tags to
+`gitea.home.hrajfrisbee.cz/kacerr/egress-proxies-operator`:
+
+- the human tag (the git tag, or the dispatch input), and
+- an immutable `sha-<12-char-commit>` tag — pin deployments to this one.
+
+`:latest` is additionally updated on real tag pushes only, so a manual
+dispatch of an old ref can never clobber it. The commit is baked into the
+binary (`internal/version.Commit`) via the `GIT_COMMIT` build arg.
+
+### Mandatory Gitea secrets
+
+Set under **Settings → Actions → Secrets** in this repo:
+
+| Secret           | Required by                   | What it is                               |
+| ---------------- | ----------------------------- | ---------------------------------------- |
+| `REGISTRY_TOKEN` | `build.yaml` (registry login) | Gitea PAT with the `write:package` scope |
+
+The token is paired with `${{ github.actor }}` as the username, so it
+must belong to the user triggering the workflow — same convention as the
+other projects on this instance.
+
+Without `REGISTRY_TOKEN` the `check` job still passes but the build job
+fails at the `docker login` step. No other secrets are needed — the
+workflow does not deploy anywhere.
+
+## Development
 
 ```sh
-make undeploy
+make test        # unit + envtest suites, with -race (sets up envtest binaries itself)
+go test -short ./...   # skip the envtest suite
+make run-dev     # run against the current kubeconfig context
 ```
 
-## Project Distribution
+`make run-dev` is for iterating on the operator itself: provisioning,
+replacement, the discovery API, and External proxies all work from your
+laptop. Health checks against in-cluster pods do **not** (see the
+quickstart note) — use the in-cluster deploy to see a kubernetes-provider
+proxy go `Ready`.
 
-Following the options to release and provide this solution to the users.
+The full test inventory — what each suite covers, the deliberate gaps,
-
+and the manual kind verification procedure — is in
-### By providing a bundle with all YAML files
+[docs/testing.md](docs/testing.md).
-
-1. Build the installer for the image built and published in the registry:
-
-```sh
-make build-installer IMG=<some-registry>/egress-proxies-operator:tag
-```
-
-**NOTE:** The makefile target mentioned above generates an 'install.yaml'
-file in the dist directory. This file contains all the resources built
-with Kustomize, which are necessary to install this project without its
-dependencies.
-
-2. Using the installer
-
-Users can just run 'kubectl apply -f <URL for YAML BUNDLE>' to install
-the project, i.e.:
-
-```sh
-kubectl apply -f https://raw.githubusercontent.com/<org>/egress-proxies-operator/<tag or branch>/dist/install.yaml
-```
-
-### By providing a Helm Chart
-
-1. Build the chart using the optional helm plugin
-
-```sh
-kubebuilder edit --plugins=helm/v2-alpha
-```
-
-2. See that a chart was generated under 'dist/chart', and users
-can obtain this solution from there.
-
-**NOTE:** If you change the project, you need to update the Helm Chart
-using the same command above to sync the latest changes. Furthermore,
-if you create webhooks, you need to use the above command with
-the '--force' flag and manually ensure that any custom configuration
-previously added to 'dist/chart/values.yaml' or 'dist/chart/manager/manager.yaml'
-is manually re-applied afterwards.
-
-## Contributing
-// TODO(user): Add detailed information on how you would like others to contribute to this project
-
-**NOTE:** Run `make help` for more information on all potential `make` targets
-
-More information can be found via the [Kubebuilder Documentation](https://book.kubebuilder.io/introduction.html)
-
-## License
-
-Copyright 2026.
-
-Licensed under the Apache License, Version 2.0 (the "License");
-you may not use this file except in compliance with the License.
-You may obtain a copy of the License at
-
-    http://www.apache.org/licenses/LICENSE-2.0
-
-Unless required by applicable law or agreed to in writing, software
-distributed under the License is distributed on an "AS IS" BASIS,
-WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
-See the License for the specific language governing permissions and
-limitations under the License.
 
+Project layout, reconcile-loop diagrams, and the decision log are in
+[docs/architecture.md](docs/architecture.md); the build history is in
+[docs/plans-executions/](docs/plans-executions/).

api/v1alpha1/proxy_types.go

@@ -61,6 +61,12 @@ const (
 	// provision. A mismatch against the freshly computed hash means the VM
 	// must be replaced.
 	AnnotationSpecHash = "crawl.example.com/spec-hash"
+
+	// LabelCloudInit must be set (to "true") on every Secret referenced by
+	// spec.cloudInit.secretRef: the manager's cache only holds Secrets
+	// carrying this label, so an unlabelled Secret is invisible to the
+	// operator — both to the resolve step and to the rotation watch.
+	LabelCloudInit = "crawl.example.com/cloud-init"
 )
 
 // Defaults, applied both by CRD structural defaulting (kubebuilder:default

cmd/main.go

@@ -14,28 +14,53 @@ See the License for the specific language governing permissions and
 limitations under the License.
 */
 
+// Package main is the composition root: it loads the provider config (fail
+// fast), assembles the provider registry, and wires the reconciler, health
+// engine, lease store, discovery API, orphan GC, and metrics onto one
+// controller-runtime manager.
 package main
 
 import (
+	"context"
 	"crypto/tls"
 	"flag"
+	"fmt"
 	"os"
+	goruntime "runtime"
+	"time"
 
 	// Import all Kubernetes client auth plugins (e.g. Azure, GCP, OIDC, etc.)
 	// to ensure that exec-entrypoint and run can make use of them.
 	_ "k8s.io/client-go/plugin/pkg/client/auth"
 
+	corev1 "k8s.io/api/core/v1"
+	"k8s.io/apimachinery/pkg/labels"
 	"k8s.io/apimachinery/pkg/runtime"
 	utilruntime "k8s.io/apimachinery/pkg/util/runtime"
 	clientgoscheme "k8s.io/client-go/kubernetes/scheme"
 	ctrl "sigs.k8s.io/controller-runtime"
+	"sigs.k8s.io/controller-runtime/pkg/cache"
+	"sigs.k8s.io/controller-runtime/pkg/client"
 	"sigs.k8s.io/controller-runtime/pkg/healthz"
+	logf "sigs.k8s.io/controller-runtime/pkg/log"
 	"sigs.k8s.io/controller-runtime/pkg/log/zap"
+	ctrlmetrics "sigs.k8s.io/controller-runtime/pkg/metrics"
 	"sigs.k8s.io/controller-runtime/pkg/metrics/filters"
 	metricsserver "sigs.k8s.io/controller-runtime/pkg/metrics/server"
 
 	crawlv1alpha1 "gitea.home.hrajfrisbee.cz/kacerr/egress-proxies-operator/api/v1alpha1"
 	"gitea.home.hrajfrisbee.cz/kacerr/egress-proxies-operator/internal/controller"
+	"gitea.home.hrajfrisbee.cz/kacerr/egress-proxies-operator/internal/discovery"
+	"gitea.home.hrajfrisbee.cz/kacerr/egress-proxies-operator/internal/gc"
+	"gitea.home.hrajfrisbee.cz/kacerr/egress-proxies-operator/internal/health"
+	"gitea.home.hrajfrisbee.cz/kacerr/egress-proxies-operator/internal/lease"
+	"gitea.home.hrajfrisbee.cz/kacerr/egress-proxies-operator/internal/metrics"
+	"gitea.home.hrajfrisbee.cz/kacerr/egress-proxies-operator/internal/provider"
+	"gitea.home.hrajfrisbee.cz/kacerr/egress-proxies-operator/internal/provider/gcp"
+	"gitea.home.hrajfrisbee.cz/kacerr/egress-proxies-operator/internal/provider/kubernetes"
+	"gitea.home.hrajfrisbee.cz/kacerr/egress-proxies-operator/internal/provider/registry"
+	"gitea.home.hrajfrisbee.cz/kacerr/egress-proxies-operator/internal/tracing"
+	"gitea.home.hrajfrisbee.cz/kacerr/egress-proxies-operator/internal/version"
 	// +kubebuilder:scaffold:imports
 )
 
@@ -60,6 +85,18 @@ func main() {
 	var secureMetrics bool
 	var enableHTTP2 bool
 	var tlsOpts []func(*tls.Config)
+
+	var providersConfig string
+	var discoveryAddr string
+	var proxyNamespace string
+	var healthWorkers int
+	var gcInterval, gcMinAge time.Duration
+	var gcAllowNamespaced bool
+	var leaseCooldown, maxLeaseTTL time.Duration
+	var showVersion bool
+	var gcpWireFullPayloads bool
+	var traceHealthProbes bool
+
 	flag.StringVar(&metricsAddr, "metrics-bind-address", "0", "The address the metrics endpoint binds to. "+
 		"Use :8443 for HTTPS or :8080 for HTTP, or leave as 0 to disable the metrics service.")
 	flag.StringVar(&probeAddr, "health-probe-bind-address", ":8081", "The address the probe endpoint binds to.")
@@ -74,13 +111,92 @@ func main() {
 	flag.StringVar(&metricsCertKey, "metrics-cert-key", "tls.key", "The name of the metrics server key file.")
 	flag.BoolVar(&enableHTTP2, "enable-http2", false,
 		"If set, HTTP/2 will be enabled for the metrics server")
+
+	flag.StringVar(&providersConfig, "providers-config", "",
+		"Path to the providers config YAML. Required.")
+	flag.StringVar(&discoveryAddr, "discovery-addr", ":8090",
+		"Listen address of the discovery/lease HTTP API.")
+	flag.StringVar(&proxyNamespace, "proxy-namespace", "",
+		"Restrict the manager's cache to one namespace. Empty watches all namespaces. "+
+			"Restricting also disables orphan GC unless --gc-allow-namespaced is set.")
+	flag.IntVar(&healthWorkers, "health-workers", 8,
+		"Number of concurrent health-probe workers.")
+	flag.DurationVar(&gcInterval, "gc-interval", 10*time.Minute,
+		"Interval between orphan GC sweeps.")
+	flag.DurationVar(&gcMinAge, "gc-min-age", 10*time.Minute,
+		"Minimum instance age before orphan GC may delete it.")
+	flag.BoolVar(&gcAllowNamespaced, "gc-allow-namespaced", false,
+		"Allow orphan GC to run although the cache is namespace-restricted. Dangerous: proxies "+
+			"outside the namespace count as orphans and their instances get deleted.")
+	flag.DurationVar(&leaseCooldown, "lease-cooldown", 15*time.Minute,
+		"How long a reported proxy/target pair is excluded from lease selection.")
+	flag.DurationVar(&maxLeaseTTL, "max-lease-ttl", time.Hour,
+		"Maximum lease TTL a client may request.")
+	flag.BoolVar(&showVersion, "version", false,
+		"Print the commit the binary was built from and exit.")
+	flag.BoolVar(&gcpWireFullPayloads, "gcp-wire-log-full-payloads", false,
+		"Log GCP V(5) wire payloads verbatim instead of eliding fields larger than 1KiB.")
+	flag.BoolVar(&traceHealthProbes, "trace-health-probes", false,
+		"Emit one trace span per health probe. Off by default: probes run about "+
+			"once per second per proxy and would dominate trace volume.")
+
 	opts := zap.Options{
 		Development: true,
 	}
 	opts.BindFlags(flag.CommandLine)
 	flag.Parse()
 
+	if showVersion {
+		fmt.Println(version.Resolve())
+		os.Exit(0)
+	}
+
 	ctrl.SetLogger(zap.New(zap.UseFlagOptions(&opts)))
+	setupLog.Info("Starting egress-proxies-operator",
+		"commit", version.Resolve(), "goVersion", goruntime.Version())
+
+	// Off (no-op spans, unchanged logs) unless OTEL_* env opts in; see
+	// internal/tracing. Shutdown is called explicitly after mgr.Start
+	// returns — the os.Exit paths below skip defers.
+	tracingShutdown, err := tracing.Setup(logf.IntoContext(context.Background(), setupLog),
+		"egress-proxies-operator", version.Resolve())
+	if err != nil {
+		setupLog.Error(err, "Failed to set up tracing")
+		os.Exit(1)
+	}
+
+	ctx := ctrl.SetupSignalHandler()
+
+	// Providers load first and fail fast: a manager that comes up without
+	// its backends would just convert every Proxy into an error loop.
+	if providersConfig == "" {
+		setupLog.Error(nil, "--providers-config is required")
+		os.Exit(1)
+	}
+	cfg, err := provider.LoadConfigFile(providersConfig)
+	if err != nil {
+		setupLog.Error(err, "Failed to load providers config", "path", providersConfig)
+		os.Exit(1)
+	}
+	providers, err := registry.Build(ctx, cfg, map[string]registry.Constructor{
+		"kubernetes": func(ctx context.Context, pc provider.ProviderConfig) (provider.Provider, error) {
+			// The kubernetes provider builds its own uncached client;
+			// wrap its transport so its API calls join the caller's trace.
+			return kubernetes.NewWithTransportWrapper(ctx, pc, tracing.RestConfigWrapper())
+		},
+		"gcp": func(ctx context.Context, pc provider.ProviderConfig) (provider.Provider, error) {
+			return gcp.NewWithWireOptions(ctx, pc, gcp.WireLogOptions{FullPayloads: gcpWireFullPayloads})
+		},
+	})
+	if err != nil {
+		setupLog.Error(err, "Failed to build providers")
+		os.Exit(1)
+	}
+	m := metrics.New()
+	for name, p := range providers {
+		// Tracing outermost: the span covers the metrics recording too.
+		providers[name] = provider.WithTracing(name, provider.WithMetrics(name, p, m))
+	}
 
 	// if the enable-http2 flag is false (the default), http/2 should be disabled
 	// due to its vulnerabilities. More specifically, disabling http/2 will
@@ -128,32 +244,94 @@ func main() {
 		metricsServerOptions.KeyName = metricsCertKey
 	}
 
-	mgr, err := ctrl.NewManager(ctrl.GetConfigOrDie(), ctrl.Options{
+	// The Secret cache is restricted to labelled cloud-init Secrets: the
+	// operator has cluster-wide Secret read RBAC, and without the label
+	// selector it would cache every Secret in scope.
+	cacheOpts := cache.Options{
+		ByObject: map[client.Object]cache.ByObject{
+			&corev1.Secret{}: {
+				Label: labels.SelectorFromSet(labels.Set{crawlv1alpha1.LabelCloudInit: "true"}),
+			},
+		},
+	}
+	if proxyNamespace != "" {
+		cacheOpts.DefaultNamespaces = map[string]cache.Config{proxyNamespace: {}}
+	}
+
+	restCfg := ctrl.GetConfigOrDie()
+	restCfg.Wrap(tracing.RestConfigWrapper())
+	mgr, err := ctrl.NewManager(restCfg, ctrl.Options{
 		Scheme:                 scheme,
 		Metrics:                metricsServerOptions,
 		HealthProbeBindAddress: probeAddr,
+		Cache:                  cacheOpts,
 		LeaderElection:         enableLeaderElection,
 		LeaderElectionID:       "b47711d1.example.com",
-		// LeaderElectionReleaseOnCancel defines if the leader should step down voluntarily
-		// when the Manager ends. This requires the binary to immediately end when the
-		// Manager is stopped, otherwise, this setting is unsafe. Setting this significantly
-		// speeds up voluntary leader transitions as the new leader don't have to wait
-		// LeaseDuration time first.
-		//
-		// In the default scaffold provided, the program ends immediately after
-		// the manager stops, so would be fine to enable this option. However,
-		// if you are doing or is intended to do any operation such as perform cleanups
-		// after the manager stops then its usage might be unsafe.
-		// LeaderElectionReleaseOnCancel: true,
 	})
 	if err != nil {
 		setupLog.Error(err, "Failed to start manager")
 		os.Exit(1)
 	}
 
+	store := lease.NewStore(leaseCooldown)
+	if err := mgr.Add(store); err != nil {
+		setupLog.Error(err, "Failed to add lease store")
+		os.Exit(1)
+	}
+
+	engine := health.NewEngine(mgr.GetClient())
+	engine.Workers = healthWorkers
+	engine.Metrics = m
+	engine.TraceProbes = traceHealthProbes
+	if err := mgr.Add(engine); err != nil {
+		setupLog.Error(err, "Failed to add health engine")
+		os.Exit(1)
+	}
+
+	if err := mgr.Add(&discovery.Server{
+		Reader:      mgr.GetClient(),
+		Store:       store,
+		Addr:        discoveryAddr,
+		Token:       os.Getenv("DISCOVERY_TOKEN"),
+		MaxLeaseTTL: maxLeaseTTL,
+		Metrics:     m,
+	}); err != nil {
+		setupLog.Error(err, "Failed to add discovery server")
+		os.Exit(1)
+	}
+
+	if err := mgr.Add(&gc.Sweeper{
+		Reader:              mgr.GetClient(),
+		Providers:           providers,
+		Interval:            gcInterval,
+		MinAge:              gcMinAge,
+		NamespaceRestricted: proxyNamespace != "",
+		AllowNamespaced:     gcAllowNamespaced,
+	}); err != nil {
+		setupLog.Error(err, "Failed to add orphan GC")
+		os.Exit(1)
+	}
+
+	if err := m.Register(ctrlmetrics.Registry,
+		proxyPhaseCounts(mgr.GetClient()),
+		func() int {
+			total := 0
+			for _, n := range store.Counts() {
+				total += n
+			}
+			return total
+		},
+	); err != nil {
+		setupLog.Error(err, "Failed to register metrics")
+		os.Exit(1)
+	}
+
 	if err := (&controller.ProxyReconciler{
 		Client:       mgr.GetClient(),
 		Scheme:       mgr.GetScheme(),
+		Providers:    providers,
+		Health:       engine,
+		HealthEvents: engine.Events,
 	}).SetupWithManager(mgr); err != nil {
 		setupLog.Error(err, "Failed to create controller", "controller", "proxy")
 		os.Exit(1)
@@ -170,8 +348,42 @@ func main() {
 	}
 
 	setupLog.Info("Starting manager")
-	if err := mgr.Start(ctrl.SetupSignalHandler()); err != nil {
+	startErr := mgr.Start(ctx)
-		setupLog.Error(err, "Failed to run manager")
+
+	// Flush pending spans on the way out, error path included. Fresh
+	// context: the signal ctx is already cancelled by the time Start
+	// returns.
+	shutdownCtx, cancel := context.WithTimeout(context.Background(), 10*time.Second)
+	if err := tracingShutdown(shutdownCtx); err != nil {
+		setupLog.Error(err, "Failed to flush traces on shutdown")
+	}
+	cancel()
+
+	if startErr != nil {
+		setupLog.Error(startErr, "Failed to run manager")
 		os.Exit(1)
 	}
 }
+
+// proxyPhaseCounts reads phase counts from the cache at scrape time. Before
+// the cache has synced (or on any list error) it reports nothing rather
+// than something wrong.
+func proxyPhaseCounts(c client.Reader) func() map[string]int {
+	return func() map[string]int {
+		ctx, cancel := context.WithTimeout(context.Background(), 5*time.Second)
+		defer cancel()
+		var list crawlv1alpha1.ProxyList
+		if err := c.List(ctx, &list); err != nil {
+			return nil
+		}
+		counts := map[string]int{}
+		for i := range list.Items {
+			phase := string(list.Items[i].Status.Phase)
+			if phase == "" {
+				phase = string(crawlv1alpha1.PhasePending)
+			}
+			counts[phase]++
+		}
+		return counts
+	}
+}

config/default/discovery_service.yaml

@@ -0,0 +1,18 @@
+apiVersion: v1
+kind: Service
+metadata:
+  labels:
+    control-plane: controller-manager
+    app.kubernetes.io/name: egress-proxies-operator
+    app.kubernetes.io/managed-by: kustomize
+  name: controller-manager-discovery-service
+  namespace: system
+spec:
+  ports:
+  - name: discovery
+    port: 8090
+    protocol: TCP
+    targetPort: discovery
+  selector:
+    control-plane: controller-manager
+    app.kubernetes.io/name: egress-proxies-operator

config/default/kustomization.yaml

@@ -22,6 +22,8 @@ resources:
 #- ../prometheus
 # [METRICS] Expose the controller manager metrics service.
 - metrics_service.yaml
+# Expose the discovery/lease HTTP API inside the cluster.
+- discovery_service.yaml
 
 # Uncomment the patches line if you enable Metrics
 patches:

config/manager/kustomization.yaml

@@ -1,5 +1,6 @@
 resources:
 - manager.yaml
+- providers_config.yaml
 apiVersion: kustomize.config.k8s.io/v1beta1
 kind: Kustomization
 images:

config/manager/manager.yaml

@@ -63,12 +63,57 @@ spec:
         args:
           - --leader-elect
           - --health-probe-bind-address=:8081
+          - --providers-config=/etc/proxy-operator/providers.yaml
+          # Add --trace-health-probes to emit one span per health probe
+          # (high volume: ~1/s per proxy).
+        env:
+          # Bearer token for the discovery API. Optional: without the
+          # Secret the API serves unauthenticated (with a loud warning).
+          # Create it with:
+          #   kubectl -n egress-proxies-operator-system create secret \
+          #     generic discovery-token --from-literal=token=<your-token>
+          - name: DISCOVERY_TOKEN
+            valueFrom:
+              secretKeyRef:
+                name: discovery-token
+                key: token
+                optional: true
+          # --- OpenTelemetry tracing ---
+          # Tracing is OFF until OTEL_EXPORTER_OTLP_ENDPOINT (or
+          # OTEL_TRACES_EXPORTER) is set; without it the operator runs
+          # exactly as before. The downward-API vars must stay listed
+          # before OTEL_RESOURCE_ATTRIBUTES: $(VAR) expansion only sees
+          # earlier-listed vars.
+          - name: POD_NAME
+            valueFrom:
+              fieldRef:
+                fieldPath: metadata.name
+          - name: POD_NAMESPACE
+            valueFrom:
+              fieldRef:
+                fieldPath: metadata.namespace
+          - name: OTEL_SERVICE_NAME
+            value: egress-proxies-operator
+          - name: OTEL_RESOURCE_ATTRIBUTES
+            value: k8s.pod.name=$(POD_NAME),k8s.namespace.name=$(POD_NAMESPACE)
+          # Point at an OTLP receiver (Tempo, Jaeger, otel-collector) to
+          # enable tracing; http/protobuf (4318) is the default protocol,
+          # set OTEL_EXPORTER_OTLP_PROTOCOL=grpc for 4317.
+          # - name: OTEL_EXPORTER_OTLP_ENDPOINT
+          #   value: http://jaeger-collector.observability:4318
+          # - name: OTEL_TRACES_SAMPLER
+          #   value: parentbased_traceidratio
+          # - name: OTEL_TRACES_SAMPLER_ARG
+          #   value: "0.1"
         image: controller:latest
         name: manager
         ports:
         - containerPort: 8081
           name: health
           protocol: TCP
+        - containerPort: 8090
+          name: discovery
+          protocol: TCP
         securityContext:
           readOnlyRootFilesystem: true
           allowPrivilegeEscalation: false
@@ -96,7 +141,13 @@ spec:
           requests:
             cpu: 10m
             memory: 64Mi
-        volumeMounts: []
+        volumeMounts:
-      volumes: []
+        - name: providers-config
+          mountPath: /etc/proxy-operator
+          readOnly: true
+      volumes:
+      - name: providers-config
+        configMap:
+          name: providers-config
       serviceAccountName: controller-manager
       terminationGracePeriodSeconds: 10

config/manager/providers_config.yaml

@@ -0,0 +1,17 @@
+apiVersion: v1
+kind: ConfigMap
+metadata:
+  name: providers-config
+  namespace: system
+  labels:
+    app.kubernetes.io/name: egress-proxies-operator
+    app.kubernetes.io/managed-by: kustomize
+data:
+  # Mounted at /etc/proxy-operator/providers.yaml (--providers-config).
+  # The default ships only the kubernetes-pod provider so the operator runs
+  # out of the box; add gcp entries (type: gcp, gcp.project: ...) for real
+  # egress fleets — see config/samples/providers-config.yaml.
+  providers.yaml: |
+    providers:
+      - name: kubernetes
+        type: kubernetes

config/rbac/role.yaml

@@ -4,6 +4,16 @@ kind: ClusterRole
 metadata:
   name: manager-role
 rules:
+- apiGroups:
+  - ""
+  resources:
+  - pods
+  verbs:
+  - create
+  - delete
+  - get
+  - list
+  - watch
 - apiGroups:
   - ""
   resources:

config/samples/crawl_v1alpha1_proxy.yaml

@@ -1,9 +0,0 @@
-apiVersion: crawl.example.com/v1alpha1
-kind: Proxy
-metadata:
-  labels:
-    app.kubernetes.io/name: egress-proxies-operator
-    app.kubernetes.io/managed-by: kustomize
-  name: proxy-sample
-spec:
-  # TODO(user): Add fields here

config/samples/kustomization.yaml

@@ -1,4 +1,8 @@
 ## Append samples of your project ##
+# providers-config.yaml is deliberately absent: it is a sample
+# --providers-config file, not a Kubernetes manifest.
 resources:
-- crawl_v1alpha1_proxy.yaml
+- proxy_kubernetes.yaml
+- proxy_gcp.yaml
+- proxy_external.yaml
 # +kubebuilder:scaffold:manifestskustomizesamples

config/samples/providers-config.yaml

@@ -0,0 +1,21 @@
+# Sample --providers-config file (not a Kubernetes manifest). In-cluster
+# this content lives in the providers-config ConfigMap
+# (config/manager/providers_config.yaml); for `make run-dev` a
+# kubernetes-only variant is at hack/providers-dev.yaml.
+#
+# Named provider instances: "gcp-eu" and "gcp-us" are two configs of the
+# same type. spec.provider on a Proxy refers to the name, not the type.
+providers:
+  - name: kubernetes
+    type: kubernetes
+    # kubernetes:
+    #   image: ubuntu/squid:6.6-24.04_edge   # the default
+  - name: gcp-eu
+    type: gcp
+    gcp:
+      project: my-project
+      # network: default            # VPC network name
+      # networkTag: proxy-operator  # firewall tag on created instances
+      # diskSizeGb: 10
+      # auth: Application Default Credentials (workload identity
+      # in-cluster, gcloud ADC locally). No key-file plumbing.

config/samples/proxy_external.yaml

@@ -0,0 +1,15 @@
+# An External proxy: the VM exists outside the operator's control; the
+# operator only tracks and health-checks it through the endpoint. No
+# finalizer, no provider calls, and deleting the CR touches nothing.
+apiVersion: crawl.example.com/v1alpha1
+kind: Proxy
+metadata:
+  name: proxy-external-sample
+spec:
+  mode: External
+  endpoint:
+    host: 203.0.113.7
+    port: 3128
+  attributes:
+    geo: eu
+    purpose: crawl

config/samples/proxy_gcp.yaml

@@ -0,0 +1,36 @@
+# A Managed proxy backed by GCP: the operator creates a VM with an
+# ephemeral external IP and installs Squid via cloud-init. Requires a
+# providers-config entry named "gcp-eu" (see providers-config.yaml) and
+# Application Default Credentials with compute.instanceAdmin.v1.
+#
+# All three placement fields are required for GCP; the operator sets the
+# Proxy to Failed with a message naming any missing one.
+apiVersion: crawl.example.com/v1alpha1
+kind: Proxy
+metadata:
+  name: proxy-gcp-sample
+spec:
+  mode: Managed
+  provider: gcp-eu
+  placement:
+    zone: europe-west1-b
+    machineType: e2-micro
+    image: projects/debian-cloud/global/images/family/debian-12
+  port: 3128
+  cloudInit:
+    inline: |
+      #cloud-config
+      packages:
+        - squid
+      write_files:
+        - path: /etc/squid/conf.d/proxy-operator.conf
+          content: |
+            http_port 3128
+            http_access allow all
+            via off
+            forwarded_for off
+      runcmd:
+        - systemctl restart squid
+  attributes:
+    geo: eu
+    purpose: crawl

config/samples/proxy_kubernetes.yaml

@@ -0,0 +1,14 @@
+# A Managed proxy backed by the kubernetes-pod provider: the operator runs
+# a real Squid pod in this cluster. This is the local-dev/CI sample — pods
+# share the cluster's egress IP, so it exercises the full lifecycle but
+# does not provide a distinct egress path (use the gcp provider for that).
+apiVersion: crawl.example.com/v1alpha1
+kind: Proxy
+metadata:
+  name: proxy-kubernetes-sample
+spec:
+  mode: Managed
+  provider: kubernetes
+  attributes:
+    geo: local
+    purpose: crawl

docs/api.md

@@ -0,0 +1,323 @@
+# Discovery API reference
+
+The operator serves an HTTP API (the *discovery API*) that crawler clients
+use to find and lease egress proxies: list healthy proxies filtered by
+attributes, acquire a TTL-based lease on one, release it early, and report
+how a target site treated the proxy. It is implemented in
+[`internal/discovery`](../internal/discovery/) with lease state in
+[`internal/lease`](../internal/lease/); the only Kubernetes interaction is
+reading `Proxy` resources from the manager's cache.
+
+## Base URL
+
+The API listens on `:8090` (`--discovery-addr`) inside the manager pod and
+is exposed by a Service
+([config/default/discovery_service.yaml](../config/default/discovery_service.yaml)).
+
+In-cluster:
+
+```text
+http://egress-proxies-operator-controller-manager-discovery-service.egress-proxies-operator-system.svc.cluster.local:8090
+```
+
+From a workstation, port-forward:
+
+```sh
+kubectl -n egress-proxies-operator-system port-forward \
+  svc/egress-proxies-operator-controller-manager-discovery-service 8090:8090 &
+```
+
+Set `BASE_URL` to wherever you reach the API; all examples below use it:
+
+```sh
+export BASE_URL=localhost:8090   # via the port-forward above
+# or, from inside the cluster:
+# export BASE_URL=http://egress-proxies-operator-controller-manager-discovery-service.egress-proxies-operator-system.svc.cluster.local:8090
+```
+
+## Authentication
+
+A single static bearer token, read from the `DISCOVERY_TOKEN` environment
+variable at startup. The shipped Deployment populates it from the
+`discovery-token` Secret (key `token`), which is **optional** — if the
+Secret is absent or the token is empty, the API serves **unauthenticated**
+(the manager logs a loud warning at startup). Create the Secret:
+
+```sh
+kubectl -n egress-proxies-operator-system create secret generic discovery-token \
+  --from-literal=token="$(openssl rand -hex 24)"
+```
+
+Send the token on every request:
+
+```sh
+export TOKEN=<the token>
+curl -s -H "Authorization: Bearer $TOKEN" "$BASE_URL/v1/proxies" | jq
+```
+
+A missing or wrong token gets `401 {"error":"unauthorized",...}`.
+`GET /healthz` is always exempt.
+
+The curl examples below omit the `-H "Authorization: Bearer $TOKEN"` flag
+for brevity — add it to every call when auth is enabled.
+
+## Conventions
+
+- Requests and responses are JSON. Errors share one envelope:
+
+  ```json
+  {"error": "<machine_code>", "message": "<human-readable text>"}
+  ```
+
+- Request bodies are capped at **64 KiB** (larger bodies fail the JSON
+  decode with `400 invalid_body`).
+- Proxies with a deletion timestamp (being finalized) are excluded from
+  every response and never offered for lease.
+
+## Configuration
+
+| Setting | Default | Meaning |
+|---|---|---|
+| `--discovery-addr` | `:8090` | Listen address of the API |
+| `--max-lease-ttl` | `1h` | Maximum `ttlSeconds` a client may request |
+| `--lease-cooldown` | `15m` | Cooldown window applied on `rate_limited`/`banned` reports |
+| `DISCOVERY_TOKEN` (env) | empty | Bearer token; empty disables auth |
+
+The shipped Deployment passes none of these flags, so the defaults apply.
+
+## Endpoints
+
+### `GET /healthz`
+
+Liveness check. Unauthenticated, always `200` with body `ok`.
+
+```sh
+curl -s "$BASE_URL/healthz"
+```
+
+### `GET /v1/proxies` — list proxies
+
+Query parameters (all optional):
+
+| Parameter | Values | Effect |
+|---|---|---|
+| `healthy` | `true` \| `false` | Keep only proxies whose `Healthy` condition matches. Any other value → `400 invalid_query`. |
+| `attr.<key>` | any string | Exact match on `spec.attributes[<key>]`. Repeatable; **all** given pairs must match. |
+
+List everything:
+
+```sh
+curl -s "$BASE_URL/v1/proxies" | jq
+```
+
+List healthy proxies in a given geo:
+
+```sh
+curl -s "$BASE_URL/v1/proxies?healthy=true&attr.geo=eu" | jq
+```
+
+Response — `200`, proxies sorted by `id`, an empty match is `200` with
+`"count": 0` (never `404`):
+
+```json
+{
+  "proxies": [
+    {
+      "id": "default/proxy-kubernetes-sample",
+      "ip": "10.244.1.7",
+      "port": 3128,
+      "attributes": {"geo": "local"},
+      "phase": "Ready",
+      "healthy": true,
+      "latencyMillis": 42,
+      "activeLeases": 1,
+      "maxLeases": 5
+    }
+  ],
+  "count": 1
+}
+```
+
+Proxy object fields (the same shape appears inside lease responses):
+
+| Field | Meaning |
+|---|---|
+| `id` | `namespace/name` of the `Proxy` resource; used as the stable key everywhere |
+| `ip` | Effective host — `spec.endpoint.host` for `External` proxies, `status.ip` for `Managed` (empty until the backing VM/pod is up) |
+| `port` | Effective port (default `3128`) |
+| `attributes` | `spec.attributes` — free-form selection labels (`geo`, `asn`, `purpose`, …); omitted when empty |
+| `phase` | `Pending` \| `Provisioning` \| `Ready` \| `Unhealthy` \| `Deleting` \| `Failed` |
+| `healthy` | `true` iff the `Healthy` condition is `True` (the through-the-proxy health probe passes) |
+| `latencyMillis` | Latency of the last status-affecting health probe |
+| `activeLeases` | Currently active leases on this proxy |
+| `maxLeases` | Lease capacity (default `5`; an explicit `0` means unleasable) |
+
+### `POST /v1/leases` — acquire a lease
+
+Picks a healthy proxy with free capacity matching the selector and grants
+an exclusive-slot, TTL-based lease on it.
+
+Request body (every field optional; `{}` is valid):
+
+```json
+{
+  "selector": {"geo": "eu"},
+  "ttlSeconds": 300,
+  "target": "example.com"
+}
+```
+
+| Field | Default | Meaning |
+|---|---|---|
+| `selector` | none | Attribute equality filter, same semantics as `attr.<key>` above |
+| `ttlSeconds` | `300` (5 min) | Lease lifetime; must be ≤ `--max-lease-ttl` (default 1 h), else `400 invalid_ttl` |
+| `target` | none | The site you intend to crawl; enables per-target cooldowns (see below) |
+
+```sh
+curl -s -XPOST "$BASE_URL/v1/leases" \
+  -d '{"selector":{"geo":"eu"},"ttlSeconds":300,"target":"example.com"}' | jq
+```
+
+Success — `201`:
+
+```json
+{
+  "leaseID": "P3X6HHQTPCM5UTGVGE3B5UPS3A",
+  "proxy": {
+    "id": "default/proxy-eu-1",
+    "ip": "34.88.10.20",
+    "port": 3128,
+    "attributes": {"geo": "eu"},
+    "phase": "Ready",
+    "healthy": true,
+    "latencyMillis": 42,
+    "activeLeases": 1,
+    "maxLeases": 5
+  },
+  "expiresAt": "2026-08-11T22:05:00Z",
+  "ttlSeconds": 300
+}
+```
+
+Use `proxy.ip` and `proxy.port` as an HTTP proxy for the lease's lifetime:
+
+```sh
+curl -x http://34.88.10.20:3128 https://example.com
+```
+
+No match — `409` with diagnostic counts explaining why nothing qualified:
+
+```json
+{
+  "error": "no_match",
+  "message": "no healthy proxy with free capacity matched the selector",
+  "considered": 3,
+  "atCapacity": 1,
+  "inCooldown": 1,
+  "unhealthy": 1
+}
+```
+
+| Count | Meaning |
+|---|---|
+| `considered` | Proxies that matched the selector (before health/capacity checks) |
+| `atCapacity` | Skipped because `activeLeases >= maxLeases` |
+| `inCooldown` | Skipped because of an active cooldown for this target (or a global one) |
+| `unhealthy` | Skipped because the `Healthy` condition is not `True` |
+
+Leases expire on their own — releasing is only needed to free the slot
+early. There is no renew/extend endpoint; acquire a new lease instead.
+
+### `DELETE /v1/leases/{id}` — release early
+
+Frees the lease's capacity slot immediately. Idempotent: always `204`,
+including for unknown or already-expired lease IDs.
+
+```sh
+curl -si -XDELETE "$BASE_URL/v1/leases/P3X6HHQTPCM5UTGVGE3B5UPS3A"
+```
+
+### `POST /v1/leases/{id}/report` — report an outcome
+
+Tell the operator how the target site treated the proxy. This is the
+feedback signal that drives cooldowns.
+
+Request body:
+
+```json
+{"result": "rate_limited", "target": "example.com"}
+```
+
+| Field | Values | Meaning |
+|---|---|---|
+| `result` | `ok` \| `rate_limited` \| `banned` | Anything else → `400 invalid_result` |
+| `target` | optional | Which site produced the result; falls back to the lease's `target`, then to global |
+
+```sh
+curl -si -XPOST "$BASE_URL/v1/leases/P3X6HHQTPCM5UTGVGE3B5UPS3A/report" \
+  -d '{"result":"rate_limited","target":"example.com"}'
+```
+
+Responses: `204` on success, `404 unknown_lease` if the lease ID was never
+issued or has aged out.
+
+Semantics:
+
+- `ok` is a pure acknowledgement — nothing is recorded.
+- `rate_limited` and `banned` currently behave **identically**: both put
+  the proxy in one cooldown window (default 15 min, `--lease-cooldown`)
+  for the resolved target.
+- An expired lease remains reportable for one cooldown window past its
+  TTL, so a late "we got rate-limited" still lands.
+
+## Proxy selection and cooldowns
+
+How `POST /v1/leases` picks among eligible proxies (healthy, matching the
+selector, not being deleted, not at capacity, not in cooldown), in order:
+
+1. fewest `activeLeases` (least-loaded),
+2. lowest `latencyMillis`,
+3. lexicographic `id` (deterministic tie-break).
+
+Cooldowns are keyed by **(proxy, target)**:
+
+- A report **with a target** blocks that proxy only for lease requests
+  naming the **same target**. Other targets — and requests with no
+  target — still get the proxy.
+- A report **without a target**, on a lease that also had no target,
+  creates a **global** cooldown: the proxy is blocked for *all* lease
+  requests until the window passes. Always pass `target` on leases and
+  reports unless you really mean "this proxy is bad for everyone".
+
+## End-to-end example
+
+```sh
+# 1. Acquire a lease for crawling example.com through an EU proxy
+LEASE=$(curl -s -XPOST "$BASE_URL/v1/leases" \
+  -H "Authorization: Bearer $TOKEN" \
+  -d '{"selector":{"geo":"eu"},"ttlSeconds":600,"target":"example.com"}')
+LEASE_ID=$(echo "$LEASE" | jq -r .leaseID)
+PROXY=$(echo "$LEASE" | jq -r '"\(.proxy.ip):\(.proxy.port)"')
+
+# 2. Crawl through the leased proxy
+curl -x "http://$PROXY" https://example.com/some/page
+
+# 3. Got a 429? Report it — example.com-bound leases will avoid this
+#    proxy for the next 15 minutes
+curl -s -XPOST "$BASE_URL/v1/leases/$LEASE_ID/report" \
+  -H "Authorization: Bearer $TOKEN" \
+  -d '{"result":"rate_limited","target":"example.com"}'
+
+# 4. Done early? Release the slot (otherwise the TTL frees it)
+curl -s -XDELETE "$BASE_URL/v1/leases/$LEASE_ID" \
+  -H "Authorization: Bearer $TOKEN"
+```
+
+## Caveats
+
+- **Lease and cooldown state is in-memory and per-process.** An operator
+  restart drops all active leases and cooldowns. Clients must tolerate a
+  granted lease disappearing (a subsequent report returns `404`).
+- **Run a single replica.** The API is served by every manager replica but
+  is not leader-elected, and lease state is not shared between replicas;
+  the shipped Deployment pins `replicas: 1`.

docs/architecture.md

@@ -1,10 +1,20 @@
 # Architecture
 
-> **Status:** the operator is built through Step 5 (health engine) of
+## Components
-> [docs/plans/2026-08-07-1747-proxy-operator.md](plans/2026-08-07-1747-proxy-operator.md).
+
-> This document currently covers the event/reconcile flow; the components
+| Component | Package | Runs as | Leader-elected | Role |
-> table and the Decisions section arrive with Step 10, and the diagrams
+|---|---|---|---|---|
-> below grow as the lease store, discovery API, and orphan GC land.
+| Proxy CRD + helpers | `api/v1alpha1` | types | — | `Proxy` spec/status, CEL validation, defaulting, pure helpers |
+| Reconciler | `internal/controller` | controller | yes (with the manager) | the state machine: provision, replace, delete, represent health |
+| Provider contract | `internal/provider` | library | — | `Provider` interface, error taxonomy, deterministic naming, config, metrics decorator |
+| kubernetes provider | `internal/provider/kubernetes` | library | — | real Squid pods in this cluster (local dev/CI) |
+| gcp provider | `internal/provider/gcp` | library | — | Compute Engine VMs, four API calls, fire-and-forget ops |
+| Health engine | `internal/health` | Runnable | yes | through-the-proxy probes, thresholds, transition events |
+| Lease store | `internal/lease` | Runnable (expiry sweep) | no | in-memory leases + cooldowns, single mutex |
+| Discovery API | `internal/discovery` | Runnable | no | HTTP list/lease/release/report on `:8090` |
+| Orphan GC | `internal/gc` | Runnable | yes | deletes tagged instances whose CR is gone |
+| Metrics | `internal/metrics` | library | — | explicit registration, scrape-time collectors |
+| Composition root | `cmd/main.go` | binary | — | flags, provider registry, wires everything onto one manager |
 
 ## Event flow: cluster events → reconciler functions
 
@@ -117,20 +127,32 @@ reconcileDelete(ctx, p)                          reconcileExternal(ctx, p)
         ──► RequeueAfter: DeletionPoll (poll until gone)
 ```
 
-### 5. What provider calls do back in the cluster (kubernetes pod provider)
+### 5. What provider calls do in the outside world
 
 ```text
+kubernetes pod provider (internal/provider/kubernetes/)
 prov.Create ──► buildPod (pure) ──► client.Create(corev1.Pod)   ─┐ these cause Pod events,
 prov.Get    ──► client.Get(Pod) → phase/IP → InstanceState       │ but the operator does NOT
 prov.Delete ──► client.Delete(Pod, tolerate NotFound)            │ watch Pods — it observes
 prov.ListByTag ─► client.List(Pods by labels, all namespaces)   ─┘ them by polling prov.Get
                                                                     on each RequeueAfter tick
+
+gcp provider (internal/provider/gcp/) — instances.{Insert,Get,Delete,AggregatedList}, nothing else
+prov.Create ──► buildInsertRequest (pure) ──► instances.Insert   ─┐ fire-and-forget:
+                  409 alreadyExists = success (idempotent retry)  │ Operation.Wait is never
+prov.Get    ──► instances.Get → status/NatIP → InstanceState      │ called; readiness is
+                  RUNNING without NatIP = still Provisioning      │ discovered by Get polls,
+prov.Delete ──► instances.Delete (404 = success)                  │ exactly like the pod
+prov.ListByTag ─► AggregatedList(label filter,                   ─┘ provider
+                    ReturnPartialSuccess: true)
+providerID = zones/<zone>/instances/<name> — zone-qualified, so Get/Delete
+stay correct even mid-replacement after a zone edit
 ```
 
-The reconciler never watches provider-side resources (Pods now, GCP VMs
+The reconciler never watches provider-side resources (Pods or GCP VMs).
-later). All instance-state observation is poll-based through the
+All instance-state observation is poll-based through the `Provider`
-`Provider` interface, so the same flow works identically for a cloud API
+interface, so the same flow works identically for a cloud API that has no
-that has no watch mechanism at all.
+watch mechanism at all.
 
 ### 6. Health engine (`internal/health/`) — probes and transitions
 
@@ -183,3 +205,262 @@ Consequence worth knowing: `status.lastHealthCheckTime` is the time of the
 last *status-affecting* probe, not the most recent probe — suppressed
 probes deliberately never write status. True probe recency will live in
 metrics (Step 9).
+
+### 7. Discovery + lease API (`internal/discovery/`, `internal/lease/`)
+
+HTTP-driven, not cluster-event-driven: crawler clients call in; the only
+Kubernetes interaction is reading Proxies from the manager's cache. The
+server is a non-leader-elected Runnable (all replicas would serve, but the
+deployment ships `replicas: 1` because lease state is per-process — an
+operator restart drops all leases and cooldowns, a documented caveat).
+Client-facing reference with request/response schemas and curl examples:
+[api.md](api.md).
+
+```text
+crawler client
+  │  Authorization: Bearer $DISCOVERY_TOKEN   (empty token = auth disabled, loud startup warning)
+  ▼
+Server.handler()      middleware, outermost first        (server.go)
+  recover → request-log → MaxBytesReader(64KiB) → bearer auth (constant-time; /healthz exempt)
+  │
+  ├─ GET  /healthz            ──► 200 ok (unauthenticated)
+  │
+  ├─ GET  /v1/proxies?attr.k=v&healthy=true            (handlers.go)
+  │     Reader.List(Proxies) ── manager cache
+  │     filter: attributes equality + Healthy condition
+  │     + Store.Counts() for activeLeases
+  │     ──► 200 {"proxies":[...], "count":N}   (empty list is 200, not 404)
+  │
+  ├─ POST /v1/leases  {"selector":{...},"ttlSeconds":300,"target":"..."}
+  │     Reader.List → filter selector; unhealthy matches counted, not offered
+  │     Store.Acquire(healthy candidates, target, ttl)   ── one lock: select+insert
+  │     │    selection: fewest active leases, then latency, then name
+  │     ├─ granted ──► 201 {leaseID, proxy:{...}, expiresAt, ttlSeconds}
+  │     └─ ErrNoMatch ──► 409 {"error":"no_match", considered, atCapacity,
+  │                            inCooldown, unhealthy}
+  │
+  ├─ DELETE /v1/leases/{id} ──► Store.Release ──► always 204 (idempotent)
+  │
+  └─ POST /v1/leases/{id}/report {"result":"ok|rate_limited|banned","target":"..."}
+        Store.Report ── rate_limited/banned ⇒ cooldown[{proxy,target}] for
+        │               CooldownWindow (target falls back: report → lease → global)
+        ├─ 204 │ 400 invalid_result │ 404 unknown_lease
+        └─ an expired lease still resolves for CooldownWindow past its TTL —
+           a late report lands exactly when the proxy is being rate-limited
+
+Store.Start(ctx)  ── manager Runnable, NOT leader-elected: sweeps expired
+                     leases + cooldowns; correctness never depends on the
+                     sweep (every read checks ExpiresAt against the clock)
+```
+
+### 8. Orphan GC (`internal/gc/`) — the crash-safety net
+
+Timer-driven, leader-elected (destructive ⇒ single writer). Exists for the
+one gap the reconciler cannot close alone: a crash after a provider Create
+but before the status write that records the instance.
+
+```text
+Sweeper.Start(ctx)   ── refuses to run when the cache is namespace-
+  │                     restricted unless --gc-allow-namespaced is explicit
+  │                     (an incomplete live set would "orphan" live VMs)
+  └─ every Interval (10m; first sweep a full interval after start):
+       sweep(ctx)
+         │ Reader.List(Proxies) → live UID set
+         │   List fails → skip the whole sweep (never guess)
+         │   a CR with deletionTimestamp still counts as LIVE — its
+         │   finalizer owns that deletion; GC racing it double-deletes
+         └ per provider: ListByTag
+             │ error → log, continue with the next provider
+             └ delete only when ALL hold:
+                 has the proxy-operator-uid label   (ownership proof)
+                 older than MinAge (10m)            (not mid-create)
+                 UID matches no existing CR         (truly orphaned)
+               each kill logged loudly with provider, providerID, UID
+```
+
+### 9. Metrics (`internal/metrics/`)
+
+Registered explicitly from `cmd/main.go` (no `init()`; tests use fresh
+registries). Two kinds:
+
+- **Scrape-time collectors** — `proxy_operator_proxies{phase}` and
+  `proxy_operator_leases_active` read the cache / lease store at every
+  scrape; reconcile-incremented gauges inevitably drift and leak series.
+- **Fed vectors** — `healthcheck_duration_seconds{proxy}` and
+  `healthcheck_failures_total{proxy}` observe EVERY probe (status writes
+  are transition-only; metrics carry the high-frequency signal), and the
+  health engine deletes a proxy's series when it prunes its state;
+  `lease_requests_total{outcome}` from the discovery handlers;
+  `provider_requests_total{provider,op,result}` from the
+  `provider.WithMetrics` decorator — the one place `Class()` is called
+  purely for observability.
+
+Each consuming package defines its own small recorder interface
+(`health.ProbeMetrics`, `discovery.LeaseMetrics`, `provider.RequestRecorder`);
+`metrics.Metrics` satisfies all of them structurally, so no package other
+than `cmd/main.go` imports the metrics package.
+
+### 10. Tracing (`internal/tracing/`)
+
+OpenTelemetry tracing, integrated with — not replacing — the logr/zap
+logging. Everything hangs off standard `OTEL_*` env vars: with no
+`OTEL_EXPORTER_OTLP_ENDPOINT` / `OTEL_TRACES_EXPORTER` set, no SDK is
+installed, spans are no-ops, and logs are byte-for-byte what they were.
+`OTEL_SDK_DISABLED=true` and `OTEL_TRACES_EXPORTER=none` force it off;
+`console` prints spans to stdout for local dev; sampling follows
+`OTEL_TRACES_SAMPLER(_ARG)`.
+
+Span topology — each unit of work is a new trace (watch events carry no
+incoming trace context):
+
+- `Reconcile Proxy` (root, via a `reconcile.Reconciler` decorator) →
+  `reconcile.managed` / `reconcile.replaceInstance` / `reconcile.delete`,
+  plus `status.patch` from the deferred flush. `reconcileExternal` does no
+  I/O and is unspanned.
+- `provider.create|get|delete|list` (client spans, `provider.WithTracing`
+  decorator wired outermost around `WithMetrics`); the GCP SDK's own
+  otelhttp transport contributes HTTP child spans automatically.
+- Kubernetes API calls become client child spans via a wrapped
+  `rest.Config` transport — gated on an existing parent span, so informer
+  list/watch long-polls and leader-election renewals never create root
+  spans. The kube-apiserver ignores incoming `traceparent` by design;
+  these spans are leaves.
+- Discovery API: one server span per request (named from the route
+  pattern), incoming W3C `traceparent` honored so clients' traces continue
+  into the operator; `/healthz` excluded.
+- `gc.sweep` per GC pass; `health.probe` per probe **only** with
+  `--trace-health-probes` (default off — probes run ~1/s per proxy).
+
+Log correlation: logr sinks never see a context, so trace IDs ride on the
+logger — `tracing.Start` re-derives the ctx logger from a captured base
+with `traceID`/`spanID` values (lowerCamel, matching `reconcileID`;
+Grafana/Loki derived-field regexes must match `traceID`, not `trace_id`).
+Re-deriving from the base rather than layering keeps zap from emitting
+duplicate keys on nested spans. GCP V(5) wire logs get the same keys from
+the slog handler's ctx.
+
+## Decisions
+
+Judgment calls the spec left open, and deliberate deviations — recorded so
+they read as choices, not accidents. Chronological by build step.
+
+- **Registry takes its constructor map as a parameter** instead of holding
+  a package-level map: avoids the provider⇄registry import cycle and puts
+  the wiring at the composition root, where it is visible.
+- **Mock provider replaced by the kubernetes-pod provider** (user
+  decision, mid-build): a simulated in-memory provider was too far from
+  the real system to build confidence in. Local dev/CI now runs real
+  `ubuntu/squid` pods (Canonical's actively maintained image, verified
+  50M+ pulls, pinned tag) in the operator's own cluster. Trade-off
+  accepted: envtest has no kubelet, so end-to-end proof lives in the kind
+  quickstart, and cluster pods share one egress IP — distinct egress
+  paths remain the GCP provider's job.
+- **`RequeueAfter: RequeueNow` instead of the plan's `Requeue: true`:**
+  `ctrl.Result.Requeue` is deprecated in controller-runtime v0.24; a fifth
+  configurable interval (default 1s) keeps identical semantics and stays
+  shrinkable in tests.
+- **Quota exhaustion is a wait, not a failure:** `ErrQuotaExceeded` sets a
+  condition and requeues slowly (5m) with a nil error — off the backoff
+  curve, out of the error log, and never `phase: Failed`. Only
+  `ErrPermanent` latches Failed, keyed to the generation so a spec edit
+  auto-recovers.
+- **The finalizer path never latches permanent failures:** a permanent
+  error during deletion keeps retrying visibly instead — latching there
+  would wedge the object forever with no path out but manual finalizer
+  surgery.
+- **Health transitions travel reconciler-ward over a channel**
+  (`source.Channel`), not direct status patches: `phase` derives from both
+  provisioning and health, so two status writers would race and flap. One
+  writer of status; the engine owns health *state*, the reconciler its
+  *representation*; write-only-on-transition falls out for free.
+- **Health state seeds from the existing Healthy condition on leader
+  handover** (verdict kept, counters zeroed, first probe jittered), so a
+  healthy fleet doesn't flap to Unknown on restart — but a real
+  transition still needs a full threshold run. A never-probed proxy skips
+  the jitter and probes on the next tick: startup spread matters for
+  restarts, not for a single new proxy.
+- **Latency suppression is `max(20ms, 50%)` + a 60s rate limit, and only
+  while the verdict is healthy.** The spec's bare ">50% change" is
+  undefined at 0 and lets a proxy jittering 40↔61ms write status forever;
+  the healthy-only guard (found by test) stops a below-threshold success
+  streak from emitting latency updates for a proxy still reported
+  unhealthy. Consequence: `status.lastHealthCheckTime` means "last
+  status-affecting probe" — true probe recency is in the metrics.
+- **Deterministic instance names** are `proxy-` + 16 chars of
+  base32(SHA-256(CR UID)): legal for both GCP (`[a-z2-7]` ⊂ `[-a-z0-9]`,
+  22 ≤ 63 chars) and Pod names, 80 bits against birthday collisions at a
+  fleet of tens. The replacement VM therefore has the *same name* as the
+  one being deleted — which is why replacement polls to NotFound before
+  recreating instead of racing a 409.
+- **`banned` and `rate_limited` share one cooldown window:** a second
+  duration knob the spec doesn't ask for; the report's semantic
+  difference is preserved in the API but not the store.
+- **Report targets fall back report → lease → global**, so a client that
+  leased with a target can't accidentally poison the proxy's global pool
+  by omitting the target in its report.
+- **The 409 body's `considered` counts unhealthy matches too** (the store
+  only ever sees healthy candidates): `considered = atCapacity +
+  inCooldown + unhealthy + eligible-but-outranked`, keeping the numbers
+  additive for a human debugging "why no proxy?".
+- **TTLs above `--max-lease-ttl` are a 400, not a silent clamp** — a
+  client asking for a week should find out.
+- **Discovery is not leader-elected and ships `replicas: 1`:** caches
+  start before non-leader-election runnables (verified in
+  controller-runtime's ordering), and a leader-elected server would leave
+  non-leader replicas as broken Service endpoints. One replica because
+  lease state is per-process.
+- **GCP `Create` requires zone, machineType, and image** and fails
+  `ErrPermanent` naming the missing field — inventing machine-type
+  defaults would silently create billable VMs of arbitrary shape.
+- **Unknown GCP instance statuses map to `Stopped`:** the reconciler's
+  answer to Stopped is delete-and-recreate, the always-safe move for
+  cattle when the API grows a new state.
+- **Kubernetes 403s classify as `ErrPermanent`** even though quota
+  exhaustion also surfaces as 403 (indistinguishable from RBAC denial in
+  `apierrors`): not hammering an API server that may never allow the
+  request is the safer default; a real ResourceQuota 403 forgoes the
+  gentler quota backoff. Documented at the classification site.
+- **GC kills log at Info with a `WARNING:` prefix** — logr has no Warn
+  level; the plan's "log at Warn" is met in spirit with provider,
+  providerID, and UID always attached. Same convention as the
+  discovery server's empty-token warning.
+- **GC trusts only provable orphans:** instances without the UID label
+  are never deleted, a CR with a deletionTimestamp still counts as live
+  (its finalizer owns that deletion), and an unreadable Proxy list skips
+  the whole sweep. The namespace guard refuses to sweep a
+  namespace-restricted cache without `--gc-allow-namespaced`.
+- **Cloud-init Secrets must carry `crawl.example.com/cloud-init: "true"`:**
+  the manager caches only labelled Secrets (the operator holds
+  cluster-wide Secret read RBAC — an unrestricted cache would hold every
+  Secret in scope). Unlabelled referenced Secrets are invisible by
+  construction, surfacing as `CloudInitError`.
+- **Events RBAC from the plan is omitted:** nothing wires an
+  EventRecorder in the prototype, and granting verbs nothing uses would
+  be RBAC lint noise. Add the marker together with the recorder if events
+  land later.
+- **logr, not slog, inside controller paths:** the repo convention says
+  `slog`, but `log.FromContext(ctx)` hands controller-runtime's logr
+  logger to everything running under the manager — fighting that would
+  mean two logging systems in one process. Noted as a deviation rather
+  than silently ignored.
+- **Tracing is env-gated, not flag-gated:** it activates only when
+  `OTEL_EXPORTER_OTLP_ENDPOINT` / `OTEL_TRACES_EXPORTER` is set (user
+  decision). No collector configured means no SDK installed, no-op spans,
+  unchanged logs — the safe default for every existing deployment. The
+  one flag is `--trace-health-probes`, off by default, because probes at
+  ~1/s per proxy would dominate trace volume.
+- **Trace keys are `traceID`/`spanID`**, lowerCamel like `reconcileID` and
+  `providerID`, deliberately not the `trace_id` many Grafana derived-field
+  examples assume — configure the derived-field regex accordingly. logr
+  sinks can't read ctx, so the IDs ride on the ctx logger, re-derived from
+  a captured base per span so zap never emits duplicate keys.
+- **Probe→reconcile trace links are not attempted:** the health engine's
+  `GenericEvent` carries only namespace/name (no ctx), and the workqueue
+  coalesces events, so any link would be a guess. A health-triggered
+  reconcile starts a fresh trace; the probe that caused it is findable via
+  its own (opt-in) span and shared proxy attributes.
+- **No `traceparent` toward probe targets:** probe transports stay
+  uninstrumented so trace headers can never leak through a proxy to
+  external sites. The kube-apiserver ignores incoming `traceparent` by
+  design (public endpoint), so k8s client spans are leaves — in-process
+  traces, not cross-process ones.

docs/demo/create-gcp-proxies.sh

@@ -0,0 +1,94 @@
+#!/bin/bash
+# Demo: create N Managed proxies backed by the gcp provider, named
+# proxy-gcp-demo-1 .. proxy-gcp-demo-N, each in a randomly picked EU zone
+# so the fleet gets egress IPs from different locations.
+#
+# Usage:
+#   ./create-gcp-proxies.sh <count>
+#
+# Optional environment:
+#   NAMESPACE     namespace to create the proxies in (default: current context)
+#   GCP_PROVIDER  provider NAME from providers.yaml (default: gcp-eu)
+#   ZONES         space-separated zone list to pick from (default: EU zones below)
+set -euo pipefail
+
+if [ $# -ne 1 ] || ! [[ "$1" =~ ^[1-9][0-9]*$ ]]; then
+    echo "usage: $(basename "$0") <count>  (positive integer)" >&2
+    exit 1
+fi
+count="$1"
+provider="${GCP_PROVIDER:-gcp-eu}"
+
+# GCP zones in the EU where e2-micro is generally available. Override with
+# ZONES="zone1 zone2 ..." if your project has quota only in some of them.
+default_zones=(
+    europe-west1-b europe-west1-c europe-west1-d       # Belgium
+    europe-west2-a europe-west2-b europe-west2-c       # London
+    europe-west3-a europe-west3-b europe-west3-c       # Frankfurt
+    europe-west4-a europe-west4-b europe-west4-c       # Netherlands
+    europe-west6-a europe-west6-b europe-west6-c       # Zurich
+    europe-west8-a europe-west8-b europe-west8-c       # Milan
+    europe-west9-a europe-west9-b europe-west9-c       # Paris
+    europe-central2-a europe-central2-b europe-central2-c   # Warsaw
+    europe-north1-a europe-north1-b europe-north1-c    # Finland
+    europe-southwest1-a europe-southwest1-b europe-southwest1-c   # Madrid
+)
+if [ -n "${ZONES:-}" ]; then
+    read -r -a zones <<< "${ZONES}"
+else
+    zones=("${default_zones[@]}")
+fi
+
+if ! command -v kubectl &> /dev/null; then
+    echo "ERROR: kubectl is required but not installed" >&2
+    exit 1
+fi
+
+ns_args=()
+if [ -n "${NAMESPACE:-}" ]; then
+    ns_args=(-n "${NAMESPACE}")
+fi
+
+for i in $(seq 1 "${count}"); do
+    zone="${zones[RANDOM % ${#zones[@]}]}"
+    echo "Creating proxy-gcp-demo-${i} in ${zone} ..."
+    kubectl apply "${ns_args[@]}" -f - << EOF
+apiVersion: crawl.example.com/v1alpha1
+kind: Proxy
+metadata:
+  name: proxy-gcp-demo-${i}
+spec:
+  mode: Managed
+  provider: ${provider}              # must match a provider NAME in providers.yaml
+  placement:
+    zone: ${zone}
+    machineType: e2-micro
+    # debian-cloud images have no cloud-init, so spec.cloudInit (passed as
+    # user-data metadata) would be silently ignored there. Ubuntu images do.
+    image: projects/ubuntu-os-cloud/global/images/family/ubuntu-2404-lts-amd64
+  port: 3128
+  cloudInit:
+    inline: |
+      #cloud-config
+      package_update: true
+      packages:
+        - squid
+      write_files:
+        - path: /etc/squid/conf.d/proxy-operator.conf
+          content: |
+            http_access allow all
+            via off
+            forwarded_for off
+      runcmd:
+        - systemctl restart squid
+  attributes:
+    geo: eu
+    zone: ${zone}
+    purpose: crawl
+EOF
+done
+
+echo ""
+echo "Created ${count} proxies. VMs take a few minutes to provision and pass"
+echo "the health check. Watch them come up with:"
+echo "  kubectl get px ${ns_args[*]:-} -w"

docs/demo/create-kubernetes-proxies.sh

@@ -0,0 +1,48 @@
+#!/bin/bash
+# Demo: create N Managed proxies backed by the kubernetes-pod provider,
+# named proxy-kubernetes-demo-1 .. proxy-kubernetes-demo-N. Pods share the
+# cluster's egress IP — this exercises the full lifecycle, not distinct
+# egress paths (use create-gcp-proxies.sh for that).
+#
+# Usage:
+#   ./create-kubernetes-proxies.sh <count>
+#
+# Optional environment:
+#   NAMESPACE  namespace to create the proxies in (default: current context)
+set -euo pipefail
+
+if [ $# -ne 1 ] || ! [[ "$1" =~ ^[1-9][0-9]*$ ]]; then
+    echo "usage: $(basename "$0") <count>  (positive integer)" >&2
+    exit 1
+fi
+count="$1"
+
+if ! command -v kubectl &> /dev/null; then
+    echo "ERROR: kubectl is required but not installed" >&2
+    exit 1
+fi
+
+ns_args=()
+if [ -n "${NAMESPACE:-}" ]; then
+    ns_args=(-n "${NAMESPACE}")
+fi
+
+for i in $(seq 1 "${count}"); do
+    echo "Creating proxy-kubernetes-demo-${i} ..."
+    kubectl apply "${ns_args[@]}" -f - << EOF
+apiVersion: crawl.example.com/v1alpha1
+kind: Proxy
+metadata:
+  name: proxy-kubernetes-demo-${i}
+spec:
+  mode: Managed
+  provider: kubernetes
+  attributes:
+    geo: local
+    purpose: crawl
+EOF
+done
+
+echo ""
+echo "Created ${count} proxies. Watch them come up with:"
+echo "  kubectl get px ${ns_args[*]:-} -w"

docs/demo/run-demo.sh

@@ -0,0 +1,67 @@
+#!/bin/bash
+# Demo driver: opens a tmux session with a 2x2 pane grid:
+#
+#   top-left:     show-egress-ips-table.sh in a 10s loop, run inside the
+#                 netshoot pod against the in-cluster discovery Service
+#   top-right:    watch -n3 kubectl get px
+#   bottom-left:  create-kubernetes-proxies.sh <count>
+#   bottom-right: create-gcp-proxies.sh <count>
+#
+# Usage:
+#   ./run-demo.sh
+#
+# Optional environment:
+#   COUNT         proxies each create script makes (default: 4)
+#   SESSION       tmux session name (default: proxy-demo; an existing
+#                 session with this name is killed and recreated)
+#   NETSHOOT_POD  pod to exec into for the egress-IP loop (default: netshoot)
+#   DEMO_DIR      where the demo scripts live (default: this script's dir)
+set -euo pipefail
+
+COUNT="${COUNT:-4}"
+SESSION="${SESSION:-proxy-demo}"
+NETSHOOT_POD="${NETSHOOT_POD:-netshoot}"
+DEMO_DIR="${DEMO_DIR:-$(cd "$(dirname "$0")" && pwd)}"
+BASE_URL="http://egress-proxies-operator-controller-manager-discovery-service.egress-proxies-operator-system.svc.cluster.local:8090"
+
+for tool in tmux kubectl; do
+    if ! command -v "${tool}" &> /dev/null; then
+        echo "ERROR: ${tool} is required but not installed" >&2
+        exit 1
+    fi
+done
+
+if ! kubectl get pod "${NETSHOOT_POD}" &> /dev/null; then
+    echo "ERROR: pod ${NETSHOOT_POD} not found — start one with:" >&2
+    echo "  kubectl run netshoot --image=nicolaka/netshoot -- sleep infinity" >&2
+    exit 1
+fi
+
+echo "Copying show-egress-ips-table.sh into pod ${NETSHOOT_POD} ..."
+kubectl cp "${DEMO_DIR}/show-egress-ips-table.sh" "${NETSHOOT_POD}:/tmp/show-egress-ips-table.sh"
+
+if tmux has-session -t "${SESSION}" 2> /dev/null; then
+    echo "Killing existing tmux session ${SESSION}"
+    tmux kill-session -t "${SESSION}"
+fi
+
+# 2x2 grid: after these splits pane indexes are 0 top-left, 1 top-right,
+# 2 bottom-left, 3 bottom-right; tiled layout evens them into quarters.
+tmux new-session -d -s "${SESSION}"
+tmux split-window -h -t "${SESSION}:0"
+tmux split-window -v -t "${SESSION}:0.0"
+tmux split-window -v -t "${SESSION}:0.1"
+tmux select-layout -t "${SESSION}:0" tiled
+
+loop_cmd="BASE_URL=${BASE_URL}; while true; do bash /tmp/show-egress-ips-table.sh \"\$BASE_URL\"; echo; sleep 10; done"
+tmux send-keys -t "${SESSION}:0.0" "kubectl exec -it ${NETSHOOT_POD} -- bash -c '${loop_cmd}'" C-m
+tmux send-keys -t "${SESSION}:0.1" "watch -n3 kubectl get px" C-m
+tmux send-keys -t "${SESSION}:0.2" "bash ${DEMO_DIR}/create-kubernetes-proxies.sh ${COUNT}" C-m
+tmux send-keys -t "${SESSION}:0.3" "bash ${DEMO_DIR}/create-gcp-proxies.sh ${COUNT}" C-m
+
+tmux select-pane -t "${SESSION}:0.2"
+if [ -n "${TMUX:-}" ]; then
+    tmux switch-client -t "${SESSION}"
+else
+    tmux attach-session -t "${SESSION}"
+fi

docs/demo/show-egress-ips-table.sh

@@ -0,0 +1,75 @@
+#!/bin/bash
+# Demo: condensed-table variant of show-egress-ips.sh, made to fit a small
+# tmux pane. One line per proxy: which proxy the request goes through, its
+# endpoint, location (zone/geo attribute), and the egress IP the IP-echo
+# site saw — or unhealthy/FAILED.
+#
+# Usage:
+#   ./show-egress-ips-table.sh <BASE_URL>    e.g. ./show-egress-ips-table.sh localhost:8090
+#
+# Optional environment:
+#   TOKEN        bearer token for the discovery API (see docs/api.md)
+#   IP_ECHO_URL  site that returns the caller's IP as JSON with an "ip" field
+#                (default: https://api.ipify.org?format=json)
+set -euo pipefail
+
+if [ $# -ne 1 ]; then
+    echo "usage: $(basename "$0") <BASE_URL>  (e.g. localhost:8090)" >&2
+    exit 1
+fi
+BASE_URL="$1"
+IP_ECHO_URL="${IP_ECHO_URL:-https://api.ipify.org?format=json}"
+
+for tool in curl jq; do
+    if ! command -v "${tool}" &> /dev/null; then
+        echo "ERROR: ${tool} is required but not installed" >&2
+        exit 1
+    fi
+done
+
+auth_args=()
+if [ -n "${TOKEN:-}" ]; then
+    auth_args=(-H "Authorization: Bearer ${TOKEN}")
+fi
+
+if ! proxies_json=$(curl -sS --fail "${auth_args[@]}" "${BASE_URL}/v1/proxies") \
+    || ! echo "${proxies_json}" | jq -e . > /dev/null 2>&1; then
+    echo "ERROR: could not fetch proxy list from ${BASE_URL}" >&2
+    exit 1
+fi
+
+total=$(echo "${proxies_json}" | jq -r '.count')
+fmt="%-31s %-21s %-21s %s\n"
+
+echo "${total} proxies @ $(date +%H:%M:%S)"
+# shellcheck disable=SC2059
+printf "${fmt}" "PROXY" "ENDPOINT" "LOCATION" "EGRESS-IP"
+
+probed=0
+skipped=0
+failed=0
+while IFS= read -r proxy; do
+    id=$(echo "${proxy}" | jq -r '.id')
+    endpoint=$(echo "${proxy}" | jq -r '"\(.ip):\(.port)"')
+    location=$(echo "${proxy}" | jq -r '.attributes.zone // .attributes.geo // "-"')
+    healthy=$(echo "${proxy}" | jq -r '.healthy')
+
+    if [ "${healthy}" != "true" ]; then
+        # shellcheck disable=SC2059
+        printf "${fmt}" "${id}" "${endpoint}" "${location}" "(unhealthy)"
+        skipped=$((skipped + 1))
+        continue
+    fi
+
+    if response=$(curl -sS --max-time 10 -x "http://${endpoint}" "${IP_ECHO_URL}" 2> /dev/null); then
+        egress=$(echo "${response}" | jq -r '.ip // "?"' 2> /dev/null || echo "?")
+        probed=$((probed + 1))
+    else
+        egress="FAILED"
+        failed=$((failed + 1))
+    fi
+    # shellcheck disable=SC2059
+    printf "${fmt}" "${id}" "${endpoint}" "${location}" "${egress}"
+done < <(echo "${proxies_json}" | jq -c '.proxies[]')
+
+echo "-- ${probed} probed, ${skipped} unhealthy, ${failed} failed --"

docs/demo/show-egress-ips.sh

@@ -0,0 +1,74 @@
+#!/bin/bash
+# Demo: list proxies from the discovery API and show the egress IP each
+# healthy one provides, by calling an IP-echo site through it.
+#
+# Usage:
+#   ./show-egress-ips.sh <BASE_URL>          e.g. ./show-egress-ips.sh localhost:8090
+#
+# Optional environment:
+#   TOKEN        bearer token for the discovery API (see docs/api.md)
+#   IP_ECHO_URL  site that returns the caller's IP as JSON
+#                (default: https://api.ipify.org?format=json)
+set -euo pipefail
+
+if [ $# -ne 1 ]; then
+    echo "usage: $(basename "$0") <BASE_URL>  (e.g. localhost:8090)" >&2
+    exit 1
+fi
+BASE_URL="$1"
+IP_ECHO_URL="${IP_ECHO_URL:-https://api.ipify.org?format=json}"
+
+for tool in curl jq; do
+    if ! command -v "${tool}" &> /dev/null; then
+        echo "ERROR: ${tool} is required but not installed" >&2
+        exit 1
+    fi
+done
+
+auth_args=()
+if [ -n "${TOKEN:-}" ]; then
+    auth_args=(-H "Authorization: Bearer ${TOKEN}")
+fi
+
+echo "Fetching proxies from ${BASE_URL}/v1/proxies ..."
+if ! proxies_json=$(curl -sS --fail "${auth_args[@]}" "${BASE_URL}/v1/proxies"); then
+    echo "ERROR: could not fetch proxy list from ${BASE_URL}" >&2
+    exit 1
+fi
+if ! echo "${proxies_json}" | jq -e . > /dev/null; then
+    echo "ERROR: response from ${BASE_URL}/v1/proxies is not valid JSON" >&2
+    exit 1
+fi
+
+total=$(echo "${proxies_json}" | jq -r '.count')
+echo "Found ${total} proxies"
+echo ""
+
+probed=0
+skipped=0
+failed=0
+while IFS= read -r proxy; do
+    id=$(echo "${proxy}" | jq -r '.id')
+    ip=$(echo "${proxy}" | jq -r '.ip')
+    port=$(echo "${proxy}" | jq -r '.port')
+    healthy=$(echo "${proxy}" | jq -r '.healthy')
+
+    if [ "${healthy}" != "true" ]; then
+        echo "--- skipping ${id} (unhealthy) ---"
+        echo ""
+        skipped=$((skipped + 1))
+        continue
+    fi
+
+    echo "=== via ${id} — http://${ip}:${port} ==="
+    if response=$(curl -sS --max-time 10 -x "http://${ip}:${port}" "${IP_ECHO_URL}"); then
+        echo "${response}" | jq . 2> /dev/null || echo "${response}"
+        probed=$((probed + 1))
+    else
+        echo "WARNING: request through ${id} failed" >&2
+        failed=$((failed + 1))
+    fi
+    echo ""
+done < <(echo "${proxies_json}" | jq -c '.proxies[]')
+
+echo "Done: ${total} proxies — ${probed} probed, ${skipped} skipped (unhealthy), ${failed} failed"

docs/gcp-in-specific-project.md

@@ -0,0 +1,255 @@
+## Project egress-proxy
+
+```bash
+PROJECT_ID=egress-proxy
+
+# 1. Create the service account
+gcloud iam service-accounts create proxy-operator \
+  --project ${PROJECT_ID} \
+  --display-name "egress-proxies-operator"
+
+# Output: 
+# Created service account [proxy-operator].
+# Service account email: proxy-operator@egress-proxy.iam.gserviceaccount.com
+
+# 2. Grant compute.instanceAdmin.v1 on the project
+gcloud projects add-iam-policy-binding ${PROJECT_ID} \
+  --member "serviceAccount:proxy-operator@${PROJECT_ID}.iam.gserviceaccount.com" \
+  --role roles/compute.instanceAdmin.v1
+
+# Output:
+# ---------
+# Updated IAM policy for project [egress-proxy].
+# bindings:
+# - members:
+#   - serviceAccount:proxy-operator@egress-proxy.iam.gserviceaccount.com
+#   role: roles/compute.instanceAdmin.v1
+# - members:
+#   - serviceAccount:541231138892@cloudservices.gserviceaccount.com
+#   role: roles/compute.instanceGroupManagerServiceAgent
+# - members:
+#   - serviceAccount:service-541231138892@compute-system.iam.gserviceaccount.com
+#   role: roles/compute.serviceAgent
+# - members:
+#   - user:admin@fujultimate.cz
+#   role: roles/owner
+# etag: BwZYuFXko24=
+# version: 1
+
+# 3. Create the JSON key (this is what goes into the Secret)
+SA_KEY_PATH=sa_key.json
+gcloud iam service-accounts keys create $SA_KEY_PATH \
+  --iam-account proxy-operator@${PROJECT_ID}.iam.gserviceaccount.com
+
+# output:
+# created key [fdff85174a8e80bbd684e76c4d9fe28e2f4b2ddf] of type [json] as [sa_key.json] for [proxy-operator@egress-proxy.iam.gserviceaccount.com]
+
+# 4. A **firewall rule**: created VMs get network tag `proxy-operator` (the
+#    default; configurable as `gcp.networkTag`), an ephemeral external IP,
+#    and Squid listening on 3128.
+
+gcloud compute firewall-rules create allow-proxy-operator \
+    --project $PROJECT_ID \
+    --network default \
+    --allow tcp:3128 \
+    --target-tags proxy-operator \
+    --source-ranges 94.230.145.216/32
+```
+
+## Phase 2 - resources in kube
+
+```bash
+SA_KEY_PATH=sa_key.json
+kubectl -n egress-proxies-operator-system create secret generic gcp-credentials \
+  --from-file=key.json=$SA_KEY_PATH
+```
+
+
+## Appendix - full manifests
+
+```bash
+# crawl CR
+kubectl apply -f - <<'EOF'
+apiVersion: crawl.example.com/v1alpha1
+kind: Proxy
+metadata:
+  name: proxy-gcp-sample
+spec:
+  mode: Managed
+  provider: gcp-eu                   # must match a provider NAME in providers.yaml
+  placement:
+    zone: europe-west1-b
+    machineType: e2-micro
+    # debian-cloud images have no cloud-init, so spec.cloudInit (passed as
+    # user-data metadata) would be silently ignored there. Ubuntu images do.
+    image: projects/ubuntu-os-cloud/global/images/family/ubuntu-2404-lts-amd64
+  port: 3128
+  cloudInit:
+    inline: |
+      #cloud-config
+      package_update: true
+      packages:
+        - squid
+      write_files:
+        - path: /etc/squid/conf.d/proxy-operator.conf
+          content: |
+            http_access allow all
+            via off
+            forwarded_for off
+      runcmd:
+        - systemctl restart squid
+  attributes:
+    geo: eu
+    purpose: crawl
+EOF
+
+
+
+# configmap
+kubectl apply -f - <<'EOF'
+apiVersion: v1
+data:
+  providers.yaml: |
+    providers:
+      - name: kubernetes
+        type: kubernetes
+      - name: gcp-eu          # spec.provider on a Proxy refers to this NAME, not the type
+        type: gcp
+        gcp:
+            project: egress-proxy
+            # network: default            # these three default as shown
+            # networkTag: proxy-operator
+            # diskSizeGb: 10
+kind: ConfigMap
+metadata:
+  labels:
+    app.kubernetes.io/managed-by: kustomize
+    app.kubernetes.io/name: egress-proxies-operator
+  name: egress-proxies-operator-providers-config
+  namespace: egress-proxies-operator-system
+EOF
+
+# operator deployment
+kubectl apply -f - <<'EOF'
+apiVersion: apps/v1
+kind: Deployment
+metadata:
+  annotations:
+    deployment.kubernetes.io/revision: "2"
+  labels:
+    app.kubernetes.io/managed-by: kustomize
+    app.kubernetes.io/name: egress-proxies-operator
+    control-plane: controller-manager
+  name: egress-proxies-operator-controller-manager
+  namespace: egress-proxies-operator-system
+spec:
+  progressDeadlineSeconds: 600
+  replicas: 1
+  revisionHistoryLimit: 10
+  selector:
+    matchLabels:
+      app.kubernetes.io/name: egress-proxies-operator
+      control-plane: controller-manager
+  strategy:
+    rollingUpdate:
+      maxSurge: 25%
+      maxUnavailable: 25%
+    type: RollingUpdate
+  template:
+    metadata:
+      annotations:
+        kubectl.kubernetes.io/default-container: manager
+      labels:
+        app.kubernetes.io/name: egress-proxies-operator
+        control-plane: controller-manager
+    spec:
+      containers:
+        - args:
+            - --metrics-bind-address=:8443
+            - --leader-elect
+            - --health-probe-bind-address=:8081
+            - --providers-config=/etc/proxy-operator/providers.yaml
+          command:
+            - /manager
+          env:
+            - name: DISCOVERY_TOKEN
+              valueFrom:
+                secretKeyRef:
+                  key: token
+                  name: discovery-token
+                  optional: true
+            - name: GOOGLE_APPLICATION_CREDENTIALS
+              value: /var/secrets/gcp/key.json
+          image: egress-proxies-operator:dev
+          imagePullPolicy: IfNotPresent
+          livenessProbe:
+            failureThreshold: 3
+            httpGet:
+              path: /healthz
+              port: 8081
+              scheme: HTTP
+            initialDelaySeconds: 15
+            periodSeconds: 20
+            successThreshold: 1
+            timeoutSeconds: 1
+          name: manager
+          ports:
+            - containerPort: 8081
+              name: health
+              protocol: TCP
+            - containerPort: 8090
+              name: discovery
+              protocol: TCP
+          readinessProbe:
+            failureThreshold: 3
+            httpGet:
+              path: /readyz
+              port: 8081
+              scheme: HTTP
+            initialDelaySeconds: 5
+            periodSeconds: 10
+            successThreshold: 1
+            timeoutSeconds: 1
+          resources:
+            limits:
+              cpu: 500m
+              memory: 128Mi
+            requests:
+              cpu: 10m
+              memory: 64Mi
+          securityContext:
+            allowPrivilegeEscalation: false
+            capabilities:
+              drop:
+                - ALL
+            readOnlyRootFilesystem: true
+          terminationMessagePath: /dev/termination-log
+          terminationMessagePolicy: File
+          volumeMounts:
+            - mountPath: /etc/proxy-operator
+              name: providers-config
+              readOnly: true
+            - mountPath: /var/secrets/gcp
+              name: gcp-credentials
+              readOnly: true
+      dnsPolicy: ClusterFirst
+      restartPolicy: Always
+      schedulerName: default-scheduler
+      securityContext:
+        runAsNonRoot: true
+        seccompProfile:
+          type: RuntimeDefault
+      serviceAccount: egress-proxies-operator-controller-manager
+      serviceAccountName: egress-proxies-operator-controller-manager
+      terminationGracePeriodSeconds: 10
+      volumes:
+        - configMap:
+            defaultMode: 420
+            name: egress-proxies-operator-providers-config
+          name: providers-config
+        - name: gcp-credentials
+          secret:
+            defaultMode: 420
+            secretName: gcp-credentials
+EOF
+```

docs/gcp-vm-validation.md

@@ -0,0 +1,158 @@
+# Validating real VM creation on GCP
+
+Recipe for wiring the GCP provider into a live cluster and watching a
+`Proxy` CR create a real Compute Engine VM. Angle brackets mark values you
+supply: `<PROJECT_ID>`, `<SA_KEY_PATH>`, `<ZONE>`, `<CLUSTER_EGRESS_IP>`,
+`<REGISTRY_IMAGE>`.
+
+The one important fact up front: **the operator takes no GCP credentials
+through its own config.** The client is built with Application Default
+Credentials (`internal/provider/gcp/gcp.go`, `New()`); there is no
+key-file field in the providers config. The only secret to prepare is a
+service-account JSON key, injected via the standard
+`GOOGLE_APPLICATION_CREDENTIALS` mechanism. On GKE you would use workload
+identity instead and skip the key entirely.
+
+## 1. GCP-side prerequisites (prepared outside the cluster)
+
+1. A project — `<PROJECT_ID>` — with the **Compute Engine API enabled**.
+2. A **service account** with `roles/compute.instanceAdmin.v1` on the
+   project. The operator only calls instances
+   `Insert`/`Get`/`Delete`/`AggregatedList` and does not attach a service
+   account to the VMs it creates, so no `iam.serviceAccountUser` is
+   needed.
+3. A **JSON key** for that service account, saved at `<SA_KEY_PATH>`.
+4. A **firewall rule**: created VMs get network tag `proxy-operator` (the
+   default; configurable as `gcp.networkTag`), an ephemeral external IP,
+   and Squid listening on 3128.
+
+   ```sh
+   gcloud compute firewall-rules create allow-proxy-operator \
+     --project <PROJECT_ID> \
+     --network default \
+     --allow tcp:3128 \
+     --target-tags proxy-operator \
+     --source-ranges <CLUSTER_EGRESS_IP>/32
+   ```
+
+   The source range must cover the cluster's egress IP — the operator's
+   CONNECT health probes originate there, and without the rule the Proxy
+   hangs at `Running`/unhealthy instead of reaching `Ready`. ⚠️ The
+   sample cloud-init configures `http_access allow all`, so on a public
+   IP this is an open proxy — keep the source ranges tight.
+
+## 2. Create the credentials Secret
+
+Namespace is `egress-proxies-operator-system` after kustomize prefixing:
+
+```sh
+kubectl -n egress-proxies-operator-system create secret generic gcp-credentials \
+  --from-file=key.json=<SA_KEY_PATH>
+```
+
+## 3. Add a GCP entry to the providers ConfigMap
+
+Edit `config/manager/providers_config.yaml` (mounted at
+`/etc/proxy-operator/providers.yaml`):
+
+```yaml
+providers:
+  - name: kubernetes
+    type: kubernetes
+  - name: gcp-eu          # spec.provider on a Proxy refers to this NAME, not the type
+    type: gcp
+    gcp:
+      project: <PROJECT_ID>
+      # network: default            # these three default as shown
+      # networkTag: proxy-operator
+      # diskSizeGb: 10
+```
+
+The config is validated fail-fast at startup — a typo shows up
+immediately in the manager log, not on first use.
+
+## 4. Mount the Secret and point ADC at it
+
+In `config/manager/manager.yaml`, add to the manager container:
+
+```yaml
+env:
+  - name: GOOGLE_APPLICATION_CREDENTIALS
+    value: /var/secrets/gcp/key.json
+volumeMounts:
+  - name: gcp-credentials
+    mountPath: /var/secrets/gcp
+    readOnly: true
+volumes:
+  - name: gcp-credentials
+    secret:
+      secretName: gcp-credentials
+```
+
+(`volumeMounts` merges into the existing container list; `volumes` into
+the existing pod-level list.)
+
+## 5. Deploy and create the Proxy
+
+```sh
+make deploy IMG=<REGISTRY_IMAGE>
+```
+
+`config/samples/proxy_gcp.yaml` is usable as-is once `spec.provider`
+matches the name from step 3. All three placement fields are mandatory
+for GCP — a missing one sets the Proxy to `Failed` with a message naming
+it:
+
+```yaml
+spec:
+  mode: Managed
+  provider: gcp-eu
+  placement:
+    zone: <ZONE>                     # e.g. europe-west1-b
+    machineType: e2-micro
+    image: projects/debian-cloud/global/images/family/debian-12
+```
+
+```sh
+kubectl apply -f config/samples/proxy_gcp.yaml
+```
+
+## 6. What you should see
+
+```sh
+kubectl get proxy -w
+```
+
+`Provisioning` → `Running` (VM's external IP published in status) →
+`Ready` (CONNECT health probe succeeded through the public IP). Then:
+
+```sh
+# the VM exists and carries the GC labels
+gcloud compute instances list --project <PROJECT_ID> \
+  --filter 'labels.proxy-operator-managed=yes'
+
+# the proxy actually tunnels — should print the VM's external IP
+curl -x http://<EXTERNAL_IP>:3128 https://ifconfig.me
+```
+
+Cleanup — the finalizer deletes the VM:
+
+```sh
+kubectl delete proxy proxy-gcp-sample
+gcloud compute instances list --project <PROJECT_ID>   # should be empty again
+```
+
+## Gotchas
+
+- **The orphan GC sweeps the whole project**: any VM labeled
+  `proxy-operator-managed=yes` whose UID does not match a live Proxy CR
+  in *this* cluster is deleted once past the age threshold. Do not point
+  two operator installs at the same project, and do not hand-create VMs
+  with that label.
+- **VM creation is fire-and-forget** — the provider never waits on the
+  insert operation; progress is discovered by polling `Get`. A quota
+  error or bad image name surfaces on the Proxy's status/conditions a
+  reconcile later, not synchronously. `kubectl describe proxy` is the
+  place to look when something stalls.
+- **e2-micro costs pennies but is not free everywhere** — remember to
+  delete the CR (or check `gcloud compute instances list`) when done.

docs/plans-executions/2026-08-07-1747-proxy-operator.md

@@ -10,13 +10,13 @@ Pairs with [docs/plans/2026-08-07-1747-proxy-operator.md](../plans/2026-08-07-17
 - [x] Step 3 — Kubernetes pod provider (`internal/provider/kubernetes/`; first built as an in-memory mock, then replaced — see the two Step 3 sections below)
 - [x] Step 4 — Reconciler (`internal/controller/`)
 - [x] Step 5 — Health engine (`internal/health/`)
-- [ ] Step 6 — Lease store (`internal/lease/`)
+- [x] Step 6 — Lease store (`internal/lease/`)
-- [ ] Step 7 — Discovery API (`internal/discovery/`)
+- [x] Step 7 — Discovery API (`internal/discovery/`)
-- [ ] Step 8 — GCP provider (`internal/provider/gcp/`)
+- [x] Step 8 — GCP provider (`internal/provider/gcp/`)
-- [ ] Step 9 — Orphan GC + metrics
+- [x] Step 9 — Orphan GC + metrics
-- [ ] Step 10 — Wiring, config, docs
+- [x] Step 10 — Wiring, config, docs
-- [ ] Step 11 — Tests
+- [x] Step 11 — Tests
-- [ ] Verification (vet/test/kind e2e) + commit, push, open MR
+- [x] Verification (vet/test/kind e2e) + commit, push, open MR
 
 ## Step 0 — Branch and scaffold
 
@@ -694,3 +694,438 @@ engine deliberately knows nothing about conditions except reading one at
 seed time, keeping the state/representation split honest. The
 `hint`-driven `wg.Go` idiom (Go 1.25+) replaced the classic
 `wg.Add/defer wg.Done` in the worker pool.
+
+## Step 6 — Lease store (`internal/lease/`)
+
+Implemented `store.go` per the plan: `Acquire` takes the whole candidate
+set so selection and insertion happen under the one store mutex (no
+overcommit between concurrent requests), selection is a linear scan +
+`slices.SortFunc` on `(activeLeases asc, latency asc, name asc)`,
+`AcquireStats{Considered, AtCapacity, InCooldown}` feeds Step 7's 409
+body, cooldowns live in a `map[{proxy, target}]time.Time` (empty target =
+global pool), and expired leases are retained for `CooldownWindow` past
+their TTL so a late `Report` — arriving exactly when a proxy is being
+rate-limited — still resolves and records its cooldown.
+
+Semantics pinned against the spec (§8) rather than guessed:
+
+- Report results are exactly `ok | rate_limited | banned` (`ParseResult`
+  gives the API layer its 400 check). `rate_limited` and `banned` both
+  record a cooldown for the same window; `ok` records nothing.
+  Distinguishing ban duration from rate-limit duration would be a second
+  knob the spec doesn't ask for — noted for the Decisions section.
+- Cooldown scoping: the global cooldown (empty target) always applies; a
+  target-scoped cooldown additionally blocks acquisitions for that target;
+  acquisitions without a target see only the global pool ("a proxy
+  rate-limited by one site is still fine for everyone else").
+- A `Report` without a target falls back to the lease's own target before
+  falling back to global — so a client that leased with a target doesn't
+  accidentally poison the whole proxy by omitting it in the report.
+
+Design notes:
+
+- **Correctness never depends on the sweep.** Every read path
+  (`Acquire`/`ActiveCount`/`Counts`) compares `ExpiresAt` against the
+  injected clock, so TTL expiry frees capacity immediately even if the
+  background loop hasn't run; the sweep is purely garbage collection. The
+  plan's `ExpireLoop` became `Start(ctx)` + `NeedLeaderElection() false`
+  so the store satisfies `manager.Runnable` directly — Step 10 just
+  `mgr.Add(store)`s it. Not leader-elected because lease state is
+  per-process and must expire wherever the discovery API is serving.
+- The store knows nothing about Proxy objects — `Candidate` carries the
+  opaque key, `MaxLeases`, and latency; the discovery layer does the
+  health/attribute filtering. The spec's `LeaseStore` interface will be
+  defined consumer-side in `internal/discovery` (Step 7), per Go idiom;
+  this package exports only the concrete in-memory `*Store`.
+- Lease IDs come from `crypto/rand.Text()` (Go 1.24+); returned `Lease`
+  values are copies so callers can't mutate store internals.
+
+Tests (94.8% coverage, `-race -count=2` clean): capacity + release
+freeing slots, `MaxLeases=0` unleasable, least-loaded/latency/name
+selection order, target-scoped vs global cooldown scoping, cooldown
+expiry via the injected fake clock, TTL freeing capacity with no sweep,
+report-on-expired-but-retained lease (then `ErrUnknownLease` after
+retention), `ok` recording nothing, idempotent release, `ParseResult`,
+40 concurrent acquires against `MaxLeases=5` granting exactly 5, and the
+`Start` loop sweeping then stopping cleanly on cancel.
+
+```bash
+go test -race -count=2 ./internal/lease/
+make test    # whole repo green, other packages' coverage unchanged
+```
+
+Worth noting: `docs/architecture.md` was not extended this step — the
+lease store is HTTP-driven, not cluster-event-driven, so its diagram
+belongs with the discovery API and lands in Step 7 (banner updated to say
+so).
+
+## Step 7 — Discovery API (`internal/discovery/`)
+
+Implemented `server.go` (Runnable + middleware chain) and `handlers.go`
+(the four endpoints + `proxyView` wire shape) per the plan: stdlib
+`http.ServeMux` method+wildcard routing (no third-party router — see the
+plan clarification commit: this is a stdlib feature since Go 1.22, the
+project stays on the pinned Go 1.26), middleware outermost-first recover →
+request-log → `MaxBytesReader(64KiB)` → constant-time bearer auth with
+`/healthz` exempt, empty `DISCOVERY_TOKEN` serving unauthenticated with a
+loud startup warning, `NeedLeaderElection() = false` with the plan's
+runnable-ordering rationale in the doc comment, and graceful `Shutdown`
+with a 10 s grace on ctx cancel.
+
+The `LeaseStore` interface landed consumer-side in this package (spec §8
+wants handlers swappable to a CRD/Redis store); `internal/lease.*Store`
+satisfies it without modification.
+
+Judgment calls the plan/spec left open:
+
+- **409 arithmetic:** the store only ever sees healthy candidates, so its
+  `Considered` excludes unhealthy matches. The handler counts unhealthy
+  selector-matches itself and reports `considered = healthy + unhealthy`,
+  keeping the plan's example arithmetic (7 = 2+2+3) consistent.
+- **TTL handling:** omitted/zero `ttlSeconds` → 300 s default; negative or
+  above `MaxLeaseTTL` (default 1h, flag in Step 10) → 400 `invalid_ttl`
+  rather than silent clamping — a client asking for a week-long lease
+  should find out, not get an hour quietly.
+- **Grant response includes the fresh `activeLeases`** (the just-granted
+  lease counted), read back via `Store.Counts()` after the acquire.
+- Proxies with a deletionTimestamp are filtered out of both list and
+  candidate selection — a proxy mid-teardown shouldn't be advertised.
+
+Tests (87.3% coverage, `-race -count=2` clean, green on first run):
+httptest over the real handler chain with a fake cache reader and a real
+`lease.Store` — auth on/off/wrong-token/healthz-exempt, list filtering
+(attributes, healthy, combined, empty-is-200), grant shape (201, default
+TTL, lowest-latency pick, RFC3339 expiresAt, activeLeases=1), the full
+409 body arithmetic, invalid TTL/body/result, idempotent 204 release,
+report→cooldown→409 round-trip, 404 on unknown lease, and a real
+`Start` on `127.0.0.1:0` (via the new `BoundAddr()` accessor) serving
+healthz then shutting down cleanly on cancel.
+
+```bash
+go test -race -count=2 ./internal/discovery/
+make test    # whole repo green
+```
+
+Worth noting: `go mod tidy` promoted `github.com/go-logr/logr` from
+indirect to direct (the server holds a `logr.Logger` field). The
+`--discovery-addr`, `--max-lease-ttl` flags and the `DISCOVERY_TOKEN`
+Secret mount arrive with `cmd/main.go` in Step 10. `docs/architecture.md`
+gained §7 covering the whole HTTP path and the store's sweep Runnable.
+
+## Step 8 — GCP provider (`internal/provider/gcp/`)
+
+Implemented per the plan: `gcp.go` (Provider + the flattened `instancesAPI`
+test seam + providerID handling + state mapping), `insert.go` (pure
+`buildInsertRequest` + config defaults), `errors.go` (HTTP-code → taxonomy
+classification). Only the four calls the spec allows — instances Insert /
+Get / Delete / AggregatedList — and `Operation.Wait` is never called:
+Create/Delete return once the operation is submitted, `409 alreadyExists`
+on Insert and `404` on Delete both count as success, which is what makes
+repeat calls after a crash correct.
+
+Dependency added (the plan's environment check pinned it):
+
+```bash
+go get cloud.google.com/go/compute@v1.65.0 google.golang.org/api@latest
+# resolved google.golang.org/api v0.292.0; go mod tidy pulled the auth/gax chain
+```
+
+Key shapes, all straight from the plan:
+
+- **providerID `zones/<zone>/instances/<name>`** — Get/Delete parse the
+  zone out of the ID instead of re-reading `spec.placement.zone`, which is
+  wrong exactly when a zone edit is the replacement being processed.
+- **The seam is not an SDK mirror** — verified the plan's premise against
+  the vendored source before designing around it:
+  `InstancesScopedListPairIterator` has an unexported `nextFunc`, so a
+  fake cannot construct one. The seam flattens `AggregatedList` to
+  `[]*computepb.Instance` and returns operations as just their name.
+- `AggregatedList` sets `ReturnPartialSuccess: true` (one unreachable
+  zone must not fail a GC sweep) and filters by
+  `labels.proxy-operator-managed = true`.
+- `RUNNING` without a `NatIP` maps to `Provisioning` — never publish an
+  empty IP. Unknown/new GCP statuses map to `Stopped`: the reconciler's
+  response is delete-and-recreate, always safe for cattle.
+- Classification: 404→NotFound; 429 and 403-with-
+  `quotaExceeded`/`rateLimitExceeded`→Quota; 400/401/403-other→Permanent;
+  everything else (408, 5xx, network, unknown)→Transient.
+
+Judgment call: `placement.zone`/`machineType`/`image` are all required at
+`Create` — missing values fail as `ErrPermanent` with a message naming
+the empty fields, rather than inventing defaults the spec doesn't define.
+A wrong guess here would silently create billable VMs of an arbitrary
+shape; a Failed condition telling the user what to set is strictly better.
+
+Tests (75.2%, `-race -count=2` clean, green on first run): the plan's
+primary field-by-field `buildInsertRequest` assertion (machine-type URL,
+boot disk, the exact `{External NAT, ONE_TO_ONE_NAT}` access config,
+user-data metadata, GC labels, network tag) plus config overrides and
+no-metadata-without-cloud-init; the full classification table including
+`errors.Is` AND `errors.As` through the multi-unwrap; and fake-seam tests
+for zone-qualified IDs, 409-is-success, permanent-on-bad-placement (no
+API call made), the nine-row state-mapping table, 404 paths, malformed
+providerIDs, and the ListByTag filter/partial-success assertions. The
+uncovered remainder is `New()` (dials real Google with ADC) and the
+`realInstances` adapter — the same deliberately-untested posture as the
+kubernetes provider's `New()`.
+
+Worth noting: gopls suggested replacing `proto.String(x)` with Go 1.26's
+`new(x)` expression; left as `proto.String` — it is the universal
+protobuf-construction idiom and matches every example in the SDK docs.
+Registry wiring (`"gcp": gcp.New`) happens at the composition root in
+Step 10, as designed in Step 2. `docs/architecture.md` §5 now shows both
+providers' call mappings.
+
+## Step 9 — Orphan GC + metrics
+
+Implemented `internal/gc/gc.go` (the `Sweeper` Runnable) and
+`internal/metrics/metrics.go` (explicit-registration metric set), plus the
+`provider.WithMetrics` decorator deferred from Step 2 into
+`internal/provider/metrics.go`, and the observation hooks in the health
+engine and discovery server.
+
+**GC**, per the plan: `NeedLeaderElection() = true` (destructive ⇒ single
+writer), 10 min ticker with the first sweep one full interval after start,
+per-provider `ListByTag` with log-and-continue on provider errors, and a
+kill requires all three of: our UID label present, older than `MinAge`
+(10 min), and the UID matching no existing CR — where a CR with a
+`deletionTimestamp` still counts as live (its finalizer owns that
+deletion; GC racing it would double-delete). Two safety behaviors worth
+naming: a failed Proxy `List` skips the whole sweep (an unreadable live
+set proves nothing orphaned), and the namespace-scope guard makes `Start`
+refuse to run against a namespace-restricted cache unless
+`--gc-allow-namespaced` is explicit, with the flag named in the error.
+One deviation of record: the plan says kills log "at Warn", but logr has
+no Warn level — kills log at Info with a `WARNING:` prefix carrying
+provider, providerID, and UID, same convention as the discovery server's
+empty-token warning.
+
+**Metrics**, per the plan: no `init()` — `Metrics.Register(reg, phases,
+leases)` is called explicitly by the composition root (Step 10), which is
+also what lets every test use a fresh registry (asserted by a test that
+registers two sets on two registries). `proxy_operator_proxies{phase}`
+and `proxy_operator_leases_active` are scrape-time collectors fed by
+closures — a reconcile-incremented gauge drifts and leaks series on
+delete; reading the source of truth at scrape time cannot. The
+probe vectors observe **every** probe (status stays transition-only;
+metrics carry the high-frequency signal), and the health engine calls
+`ForgetProxy` when it prunes a state entry so per-proxy series don't leak.
+`provider_requests_total{provider,op,result}` comes from the
+`WithMetrics` decorator — the one place `Class()` is called purely for
+observability, with results labelled ok / not_found / quota_exceeded /
+permanent / transient.
+
+**Decoupling shape:** each consuming package defines its own small
+recorder interface (`health.ProbeMetrics`, `discovery.LeaseMetrics`,
+`provider.RequestRecorder`); `metrics.Metrics` satisfies all of them
+structurally. Only `cmd/main.go` will import `internal/metrics`.
+
+Tests (`-race -count=2` clean): GC's true-orphan matrix in one sweep
+(live kept, deleting-CR kept, young kept, unlabelled kept, orphan
+deleted), broken-provider isolation, list-failure skips sweep, the
+namespace guard both ways, and the Start loop sweeping then stopping;
+metrics via `prometheus/testutil` — `GatherAndCompare` on the scrape-time
+collectors, ForgetProxy dropping series, outcome/result label counts;
+the decorator's five-way classification table with error passthrough
+asserted. Coverage: gc 86.1%, metrics 95.0%, provider up to 97.1%;
+health/discovery re-ran green with the hooks in place.
+
+```bash
+go test -race -count=2 ./internal/gc/ ./internal/metrics/ ./internal/provider/ ./internal/health/ ./internal/discovery/
+make test    # whole repo green
+```
+
+Worth noting: `prometheus/client_golang` was already in the module via
+controller-runtime's metrics server, so no new dependency — `go mod tidy`
+just promoted it to direct. `docs/architecture.md` gained §8 (GC sweep)
+and §9 (metrics shape).
+
+## Step 10 — Wiring, config, docs
+
+The composition root and everything around it. `cmd/main.go` now: parses
+the plan's flag set (plus `--gc-allow-namespaced` from Step 9), loads the
+provider config first and fails fast, builds the registry with
+`{"kubernetes": kubernetes.New, "gcp": gcp.New}`, wraps every provider in
+`provider.WithMetrics`, then adds the lease store, health engine,
+discovery server, and GC sweeper to one manager and hands the reconciler
+its providers + health snapshotter + events channel. Metrics register on
+controller-runtime's global registry with scrape-time closures (phase
+counts from the cache, active leases summed from `store.Counts()`).
+
+Two cache decisions became concrete here:
+
+- The Secret cache is restricted to Secrets labelled
+  `crawl.example.com/cloud-init=true` (new constant
+  `v1alpha1.LabelCloudInit`) — the operator holds cluster-wide Secret
+  read RBAC, and an unrestricted cache would hold every Secret in scope.
+  Consequence documented in the README: an unlabelled referenced Secret
+  is invisible → `CloudInitError`.
+- `--proxy-namespace` restricts the whole cache via `DefaultNamespaces`
+  and flips the GC sweeper's `NamespaceRestricted` guard.
+
+Manifests: `config/manager/manager.yaml` gained the
+`--providers-config` arg, the optional `DISCOVERY_TOKEN` secretKeyRef
+(`optional: true` — without the Secret the API runs unauthenticated with
+its loud warning), the ConfigMap volume mount, and containerPort 8090;
+new `config/manager/providers_config.yaml` (kubernetes-only default) and
+`config/default/discovery_service.yaml`. RBAC: the pods marker landed in
+the controller RBAC block (cluster-scoped role — the kubernetes
+provider's ListByTag spans namespaces). The plan's events RBAC was
+deliberately omitted: nothing wires an EventRecorder, and unused verbs
+are lint noise — recorded in Decisions.
+
+Samples: `proxy_kubernetes.yaml` / `proxy_gcp.yaml` (with a working
+Squid-installing cloud-init) / `proxy_external.yaml` replace the scaffold
+placeholder; `providers-config.yaml` documents both provider blocks;
+`hack/providers-dev.yaml` + a new `run-dev` Makefile target run locally
+with plain-HTTP metrics:
+
+```bash
+make run-dev
+# go run ./cmd/main.go --providers-config hack/providers-dev.yaml \
+#   --metrics-bind-address :8080 --metrics-secure=false
+```
+
+Docs: README rewritten per the plan (60-second architecture, kind
+quickstart, in-cluster deploy incl. token Secret creation, GCP setup with
+the IAM roles, the two prominent caveats, the no-substitutions version
+pins note). `docs/architecture.md` gained the components table and the
+full Decisions section — the plan's listed decisions plus everything
+accumulated in this log (RequeueNow, quota≠Failed, 409 arithmetic,
+TTL-400-not-clamp, GCP required placement, unknown-status→Stopped,
+banned==rate_limited window, GC logging convention, the Secret label
+contract, events-RBAC omission, logr-not-slog). `CHANGELOG.md` got its
+first entry with a real timestamp.
+
+Verified: `make test` green across the repo (coverage unchanged),
+`bin/kustomize build config/default` and `config/samples` render clean,
+`make build` produces the binary, e2e-tagged build + vet clean. The kind
+end-to-end run is deliberately still ahead — it is the Verification
+step's job, after Step 11 closes the remaining test gaps.
+
+Worth noting: `make run-dev` passes `--metrics-secure=false` because the
+scaffold's secure-serving default requires authn/authz reachability that
+a local process doesn't have; in-cluster deployments keep the secure
+default from the kustomize patch. The `providers` map wrapping happens
+*before* any consumer sees it, so the reconciler and GC only ever hold
+instrumented providers.
+
+## Step 11 — Tests
+
+Most of the plan's Step 11 list was deliberately front-loaded into the
+step that built each component (the action-table suite, computePhase and
+SpecHash tables, lease-store matrix incl. the concurrent `-race` case,
+discovery httptest suite, health threshold/CONNECT tests, GCP
+`buildInsertRequest` + classification, name-derivation tests from
+Step 2). This step closed what remained — the envtest-only coverage —
+and audited the list item by item.
+
+Added to `internal/controller/proxy_controller_test.go`:
+
+- **The CEL cases only a real API server can test** (fake clients run
+  neither CEL nor structural defaulting): six invalid-create rejections
+  (Managed-without-provider, External-with-provider,
+  External-without-endpoint, Managed-with-endpoint, cloudInit
+  both/neither), mode-mutation rejection, provider mutation *and removal*
+  rejection (the `has(self.x)==has(oldSelf.x)` form exists exactly for
+  the removal case), and the `+kubebuilder:default={}` assertion — a
+  Proxy created with no `healthCheck` comes back with every nested
+  default materialized, plus port and maxLeases defaults.
+- **Ready-through-health**: Managed proxy walks to Running (phase still
+  Provisioning — "no health verdict yet must not be Ready"), then a fake
+  `HealthSnapshotter` supplies a healthy snapshot and the phase flips to
+  Ready with latency in status.
+- **Quota + permanent, envtest edition**: quota → condition
+  QuotaExceeded, `RequeueAfter = QuotaRetry`, nil error, phase *not*
+  Failed; then permanent → Failed and the generation latch provably stops
+  further provider calls.
+- **Adopt**: strip the spec-hash annotation off a Running proxy (as an
+  operator upgrade with a changed hash-input struct would), reconcile,
+  and assert the annotation is restored byte-identical, the providerID
+  unchanged, and zero provider deletes.
+
+One repo-wide change: `make test` now runs with `-race` (the plan's
+"everything runs with -race" was previously only true of the manual
+verification runs, not the canonical target):
+
+```make
+go test -race $$(go list ./... | grep -v /e2e) -coverprofile cover.out
+```
+
+Everything green on the first run of the new specs; full suite ~9 s for
+the controller package under race, `-short` still skips envtest in 0.6 s.
+
+Worth noting: the provider-removal CEL test has a subtlety worth keeping —
+removing `provider` alone would also trip the required-iff rule, so the
+test flips mode and adds an endpoint in the same update to isolate the
+immutability rules as the thing that rejects. The plan's remaining
+checklist item is Verification: the throwaway-kind-cluster run of the
+README quickstart, then push + MR.
+
+## Verification — kind end-to-end
+
+Static checks first (`go vet ./...`, `make build`, full `make test` with
+`-race`): all green. Then the real thing, per the spec's §13 "run the kind
+quickstart yourself and fix what breaks" — and two things broke, both now
+fixed.
+
+**Finding 1 — `make run-dev` cannot produce a Ready proxy on kind.** The
+operator on the host provisions the pod fine (Provisioned=True, IP
+published), but the health probe originates on the host, and kind pod IPs
+(10.244.x.x) are not host-routable — every probe fails by construction
+and the proxy latches `Unhealthy`:
+
+```text
+Healthy=False: Get "https://www.gstatic.com/generate_204":
+  proxyconnect tcp: dial tcp 10.244.0.5:3128: connect: connection refused
+```
+
+Everything around the failure worked exactly as designed (thresholds,
+condition, phase, and the finalizer delete ran clean from the host). Fix:
+the README quickstart now deploys the operator **in-cluster**
+(docker-build → kind load → deploy → port-forward 8090), with the
+run-dev limitation documented in both the quickstart and the Development
+section.
+
+**Finding 2 — Squid was OOM-killed at startup in-cluster.** With the
+operator deployed in-cluster the pod crash-looped (`OOMKilled`, empty
+logs). Root cause: squid sizes its file-descriptor tables from
+`RLIMIT_NOFILE`, and containerd under kind sets that effectively
+unlimited (~10^9) — squid allocates gigabytes before it ever listens.
+Fix in the generated config (`internal/provider/kubernetes/pod.go`):
+`max_filedescriptors 1024` (the load-bearing line) plus `cache_mem 16 MB`
+(a crawling forward proxy gains nothing from squid's 256 MB default),
+with a regression assertion added to `pod_test.go`.
+
+**With both fixes, the full pass:**
+
+```bash
+kind create cluster --name proxy-operator-demo
+make install
+make docker-build IMG=egress-proxies-operator:dev
+kind load docker-image egress-proxies-operator:dev --name proxy-operator-demo
+make deploy IMG=egress-proxies-operator:dev
+kubectl apply -f config/samples/proxy_kubernetes.yaml
+# → Ready 10.244.0.9 lat=89ms Provisioned=True Healthy=True   (~30 s)
+kubectl -n egress-proxies-operator-system port-forward svc/...-discovery-service 8090:8090 &
+curl -s 'localhost:8090/v1/proxies?healthy=true'          # count:1, latencyMillis:89
+curl -s -XPOST localhost:8090/v1/leases -d '{"selector":{"geo":"local"},"ttlSeconds":300}'
+#   → 201 {leaseID, proxy(activeLeases:1), expiresAt, ttlSeconds:300}
+curl -XPOST .../report -d '{"result":"rate_limited","target":"example.com"}'   # 204
+curl -XPOST /v1/leases -d '{...,"target":"example.com"}'  # 409 {inCooldown:1} ✓
+curl -XDELETE /v1/leases/<id>   # 204, and 204 again ✓
+kubectl delete -f config/samples/proxy_kubernetes.yaml    # finalizer: pod Terminating, CR gone
+kind delete cluster --name proxy-operator-demo
+```
+
+A real Squid pod went Ready through a real CONNECT probe, a lease was
+held on it, the cooldown machinery answered a 409 with correct
+arithmetic, and the finalizer cleaned up — the plan's success bar, met
+with the actual product.
+
+Worth noting: `make deploy` runs `kustomize edit set image` and mutates
+`config/manager/kustomization.yaml` in the working tree — reverted before
+committing (the repo keeps the pinned stanza). The health probe's ~89 ms
+latency is gstatic-through-squid from a kind pod on this machine;
+metrics-side observations were not separately checked in-cluster (covered
+by unit tests).

docs/plans-executions/2026-08-11-1742-gcp-provider-verbose-logging.md

@@ -0,0 +1,42 @@
+# Execution: Verbose (V-level) logging in the GCP provider
+
+Plan: `docs/plans/2026-08-11-1742-gcp-provider-verbose-logging.md`
+
+- [x] Step 0 — Save and commit the plan
+- [x] Step 1 — V(1)/V(2) logging in `internal/provider/gcp` (gcp.go, errors.go)
+- [x] Step 2 — Tests (verbosity tiers, error detail, cloud-init leak guard)
+- [ ] Step 3 — CHANGELOG entry (after the user confirms it works live)
+
+## Step 1 — logging in the provider
+
+Went as planned: context-carried logger (`logf.FromContext(ctx).WithName("gcp")`),
+V(1) one line per API call, V(2) request/list detail, opNames captured from the
+`instancesAPI` seam instead of being discarded. `logAPIError` lives in
+`errors.go` (next to `classify`, whose imports it shares) rather than `gcp.go`
+as loosely implied by the plan — same package, so no behavioural difference.
+These are the first `.V(n)` calls and the first logging import anywhere under
+`internal/provider/`.
+
+Worth noting: the gopls `errorsastype` suggestion fired on the new
+`errors.As` in `logAPIError` (Go's newer `errors.AsType`); kept `errors.As`
+for consistency with the three existing uses in the same file. Same for the
+`newexpr` (`proto.String` → `new`) suggestions — the codebase consistently
+uses `proto.String`.
+
+## Step 2 — tests
+
+`funcr.New` as the capturing sink, injected via `logr.NewContext`, exactly the
+seam the plan predicted. One deviation: instead of a single
+`TestLogging_verbosity` table, it split into three tests — `_verbosityTiers`
+(table over V=0/1/2, incl. the cloud-init sentinel leak assertion),
+`_apiErrorKeepsHTTPDetail` (403 quotaExceeded keeps `httpStatus`/reason at
+V(1)), and `_treatedAsSuccessPathsAreExplicit` (409-on-create /
+404-on-delete each log their "treated as success" line) — the last two
+exercise fake error wiring that didn't fit the tier table cleanly.
+
+Verified with:
+
+```bash
+go test -race ./internal/provider/gcp/
+go test ./...
+```

docs/plans-executions/2026-08-11-1802-bake-commit-version.md

@@ -0,0 +1,61 @@
+# Execution: Bake the git commit into the operator binary and log it at startup
+
+Plan: `docs/plans/2026-08-11-1802-bake-commit-version.md`
+
+- [x] Step 0 — Save and commit the plan
+- [x] Step 1 — `internal/version` package + tests
+- [x] Step 2 — `cmd/main.go`: `--version` flag + startup log line
+- [x] Step 3 — Makefile `GIT_COMMIT` + `--build-arg` wiring
+- [x] Step 4 — Dockerfile `-ldflags` stamp + OCI revision label
+- [ ] Step 5 — CHANGELOG entry (after the user confirms it works live)
+
+## Steps 1–4
+
+Mostly as planned. One deviation worth recording: the plan claimed
+`build`/`run` targets need no changes because Go's automatic VCS stamp covers
+host builds — that turned out to be only half true. Go skips VCS stamping
+when the build target is a *file argument* rather than a package pattern, and
+the Makefile's `build` target used `go build -o bin/manager cmd/main.go`.
+Verified empirically:
+
+```bash
+go build -o bin/manager cmd/main.go && ./bin/manager --version   # unknown (no vcs settings)
+go build -o bin/manager ./cmd       && ./bin/manager --version   # e4d2a191d0c2-dirty
+```
+
+So `build:` now uses `go build -o bin/manager ./cmd`. `go run` never stamps
+VCS info regardless of invocation form — `make run`/`run-dev` print
+`commit=unknown`, which is acceptable for dev loops (the Dockerfile path uses
+the explicit ldflags stamp and is unaffected; it kept `cmd/main.go`).
+
+The ldflags path was verified independently:
+
+```bash
+go build -ldflags "-X gitea.home.hrajfrisbee.cz/kacerr/egress-proxies-operator/internal/version.Commit=deadbeef1234" \
+  -o bin/manager-stamped cmd/main.go
+./bin/manager-stamped --version   # deadbeef1234
+```
+
+Worth noting: `cmd/main.go` imports k8s apimachinery as `runtime`, so the
+stdlib runtime needed an alias (`goruntime "runtime"`) for
+`goruntime.Version()` in the startup line. The `--version` check happens
+right after `flag.Parse()`, before logger and manager setup, so it works
+without a kubeconfig.
+
+## Verification
+
+```bash
+go vet ./... && go test ./...           # all green, incl. new resolve() table tests
+go build -o bin/manager ./cmd && ./bin/manager --version   # e4d2a191d0c2-dirty
+```
+
+The image-level check initially failed (Docker daemon not running); after
+the daemon was started it passed in full:
+
+```bash
+make docker-build IMG=egress-proxies-operator:dev
+docker run --rm egress-proxies-operator:dev --version
+# ae434a7167ec-dirty  (matches git rev-parse --short=12 HEAD + untracked files)
+docker inspect egress-proxies-operator:dev --format '{{index .Config.Labels "org.opencontainers.image.revision"}}'
+# ae434a7167ec-dirty
+```

docs/plans-executions/2026-08-11-1838-gcp-http-wire-logging-v5.md

@@ -0,0 +1,63 @@
+# Execution: GCP HTTP wire logging at V(5)
+
+Plan: `docs/plans/2026-08-11-1838-gcp-http-wire-logging-v5.md`
+
+- [x] Step 1 — `wireLogger` + `option.WithLogger` wiring in `internal/provider/gcp/gcp.go`
+- [x] Step 2 — Tests (`TestWireLogger_gatesAtV5`, `TestWireLogger_infoLandsAtV1`)
+- [x] Step 3 — Live verification at `--zap-log-level=5` (user, on cluster)
+- [x] Step 3b — Post-verification fix: drop auth records, elide huge fields
+- [ ] Step 4 — CHANGELOG entry (after live confirmation of 3b; batch with the
+      two earlier pending entries: GCP V-logging, version stamp)
+
+## Steps 1–2
+
+Went exactly as planned — the whole feature is ~10 lines of production code
+because both halves already existed: the compute SDK logs full HTTP
+request/response records at slog Debug to an injectable logger, and
+`logr.ToSlogHandler` does the slog→logr bridging. The only real design
+content is the level shift (`base.V(1)` + slog-Debug's +4 = V(5)) and the
+startup warning line when V(5) is active (raw payloads include cloud-init
+user-data, which the curated V(2) logging deliberately hides).
+
+Worth noting for future readers:
+
+- `option.WithLogger` **disables** `GOOGLE_SDK_GO_LOGGING_LEVEL` for this
+  client (documented SDK precedence) — `--zap-log-level` is now the only knob
+  for GCP wire logs.
+- The V(5) check in `New` runs once at startup; that is sound because the zap
+  level is fixed by flags at process start.
+- Added `TestWireLogger_infoLandsAtV1` beyond the plan's table — it pins the
+  shift arithmetic from the other side (slog Info → V(1)), so a future logr
+  mapping change would fail loudly.
+
+Verified with:
+
+```bash
+go test -race ./internal/provider/gcp/
+go build ./... && go test ./...
+```
+
+## Step 3b — what live verification exposed, and the fix
+
+Live V(5) output revealed two problems the plan missed:
+
+1. **Security: the injected logger propagates into `cloud.google.com/go/auth`**,
+   which logs its own token exchange (`auth.go:571/576`) — signed JWT
+   assertion in the request, full bearer access token in the response. The
+   plan's "auth token is safe" analysis only covered the compute client's
+   request headers, not the auth library's own records. Fix: `wireLogger`
+   now wraps the handler in a filter that drops every Debug record except
+   the compute client's `"api request"`/`"api response"` (allowlist, so
+   future SDK additions fail closed); Warn/Error still pass through.
+2. **Readability: GCP responses embed multi-KB blobs** (Shielded-VM UEFI
+   dbx databases) that swamp the line. Fix: string fields >1KiB are elided
+   to `[elided N bytes]` by default, recursively through payload
+   maps/arrays. Opt-out via new manager flag
+   `--gcp-wire-log-full-payloads` (threaded through a constructor closure
+   in `cmd/main.go` → `gcp.NewWithWireOptions`; the `registry.Constructor`
+   signature stays unchanged). Chosen by the user: elision on by default,
+   verbatim available on demand. Auth records are dropped in both modes.
+
+The filter/elision logic lives in `internal/provider/gcp/wirelog.go` with
+tests covering: auth-record drop (both modes), elision marker + small-field
+preservation, verbatim mode, and the original V(5) gating.

docs/plans-executions/2026-08-11-1935-gitea-build-workflow.md

@@ -0,0 +1,53 @@
+# Execution: Distilled Gitea Actions image-build workflow
+
+Plan: `docs/plans/2026-08-11-1935-gitea-build-workflow.md`
+
+- [x] Step 1 — Create `.gitea/workflows/build.yaml`
+- [x] Step 2 — Replace CLAUDE.md CI TODO with a CI/CD subsection
+- [x] Step 3 — Push branch + open MR
+- [ ] Step 4 — CHANGELOG entry (after the first successful run is confirmed)
+
+## Steps 1–2 — workflow + CLAUDE.md
+
+The workflow distills the house pattern from 9 sibling projects (survey in the plan)
+plus improvements none of them combine: an immutable `sha-<12>` tag, a lightweight
+test gate, `:latest` moving only on real tag pushes, and a `concurrency` group.
+
+Work happened in a git worktree off `origin/main` so the main checkout (which had
+unrelated uncommitted changes) stayed untouched:
+
+```bash
+git worktree add -b feat/gitea-build-workflow \
+  "$SCRATCH/wt-build" origin/main
+```
+
+Deviation from the plan's assumptions: while planning, `feat/proxy-operator` was
+still unmerged and the plan noted `main` lacked `internal/`/`test/`. By execution
+time `origin/main` had moved (`076bc66..f7000f7` — the proxy-operator MR merged),
+so the branch and its CI gate cover the full operator code.
+
+Verified the workflow parses and the check-gate commands pass on this exact tree
+(ruby stands in for a YAML linter because the system python3 has no `yaml` module):
+
+```bash
+ruby -ryaml -e "YAML.load_file('.gitea/workflows/build.yaml'); puts 'YAML OK'"
+go vet ./... && go build ./... && go test -short ./...   # all packages ok
+```
+
+## Step 3 — push + MR
+
+Branch pushed and MR opened with `tea` (the worktree was then removed and the main
+checkout switched onto the branch so the files are visible locally):
+
+```bash
+tea pr create --title "Add Gitea Actions image-build workflow" \
+  --description "..." --base main --head feat/gitea-build-workflow
+# → https://gitea.home.hrajfrisbee.cz/kacerr/egress-proxies-operator/pulls/2
+```
+
+Worth noting: the workflow itself cannot run end-to-end until (a) the MR merges
+(it only triggers on tags / manual dispatch, not branch pushes) and (b) the
+`REGISTRY_TOKEN` secret is created in this repo's Gitea settings (PAT with
+`write:package`). First real verification = manual dispatch with tag
+`manual-test`, expecting `manual-test` + `sha-…` in Packages and `:latest`
+untouched.

docs/plans-executions/2026-08-11-2152-discovery-api-docs.md

@@ -0,0 +1,38 @@
+# Execution: Discovery API documentation
+
+Plan: [2026-08-11-2152-discovery-api-docs.md](../plans/2026-08-11-2152-discovery-api-docs.md)
+
+- [x] Step 1 — Write `docs/api.md` full API reference
+- [x] Step 2 — Add pointers in README and architecture.md
+
+## Step 1 — docs/api.md
+
+Wrote the full reference: base URL (in-cluster FQDN + port-forward), bearer
+auth, error envelope, configuration table, all five routes with schemas,
+status codes and curl examples, the selection/cooldown semantics section,
+an end-to-end curl walkthrough, and the in-memory/single-replica caveats.
+All facts were taken from the code, not from memory of prior docs.
+
+Worth noting: the doc explicitly calls out two things no earlier doc
+stated for clients — that a report **without** a target on a targetless
+lease creates a *global* cooldown (blocking the proxy for everyone), and
+that `rate_limited` and `banned` currently behave identically. Both came
+straight from `internal/lease/store.go` and are easy to trip over.
+
+## Step 2 — Pointers + verification
+
+Added one-line links to the new doc in README's quickstart (above the curl
+block) and in `docs/architecture.md` §7. Verified the documented behavior
+against the tree rather than trusting the write-up:
+
+```sh
+go build ./... && go test -short ./internal/discovery/ ./internal/lease/
+```
+
+Both pass; a grep of `server_test.go` confirmed every documented status
+code and error code (`invalid_ttl`, `invalid_query`, `invalid_result`,
+`no_match`, `unknown_lease`, 201/204/401/404/409) is asserted by tests.
+
+Worth noting: CHANGELOG entry deliberately deferred until the user
+confirms the docs read well, per the CHANGELOG convention's
+"once the user confirms it works" clause.

docs/plans-executions/2026-08-11-2220-demo-scripts.md

@@ -0,0 +1,55 @@
+# Execution: Demo scripts
+
+Plan: [2026-08-11-2220-demo-scripts.md](../plans/2026-08-11-2220-demo-scripts.md)
+
+- [x] Step 0 — Branch `feat/demo-scripts` + plan commit
+- [x] Step 1 — `docs/demo/show-egress-ips.sh`
+- [x] Extra (added iteratively, not in the original plan) — proxy-creation scripts
+
+## Step 0 + Step 1
+
+Branched off `main`, committed the plan alone, then wrote
+`docs/demo/show-egress-ips.sh`: takes `BASE_URL` as its argument, lists
+`/v1/proxies` (bearer auth via optional `TOKEN` env), probes each healthy
+proxy with `curl -x http://ip:port` against an IP-echo site
+(`IP_ECHO_URL`, default ipify JSON), banners which proxy each request goes
+through, skips unhealthy ones, and ends with a probed/skipped/failed
+summary. Per user request the script was left uncommitted for iteration
+and no verification beyond `bash -n` was run.
+
+## Extra — create-kubernetes-proxies.sh, create-gcp-proxies.sh
+
+Added on the same branch before the first commit:
+
+- `create-kubernetes-proxies.sh <count>` — creates
+  `proxy-kubernetes-demo-1..N` with the kubernetes provider, spec taken
+  from `config/samples/proxy_kubernetes.yaml`, applied via
+  `kubectl apply -f -` heredocs. Optional `NAMESPACE` env.
+- `create-gcp-proxies.sh <count>` — creates `proxy-gcp-demo-1..N` from the
+  user-supplied gcp-eu manifest (e2-micro, Ubuntu 24.04, Squid
+  cloud-init), each with a zone picked randomly from a hardcoded list of
+  27 EU zones so the fleet gets egress IPs from different locations.
+  Env overrides: `ZONES`, `GCP_PROVIDER` (default `gcp-eu`), `NAMESPACE`.
+
+## Extra — run-demo.sh, show-egress-ips-table.sh
+
+Second round of iterative additions:
+
+- `run-demo.sh` — tmux demo driver: 2x2 tiled grid with the egress-IP
+  table looping every 10s inside a netshoot pod (script `kubectl cp`'d
+  into the pod, `BASE_URL` set to the in-cluster Service FQDN),
+  `watch -n3 kubectl get px`, and both create scripts auto-running with
+  `COUNT` proxies each (default 4). Env knobs: `COUNT`, `SESSION`,
+  `NETSHOOT_POD`, `DEMO_DIR` (defaults to the script's own dir).
+- `show-egress-ips-table.sh` — condensed one-line-per-proxy variant of
+  `show-egress-ips.sh` sized for a tmux pane: PROXY / ENDPOINT /
+  LOCATION (zone→geo attribute fallback) / EGRESS-IP columns, with
+  `(unhealthy)` and `FAILED` inline instead of verbose output. The
+  verbose script stays for standalone use; the demo driver uses the
+  table variant.
+
+Worth noting: beyond the user's sample manifest, the gcp script also
+writes the picked zone into `attributes.zone`, so the discovery API
+exposes each proxy's location and leases can select on it. The zone list
+is static — if a project lacks quota in some region, `ZONES` narrows the
+pool; nothing validates zones against the live project.

docs/plans-executions/2026-08-24-1025-otel-tracing.md

@@ -0,0 +1,183 @@
+# Execution log: OpenTelemetry tracing integrated with logr/zap logging
+
+Plan: `docs/plans/2026-08-24-1025-otel-tracing.md`
+
+- [x] Step 1 — Dependencies
+- [x] Step 2 — New package `internal/tracing`
+- [x] Step 3 — `provider.WithTracing` decorator
+- [x] Step 4 — `cmd/main.go` wiring
+- [x] Step 5 — Reconciler spans
+- [x] Step 6 — Discovery server
+- [x] Step 7 — GC + health
+- [x] Step 8 — GCP wire-log enrichment
+- [x] Step 9 — Manifests + docs
+
+## Step 1 — Dependencies
+
+Aligned the pre-existing indirect skew (otel core v1.44.0 vs otlptrace exporters
+v1.40.0) and added the new direct deps in one shot:
+
+```bash
+go get go.opentelemetry.io/otel@v1.45.0 \
+  go.opentelemetry.io/otel/sdk@v1.45.0 \
+  go.opentelemetry.io/otel/trace@v1.45.0 \
+  go.opentelemetry.io/otel/exporters/otlp/otlptrace/otlptracegrpc@v1.45.0 \
+  go.opentelemetry.io/otel/exporters/otlp/otlptrace/otlptracehttp@v1.45.0 \
+  go.opentelemetry.io/otel/exporters/stdout/stdouttrace@v1.45.0 \
+  go.opentelemetry.io/contrib/instrumentation/net/http/otelhttp@v0.70.0
+go mod tidy
+```
+
+MVS side-effects worth recording: `logr v1.4.3→v1.4.4`, `httpsnoop
+v1.0.4→v1.1.0`, `grpc-gateway/v2 v2.27.7→v2.29.0`, `proto/otlp v1.9.0→v1.11.0`,
+plus a `genproto/googleapis/api` pseudo-version bump. Full `make test` passed
+against the bumped graph (`google.golang.org/api v0.292.0` and k8s v0.36
+tolerate otelhttp v0.70.0).
+
+Worth noting: the first `go mod tidy` ran *before* any first-party code
+imported `otlptracehttp`/`stdouttrace`, so it silently dropped those two
+modules again; the Step 2 tidy re-added them. The plan's semconv question
+resolved to `semconv/v1.43.0` — that's what `sdk@v1.45.0/resource/builtin.go`
+imports, so first-party code uses the same version to avoid
+`ErrSchemaURLConflict` in the common path.
+
+## Step 2 — `internal/tracing` package
+
+Landed as planned: `tracing.go` (env-gated `Setup`, hand-rolled exporter
+selection), `logger.go` (`Start`/`StartSpan`/`ContextWithLogger` with the
+base-logger ctx key that prevents duplicate `traceID` zap fields on nested
+spans), `reconciler.go`, `transport.go`, `http.go`, `options.go`; tests for
+all of it (first use of `sdk/trace/tracetest` in the repo).
+
+Two deviations from the plan's letter:
+
+- **k8s transport gating is a custom RoundTripper, not `otelhttp.WithFilter`**
+  (`parentGatedTransport`): requests without a parent span bypass the otel
+  transport entirely, so the no-root-spans-from-informers guarantee doesn't
+  depend on otelhttp filter semantics for transports.
+- **`HTTPMiddleware` must copy the route pattern back.** The logger-injecting
+  inner handler wraps the request via `WithContext` (a shallow copy), so the
+  mux records the matched pattern on the copy while otelhttp's post-routing
+  span rename reads the original. Found by the middleware test (span named
+  `"GET"` instead of `"GET /v1/things/{id}"`); fixed with `r.Pattern =
+  r2.Pattern` after `next.ServeHTTP`.
+
+Also: both the transport and the middleware pass explicit W3C propagators
+instead of relying on the global, so behavior is deterministic under tests
+and when tracing is disabled. `Setup` tests reset the global provider to a
+fresh noop per case — restoring otel's own default delegate triggers a
+"Setting tracer provider to its current value" warning from the SDK.
+
+## Step 3 — `provider.WithTracing`
+
+`internal/provider/tracing.go` mirrors `metrics.go` exactly (same wrap shape,
+same `resultLabel` classification reused as the `provider.result` span
+attribute); tests reuse `staticProvider` from `metrics_test.go`. `ErrNotFound`
+maps to span status Ok as planned — the reconciler polls `Get` to NotFound
+during replacement/deletion, so it's an answer, not a failure.
+
+One small API addition to `internal/tracing` for this: exported
+`tracing.Tracer(opts...)`, since the decorator lives in package `provider`
+and couldn't reach the unexported option resolver. The `cmd/main.go` wiring
+(`WithTracing` outermost around `WithMetrics`) lands with Step 4's commit —
+same file, one commit.
+
+## Step 4 — `cmd/main.go` wiring
+
+As planned: `tracing.Setup` right after `ctrl.SetLogger`; manager rest.Config
+wrapped via `restCfg := ctrl.GetConfigOrDie(); restCfg.Wrap(...)` (the
+previous inline call left nowhere to wrap); providers decorated tracing-
+outermost; explicit trace flush after `mgr.Start` returns on both the error
+and clean paths, with a fresh 10s context since the signal ctx is already
+cancelled by then.
+
+The kubernetes provider grew `NewWithTransportWrapper(ctx, cfg, wrap)` (its
+client is built from its own `ctrl.GetConfig()`, invisible to the manager's
+wrapped config); `New` now delegates with a nil wrapper, so `newWithClient`
+tests stayed untouched, and main registers a closure — the same pattern the
+gcp constructor already used for wire-log options.
+
+Deviation: the plan put `--trace-health-probes` here, but the flag needs the
+`health.Engine.TraceProbes` field that Step 7 introduces — moved there to
+keep every commit compiling.
+
+## Step 5 — Reconciler spans
+
+`SetupWithManager` completes with `tracing.NewReconciler("Proxy", r)`;
+sub-spans `reconcile.managed` / `reconcile.replaceInstance` /
+`reconcile.delete` open at the top of each state machine, and `status.patch`
+opens inside the deferred flush closure so it stays within the root span
+while its error still folds into the recorded result. `reconcileExternal`
+left unspanned as planned (no I/O).
+
+Two small judgment calls: the sub-spans carry no extra attributes — the
+provider decorator already records `provider.id`, and the root span carries
+the object identity, so duplicating them was noise; and `status.patch` is
+emitted every reconcile even when nothing changed (the no-op compare is the
+span's content — a real PATCH shows up as its k8s HTTP child). Tests that
+call `r.Reconcile` directly bypass the wrapper; with no global tracer set
+they see no-op spans, so the existing fake-client and envtest suites run
+unchanged.
+
+## Step 6 — Discovery server
+
+Middleware chain is now recover → tracing (server span + request logger) →
+request-log → body cap → auth; the request-log middleware and the three
+handler error sites log via `logf.FromContext(r.Context())` — which is
+`s.log` enriched with the request's traceID/spanID by the tracing
+middleware, not a different logger (logr sinks can't read ctx at log time,
+so per-request values must ride on the logger instance in the ctx; user
+asked, answered in-session).
+
+Deviation from the plan's letter: `recoverMiddleware` keeps `s.log`. It sits
+*outside* the tracing layer, so its request ctx never has the enriched
+logger — switching it to `FromContext` would silently drop the `"discovery"`
+name and gain nothing.
+
+## Step 7 — GC + health
+
+`gc.sweep` runs in a root span with `gc.providers` / `gc.deleted` counters
+(a failed orphan delete no longer counts as deleted — the loop grew an
+explicit `continue`). The health engine got the deferred `--trace-health-probes`
+flag and `TraceProbes` field; the probe call moved into `runProbe`, which
+wraps it in a `health.probe` client span only when enabled, ending before
+`record` (which stays ctx-free by design). Probe transports remain
+uninstrumented so no traceparent can leak through a proxy to external
+targets. Probe→reconcile span links stay out of scope (GenericEvent carries
+no ctx; the workqueue coalesces events) — recorded in the architecture
+Decisions in Step 9.
+
+## Step 8 — GCP wire-log enrichment
+
+`wireFilterHandler.Handle` clones the record and appends `traceID`/`spanID`
+when the ctx carries a valid span — same keys as the logr enrichment, added
+before the elision pass (both values are well under the 1KiB threshold).
+The new `wirelog_test.go` covers the enrichment, that the JWT/token security
+filter still drops non-wire Debug records even with a span present, and that
+spanless records stay unchanged.
+
+## Step 9 — Manifests, docs, lint
+
+`config/manager/manager.yaml` gained the OTel env block (downward-API
+`POD_NAME`/`POD_NAMESPACE` deliberately listed *before*
+`OTEL_RESOURCE_ATTRIBUTES` — `$(VAR)` expansion only sees earlier vars),
+with the OTLP endpoint and sampler left as commented examples so deployments
+stay tracing-off by default. `docs/architecture.md` got "### 10. Tracing"
+plus five Decisions entries; README got a Tracing section.
+
+`make lint` surfaced 16 new-on-branch issues (checked with
+`golangci-lint run --new-from-rev main`; the other ~43 pre-date this work):
+
+- one gofmt slip, 13 goconst repeats — fixed with `env*`/`exporter*`
+  constants in `internal/tracing/tracing.go` shared by the tests;
+- two logcheck hits ("function takes both a context and a logger"):
+  `Setup` now reads its logger from ctx (`logf.FromContext`, caller seeds
+  via `logf.IntoContext` — the linter's sanctioned pattern), and
+  `ContextWithLogger` carries a justified `//nolint:logcheck`, since being
+  the IntoContext-analogue is its purpose.
+
+Worth noting: pre-existing lint debt (50 goconst etc. on `main`) was left
+untouched — `make lint` still fails overall; only branch-introduced issues
+were cleaned. The lint fixes changed `Setup`'s signature after Step 2/4 had
+landed, so those commits show the two-arg version; this commit is where it
+settles.

docs/plans-executions/2026-08-24-1224-tracing-e2e.md

@@ -0,0 +1,68 @@
+# Execution log: e2e test — OTel tracing against real Tempo
+
+Plan: `docs/plans/2026-08-24-1224-tracing-e2e.md`
+
+- [x] Step 1 — `test/e2e/tracing_test.go`
+- [x] Step 2 — Makefile
+- [x] Step 3 — Docs
+
+## Steps 1–3 — spec, Makefile, docs (one commit)
+
+The three steps landed together — the spec is one new file and the other
+two are its wiring. `Describe("OTel tracing", Ordered)` is fully
+self-contained (own ns create → `make install`/`make deploy` → teardown)
+because Ginkgo randomizes top-level container order, so it cannot share the
+Manager Describe's deployment. It reuses the package-level `namespace` /
+`managerImage` and the suite's idioms (`utils.Run`, curl-pod with the
+restricted-PSS overrides JSON, log-substring `Eventually`s).
+
+Judgment calls beyond the plan's letter:
+
+- The squid pre-pull (`docker pull` + `kind load`) is **best effort** — a
+  missing docker binary logs a note and continues rather than failing the
+  spec; the 5m Ready timeout still covers an in-cluster pull.
+- The OTLP preflight pod prints per-attempt HTTP codes and a final
+  `OTLP_OK`/`OTLP_UNREACHABLE` marker; the assertion quotes the pod's
+  output, so an unreachable endpoint names itself in the failure.
+- `kubectl set env` is passed the literal
+  `OTEL_RESOURCE_ATTRIBUTES=...$(POD_NAME)...` string via `exec.Command` —
+  no shell involved, kubectl stores `$()` verbatim, and the in-place update
+  keeps the var after the downward-API vars it references.
+- Tempo helpers are stdlib-only; `/api/traces/<id>` is decoded as
+  OTLP-JSON (`batches[].scopeSpans[].spans[].name`), which is Tempo's
+  actual shape (not Jaeger's).
+
+Verified so far: `go vet -tags=e2e ./...` clean.
+
+## Live run against homelab Tempo
+
+First attempt failed before the suite started — Docker Desktop wasn't
+running (`kind` could not create the cluster), and the failure was masked
+to exit 0 by a `| tail` pipe on the make invocation (no pipefail in that
+shell). Rerun with Docker started first and no pipe:
+
+```bash
+TEMPO_URL=http://192.168.0.30:3200 OTLP_ENDPOINT=http://192.168.0.30:4318 make test-e2e
+```
+
+Result: **SUCCESS — 4/4 specs (Manager smoke + both tracing Its), 219 s**,
+kind cluster auto-deleted. Run id `e2e-1787567624494810000`; the traces are
+findable in Grafana with TraceQL
+`{resource.test.run.id="e2e-1787567624494810000"}`. Both proxies reached
+`Ready` on real squid pods; the create trace carried
+`Reconcile Proxy` / `reconcile.managed` / `provider.create` /
+`status.patch` and the expected resource attrs; the deletion trace carried
+`reconcile.delete` / `provider.delete`.
+
+Worth noting: the OTLP preflight and both Tempo polls succeeded on the
+in-cluster → LAN path (kind on macOS reaches 192.168.0.30 through Docker
+Desktop's NAT), so no extra networking setup is needed on this machine.
+
+The plan's negative verification also ran: with a deliberately wrong
+endpoint (`OTLP_ENDPOINT=http://192.168.0.30:9999`) the tracing spec
+failed in the BeforeAll preflight after ~52 s with
+`OTLP endpoint http://192.168.0.30:9999 is not reachable from inside the
+kind cluster; curl output: OTLP_UNREACHABLE` — a named, fast failure
+instead of a 2-minute opaque search timeout — and teardown still deleted
+the kind cluster (`make cleanup-test-e2e` run explicitly, since a failing
+`go test` skips the Makefile's cleanup step).

docs/plans/2026-08-07-1747-proxy-operator.md

@@ -391,7 +391,10 @@ pods would refuse connections while still being Service endpoints. The 1-replica
 constraint comes from lease state being per-process, which the spec already accepts —
 both facts go in the README caveats.
 
-stdlib `http.ServeMux` with Go 1.22 method+wildcard patterns:
+stdlib `http.ServeMux` using its method+wildcard patterns (`"GET /path"`,
+`"/{id}"` + `r.PathValue`) — a stdlib feature available since Go 1.22, used
+here so no third-party router is needed; the project itself stays on the
+pinned Go 1.26:
 `GET /v1/proxies`, `POST /v1/leases`, `DELETE /v1/leases/{id}`,
 `POST /v1/leases/{id}/report`, plus unauthenticated `GET /healthz`.
 Middleware outermost-first: recover → request-log → `MaxBytesReader(64KiB)` → bearer

docs/plans/2026-08-11-1742-gcp-provider-verbose-logging.md

@@ -0,0 +1,87 @@
+# Plan: Verbose (V-level) logging in the GCP provider
+
+**Created:** 2026-08-11 17:42
+
+## Context
+
+Debugging GCP provisioning is currently blind: the operator has zero `.V(n)` calls
+anywhere, so `--zap-log-level=debug` (or any numeric level) reveals nothing about
+what the GCP provider is doing — which API calls it makes, with what parameters,
+and what came back. The goal: with debug/V-level logging enabled, see the details
+of every GCP Compute API call (Insert/Get/Delete/AggregatedList) including a
+summary of the response; with default `info` level, the provider stays as quiet
+as today.
+
+## Approach (the "how")
+
+**Logger source — context-carried, not injected.** Provider methods all take
+`ctx`, and the reconciler already builds a per-request logger
+(`logf.FromContext(ctx)` in `internal/controller/proxy_controller.go:117`) that
+carries the proxy's name/namespace. The GCP provider will do
+`log := logf.FromContext(ctx).WithName("gcp").WithValues("provider", p.name)` at
+the top of each public method. Zero wiring changes (no registry/constructor/struct
+changes), and every provider log line automatically inherits the reconcile
+context (which Proxy triggered it). Calls from the GC sweeper inherit its
+`orphan-gc` logger name the same way.
+
+**Verbosity scheme** (logr convention: `.Info()` = V(0), `debug` flag = V(1)):
+
+- **V(1)** — one line per GCP API call, after it returns: operation, identifying
+  params, outcome. Examples:
+  - `Create`: `"GCP insert instance"` with `zone`, `name`, `machineType`,
+    `image`, `opName` (currently discarded at gcp.go:117 — capture it, it's the
+    only handle for correlating with GCP's operation log), plus a line for the
+    409-already-exists path.
+  - `Get`: `"GCP get instance"` with `zone`, `name`, `status`, mapped `state`, `ip`.
+  - `Delete`: `"GCP delete instance"` with `zone`, `name`, `opName`, and the
+    404-treated-as-success path.
+  - `ListByTag`: `"GCP aggregated list"` with `filter`, `count`.
+  - Error paths at V(1) too: log the raw classification (HTTP status / reason
+    from `googleapi.Error`) before it's wrapped, since the wrapped error the
+    reconciler sees is coarser.
+- **V(2)** — request/response detail: full curated insert-request summary
+  (network, networkTag, diskSizeGB, port, labels, `cloudInitBytes` = `len`),
+  per-instance lines in `ListByTag` (id, state, uid, age).
+
+**Curated fields, never raw proto dumps.** `CreateRequest.CloudInit` is resolved
+user-data possibly sourced from a Secret, and it lands in the insert request's
+metadata — so logging the request proto wholesale would leak it. Log named safe
+fields only; for cloud-init, log only its byte length. This is a hard rule, and
+a test asserts it.
+
+**Where the calls live: the `Provider` methods in
+`internal/provider/gcp/gcp.go`** (Create/Get/Delete/ListByTag), not in
+`realInstances` (deliberately untested by design, gcp.go:86) and not an HTTP
+round-tripper (would log auth headers/user-data, unredactable). The
+`instancesAPI` fake seam (`newWithAPI`, gcp.go:96) keeps everything testable.
+To surface `opName`, change `Provider.Create`/`Delete` to capture the string
+their `instancesAPI` calls already return instead of discarding it.
+
+## Files to change
+
+- `internal/provider/gcp/gcp.go` — add `logf` import; V(1)/V(2) logging in
+  `Create`, `Get`, `Delete`, `ListByTag`; capture opNames. Only file with
+  production changes.
+- `internal/provider/gcp/gcp_test.go` — new table-driven test
+  `TestLogging_verbosity` (name TBD per house `Test<Function>_<scenario>`
+  style): inject a capturing logger via `logf.IntoContext(ctx, funcr.New(...))`
+  (`github.com/go-logr/logr/funcr`, logr already a direct dep), assert:
+  - at V(1): expected message + keys per operation (incl. opName),
+  - at V(0): nothing logged,
+  - **cloud-init content never appears in any log output** (grep the captured
+    lines for a sentinel string placed in `CloudInit`).
+- No changes to `provider.Provider` interface, registry, `cmd/main.go`,
+  manifests, or the kubernetes provider (it can copy this pattern later).
+
+## Verification
+
+```bash
+go test -race ./internal/provider/gcp/...
+go build ./...
+```
+
+Optional live check: run the manager with `--zap-log-level=2` against the GCP
+project and confirm insert/get lines appear during a Proxy reconcile, and that
+`--zap-log-level=info` stays quiet.
+
+Also append a CHANGELOG.md entry per house convention once confirmed working.

docs/plans/2026-08-11-1802-bake-commit-version.md

@@ -0,0 +1,75 @@
+# Plan: Bake the git commit into the operator binary and log it at startup
+
+**Created:** 2026-08-11 18:02
+
+## Context
+
+There is no versioning yet, and the image tag (`egress-proxies-operator:dev`,
+`imagePullPolicy: IfNotPresent`) says nothing about what code is actually
+running. The user wants the commit hash baked into the image at build time,
+and — the key requirement — the binary itself must know it and print it into
+the log stream during initialization, so `kubectl logs | head` answers "which
+version is running". Docker builds cannot use Go's automatic VCS stamp because
+`.dockerignore` excludes `.git` (correctly — re-including it would bust layer
+caching), so the hash must travel git → Makefile → `--build-arg` → `-ldflags -X`.
+
+## Implementation
+
+**1. New package `internal/version`** (`version.go` + `version_test.go`):
+
+- `var Commit string` — stamped at link time via
+  `-ldflags "-X gitea.home.hrajfrisbee.cz/kacerr/egress-proxies-operator/internal/version.Commit=<hash>"`.
+- `func Resolve() string` — returns `Commit` if non-empty; otherwise falls
+  back to `debug.ReadBuildInfo()` VCS settings (`vcs.revision` truncated to
+  12 chars, `-dirty` suffix when `vcs.modified=true`), so plain host builds
+  (`make build`, `make run`, `go run`) are stamped for free since `.git` is
+  present there; `"unknown"` when neither source is available (e.g. `go test`).
+- Internal `resolve(ldflagsCommit string, readBuildInfo func() (*debug.BuildInfo, bool)) string`
+  so the fallback logic is table-testable with a fake build-info func
+  (house style: stdlib testing, `t.Parallel()`, subtests,
+  `Test<Function>_<scenario>` names).
+
+**2. `cmd/main.go`**:
+
+- Add `--version` bool flag; immediately after the existing `flag.Parse()`
+  (main.go:132), if set: print `version.Resolve()` to stdout and exit 0
+  (before logger/manager setup).
+- Right after `ctrl.SetLogger(...)` (main.go:134):
+  `setupLog.Info("Starting egress-proxies-operator", "commit", version.Resolve(), "goVersion", runtime.Version())`
+  — first line of every run, plain V(0) so it appears at any log level.
+
+**3. `Makefile`**:
+
+- Near the other variables:
+  `GIT_COMMIT ?= $(shell git rev-parse --short=12 HEAD 2>/dev/null || echo unknown)$(shell test -z "$$(git status --porcelain 2>/dev/null)" || echo -dirty)`
+  (`git status --porcelain` catches staged and untracked changes, which
+  `git diff --quiet` misses).
+- `docker-build`: add `--build-arg GIT_COMMIT=$(GIT_COMMIT)`.
+- `docker-buildx`: add the same `--build-arg` to the `buildx build` line.
+- `build`/`run`/`run-dev` stay untouched — the ReadBuildInfo fallback covers them.
+
+**4. `Dockerfile`**:
+
+- `ARG GIT_COMMIT=unknown` in the builder stage; extend the existing
+  `go build` with `-ldflags "-X <module>/internal/version.Commit=${GIT_COMMIT}"`.
+- Re-declare `ARG GIT_COMMIT` in the distroless stage and add
+  `LABEL org.opencontainers.image.revision="${GIT_COMMIT}"` so the hash is
+  also visible via `docker inspect` without running the binary.
+
+No changes to deploy manifests, providers, or the reconciler. CHANGELOG entry
+after the user confirms it works (house convention).
+
+## Verification
+
+```bash
+go test ./internal/version/            # resolve() table tests
+go build ./... && go test ./...        # nothing else broke
+go run ./cmd/main.go --version         # host build: VCS-stamped hash (+ -dirty), exit 0
+make docker-build IMG=egress-proxies-operator:dev
+docker run --rm egress-proxies-operator:dev --version          # prints the baked commit
+docker inspect egress-proxies-operator:dev \
+  --format '{{index .Config.Labels "org.opencontainers.image.revision"}}'
+```
+
+Live check: redeploy on the cluster and confirm the first log line carries
+`"commit"`.

docs/plans/2026-08-11-1838-gcp-http-wire-logging-v5.md

@@ -0,0 +1,85 @@
+# Plan: GCP HTTP wire logging at V(5)
+
+**Created:** 2026-08-11 18:38
+
+## Context
+
+The GCP provider logs curated call summaries at V(1)/V(2), but when debugging
+against the real API the user wants ground truth: the actual HTTP requests and
+responses ("gory details") — visible at `--zap-log-level=5`, in the same log
+stream as everything else. The compute SDK already produces exactly this:
+`cloud.google.com/go/compute@v1.65.0/apiv1/helpers.go:60,70` logs
+`"api request"`/`"api response"` (method, URL, headers, full JSON payloads,
+lazily via `internallog.HTTPRequest/HTTPResponse`) to an injectable
+`*slog.Logger` at slog Debug level. We inject one bridged to the operator's
+zap sink, level-shifted so those Debug records surface only at V(5).
+
+Level scheme after this change: V(1) call outcomes, V(2) curated detail,
+V(5) raw HTTP traffic. V(3)/V(4) reserved.
+
+## Mechanism (verified in module sources)
+
+- `option.WithLogger(*slog.Logger)` exists in `google.golang.org/api@v0.292.0`
+  (option.go:529) and **takes precedence over `GOOGLE_SDK_GO_LOGGING_LEVEL`**
+  — after this change, V(5) is the single knob for this client; document that.
+- `logr.ToSlogHandler` (go-logr/logr v1.4.3, already a direct dep) maps
+  slog Debug → logr V(4), plus the base logger's V-bias. logr's own docs
+  (sloghandler.go:180-184): `slog.New(ToSlogHandler(logrV2)).Debug()` ≈ V(6).
+  So a base of `.V(1)` lands Debug at exactly V(5).
+- Gating is cheap: the slog handler's `Enabled()` consults the zap sink, so
+  below level 5 the SDK's lazy `LogValuer`s are never evaluated.
+
+## Implementation
+
+**`internal/provider/gcp/gcp.go`** (only production file):
+
+1. New pure function:
+   ```go
+   // wireLogger returns the slog logger handed to the SDK: its Debug-level
+   // "api request"/"api response" records (slog Debug = +4 on the logr
+   // scale) land at V(5) on top of the base's V(1) shift.
+   func wireLogger(base logr.Logger) *slog.Logger {
+       return slog.New(logr.ToSlogHandler(base.V(1)))
+   }
+   ```
+2. In `New` (gcp.go:96): pass it to the client —
+   `compute.NewInstancesRESTClient(ctx, option.WithLogger(wireLogger(logf.Log.WithName("gcp").WithName("http"))))`.
+   Base is the process-root `logf.Log` (client is built once at startup;
+   `ctrl.SetLogger` runs before `registry.Build` in cmd/main.go, so it
+   resolves to the real zap logger).
+3. One-time notice in `New`: if `logf.Log.V(5).Enabled()`, log at Info:
+   `"GCP HTTP wire logging active — request payloads include cloud-init user-data"`
+   (the secret-leak warning our curated V(2) logging exists to avoid; at V(5)
+   the user has explicitly opted into raw payloads).
+4. New imports: `log/slog`, `google.golang.org/api/option` (module already in
+   go.mod as a direct dep; `option` package is a first-time import in the repo).
+
+**`internal/provider/gcp/gcp_test.go`**:
+
+- `TestWireLogger_gatesAtV5`: table over funcr sink verbosities
+  (`funcr.Options{Verbosity: N}`, pattern already used by `captureContext`):
+  at 5 a `Debug("api request", ...)` through `wireLogger` emits (message and
+  attrs present); at 4 it emits nothing; an `Info` record through the same
+  logger lands at V(1) (sanity-check of the shift).
+- `New` itself stays untested by design (dials real Google endpoints —
+  existing convention, gcp.go:86-87).
+
+No changes to manifests, Makefile, other providers, or the reconciler.
+CHANGELOG entry after the user confirms it works (house convention) — this
+plus the two earlier pending entries (GCP V-logging, version stamp).
+
+## Verification
+
+```bash
+go test -race ./internal/provider/gcp/
+go build ./... && go test ./...
+```
+
+Live (the real proof, needs the cluster):
+
+```bash
+# rebuild + load image, set --zap-log-level=5, restart, then:
+kubectl -n egress-proxies-operator-system logs deploy/egress-proxies-operator-controller-manager -f \
+  | grep -m2 'api request\|api response'   # full URL/headers/payload visible
+# and at --zap-log-level=2: the same grep stays silent while V(2) lines still appear
+```

docs/plans/2026-08-11-1935-gitea-build-workflow.md

@@ -0,0 +1,135 @@
+# Plan: Distilled Gitea Actions image-build workflow
+**Created:** 2026-08-11 19:35
+
+## Context
+
+This repo (`egress-proxies-operator`) has a Dockerfile, a Makefile with `docker-build`/`docker-push` targets, and a Gitea remote — but no CI workflow (CLAUDE.md flags this as a TODO). A survey of all projects under `/Users/jan.novak/srv` found 9 image-build workflows, all variations of one lineage: trigger on `workflow_dispatch` + tag push, `docker login` to `gitea.home.hrajfrisbee.cz` with `secrets.REGISTRY_TOKEN`, raw `docker build`/`docker push`, `runs-on: ubuntu-latest`, `permissions: {contents: read, packages: write}`.
+
+The best individual ideas are scattered:
+- **aviso_v2**: quality-gate job before build; computes `sha-<short>` as a second immutable tag via `$GITHUB_OUTPUT`.
+- **gateway-helper-operator** (closest sibling — same kubebuilder shape): passes build args (`GIT_COMMIT` etc.), tags `:latest` alongside the version tag.
+- **psmf-data-sync test.yaml**: `actions/setup-go@v5` with `go-version-file: go.mod` + module cache (proven to work on the act_runner).
+
+Goal: distill these into one `build.yaml` for this repo. User decisions: triggers = **tags + manual dispatch only** (house convention, no builds from main); build tool = **raw docker CLI** (the runner bind-mounts docker.sock, so this just works); **lightweight test gate** (`go vet` + `go build` + `go test -short`, no envtest download); **amd64 only**.
+
+## The workflow
+
+Create `.gitea/workflows/build.yaml`:
+
+```yaml
+name: Build and Push
+
+on:
+  workflow_dispatch:
+    inputs:
+      tag:
+        description: 'Image tag'
+        required: true
+        default: 'latest'
+  push:
+    tags:
+      - '*'
+
+concurrency:
+  group: build-${{ github.ref }}
+  cancel-in-progress: true
+
+jobs:
+  check:
+    runs-on: ubuntu-latest
+    steps:
+      - uses: actions/checkout@v4
+      - uses: actions/setup-go@v5
+        with:
+          go-version-file: go.mod
+          cache: true
+      - name: Vet
+        run: go vet ./...
+      - name: Build
+        run: go build ./...
+      - name: Test (short)
+        run: go test -short ./...
+
+  build:
+    needs: check
+    runs-on: ubuntu-latest
+    permissions:
+      contents: read
+      packages: write
+    steps:
+      - uses: actions/checkout@v4
+
+      - name: Compute image tags
+        id: meta
+        run: |
+          if [ "${{ github.event_name }}" = "workflow_dispatch" ]; then
+            TAG="${{ inputs.tag }}"
+          else
+            TAG="${{ github.ref_name }}"
+          fi
+          echo "tag=$TAG" >> "$GITHUB_OUTPUT"
+          echo "sha=sha-$(echo '${{ github.sha }}' | cut -c1-12)" >> "$GITHUB_OUTPUT"
+
+      - name: Login to Gitea registry
+        run: echo "${{ secrets.REGISTRY_TOKEN }}" | docker login -u ${{ github.actor }} --password-stdin gitea.home.hrajfrisbee.cz
+
+      - name: Build and push
+        run: |
+          IMAGE=gitea.home.hrajfrisbee.cz/${{ github.repository }}
+          docker build \
+            --build-arg GIT_COMMIT=$(echo '${{ github.sha }}' | cut -c1-12) \
+            --label org.opencontainers.image.source=https://gitea.home.hrajfrisbee.cz/${{ github.repository }} \
+            --label org.opencontainers.image.created=$(date -u +%Y-%m-%dT%H:%M:%SZ) \
+            -t "$IMAGE:${{ steps.meta.outputs.tag }}" \
+            -t "$IMAGE:${{ steps.meta.outputs.sha }}" \
+            .
+          docker push "$IMAGE:${{ steps.meta.outputs.tag }}"
+          docker push "$IMAGE:${{ steps.meta.outputs.sha }}"
+
+      - name: Push latest (tag builds only)
+        if: github.event_name == 'push'
+        run: |
+          IMAGE=gitea.home.hrajfrisbee.cz/${{ github.repository }}
+          docker tag "$IMAGE:${{ steps.meta.outputs.tag }}" "$IMAGE:latest"
+          docker push "$IMAGE:latest"
+```
+
+### What's distilled vs. improved over the existing workflows
+
+Distilled (house patterns kept as-is): triggers, `REGISTRY_TOKEN` + `github.actor` login, image name `gitea.home.hrajfrisbee.cz/${{ github.repository }}`, `ubuntu-latest`, raw docker CLI, `permissions` block.
+
+Improvements none of the existing workflows have all of:
+1. **`sha-<12>` immutable tag** alongside the human tag (aviso_v2 had this; nobody else) — lets deployments pin exactly what was built.
+2. **Test gate** (aviso_v2 had one; the Go projects don't) — lightweight variant per user choice; uses `go-version-file: go.mod` so the Go version never drifts from the module.
+3. **`GIT_COMMIT` build arg** matches the Makefile/Dockerfile contract — the binary's `internal/version.Commit` and the `org.opencontainers.image.revision` label get the real commit (12-char, same width as the Makefile's `git rev-parse --short=12`; no `-dirty` needed since CI checkouts are clean).
+4. **`:latest` only on real tag pushes**, not manual dispatch — gateway-helper pushed `latest` unconditionally, which lets an ad-hoc dispatch of an old ref clobber `latest`.
+5. **`concurrency` group** — cancels a superseded run of the same ref (none of the 20 surveyed workflows have this).
+6. **OCI `source`/`created` labels** added at build time (revision label already comes from the Dockerfile).
+
+## Files
+
+- **Create** `.gitea/workflows/build.yaml` — content above.
+- **Update** `CLAUDE.md` — replace the `TODO: no .gitea/workflows/ CI pipeline exists yet` note in the Git Commits section with a short CI/CD subsection describing the workflow (triggers, secret, tags produced).
+- **Update** `CHANGELOG.md` — new top entry (after user confirms it works, per convention; timestamp via `date "+%Y-%m-%d %H:%M %Z"`).
+- Copy this plan to `docs/plans/YYYY-MM-DD-HHMM-gitea-build-workflow.md` (timestamp via `date "+%Y-%m-%d-%H%M"`) and commit it first, per CLAUDE.md ordering rule.
+
+## Branch & MR
+
+House convention: feature → own branch + MR. Dockerfile and `cmd/` already exist on `main`, so:
+
+1. `git checkout -b feat/gitea-build-workflow origin/main` (do not touch the current `feat/proxy-operator` branch's uncommitted `.claude/settings.json` change — leave it be).
+2. Commit plan file, then the workflow + CLAUDE.md update (with `Co-Authored-By: Claude <noreply@anthropic.com>`).
+3. `git push -u origin feat/gitea-build-workflow`, open MR with `tea pr create --base main --head feat/gitea-build-workflow`. Do not merge.
+
+Note: `main` has no `internal/`/`test/` dirs yet (those are on `feat/proxy-operator`), which is fine — the workflow only fires on tags/dispatch, and by then the operator branch will be merged. `go build ./...` / `go test -short ./...` work on both branch states.
+
+## Prerequisite (user action)
+
+`REGISTRY_TOKEN` secret must exist in this repo's Gitea settings (Settings → Actions → Secrets): a personal access token with `write:package` scope — same as every other project uses. Flag this in the MR description.
+
+## Verification
+
+The workflow doesn't trigger on branch pushes, so end-to-end verification happens after merge:
+1. Local sanity: `docker build --build-arg GIT_COMMIT=test -t scratch-check .` (confirms the build args/labels line is valid) — or at minimum a YAML parse check.
+2. After the MR merges: run the workflow manually via Gitea UI (Actions → Build and Push → Run workflow, tag `manual-test`), confirm both `manual-test` and `sha-…` tags appear under Packages, and that `:latest` was NOT updated.
+3. Then push a real version tag (e.g. `v0.1.0`) and confirm `v0.1.0`, `sha-…`, and `latest` all appear.

docs/plans/2026-08-11-2152-discovery-api-docs.md

@@ -0,0 +1,58 @@
+# Plan: Discovery API documentation (docs/api.md)
+**Created:** 2026-08-11 21:52
+
+
+## Context
+
+The operator serves an HTTP discovery/lease API on `:8090` ([internal/discovery/](internal/discovery/)) that crawler clients use to list proxies, acquire TTL leases, release them, and report rate-limiting. There is no dedicated API reference today: README has four quickstart curls (no auth header, no schemas), and `docs/architecture.md` §7 has an ASCII route map. The user wants full documentation with curl examples for every feature.
+
+**Decisions made with user:** doc lives in a new `docs/api.md`; commit straight to `main` (no MR).
+
+## Deliverable
+
+### 1. New file `docs/api.md` — full API reference
+
+Content (all facts verified against code during planning):
+
+- **Overview & base URL** — what the API is; in-cluster FQDN `http://egress-proxies-operator-controller-manager-discovery-service.egress-proxies-operator-system.svc.cluster.local:8090` (Service: `config/default/discovery_service.yaml`); local access via `kubectl port-forward svc/egress-proxies-operator-controller-manager-discovery-service 8090:8090`.
+- **Authentication** — static bearer token from `DISCOVERY_TOKEN` env var (populated from the optional `discovery-token` Secret, key `token`; `config/manager/manager.yaml`). Empty token ⇒ auth disabled with startup warning. Curl: `-H "Authorization: Bearer $TOKEN"` on every example. `/healthz` always exempt.
+- **Conventions** — JSON everywhere; error envelope `{"error":"<code>","message":"<text>"}`; request bodies capped at 64 KiB; proxies with a deletion timestamp are excluded from all responses.
+- **Configuration table** — `--discovery-addr` (default `:8090`), `--max-lease-ttl` (default 1h), `--lease-cooldown` (default 15m), `DISCOVERY_TOKEN`. Note the shipped Deployment passes none of these flags, so defaults apply.
+- **Endpoints**, each with request/response schema, status codes, and a copy-pasteable curl example:
+  - `GET /healthz` — liveness, unauthenticated.
+  - `GET /v1/proxies` — filters `healthy=true|false` (else 400 `invalid_query`) and repeatable `attr.<key>=<value>` (verbatim equality on `spec.attributes`, all pairs must match). Response `{"proxies":[proxyView...],"count":N}` sorted by id. Full `proxyView` field table: `id` (ns/name), `ip`, `port`, `attributes`, `phase` (Pending/Provisioning/Ready/Unhealthy/Deleting/Failed), `healthy` (condition `Healthy` == True), `latencyMillis`, `activeLeases`, `maxLeases` (default 5; explicit 0 = unleasable).
+  - `POST /v1/leases` — body `{selector, ttlSeconds, target}` all optional; TTL defaults 5m, capped at max-lease-ttl (else 400 `invalid_ttl`). 201 `{leaseID, proxy, expiresAt, ttlSeconds}`; 409 `no_match` with `considered/atCapacity/inCooldown/unhealthy` counts (documented meanings).
+  - `DELETE /v1/leases/{id}` — early release; always 204, idempotent.
+  - `POST /v1/leases/{id}/report` — body `{result: ok|rate_limited|banned, target}`; 204, 404 `unknown_lease`, 400 `invalid_result`. `ok` is a pure ack; `rate_limited` and `banned` behave identically today (both start one cooldown window).
+- **Selection & cooldown semantics** (short section — this is the non-obvious part clients need):
+  - Selection order: fewest active leases → lowest latency → lexicographic id; deterministic; only healthy, non-deleting proxies with free capacity are candidates.
+  - Cooldown: 15m default (`--lease-cooldown`), keyed `{proxy, target}`. Report with a target blocks only leases requesting that target; report without a target (and lease without one) creates a **global** cooldown blocking all acquisitions of that proxy — call this footgun out explicitly.
+  - Expired leases stay reportable for one cooldown window past TTL.
+- **End-to-end workflow example** — numbered curl walkthrough: acquire → use `proxy.ip:port` as HTTP proxy (`curl -x`) → report `rate_limited` on 429 → release. Using a `jq`-extracted `leaseID`.
+- **Caveats** — lease/cooldown state is in-memory and per-process: single replica only, operator restart drops all leases and cooldowns.
+
+### 2. Pointers to the new doc (small edits)
+
+- `README.md`: one-line link near the quickstart curl section ("full reference: docs/api.md").
+- `docs/architecture.md` §7: one-line link to `docs/api.md` as the detailed reference.
+
+### 3. Housekeeping per CLAUDE.md
+
+- First action post-approval: copy this plan to `docs/plans/<timestamp>-discovery-api-docs.md` (timestamp from `date "+%Y-%m-%d-%H%M"`), commit it alone.
+- Then write the docs, commit to `main` with `Co-Authored-By: Claude <noreply@anthropic.com>` trailer, push.
+- Append execution summary + status checklist to `docs/plans-executions/<same-timestamp>-discovery-api-docs.md` in the docs commit.
+- Add `CHANGELOG.md` entry (timestamp via `date "+%Y-%m-%d %H:%M %Z"`) once the user confirms.
+
+## Key source files (facts source of truth)
+
+- [internal/discovery/handlers.go](internal/discovery/handlers.go), [internal/discovery/server.go](internal/discovery/server.go) — routes, schemas, status codes, auth, limits.
+- [internal/lease/store.go](internal/lease/store.go) — selection order, cooldown/retention, stats.
+- [api/v1alpha1/proxy_types.go](api/v1alpha1/proxy_types.go), [api/v1alpha1/helpers.go](api/v1alpha1/helpers.go) — defaults (port 3128, maxLeases 5), phases, conditions.
+- [cmd/main.go](cmd/main.go) — flags/env defaults.
+- [config/default/discovery_service.yaml](config/default/discovery_service.yaml), [config/manager/manager.yaml](config/manager/manager.yaml) — service DNS, token secret.
+
+## Verification
+
+- Cross-check every documented status code / field name against `internal/discovery/server_test.go` expectations.
+- Sanity-run `go build ./... && go test -short ./internal/discovery/ ./internal/lease/` (no code changes expected — confirms docs match current behavior, not a stale tree).
+- Optionally lint the curl JSON bodies by piping each through `jq .` locally.

docs/plans/2026-08-11-2220-demo-scripts.md

@@ -0,0 +1,33 @@
+# Plan: Demo script — egress IP check through each healthy proxy
+**Created:** 2026-08-11 22:20
+
+
+## Context
+
+First of a planned series of demo scripts under `docs/demo/`. This one showcases the discovery API end to end without leases: list proxies from `$BASE_URL/v1/proxies`, and for each **healthy** one, call an IP-echo site through it (`curl -x`) to show the egress IP that proxy provides — clearly labeling which proxy each request goes through. The user explicitly asked to start by switching to a new branch. The script will be iterated on: **write it but do not commit it** — the user wants to add things to it before anything is committed.
+
+## Steps
+
+### Step 0 — Branch
+
+Create `feat/demo-scripts` off `main`. Commit only the plan copy (`docs/plans/<timestamp>-demo-scripts.md`, timestamp via `date "+%Y-%m-%d-%H%M"`) per CLAUDE.md — nothing else gets committed this round.
+
+### Step 1 — `docs/demo/show-egress-ips.sh` (new file, executable, left uncommitted)
+
+Style: match [.devcontainer/post-install.sh](.devcontainer/post-install.sh) — `#!/bin/bash`, `set -euo pipefail`, `ERROR:`/`WARNING:` messages, `${VAR}` braces.
+
+Behavior:
+
+1. **Args/env:** `BASE_URL` is `$1` (required; missing → usage text + exit 1, e.g. `usage: show-egress-ips.sh <BASE_URL>  (e.g. localhost:8090)`). Optional env: `TOKEN` (bearer token, same name docs/api.md uses; when set, send `Authorization: Bearer $TOKEN`), `IP_ECHO_URL` (default `https://api.ipify.org?format=json` — returns `{"ip":"..."}`).
+2. **Dependency check:** `command -v curl`, `command -v jq` → `ERROR` + exit 1 if missing.
+3. **Fetch** `"$BASE_URL/v1/proxies"` once (no server-side `healthy` filter — fetch all so unhealthy ones can be shown as skipped, which makes the demo more informative). Fail with a clear error if curl or JSON parsing fails.
+4. **Iterate** proxies with `jq -c '.proxies[]'`; for each, extract `id`, `ip`, `port`, `healthy`:
+   - unhealthy → print `--- skipping <id> (unhealthy) ---`
+   - healthy → print a clear banner naming the proxy before the request, e.g. `=== via <id> — http://<ip>:<port> ===`, then `curl -sS --max-time 10 -x "http://${ip}:${port}" "$IP_ECHO_URL"`; print the JSON response. A failed probe prints `WARNING: request through <id> failed` and continues (guard so `set -e` doesn't kill the loop).
+5. Finish with a one-line summary: N proxies, M probed, K skipped/failed.
+
+Reference for API shapes: [docs/api.md](docs/api.md) (`proxies[].id/ip/port/healthy`; `curl -x http://ip:port` usage is already documented there and in README).
+
+### Deliberately deferred (user will iterate on the script first)
+
+- No commit of the script, no push beyond the plan commit, no MR, no execution summary, no CHANGELOG — all wait until the user says the script (or script set) is ready.

docs/plans/2026-08-24-1025-otel-tracing.md

@@ -0,0 +1,107 @@
+# Plan: OpenTelemetry tracing integrated with the existing logr/zap logging
+**Created:** 2026-08-24 10:25
+
+## Context
+
+The operator has structured logging (controller-runtime zap → logr, `logf.FromContext(ctx)` everywhere) and Prometheus metrics, but no tracing. A single reconcile fans out into k8s API calls, provider calls (GCP VMs / squid Pods), and status patches; the discovery API serves lease requests; GC and health engines run on tickers. Today correlating one operation across those hops means grepping for `reconcileID` or `providerID`. Goal: proper OTel traces — a new trace per unit of work (reconcile, HTTP request, GC sweep, optionally health probe), child spans for k8s/provider/HTTP calls — **and every log line inside a traced operation enriched with the trace context**, without disturbing the existing logr/zap system.
+
+User decisions (confirmed):
+- **Enablement:** auto from standard `OTEL_*` env vars — no collector configured ⇒ tracing fully off, zero new flags for the common case.
+- **Health probes:** not traced by default; new `--trace-health-probes` flag enables one root span per probe.
+- **Backend:** none exists yet — verification uses the console exporter and a throwaway Jaeger all-in-one in kind; manifests ship commented-out OTLP env examples.
+
+## Key design facts (verified, non-obvious)
+
+- **logr can't read ctx:** `logr.LogSink` never sees `context.Context`, so trace IDs cannot be added inside the zap sink. They must be attached as `WithValues` at span-creation points via `logf.IntoContext`. zap does **not** dedupe repeated keys, so enrichment must happen exactly once per ctx chain (see `tracing.Start` below).
+- Log keys: **`traceID` / `spanID`** (lowerCamel matches `reconcileID`/`providerID` house style; note in docs that Grafana/Loki derived-field regexes must match `traceID`, not the `trace_id` default).
+- **GCP calls trace themselves:** `google.golang.org/api/transport/http` already wraps its transport in `otelhttp.NewTransport` — once a global TracerProvider is set, every Compute call emits an HTTP client span. Do not add HTTP-level spans in the gcp provider; the `provider.*` decorator span becomes their parent.
+- **kube-apiserver ignores incoming `traceparent`** by design; our k8s-API client spans are leaves. Don't promise cross-process traces into the apiserver.
+- The Go SDK does **not** implement `OTEL_SDK_DISABLED` — handle it ourselves.
+- `contrib/exporters/autoexport` drags in metric/log/prometheus exporters (binary + deps on a 128Mi pod) — hand-roll trace-exporter selection (~40 lines) instead.
+- Span events are deprecated (OTel spec, Mar 2026): use `span.SetStatus` + `error.type`-style attributes, not `RecordError`/`AddEvent`.
+- `rest.Config.Wrap` puts our transport innermost (after auth), so spans see the final request — correct; but informer list/watch + leader election run outside any span ⇒ the transport must **filter out requests with no parent span** or every watch becomes a long-lived root span.
+- Manager runnables receive no logger in ctx (only HTTP servers do) — `logf.FromContext` falls back to the global logger there, which is fine; the discovery server must keep seeding from `s.log`.
+
+## Steps
+
+### Step 1 — Dependencies
+
+`go get` (aligning the existing indirect skew: otel core v1.44 / otlptrace v1.40):
+`go.opentelemetry.io/otel@v1.45.0`, `otel/sdk@v1.45.0`, `otel/trace@v1.45.0`,
+`otel/exporters/otlp/otlptrace/otlptracegrpc@v1.45.0`, `.../otlptracehttp@v1.45.0`,
+`otel/exporters/stdout/stdouttrace@v1.45.0`,
+`go.opentelemetry.io/contrib/instrumentation/net/http/otelhttp@v0.70.0`, plus the
+`semconv` version matching the SDK's `resource.Default()` (treat `ErrSchemaURLConflict` from `resource.New` as non-fatal if versions drift).
+`go mod tidy`; full build + `make test` to confirm `google.golang.org/api v0.292.0` / k8s v0.36 tolerate the bump (MVS picks the higher otelhttp).
+
+### Step 2 — New package `internal/tracing`
+
+- **`tracing.go` — `Setup(ctx, log logr.Logger, service, version string) (shutdown func(context.Context) error, err error)`**
+  - Disabled (returns no-op shutdown, installs nothing) when `OTEL_SDK_DISABLED=true`, or when neither `OTEL_TRACES_EXPORTER` nor `OTEL_EXPORTER_OTLP_ENDPOINT`/`OTEL_EXPORTER_OTLP_TRACES_ENDPOINT` is set, or `OTEL_TRACES_EXPORTER=none`. One startup Info line either way stating the effective state/exporter.
+  - Exporter selection (hand-rolled, no autoexport): `OTEL_TRACES_EXPORTER` ∈ `otlp` (default) | `console`; for otlp, `OTEL_EXPORTER_OTLP_(TRACES_)PROTOCOL` ∈ `http/protobuf` (default) | `grpc` → `otlptracehttp` / `otlptracegrpc` (endpoint/TLS/headers via their native env handling).
+  - `sdktrace.NewTracerProvider` with batch processor (`WithMaxQueueSize(512)` — bounded on the 128Mi pod; sampler stays the SDK default so `OTEL_TRACES_SAMPLER(_ARG)` works), resource = `resource.New(WithAttributes(service.name, service.version=commit), WithFromEnv())` with env last so it wins.
+  - Globals: `otel.SetTracerProvider`, `otel.SetTextMapPropagator(TraceContext+Baggage)`, `otel.SetLogger(log.WithName("otel"))`, `otel.SetErrorHandler` → logr at `V(1)` (an unreachable collector errors every few seconds; Error level would spam).
+- **`logger.go` — the one logger-enrichment mechanism** (used by everything; prevents duplicate `traceID` keys):
+  - private ctx key holding the *base* (pre-enrichment) logr.Logger.
+  - `Start(ctx, spanName, opts...) (context.Context, trace.Span)`: starts a span from the global tracer; if the resulting span context is valid, capture base = stored base or `logf.FromContext(ctx)` on first call, then `logf.IntoContext(ctx, base.WithValues("traceID", ..., "spanID", ...))`. Nested `Start` re-derives from base — never stacks. Documented trade-off: `WithValues` pushed via `logf.IntoContext` *between* two `Start` calls is dropped (nothing first-party does that; controller-runtime's `reconcileID` logger is the base and survives).
+  - `ContextWithLogger(ctx, base)` seeds the base explicitly (discovery middleware).
+- **`reconciler.go` — `NewReconciler(kind string, inner reconcile.Reconciler, opts...) reconcile.Reconciler`**: root span `Reconcile <kind>` (SpanKind Internal) via `Start`; attrs `k8s.namespace.name`, `k8s.object.name`, `reconcile.id` (`controller.ReconcileIDFromContext`); on return records `reconcile.requeue_after`, sets Error status from err. `WithTracerProvider` option for tests.
+- **`transport.go` — `RestConfigWrapper() transport.WrapperFunc`**: `otelhttp.NewTransport` with `WithFilter` requiring `trace.SpanContextFromContext(r.Context()).IsValid()` — k8s API spans only under an existing trace (excludes informers, leader election, metrics authn).
+- **`http.go` — `HTTPMiddleware(operation string, base logr.Logger) func(http.Handler) http.Handler`**: `otelhttp.NewHandler` (filter `/healthz`; otelhttp renames the span from `r.Pattern` after routing — no custom naming needed) + inner layer calling `ContextWithLogger`-then-enrich so handler logs carry `traceID`. Accepts incoming `traceparent` (clients continue their traces).
+
+Tests (all with `sdktrace` + `tracetest.NewSpanRecorder` via the `WithTracerProvider` options, parallel; `Setup` env tests use `t.Setenv`, not parallel):
+- `Start`: nested spans → child span recorded; **funcr-captured log line contains `traceID` exactly once** (pattern: `internal/provider/gcp/gcp_test.go:277`); disabled tracer → no `traceID` in logs.
+- `Setup`: table over env combinations (unset→disabled, `none`→disabled, endpoint set→otlp, `console`, `OTEL_SDK_DISABLED`).
+- Reconciler decorator: fake inner returns result/err → span name/attrs/status.
+- Transport filter: request without parent span produces no span.
+- Middleware: `httptest` request → server span named from route pattern; `/healthz` unspanned; handler logger carries `traceID`.
+
+### Step 3 — `provider.WithTracing` decorator
+
+`internal/provider/tracing.go`, mirroring `metrics.go`: `WithTracing(name string, p Provider, opts...) Provider` — one Client span per call (`provider.create|get|delete|list`), attrs `provider.name`, `provider.id` (where present), result class attr from `resultLabel(err)`; status Error only for quota/permanent/transient — `ErrNotFound` stays Ok (expected during deletion polling). Returns the inner error **unmodified**. Uses `tracing.Start` so provider-internal logs (gcp `p.logger(ctx)`) inherit `traceID`. Tests in `internal/provider/tracing_test.go` reusing `staticProvider` from `metrics_test.go:19`.
+
+Wiring in `cmd/main.go:174-177` — tracing outermost: `provider.WithTracing(name, provider.WithMetrics(name, p, m))`.
+
+### Step 4 — `cmd/main.go` wiring
+
+- `tracing.Setup(...)` immediately after `ctrl.SetLogger` (cmd/main.go:148); on error: log + `os.Exit(1)`.
+- Explicit `shutdown(context.WithTimeout(context.Background(), 10*time.Second))` (fresh ctx — signal ctx is already cancelled) after `mgr.Start` returns, on **both** the error path before `os.Exit(1)` and the clean path. Earlier `os.Exit` sites have nothing to flush.
+- `cfg := ctrl.GetConfigOrDie(); cfg.Wrap(tracing.RestConfigWrapper())` before `ctrl.NewManager` (cmd/main.go:239).
+- kubernetes provider: add `kubernetes.NewWithTransportWrapper(ctx, cfg, wrap transport.WrapperFunc)` beside `New` (internal/provider/kubernetes/kubernetes.go:42) and register a closure in main's constructor map (same pattern as gcp at cmd/main.go:166) passing `tracing.RestConfigWrapper()` — keeps `internal/tracing` out of provider packages and `newWithClient` tests untouched.
+- New flag `--trace-health-probes` (default false) → `engine.TraceProbes`.
+
+### Step 5 — Reconciler spans
+
+- `SetupWithManager` (proxy_controller.go:412): `b.Complete(tracing.NewReconciler("Proxy", r))`.
+- Sub-spans via `tracing.Start`: `reconcile.managed` (:116), `reconcile.replaceInstance` (:226), `reconcile.delete` (:254), and `status.patch` opened **inside the deferred flush closure** (:98-104, runs within the root span; its error already folds into `err`). `reconcileExternal` stays unspanned — no I/O, pure noise.
+- Useful attrs where cheap: phase transitions, `providerID`.
+
+### Step 6 — Discovery server
+
+- `handler()` (internal/discovery/server.go:151-156): chain becomes recover → `tracing.HTTPMiddleware("discovery", s.log)` → log → maxBytes → auth (otelhttp must stay outside `maxBytesMiddleware`).
+- Handlers and `logMiddleware`/`recoverMiddleware` switch `s.log` → `logf.FromContext(r.Context())` (handlers.go:85, :141, :234; server.go:163, :191) so request logs carry `traceID`. `s.log` remains for startup lines.
+- k8s `List` calls in handlers already use `r.Context()` → child spans appear via the wrapped rest transport.
+
+### Step 7 — GC + health
+
+- `gc.Sweeper.sweep` (internal/gc/gc.go:83): wrap in root span `gc.sweep` via `tracing.Start` (before the `.WithName("orphan-gc")` derivation so it inherits), attrs: providers swept, orphans deleted. Provider/k8s child spans come free from Steps 3/4.
+- `health.Engine`: new field `TraceProbes bool`. In the worker loop (engine.go:158) when enabled: root span `health.probe` (SpanKind Client) around `probeFn`, attrs proxy key/ok/latency/error class, ended before `record` (which stays ctx-free). No transport wrap and no propagation — never inject `traceparent` toward external targets through the proxies. Probe→reconcile span links are **out of scope**: `GenericEvent` (engine.go:330) carries no ctx and the workqueue coalesces events; documented in architecture Decisions.
+- Lease store sweep: not traced (in-memory only).
+
+### Step 8 — GCP wire-log enrichment
+
+`wireFilterHandler.Handle` (internal/provider/gcp/wirelog.go:46) receives the real request ctx from the SDK's slog calls: append `traceID`/`spanID` attrs when `trace.SpanContextFromContext(ctx)` is valid — V(5) wire logs become correlatable with the `provider.*` span. Add `wirelog_test.go` case.
+
+### Step 9 — Manifests + docs
+
+- `config/manager/manager.yaml` env (after `DISCOVERY_TOKEN`): `POD_NAME`/`POD_NAMESPACE` via downward API **first**, then `OTEL_SERVICE_NAME`, `OTEL_RESOURCE_ATTRIBUTES: k8s.pod.name=$(POD_NAME),k8s.namespace.name=$(POD_NAMESPACE)` ($(VAR) expansion only sees earlier vars); commented-out `OTEL_EXPORTER_OTLP_ENDPOINT` + `OTEL_TRACES_SAMPLER` examples with a "tracing is off until an endpoint is set" comment. Note `--trace-health-probes` beside the args list.
+- `docs/architecture.md`: new "### 10. Tracing" section after Metrics (:281) — span topology, enablement, `traceID` log-key choice; Decisions entries (:303): env-gated enablement, probes off by default, no probe→reconcile links (why), `traceID` naming vs Grafana defaults, no traceparent into apiserver.
+- README ops note; CHANGELOG entry (dated via `date`) once the user confirms it works.
+- Run `make lint` (CI has no lint step; `lll`/`revive` will hit new files).
+
+## Verification
+
+1. `make test` (unit, includes all new `tracetest` assertions) and `make lint`.
+2. Console smoke: `OTEL_TRACES_EXPORTER=console go run ./cmd --providers-config hack/providers-dev.yaml ...` against kind — create a Proxy, confirm (a) `Reconcile Proxy` span JSON on stdout with nested `provider.create` + k8s PATCH spans, (b) the reconcile log lines carry the same `traceID` as the span, (c) no spans from informer watches or leader election.
+3. End-to-end in kind: deploy Jaeger all-in-one (`jaegertracing/all-in-one`, OTLP 4318), set `OTEL_EXPORTER_OTLP_ENDPOINT=http://jaeger:4318` on the manager Deployment; exercise a reconcile + a `POST /v1/leases` (with and without a client `traceparent`) + wait one GC interval; in the Jaeger UI: reconcile trace shows provider+k8s children; lease trace shows route-named server span with k8s child; grep manager logs for a `traceID` and resolve it in Jaeger.
+4. Negative: run with no `OTEL_*` env — startup line says tracing disabled, no export-error spam, logs unchanged (no `traceID` keys).

docs/plans/2026-08-24-1224-tracing-e2e.md

@@ -0,0 +1,150 @@
+# Plan: e2e test — OTel tracing against real Tempo
+**Created:** 2026-08-24 12:24
+
+## Context
+
+The tracing feature (MR #4, branch `feat/otel-tracing`) is covered by unit
+tests with an in-memory span recorder, but nothing proves the full pipeline:
+operator in a real cluster → OTLP export → Tempo ingest → queryable traces
+with the documented span topology. The homelab Tempo lives at
+`http://192.168.0.30:3200` (query API — verified live from this host:
+`/api/echo`, TraceQL `GET /api/search?q=…`, `GET /api/traces/<id>`), with
+OTLP ingest on `:4318` (HTTP, verified 200) and `:4317` (gRPC, open). User
+decisions: **Go Ginkgo e2e test** (not a shell script), **structural
+assertions** (span tree, not just trace-exists), flow per the user's sketch:
+deploy operator in kind with tracing on → create kubernetes-provider proxies
+→ delete them → shut down — with traces tagged for easy discovery per test
+run. This work continues on `feat/otel-tracing`; MR #4 stays the vehicle.
+
+## Design decisions (from review, with evidence)
+
+- **Proxy CRs go in the `default` namespace, not the operator namespace.**
+  The squid pods the kubernetes provider creates carry no securityContext
+  (internal/provider/kubernetes/pod.go:33-49) and are created in the CR's
+  namespace; the operator ns is labeled `pod-security enforce=restricted`
+  (test/e2e/e2e_test.go:61-62) and would reject them. Pod RBAC is
+  cluster-scoped (config/rbac/role.yaml:10), so `default` works. All
+  kubectl calls use explicit `-n`.
+- **Anchor assertions on `provider.create`, not the root-span search.** A
+  `name="Reconcile Proxy"` hit may be the finalizer-add or a drift
+  reconcile (no provider call inside). TraceQL matches span names anywhere
+  in a trace, so search `{resource.test.run.id="<runID>" && name="provider.create"}`,
+  fetch *that* traceID, then assert companion span names.
+- **Run identification with zero code changes:** OTel resource attribute
+  `test.run.id=<runID>` via `OTEL_RESOURCE_ATTRIBUTES` (env wins —
+  `resource.WithFromEnv()` merges last, internal/tracing/tracing.go). Tempo
+  vParquet searches arbitrary resource attrs without config; fallback query
+  documented: `{resource.service.name="egress-proxies-operator" && name="provider.create"}`
+  + start/end window (Unix **seconds**).
+- **OTLP preflight from inside the cluster:** host-reachability of
+  192.168.0.30 doesn't prove pod-reachability from kind on macOS, and
+  export failures log only at V(1) (invisible) — without a preflight, a
+  broken path is a 2-minute opaque timeout. Reuse the suite's curl-pod
+  pattern (e2e_test.go:218-248, incl. the restricted-PSS overrides JSON)
+  to POST to `<OTLP_ENDPOINT>/v1/traces` and fail fast.
+- **No homelab defaults baked into the Makefile.** The spec Skips unless
+  `TEMPO_URL`/`OTLP_ENDPOINT` are set (otherwise everyone without that LAN
+  host inherits a 2-minute failure). The copy-pasteable invocation lives in
+  docs/testing.md.
+- **Ginkgo ordering:** top-level container order is randomized, so the
+  tracing Describe is fully self-contained (own ns create → make install →
+  make deploy → teardown), same shape as the Manager Describe. `kubectl
+  delete ns` blocks until termination, so no create/delete race between
+  the two Describes.
+
+## Steps
+
+### Step 1 — `test/e2e/tracing_test.go` (new; `//go:build e2e`, package e2e)
+
+`Describe("OTel tracing", Ordered)`:
+
+- **BeforeAll:**
+  1. Read `TEMPO_URL` + `OTLP_ENDPOINT`; `Skip("TEMPO_URL/OTLP_ENDPOINT not set")` when empty.
+  2. `runID := "e2e-" + strconv.FormatInt(time.Now().UnixNano(), 10)`;
+     print it to `GinkgoWriter` so the run is findable in Grafana by hand.
+  3. Create operator ns + restricted-PSS label; `make install`;
+     `make deploy IMG=<managerImage>` (same commands as e2e_test.go:54-75,
+     via `utils.Run`).
+  4. Pre-pull the proxy image to kill the biggest flake source:
+     `docker pull ubuntu/squid:6.6-24.04_edge` + `kind load docker-image`
+     (via `utils.Run`, honoring `KIND`/`KIND_CLUSTER` env like
+     utils.LoadImageToKindClusterWithName).
+  5. OTLP preflight: curl pod POSTing `{}` to `<OTLP_ENDPOINT>/v1/traces`,
+     assert HTTP 200 in its logs (fail message names the endpoint).
+  6. `kubectl set env deployment/egress-proxies-operator-controller-manager
+     -n <ns> OTEL_EXPORTER_OTLP_ENDPOINT=<OTLP_ENDPOINT>
+     "OTEL_RESOURCE_ATTRIBUTES=k8s.pod.name=$(POD_NAME),k8s.namespace.name=$(POD_NAMESPACE),test.run.id=<runID>"`
+     — in-place update keeps the var after the downward-API vars ($(VAR)
+     expansion needs that ordering); `exec.Command` means no shell mangling
+     of `$()`. Then `kubectl rollout status`.
+  7. `Eventually`: newest controller pod (sorted by creationTimestamp — a
+     terminating old pod may otherwise be picked) logs contain
+     `"tracing enabled"`.
+- **It "creates proxies and reports reconcile traces":**
+  - Write 2 Proxy manifests (names `proxy-tracing-e2e-1/2`,
+    `provider: kubernetes`, modeled on config/samples/proxy_kubernetes.yaml)
+    to `GinkgoT().TempDir()` (absolute paths — `utils.Run` chdirs the
+    process); `kubectl apply -n default`.
+  - `Eventually` (5m — first squid start) `.status.phase == "Ready"`
+    (confirmed field, api/v1alpha1/proxy_types.go:41).
+  - `Eventually`: Tempo search
+    `{resource.test.run.id="<runID>" && name="provider.create"}` ≥1 hit
+    (BSP flushes every ~5s; 2m default timeout is ample).
+  - Fetch that traceID via `/api/traces/<id>`; assert span names include
+    `Reconcile Proxy`, `reconcile.managed`, `provider.create`,
+    `status.patch`, and resource attr `service.name=egress-proxies-operator`.
+- **It "traces deletion":**
+  - `kubectl delete proxy -n default …`; `Eventually` CRs gone (finalizer
+    → `provider.delete`, DeletionPoll 10s).
+  - `Eventually`: Tempo search finds `provider.delete` for the runID; fetch
+    and assert `reconcile.delete` in the same trace.
+- **AfterAll** (= the sketch's "shut down operator"): delete leftover
+  proxies in `default`; `make undeploy` (SIGTERM → `tracingShutdown`
+  flushes); `make uninstall`; delete operator ns — errors discarded
+  (`_, _ = utils.Run(...)`), mirroring e2e_test.go:79-95.
+- **Tempo client helpers** (same file, stdlib only — the test process runs
+  on the host, which reaches Tempo directly):
+  - `tempoSearch(traceql string)` → `GET {TEMPO_URL}/api/search?q=…&start=…&end=…`
+    (Unix seconds, window = suite start − 5m → now); minimal struct
+    `{Traces []struct{ TraceID string }}`.
+  - `tempoTrace(id string)` → `/api/traces/<id>`, decoded as **OTLP-JSON**
+    (`batches[].scopeSpans[].spans[].name`, resource attrs as
+    `{key, value:{stringValue}}`) — not Jaeger's shape. Helper flattens to
+    a span-name set + resource attr map.
+
+### Step 2 — Makefile
+
+- `test-e2e`: pass `TEMPO_URL`/`OTLP_ENDPOINT` through to `go test` env
+  (no defaults) and add `-timeout 30m` — the suite already runs
+  docker-build + kind-load in BeforeSuite plus 3–5m Eventuallys, and this
+  adds a second full deploy cycle + image pulls; the 10m default will be
+  exceeded on cold caches.
+
+### Step 3 — Docs
+
+- `docs/testing.md` (§ e2e, currently "scaffold… only asserts manager runs
+  and serves metrics"): document the tracing spec, its Skip gate, and the
+  invocation:
+  `TEMPO_URL=http://192.168.0.30:3200 OTLP_ENDPOINT=http://192.168.0.30:4318 make test-e2e`.
+- Execution-log entries per step in `docs/plans-executions/2026-08-24-1224-tracing-e2e.md`.
+- CHANGELOG entry only after the user confirms a green run (house rule).
+
+## Not doing (and why)
+
+- No dedicated flush assertion on shutdown — teardown exercises the flush
+  path, but attributing a specific late span to it is guesswork.
+- No gRPC (4317) variant — http/protobuf is the operator default and the
+  verified path; a variant run is a one-env-var change if ever wanted.
+- No changes to `internal/` — the whole test works through public surface
+  (env vars, kubectl, Tempo API), which is the point of an e2e test.
+
+## Verification
+
+1. `TEMPO_URL=http://192.168.0.30:3200 OTLP_ENDPOINT=http://192.168.0.30:4318 make test-e2e`
+   → tracing spec passes (both Its); without the env vars → spec reports
+   Skipped, remainder of suite unaffected.
+2. In Grafana: TraceQL `{resource.test.run.id="<runID printed in test log>"}`
+   shows the run's traces with the expected tree.
+3. `go vet -tags=e2e ./...` clean (documented routine).
+4. A deliberately wrong `OTLP_ENDPOINT` (e.g. port 9) fails fast in the
+   preflight step with a clear message, not a 2-minute search timeout.

docs/reviews/2026-08-10-1134-proxy-operator-pr-review.md

@@ -0,0 +1,131 @@
+# PR review findings: feat/proxy-operator
+
+**Created:** 2026-08-10 11:34
+**Scope:** `origin/main...feat/proxy-operator` (merge-base 076bc66, 25 commits, ~80 files)
+**Reviewers:** `go-operator-reviewer` + `operator-reviewer` agents; findings consolidated, most severe first. Check off items as they're processed.
+
+Both reviewers rated the core reconcile architecture sound: single status writer with one
+deferred patch, finalizer added before any provider call, Get-before-RemoveFinalizer on
+delete, CEL immutability rules correctly split to avoid the oldSelf-on-CREATE trap,
+leader-election gating on destructive runnables, GC tombstone rules (MinAge, UID-less
+instances never deleted).
+
+## Merge-blockers
+
+- [ ] **Discovery leases proxies with an empty IP** — found independently by both reviewers.
+  `internal/discovery/handlers.go:151`, `internal/controller/proxy_controller.go:226`
+  During instance replacement (and the Get→NotFound recovery path) the reconciler clears
+  `status.ip` but only the create branch removes the `Healthy` condition, and the health
+  engine prunes state for empty-host proxies so nothing refreshes it. For the whole
+  delete→recreate window (minutes on GCP), `isHealthy` still returns true and
+  `handleAcquireLease` grants `201 Created` with `"ip": ""`, burning a `MaxLeases` slot.
+  **Fix:** add `EffectiveHost() != ""` to `isHealthy` (covers list + acquire), and
+  remove/downgrade `Healthy` wherever `status.IP` is cleared.
+
+- [ ] **Orphan GC deletes other installations' fleets in a shared GCP project.**
+  `internal/provider/gcp/insert.go:57`, `internal/gc/gc.go:93`
+  Instances are tagged only `proxy-operator-managed=true` + CR UID; the sweeper deletes any
+  tagged instance whose UID isn't in *its own cluster's* Proxy list. Two clusters sharing a
+  GCP project delete each other's VMs every GC interval in a permanent loop.
+  **Fix:** add an installation-identity label (cluster/deployment ID) set by both providers
+  and filtered on in `ListByTag`.
+
+- [ ] **Permanent-error latch wedges proxies on failures that aren't spec-caused.**
+  `internal/controller/proxy_controller.go:126`
+  Latch keys on `observedGeneration == generation`, but two failure inputs live outside the
+  spec: an unconfigured provider (config fix + restart doesn't bump generation, and
+  `spec.provider` is CEL-immutable → stuck `Failed` short of deleting the CR) and resolved
+  Secret content (Secret fix enqueues a reconcile that short-circuits at the latch before
+  re-resolving cloud-init).
+  **Fix:** latch should also consider current spec-hash / provider availability.
+
+## Worth fixing
+
+- [ ] **Deletion-path failures invisible in status** — flagged by both reviewers.
+  `internal/controller/proxy_controller.go:319`, `:266`
+  `deletionFailure` swallows `ErrQuotaExceeded` (nil error, no status write); unconfigured
+  provider returns a bare error forever. A Proxy wedged in `Deleting` shows nothing in
+  `kubectl describe`. Stage `setProvisioned(p, False, ReasonDeleting, ...)` before returning.
+  Also: `Delete` is resubmitted on every `DeletionPoll` pass, churning GCP quota — a state
+  check on the `Get` result would avoid it.
+
+- [ ] **Lost providerID on `setSpecHash` conflict.**
+  `internal/controller/proxy_controller.go:161`
+  On Update conflict the function returns before `p.Status.ProviderID = id`, so the deferred
+  patch persists an empty providerID for a just-created instance. Self-heals via GC.
+  **Fix:** set `p.Status.ProviderID = id` before returning the error (one line).
+
+- [ ] **Terminating pods still report `StateRunning`.**
+  `internal/provider/kubernetes/kubernetes.go:151`
+  A pod with a deletionTimestamp keeps `phase=Running` + `PodIP` while terminating, so drift
+  reconcile republishes `Provisioned=True` and discovery keeps leasing a dying pod.
+  **Fix:** map non-zero `pod.DeletionTimestamp` to `StateTerminated` in `instanceFromPod`.
+
+- [ ] **Stale-cache spec-hash race deletes the freshly created replacement instance.**
+  `internal/controller/proxy_controller.go:176`
+  Instance name derives from CR UID, so old and new instances share a providerID. A reconcile
+  served a cached object from before a just-completed replacement re-enters `replaceInstance`
+  and deletes the *new* healthy instance. Converges, but destroys a good instance.
+  **Fix:** re-read uncached before the destructive branch, or compare `inst.CreatedAt`
+  against the annotation-update time.
+
+- [ ] **`observedGeneration` written before the generation is actually processed.**
+  `internal/controller/status.go:114`
+  Set unconditionally in `patchStatusIfChanged`, including on the finalizer-add pass and
+  `resolveCloudInit` failures — misleads kstatus-style tooling. Set it only once the state
+  machine has genuinely evaluated the spec.
+
+- [ ] **No event filtering on the Proxy watch.**
+  `internal/controller/proxy_controller.go:402`
+  Every self-inflicted status patch triggers a follow-up reconcile with an extra cloud `Get`,
+  roughly doubling provider read traffic. Caution: a plain `GenerationChangedPredicate`
+  breaks the finalizer flow (relies on its own Update event to re-enter) — needs a
+  status-only/resourceVersion-only filter or an explicit requeue in the finalizer pass.
+
+- [ ] **Unlabelled cloud-init Secrets produce a misleading NotFound with endless backoff.**
+  `internal/controller/proxy_controller.go:344`, `cmd/main.go:210`
+  The label-restricted cache turns "exists but missing `crawl.example.com/cloud-init=true`"
+  into `CloudInitError: not found`. Mention the label requirement in the condition message,
+  or read via uncached `APIReader` and validate the label explicitly.
+
+- [ ] **RBAC over-grant.**
+  `config/rbac/role.yaml:25`
+  `create;delete` on `proxies` is scaffold residue (controller never creates/deletes CRs);
+  cluster-wide `pods create/delete` and `secrets get/list/watch` apply even when only the GCP
+  provider is configured — pod rules belong in an optional kustomize component.
+
+## Simplifications
+
+- [ ] **Delete `internal/provider/registry`** — 14 lines of logic, one caller
+  (`cmd/main.go:148`); fold `Build`/`Constructor` into the composition root. Also fixes the
+  two-sources-of-truth problem: `internal/provider/config.go:84` hardcodes
+  `"kubernetes"`/`"gcp"` while `registry.Build` dispatches through a caller-supplied map —
+  validate against the constructor map instead. Net −1 package, −44 lines, −92 test lines.
+
+- [ ] **Collapse `LeaseStore` interface to `*lease.Store`.**
+  `internal/discovery/server.go:28`
+  Single implementation and not a test seam (tests wire the real `lease.NewStore`).
+  Keep `HealthSnapshotter` and `instancesAPI` — those are genuine seams.
+
+- [ ] **Replace metrics nil-guards with no-op defaults.**
+  `internal/health/engine.go:68`, `internal/discovery/server.go:38`,
+  `internal/provider/metrics.go:8`
+  Keep the interfaces (legit "no prometheus in domain packages" rationale) but default the
+  fields to a no-op impl — `provider.WithMetrics` already dereferences unconditionally, so
+  the guards are inconsistent anyway.
+
+## Nice-to-have
+
+- [ ] Add an `OwnerReference` to provider pods (`internal/provider/kubernetes/pod.go:24`) —
+  free cascading deletion if the finalizer is ever bypassed; `CreateRequest` already carries
+  Namespace/ProxyName/UID.
+- [ ] `Close()` the GCP `*compute.InstancesClient` (`internal/provider/gcp/gcp.go:89`) —
+  harmless today, a leak the moment providers are rebuilt on config reload.
+- [ ] Fix `.golangci` config: it references a missing `logcheck` plugin, so the linter only
+  runs with the project config disabled.
+- [ ] External-mode endpoint edits don't reset health-engine counters
+  (`internal/health/engine.go:206` keys on name+UID): flipping `endpoint.host` keeps the old
+  host's `Healthy=True` for `failureThreshold × interval`. Arguably a replacement, not a flap.
+- [ ] `init()` funcs at `api/v1alpha1/proxy_types.go:353` and `cmd/main.go:67` conflict with
+  the repo's "no `init()`" convention; kubebuilder-idiomatic, but scheme registration could
+  use the scaffold's `SchemeBuilder.Register` at package var scope.

docs/testing.md

@@ -0,0 +1,153 @@
+# Testing
+
+What tests exist, how to run them, and where the boundaries of the
+automated suites are. The philosophy throughout: **test against the most
+real double available** — a real envtest API server over a fake client, a
+real CONNECT-capable proxy stub over a mocked HTTP client, the real lease
+store under the discovery handlers — and leave the gaps that only real
+infrastructure can close to the kind verification run, documented at the
+bottom.
+
+## Running
+
+```sh
+make test              # THE canonical run: codegen + fmt + vet + envtest setup,
+                       # then `go test -race` on every package, with coverage
+go test -short ./...   # skip the envtest suite (runs in <1s per package)
+go tool cover -html=cover.out   # browse coverage from the last make test
+```
+
+Targeted runs:
+
+```sh
+go test -race ./internal/lease/                  # one package
+go test -race -run TestAcquire ./internal/lease/ # one test (or a prefix)
+go test -race -count=2 ./internal/health/        # flake-shaking: run twice
+```
+
+**Gotcha — plain `go test ./...` fails the controller package** with an
+error like `/usr/local/kubebuilder/bin/etcd: no such file`. That is not a
+code problem: the envtest suite needs `KUBEBUILDER_ASSETS` pointing at the
+API-server/etcd binaries, which only `make test` sets up (via
+`setup-envtest`). Either use `make test`, or export it once:
+
+```sh
+KUBEBUILDER_ASSETS="$PWD/bin/k8s/<version>-<os>-<arch>" go test -race ./...
+```
+
+Everything runs with `-race` — `make test` enforces it; keep the flag on
+manual runs too.
+
+## The suites, package by package
+
+| Package | Files | What is covered | Test double / technique |
+|---|---|---|---|
+| `api/v1alpha1` | `helpers_test.go` | `EffectivePort/EffectiveHost/HealthCheckOrDefault/MaxLeasesOrDefault` | pure table-driven; CEL rules are **not** unit-testable — see envtest below |
+| `internal/controller` | `reconcile_test.go` | every row of the reconciler's action table: create, poll, publish IP, replace, adopt, NotFound recovery, delete/finalizer, quota/permanent/transient errors, cloud-init resolution | `controller-runtime/pkg/client/fake` + an in-test `stubProvider` |
+| | `status_test.go` | `computePhase` truth table (10 rows) | pure |
+| | `spechash_test.go` | hash stability, nil/empty normalization, sensitivity to every replacement-triggering field | pure |
+| | `health_test.go` | Healthy-condition representation: Ready/Unhealthy phases, no-verdict, stale-verdict cleanup on replacement, nil snapshotter | fake client + `fakeSnapshotter` |
+| | `proxy_controller_test.go` (envtest, ginkgo) | full lifecycles against a **real API server**: provision→Running, spec-change replacement, finalizer deletion, External tracking, Ready-through-health, quota-vs-permanent, adoption; **all CEL rules** (six invalid creates, mode/provider immutability incl. removal) and the `default={}` materialization | envtest apiserver + stub provider; the only place CEL and structural defaulting actually execute |
+| `internal/provider` | `name_test.go` | deterministic naming: idempotency, `^proxy-[a-z2-7]{16}$`, 10k-UID distinctness | pure |
+| | `errors_test.go` | taxonomy: `Class()` mapping, `errors.Is` **and** `errors.As` through the multi-unwrap | pure |
+| | `config_test.go` | providers-config parsing + fail-fast validation | pure |
+| | `metrics_test.go` | `WithMetrics` decorator: classified result labels, error passthrough | fake recorder + static provider |
+| `internal/provider/kubernetes` | `kubernetes_test.go`, `pod_test.go` | Create/Get/Delete/ListByTag over real Pod objects; pure `buildPod`/`squidConf` incl. the `max_filedescriptors` OOM-regression assertion | `client/fake` (real `corev1.Pod`s, no kubelet) |
+| `internal/provider/gcp` | `insert_test.go`, `errors_test.go`, `gcp_test.go` | field-by-field `buildInsertRequest`; HTTP-code classification table; zone-qualified IDs, 409-is-success, 9-row state mapping, ListByTag filter + `ReturnPartialSuccess` | pure builder needs **no fake**; the rest uses the flattened `instancesAPI` seam |
+| `internal/health` | `probe_test.go` | probes through a **real CONNECT-capable proxy stub** to a real TLS server: tunnel success, refused CONNECT, wrong status, dead proxy, plain-http forward | `httptest` + hijacked bidirectional tunnel |
+| | `engine_test.go` | thresholds, first-verdict, latency suppression matrix, dropped-event retry, stale-probe UID guard, tick scheduling/seeding/pruning, `Start` end-to-end | fake `client.Reader` + injected `probeFn` |
+| `internal/lease` | `store_test.go` | capacity, `MaxLeases=0`, all three selection tie-breaks, target-scoped vs global cooldowns, expiry via fake clock, report-on-retained-lease, idempotent release, **40 concurrent acquires never exceeding capacity** | injectable clock; the concurrency case is why `-race` matters |
+| `internal/discovery` | `server_test.go` | auth matrix (incl. `/healthz` exemption), list filtering, grant shape, full 409 arithmetic, invalid TTL/body/result, idempotent release, report→cooldown→409 round trip, `Start`/shutdown | `httptest` over the real handler chain, fake cache reader, **real** `lease.Store` |
+| `internal/gc` | `gc_test.go` | the true-orphan matrix (live/deleting/young/unlabelled all kept), broken-provider isolation, list-failure skips sweep, namespace guard, sweep loop | fake reader + canned-list provider |
+| `internal/metrics` | `metrics_test.go` | scrape-time collectors (`GatherAndCompare`), per-proxy series cleanup via `ForgetProxy`, label counts, fresh-registry-per-test property | `prometheus/client_golang/testutil` |
+
+Conventions (from `CLAUDE.md`): stdlib `testing`, table-driven by default,
+`t.Parallel()` where safe, tests next to source, ginkgo only in the
+envtest suite the scaffold generated.
+
+## What the automated suites deliberately do NOT cover
+
+- **`New()` constructors that dial real infrastructure**: the kubernetes
+  provider's `New` (connects to whatever your kubeconfig points at), the
+  GCP provider's `New` and its `realInstances` SDK adapter (ADC + real
+  Google endpoints). Both are thin; both are exercised by the kind run /
+  real deployments. Their 0% coverage is by design — do not "fix" it.
+- **CEL and structural defaulting under the fake client**: the fake
+  client runs neither. Every unit test that relies on defaults calls the
+  `*OrDefault` helpers; every CEL rule is asserted in the envtest suite
+  instead.
+- **A container actually starting and serving**: envtest has no kubelet,
+  so a Pod created there sits Pending forever. Whether Squid really comes
+  up and tunnels CONNECT is provable only on a real cluster — that is the
+  kind verification's job, and it is exactly what caught the Squid OOM
+  bug (below).
+- **Live GCP**: no test talks to Google. The seam boundary
+  (`buildInsertRequest` + classification) is tested exhaustively instead.
+
+## The scaffolded `make test-e2e` suite
+
+`test/e2e/` is the kubebuilder-generated smoke suite (build image → kind
+cluster → deploy → assert the manager pod runs and serves metrics). It
+compiles only under `-tags=e2e`, manages its own kind cluster
+(`make test-e2e` / `make cleanup-test-e2e`), and has been kept compiling
+(`go vet -tags=e2e ./...` is part of the routine) but is **not part of
+`make test` and was not used for the release verification** — the manual
+kind run below covers strictly more.
+
+### The OTel tracing spec (Tempo-gated)
+
+`test/e2e/tracing_test.go` proves the full tracing pipeline against a
+**real Tempo**: deploy in kind with tracing enabled, create two
+kubernetes-provider proxies, delete them, and assert in Tempo that the
+traces exist with the documented span topology (`Reconcile Proxy` →
+`reconcile.managed` / `provider.create` / `status.patch`, and
+`reconcile.delete` / `provider.delete` on the way out).
+
+It **skips unless both env vars are set** (so the rest of the suite runs
+anywhere). Homelab invocation:
+
+```bash
+TEMPO_URL=http://192.168.0.30:3200 \
+OTLP_ENDPOINT=http://192.168.0.30:4318 \
+make test-e2e
+```
+
+Worth knowing:
+
+- Every span of a run carries the resource attribute
+  `test.run.id=e2e-<nanos>` (injected via `OTEL_RESOURCE_ATTRIBUTES`, no
+  code involved); the run ID is printed in the test log, and
+  `{resource.test.run.id="<id>"}` in Grafana shows exactly that run.
+- The spec preflights the OTLP endpoint **from inside the cluster** with a
+  curl pod and fails fast with a clear message if it's unreachable —
+  export failures are otherwise only visible at `-zap-log-level=1`.
+- Proxy CRs are created in `default`, not the operator namespace: the
+  squid pods carry no securityContext and the operator namespace enforces
+  restricted PSS.
+
+## The kind verification run (the real end-to-end)
+
+The README quickstart **is** the e2e test, run by hand before the MR:
+deploy the operator in-cluster on a throwaway kind cluster, watch a real
+Squid pod reach `Ready` via a real CONNECT probe, then exercise the whole
+lease lifecycle through the discovery API (list → lease → report
+`rate_limited` → same-target lease answered 409 `inCooldown:1` → release
+204 twice) and delete the CR to watch the finalizer remove the pod.
+
+Worth knowing about that run (full detail in
+[plans-executions/2026-08-07-1747-proxy-operator.md](plans-executions/2026-08-07-1747-proxy-operator.md),
+"Verification" section): it was not a clean pass-through. It caught two
+real bugs the automated suites structurally could not —
+
+1. `make run-dev` on a laptop can never produce a `Ready`
+   kubernetes-provider proxy: health probes originate on the host, which
+   cannot route to kind's pod network. The quickstart was rewritten to
+   deploy in-cluster.
+2. Squid was OOM-killed at startup: it sizes file-descriptor tables from
+   `RLIMIT_NOFILE`, which containerd under kind sets effectively
+   unlimited. Fixed with `max_filedescriptors 1024` in the generated
+   config, plus a regression assertion in `pod_test.go`.
+
+That is the pattern to keep: when the kind run finds something, the fix
+lands **with a unit-level regression test**, so the manual run stays a
+discovery tool rather than a recurring gate.

go.mod

@@ -3,8 +3,20 @@ module gitea.home.hrajfrisbee.cz/kacerr/egress-proxies-operator
 go 1.26.0
 
 require (
+	cloud.google.com/go/compute v1.65.0
+	github.com/go-logr/logr v1.4.4
 	github.com/onsi/ginkgo/v2 v2.27.4
 	github.com/onsi/gomega v1.39.0
+	github.com/prometheus/client_golang v1.23.2
+	go.opentelemetry.io/contrib/instrumentation/net/http/otelhttp v0.70.0
+	go.opentelemetry.io/otel v1.45.0
+	go.opentelemetry.io/otel/exporters/otlp/otlptrace/otlptracegrpc v1.45.0
+	go.opentelemetry.io/otel/exporters/otlp/otlptrace/otlptracehttp v1.45.0
+	go.opentelemetry.io/otel/exporters/stdout/stdouttrace v1.45.0
+	go.opentelemetry.io/otel/sdk v1.45.0
+	go.opentelemetry.io/otel/trace v1.45.0
+	google.golang.org/api v0.292.0
+	google.golang.org/protobuf v1.36.12-0.20260120151049-f2248ac996af
 	k8s.io/api v0.36.0
 	k8s.io/apimachinery v0.36.0
 	k8s.io/client-go v0.36.0
@@ -13,7 +25,10 @@ require (
 )
 
 require (
-	cel.dev/expr v0.25.1 // indirect
+	cel.dev/expr v0.25.2 // indirect
+	cloud.google.com/go/auth v0.22.0 // indirect
+	cloud.google.com/go/auth/oauth2adapt v0.2.8 // indirect
+	cloud.google.com/go/compute/metadata v0.9.0 // indirect
 	github.com/Masterminds/semver/v3 v3.4.0 // indirect
 	github.com/antlr4-go/antlr/v4 v4.13.0 // indirect
 	github.com/beorn7/perks v1.0.1 // indirect
@@ -23,10 +38,9 @@ require (
 	github.com/davecgh/go-spew v1.1.2-0.20180830191138-d8f796af33cc // indirect
 	github.com/emicklei/go-restful/v3 v3.13.0 // indirect
 	github.com/evanphx/json-patch/v5 v5.9.11 // indirect
-	github.com/felixge/httpsnoop v1.0.4 // indirect
+	github.com/felixge/httpsnoop v1.1.0 // indirect
 	github.com/fsnotify/fsnotify v1.9.0 // indirect
 	github.com/fxamacker/cbor/v2 v2.9.0 // indirect
-	github.com/go-logr/logr v1.4.3 // indirect
 	github.com/go-logr/stdr v1.2.2 // indirect
 	github.com/go-logr/zapr v1.3.0 // indirect
 	github.com/go-openapi/jsonpointer v0.21.0 // indirect
@@ -37,17 +51,20 @@ require (
 	github.com/google/gnostic-models v0.7.0 // indirect
 	github.com/google/go-cmp v0.7.0 // indirect
 	github.com/google/pprof v0.0.0-20250403155104-27863c87afa6 // indirect
+	github.com/google/s2a-go v0.1.9 // indirect
 	github.com/google/uuid v1.6.0 // indirect
-	github.com/grpc-ecosystem/grpc-gateway/v2 v2.27.7 // indirect
+	github.com/googleapis/enterprise-certificate-proxy v0.3.19 // indirect
+	github.com/googleapis/gax-go/v2 v2.23.0 // indirect
+	github.com/grpc-ecosystem/grpc-gateway/v2 v2.29.0 // indirect
 	github.com/inconshreveable/mousetrap v1.1.0 // indirect
 	github.com/josharian/intern v1.0.0 // indirect
 	github.com/json-iterator/go v1.1.12 // indirect
+	github.com/kylelemons/godebug v1.1.0 // indirect
 	github.com/mailru/easyjson v0.7.7 // indirect
 	github.com/modern-go/concurrent v0.0.0-20180306012644-bacd9c7ef1dd // indirect
 	github.com/modern-go/reflect2 v1.0.3-0.20250322232337-35a7c28c31ee // indirect
 	github.com/munnerz/goautoneg v0.0.0-20191010083416-a7dc8b61c822 // indirect
 	github.com/pmezard/go-difflib v1.0.1-0.20181226105442-5d4384ee4fb2 // indirect
-	github.com/prometheus/client_golang v1.23.2 // indirect
 	github.com/prometheus/client_model v0.6.2 // indirect
 	github.com/prometheus/common v0.67.5 // indirect
 	github.com/prometheus/procfs v0.19.2 // indirect
@@ -56,33 +73,29 @@ require (
 	github.com/stoewer/go-strcase v1.3.0 // indirect
 	github.com/x448/float16 v0.8.4 // indirect
 	go.opentelemetry.io/auto/sdk v1.2.1 // indirect
-	go.opentelemetry.io/contrib/instrumentation/net/http/otelhttp v0.65.0 // indirect
+	go.opentelemetry.io/otel/exporters/otlp/otlptrace v1.45.0 // indirect
-	go.opentelemetry.io/otel v1.41.0 // indirect
+	go.opentelemetry.io/otel/metric v1.45.0 // indirect
-	go.opentelemetry.io/otel/exporters/otlp/otlptrace v1.40.0 // indirect
+	go.opentelemetry.io/proto/otlp v1.11.0 // indirect
-	go.opentelemetry.io/otel/exporters/otlp/otlptrace/otlptracegrpc v1.40.0 // indirect
-	go.opentelemetry.io/otel/metric v1.41.0 // indirect
-	go.opentelemetry.io/otel/sdk v1.40.0 // indirect
-	go.opentelemetry.io/otel/trace v1.41.0 // indirect
-	go.opentelemetry.io/proto/otlp v1.9.0 // indirect
 	go.uber.org/multierr v1.11.0 // indirect
 	go.uber.org/zap v1.27.1 // indirect
 	go.yaml.in/yaml/v2 v2.4.3 // indirect
 	go.yaml.in/yaml/v3 v3.0.4 // indirect
+	golang.org/x/crypto v0.54.0 // indirect
 	golang.org/x/exp v0.0.0-20251219203646-944ab1f22d93 // indirect
-	golang.org/x/mod v0.32.0 // indirect
+	golang.org/x/mod v0.37.0 // indirect
-	golang.org/x/net v0.49.0 // indirect
+	golang.org/x/net v0.57.0 // indirect
-	golang.org/x/oauth2 v0.34.0 // indirect
+	golang.org/x/oauth2 v0.36.0 // indirect
-	golang.org/x/sync v0.19.0 // indirect
+	golang.org/x/sync v0.22.0 // indirect
-	golang.org/x/sys v0.40.0 // indirect
+	golang.org/x/sys v0.47.0 // indirect
-	golang.org/x/term v0.39.0 // indirect
+	golang.org/x/term v0.45.0 // indirect
-	golang.org/x/text v0.33.0 // indirect
+	golang.org/x/text v0.40.0 // indirect
-	golang.org/x/time v0.14.0 // indirect
+	golang.org/x/time v0.15.0 // indirect
-	golang.org/x/tools v0.41.0 // indirect
+	golang.org/x/tools v0.47.0 // indirect
 	gomodules.xyz/jsonpatch/v2 v2.4.0 // indirect
-	google.golang.org/genproto/googleapis/api v0.0.0-20260128011058-8636f8732409 // indirect
+	google.golang.org/genproto v0.0.0-20260319201613-d00831a3d3e7 // indirect
-	google.golang.org/genproto/googleapis/rpc v0.0.0-20260128011058-8636f8732409 // indirect
+	google.golang.org/genproto/googleapis/api v0.0.0-20260803160001-6ac0973c030d // indirect
-	google.golang.org/grpc v1.79.3 // indirect
+	google.golang.org/genproto/googleapis/rpc v0.0.0-20260803160001-6ac0973c030d // indirect
-	google.golang.org/protobuf v1.36.12-0.20260120151049-f2248ac996af // indirect
+	google.golang.org/grpc v1.83.0 // indirect
 	gopkg.in/evanphx/json-patch.v4 v4.13.0 // indirect
 	gopkg.in/inf.v0 v0.9.1 // indirect
 	gopkg.in/yaml.v3 v3.0.1 // indirect

go.sum

@@ -1,5 +1,15 @@
-cel.dev/expr v0.25.1 h1:1KrZg61W6TWSxuNZ37Xy49ps13NUovb66QLprthtwi4=
+cel.dev/expr v0.25.2 h1:K6j46C81hXtZQfuX60cVWQFBJahKSE2gfRbNuvr5bFs=
-cel.dev/expr v0.25.1/go.mod h1:hrXvqGP6G6gyx8UAHSHJ5RGk//1Oj5nXQ2NI02Nrsg4=
+cel.dev/expr v0.25.2/go.mod h1:hrXvqGP6G6gyx8UAHSHJ5RGk//1Oj5nXQ2NI02Nrsg4=
+cloud.google.com/go v0.123.0 h1:2NAUJwPR47q+E35uaJeYoNhuNEM9kM8SjgRgdeOJUSE=
+cloud.google.com/go v0.123.0/go.mod h1:xBoMV08QcqUGuPW65Qfm1o9Y4zKZBpGS+7bImXLTAZU=
+cloud.google.com/go/auth v0.22.0 h1:Xp9wAKkLoeaYb5pYZZoQGz4E9sdPxIbzS3gywZE3ciQ=
+cloud.google.com/go/auth v0.22.0/go.mod h1:M9o2Oz+YI2jAfxewJgb1vyI3vceHF+eohmxyzmrl+9s=
+cloud.google.com/go/auth/oauth2adapt v0.2.8 h1:keo8NaayQZ6wimpNSmW5OPc283g65QNIiLpZnkHRbnc=
+cloud.google.com/go/auth/oauth2adapt v0.2.8/go.mod h1:XQ9y31RkqZCcwJWNSx2Xvric3RrU88hAYYbjDWYDL+c=
+cloud.google.com/go/compute v1.65.0 h1:K0a3NRvazE7sZn5qswwI6BtlaZv1fgR5wFop5LZCLz8=
+cloud.google.com/go/compute v1.65.0/go.mod h1:vFq+Ztj9Rzhc8zf1t6hGp/6NdrEVG1GakkyVRQPRgKc=
+cloud.google.com/go/compute/metadata v0.9.0 h1:pDUj4QMoPejqq20dK0Pg2N4yG9zIkYGdBtwLoEkH9Zs=
+cloud.google.com/go/compute/metadata v0.9.0/go.mod h1:E0bWwX5wTnLPedCKqk3pJmVgCBSM6qQI1yTBdEb3C10=
 github.com/Masterminds/semver/v3 v3.4.0 h1:Zog+i5UMtVoCU8oKka5P7i9q9HgrJeGzI9SA1Xbatp0=
 github.com/Masterminds/semver/v3 v3.4.0/go.mod h1:4V+yj/TJE1HU9XfppCwVMZq3I84lprf4nC11bSS5beM=
 github.com/antlr4-go/antlr/v4 v4.13.0 h1:lxCg3LAv+EUK6t1i0y1V6/SLeUi0eKEKdhQAlS8TVTI=
@@ -24,8 +34,8 @@ github.com/evanphx/json-patch v0.5.2 h1:xVCHIVMUu1wtM/VkR9jVZ45N3FhZfYMMYGorLCR8
 github.com/evanphx/json-patch v0.5.2/go.mod h1:ZWS5hhDbVDyob71nXKNL0+PWn6ToqBHMikGIFbs31qQ=
 github.com/evanphx/json-patch/v5 v5.9.11 h1:/8HVnzMq13/3x9TPvjG08wUGqBTmZBsCWzjTM0wiaDU=
 github.com/evanphx/json-patch/v5 v5.9.11/go.mod h1:3j+LviiESTElxA4p3EMKAB9HXj3/XEtnUf6OZxqIQTM=
-github.com/felixge/httpsnoop v1.0.4 h1:NFTV2Zj1bL4mc9sqWACXbQFVBBg2W3GPvqp8/ESS2Wg=
+github.com/felixge/httpsnoop v1.1.0 h1:3YtUj32ZZkqZtt3sZZsClsymw/QDuVfpNhoA31zeORc=
-github.com/felixge/httpsnoop v1.0.4/go.mod h1:m8KPJKqk1gH5J9DgRY2ASl2lWCfGKXixSwevea8zH2U=
+github.com/felixge/httpsnoop v1.1.0/go.mod h1:Zqxgdd+1Rkcz8euOqdr7lqgCRJztwr5hp9vDSi5UZCE=
 github.com/fsnotify/fsnotify v1.9.0 h1:2Ml+OJNzbYCTzsxtv8vKSFD9PbJjmhYF14k/jKC7S9k=
 github.com/fsnotify/fsnotify v1.9.0/go.mod h1:8jBTzvmWwFyi3Pb8djgCCO5IBqzKJ/Jwo8TRcHyHii0=
 github.com/fxamacker/cbor/v2 v2.9.0 h1:NpKPmjDBgUfBms6tr6JZkTHtfFGcMKsw3eGcmD/sapM=
@@ -37,8 +47,8 @@ github.com/gkampitakis/go-diff v1.3.2/go.mod h1:LLgOrpqleQe26cte8s36HTWcTmMEur6O
 github.com/gkampitakis/go-snaps v0.5.15 h1:amyJrvM1D33cPHwVrjo9jQxX8g/7E2wYdZ+01KS3zGE=
 github.com/gkampitakis/go-snaps v0.5.15/go.mod h1:HNpx/9GoKisdhw9AFOBT1N7DBs9DiHo/hGheFGBZ+mc=
 github.com/go-logr/logr v1.2.2/go.mod h1:jdQByPbusPIv2/zmleS9BjJVeZ6kBagPoEUsqbVz/1A=
-github.com/go-logr/logr v1.4.3 h1:CjnDlHq8ikf6E492q6eKboGOC0T8CDaOvkHCIg8idEI=
+github.com/go-logr/logr v1.4.4 h1:tG4xh9yMsRCAiodLVTxyrkzSZ9+o0L1Kg/+cPVcbP/8=
-github.com/go-logr/logr v1.4.3/go.mod h1:9T104GzyrTigFIr8wt5mBrctHMim0Nb2HLGrmQ40KvY=
+github.com/go-logr/logr v1.4.4/go.mod h1:9T104GzyrTigFIr8wt5mBrctHMim0Nb2HLGrmQ40KvY=
 github.com/go-logr/stdr v1.2.2 h1:hSWxHoqTgW2S2qGc0LTAI563KZ5YKYRhT3MFKZMbjag=
 github.com/go-logr/stdr v1.2.2/go.mod h1:mMo/vtBO5dYbehREoey6XUKy/eSumjCCveDpRre4VKE=
 github.com/go-logr/zapr v1.3.0 h1:XGdV8XW8zdwFiwOA2Dryh1gj2KRQyOOoNmBy4EplIcQ=
@@ -68,10 +78,16 @@ github.com/google/gofuzz v1.2.0 h1:xRy4A+RhZaiKjJ1bPfwQ8sedCA+YS2YcCHW6ec7JMi0=
 github.com/google/gofuzz v1.2.0/go.mod h1:dBl0BpW6vV/+mYPU4Po3pmUjxk6FQPldtuIdl/M65Eg=
 github.com/google/pprof v0.0.0-20250403155104-27863c87afa6 h1:BHT72Gu3keYf3ZEu2J0b1vyeLSOYI8bm5wbJM/8yDe8=
 github.com/google/pprof v0.0.0-20250403155104-27863c87afa6/go.mod h1:boTsfXsheKC2y+lKOCMpSfarhxDeIzfZG1jqGcPl3cA=
+github.com/google/s2a-go v0.1.9 h1:LGD7gtMgezd8a/Xak7mEWL0PjoTQFvpRudN895yqKW0=
+github.com/google/s2a-go v0.1.9/go.mod h1:YA0Ei2ZQL3acow2O62kdp9UlnvMmU7kA6Eutn0dXayM=
 github.com/google/uuid v1.6.0 h1:NIvaJDMOsjHA8n1jAhLSgzrAzy1Hgr+hNrb57e+94F0=
 github.com/google/uuid v1.6.0/go.mod h1:TIyPZe4MgqvfeYDBFedMoGGpEw/LqOeaOT+nhxU+yHo=
-github.com/grpc-ecosystem/grpc-gateway/v2 v2.27.7 h1:X+2YciYSxvMQK0UZ7sg45ZVabVZBeBuvMkmuI2V3Fak=
+github.com/googleapis/enterprise-certificate-proxy v0.3.19 h1:mMOE7DN2+p76/EdIrmAy9B9bH+yC4563vmnJ34QR8i4=
-github.com/grpc-ecosystem/grpc-gateway/v2 v2.27.7/go.mod h1:lW34nIZuQ8UDPdkon5fmfp2l3+ZkQ2me/+oecHYLOII=
+github.com/googleapis/enterprise-certificate-proxy v0.3.19/go.mod h1:rSEsBUemEBZEexP2y6jPp16LUmUbjmSbcPMQizR0o4k=
+github.com/googleapis/gax-go/v2 v2.23.0 h1:Tchl7qkvE7Ip3y+ztvNufYFvkfqTe7NfLTYGIdJRLuE=
+github.com/googleapis/gax-go/v2 v2.23.0/go.mod h1:rBQKOVJCdb8IFEzg+FCwlt1LP/xMDGuqUXhUG+XMXEg=
+github.com/grpc-ecosystem/grpc-gateway/v2 v2.29.0 h1:5VipnvEpbqr2gA2VbM+nYVbkIF28c5ZQfqCBQ5g2xfk=
+github.com/grpc-ecosystem/grpc-gateway/v2 v2.29.0/go.mod h1:Hyl3n6Twe1hvtd9XUXDec4pTvgMSEixRuQKPTMH2bNs=
 github.com/inconshreveable/mousetrap v1.1.0 h1:wN+x4NVGpMsO7ErUn/mUI3vEoE6Jt13X2s0bqwp9tc8=
 github.com/inconshreveable/mousetrap v1.1.0/go.mod h1:vpF70FUmC8bwa3OWnCshd2FqLfsEA9PFc4w1p2J65bw=
 github.com/josharian/intern v1.0.0 h1:vlS4z54oSdjm0bgjRigI+G1HpF+tI+9rE5LLzOg8HmY=
@@ -154,24 +170,28 @@ github.com/x448/float16 v0.8.4 h1:qLwI1I70+NjRFUR3zs1JPUCgaCXSh3SW62uAKT1mSBM=
 github.com/x448/float16 v0.8.4/go.mod h1:14CWIYCyZA/cWjXOioeEpHeN/83MdbZDRQHoFcYsOfg=
 go.opentelemetry.io/auto/sdk v1.2.1 h1:jXsnJ4Lmnqd11kwkBV2LgLoFMZKizbCi5fNZ/ipaZ64=
 go.opentelemetry.io/auto/sdk v1.2.1/go.mod h1:KRTj+aOaElaLi+wW1kO/DZRXwkF4C5xPbEe3ZiIhN7Y=
-go.opentelemetry.io/contrib/instrumentation/net/http/otelhttp v0.65.0 h1:7iP2uCb7sGddAr30RRS6xjKy7AZ2JtTOPA3oolgVSw8=
+go.opentelemetry.io/contrib/instrumentation/net/http/otelhttp v0.70.0 h1:LMuyCAyfalSjDyjdC65nK6N0zoTT63+E/u95X0JovZI=
-go.opentelemetry.io/contrib/instrumentation/net/http/otelhttp v0.65.0/go.mod h1:c7hN3ddxs/z6q9xwvfLPk+UHlWRQyaeR1LdgfL/66l0=
+go.opentelemetry.io/contrib/instrumentation/net/http/otelhttp v0.70.0/go.mod h1:085m8qbm4hgc8rZWGDEa4vmyyo2c3nPxUslYUKUIU04=
-go.opentelemetry.io/otel v1.41.0 h1:YlEwVsGAlCvczDILpUXpIpPSL/VPugt7zHThEMLce1c=
+go.opentelemetry.io/otel v1.45.0 h1:pdrWmLHofpubmArBv1LgFSv1Z0Ie/ppdZzu+kUN5EeU=
-go.opentelemetry.io/otel v1.41.0/go.mod h1:Yt4UwgEKeT05QbLwbyHXEwhnjxNO6D8L5PQP51/46dE=
+go.opentelemetry.io/otel v1.45.0/go.mod h1:XZxIqPapzEYnhNSScF5DIqXhm/rYi0FzCe2XddAwZfQ=
-go.opentelemetry.io/otel/exporters/otlp/otlptrace v1.40.0 h1:QKdN8ly8zEMrByybbQgv8cWBcdAarwmIPZ6FThrWXJs=
+go.opentelemetry.io/otel/exporters/otlp/otlptrace v1.45.0 h1:QRefszxJmfPdjXUUm3j6iDzY03mTPXMjqErFqQ67vUg=
-go.opentelemetry.io/otel/exporters/otlp/otlptrace v1.40.0/go.mod h1:bTdK1nhqF76qiPoCCdyFIV+N/sRHYXYCTQc+3VCi3MI=
+go.opentelemetry.io/otel/exporters/otlp/otlptrace v1.45.0/go.mod h1:Tiz03lTBVBrm7eWZBOidzEaYaJa8tjwGUGv6d8mlTyk=
-go.opentelemetry.io/otel/exporters/otlp/otlptrace/otlptracegrpc v1.40.0 h1:DvJDOPmSWQHWywQS6lKL+pb8s3gBLOZUtw4N+mavW1I=
+go.opentelemetry.io/otel/exporters/otlp/otlptrace/otlptracegrpc v1.45.0 h1:fG5MCxGz8+2VtrN/WgqSpJFctVz24gpxj8CxkKmc8Ww=
-go.opentelemetry.io/otel/exporters/otlp/otlptrace/otlptracegrpc v1.40.0/go.mod h1:EtekO9DEJb4/jRyN4v4Qjc2yA7AtfCBuz2FynRUWTXs=
+go.opentelemetry.io/otel/exporters/otlp/otlptrace/otlptracegrpc v1.45.0/go.mod h1:BmAYTn+3ysbRe+IU2msxmf5Rx3g6DHvex+tWI3LdhYI=
-go.opentelemetry.io/otel/metric v1.41.0 h1:rFnDcs4gRzBcsO9tS8LCpgR0dxg4aaxWlJxCno7JlTQ=
+go.opentelemetry.io/otel/exporters/otlp/otlptrace/otlptracehttp v1.45.0 h1:QBajQ2SrwQijzHyZbQlPsuIzpl/ll8DY6wPWsajeGcI=
-go.opentelemetry.io/otel/metric v1.41.0/go.mod h1:xPvCwd9pU0VN8tPZYzDZV/BMj9CM9vs00GuBjeKhJps=
+go.opentelemetry.io/otel/exporters/otlp/otlptrace/otlptracehttp v1.45.0/go.mod h1:08ZQLjrPLQ6R4kAXvuOvODEer5Yh4CoFvll5qB2BCI8=
-go.opentelemetry.io/otel/sdk v1.40.0 h1:KHW/jUzgo6wsPh9At46+h4upjtccTmuZCFAc9OJ71f8=
+go.opentelemetry.io/otel/exporters/stdout/stdouttrace v1.45.0 h1:lsA/S1bxgdbyFGkTj+3meEdJ6ADVU7QoFstV6MXgE68=
-go.opentelemetry.io/otel/sdk v1.40.0/go.mod h1:Ph7EFdYvxq72Y8Li9q8KebuYUr2KoeyHx0DRMKrYBUE=
+go.opentelemetry.io/otel/exporters/stdout/stdouttrace v1.45.0/go.mod h1:L7u+MirGoB1bjeLH66+xDykF4RC8C3RN7lIFpBiewUo=
-go.opentelemetry.io/otel/sdk/metric v1.40.0 h1:mtmdVqgQkeRxHgRv4qhyJduP3fYJRMX4AtAlbuWdCYw=
+go.opentelemetry.io/otel/metric v1.45.0 h1:7Eg1uH7CJ5cXv9is6tnBe1FI6rj1nwUdbFypRm3br/M=
-go.opentelemetry.io/otel/sdk/metric v1.40.0/go.mod h1:4Z2bGMf0KSK3uRjlczMOeMhKU2rhUqdWNoKcYrtcBPg=
+go.opentelemetry.io/otel/metric v1.45.0/go.mod h1:HAPbm1nd3p1PmFH7v2dR+6BjXxw+Lq4a2+pndMAm08s=
-go.opentelemetry.io/otel/trace v1.41.0 h1:Vbk2co6bhj8L59ZJ6/xFTskY+tGAbOnCtQGVVa9TIN0=
+go.opentelemetry.io/otel/sdk v1.45.0 h1:4VVSMgQ83dUgW2aoX5f6JgLvHwIvzcuLnF9lUdCSpCw=
-go.opentelemetry.io/otel/trace v1.41.0/go.mod h1:U1NU4ULCoxeDKc09yCWdWe+3QoyweJcISEVa1RBzOis=
+go.opentelemetry.io/otel/sdk v1.45.0/go.mod h1:Sr40LgXV7DsKMMJMKOhUWOgMWTfAaqvm2kF0g7ilwuA=
-go.opentelemetry.io/proto/otlp v1.9.0 h1:l706jCMITVouPOqEnii2fIAuO3IVGBRPV5ICjceRb/A=
+go.opentelemetry.io/otel/sdk/metric v1.45.0 h1:oVFszMfyj1Am6s24Vtc7wBb8BKLcwepJjNEYILuiE3o=
-go.opentelemetry.io/proto/otlp v1.9.0/go.mod h1:xE+Cx5E/eEHw+ISFkwPLwCZefwVjY+pqKg1qcK03+/4=
+go.opentelemetry.io/otel/sdk/metric v1.45.0/go.mod h1:vUWUxDZvu1WVRj8JA8S0AdhsPrZoDpA2DdZauIh4mDA=
+go.opentelemetry.io/otel/trace v1.45.0 h1:l/mP6Uv7oNO7/TblbhpbgMidxhq1uO/rPsikOyVhxag=
+go.opentelemetry.io/otel/trace v1.45.0/go.mod h1:qoJJA2xNMnxRrdISU/kLtfUH2wNeQbiv+jhs/CxI8bc=
+go.opentelemetry.io/proto/otlp v1.11.0 h1:5rrYs0Ykyj50sdU/JU0x8etU+LubXWb+gED6TbEdMIk=
+go.opentelemetry.io/proto/otlp v1.11.0/go.mod h1:SmVizdCOAm3XBtG1g1NnOdhW6jtddT72hLMhv8VwA8E=
 go.uber.org/goleak v1.3.0 h1:2K3zAYmnTNqV73imy9J1T3WC+gmCePx2hEGkimedGto=
 go.uber.org/goleak v1.3.0/go.mod h1:CoHD4mav9JJNrW/WLlf7HGZPjdw8EucARQHekz1X6bE=
 go.uber.org/multierr v1.11.0 h1:blXXJkSxSSfBVBlC76pxqeO+LN3aDfLQo+309xJstO0=
@@ -182,36 +202,42 @@ go.yaml.in/yaml/v2 v2.4.3 h1:6gvOSjQoTB3vt1l+CU+tSyi/HOjfOjRLJ4YwYZGwRO0=
 go.yaml.in/yaml/v2 v2.4.3/go.mod h1:zSxWcmIDjOzPXpjlTTbAsKokqkDNAVtZO0WOMiT90s8=
 go.yaml.in/yaml/v3 v3.0.4 h1:tfq32ie2Jv2UxXFdLJdh3jXuOzWiL1fo0bu/FbuKpbc=
 go.yaml.in/yaml/v3 v3.0.4/go.mod h1:DhzuOOF2ATzADvBadXxruRBLzYTpT36CKvDb3+aBEFg=
+golang.org/x/crypto v0.54.0 h1:YLIA59K4fiNzHzjnZt2tUJQjQtUWfWbeHBqKtk3eScw=
+golang.org/x/crypto v0.54.0/go.mod h1:KWL8ny2AZdGR2cWmzeHrp2azQPGogOv+HeQaVEXC2dk=
 golang.org/x/exp v0.0.0-20251219203646-944ab1f22d93 h1:fQsdNF2N+/YewlRZiricy4P1iimyPKZ/xwniHj8Q2a0=
 golang.org/x/exp v0.0.0-20251219203646-944ab1f22d93/go.mod h1:EPRbTFwzwjXj9NpYyyrvenVh9Y+GFeEvMNh7Xuz7xgU=
-golang.org/x/mod v0.32.0 h1:9F4d3PHLljb6x//jOyokMv3eX+YDeepZSEo3mFJy93c=
+golang.org/x/mod v0.37.0 h1:vF1DjpVEshcIqoEaauuHebaLk1O1forxjxBaVn884JQ=
-golang.org/x/mod v0.32.0/go.mod h1:SgipZ/3h2Ci89DlEtEXWUk/HteuRin+HHhN+WbNhguU=
+golang.org/x/mod v0.37.0/go.mod h1:m8S8VeM9r4dzDwjrKO0a1sZP3YjeMamRRlD+fmR2Q/0=
-golang.org/x/net v0.49.0 h1:eeHFmOGUTtaaPSGNmjBKpbng9MulQsJURQUAfUwY++o=
+golang.org/x/net v0.57.0 h1:K5+3DljvIuDG9/Jv9rvyMywYNFCQ9RSUY6OOTTkT+tE=
-golang.org/x/net v0.49.0/go.mod h1:/ysNB2EvaqvesRkuLAyjI1ycPZlQHM3q01F02UY/MV8=
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-golang.org/x/oauth2 v0.34.0 h1:hqK/t4AKgbqWkdkcAeI8XLmbK+4m4G5YeQRrmiotGlw=
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-golang.org/x/oauth2 v0.34.0/go.mod h1:lzm5WQJQwKZ3nwavOZ3IS5Aulzxi68dUSgRHujetwEA=
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-golang.org/x/sync v0.19.0 h1:vV+1eWNmZ5geRlYjzm2adRgW2/mcpevXNg50YZtPCE4=
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-golang.org/x/sync v0.19.0/go.mod h1:9KTHXmSnoGruLpwFjVSX0lNNA75CykiMECbovNTZqGI=
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-golang.org/x/sys v0.40.0 h1:DBZZqJ2Rkml6QMQsZywtnjnnGvHza6BTfYFWY9kjEWQ=
+golang.org/x/sys v0.47.0 h1:o7XGOvZQCADBQQ4Y7VNq2dRWQR7JmOUW8Kxx4ZsNgWs=
-golang.org/x/sys v0.40.0/go.mod h1:OgkHotnGiDImocRcuBABYBEXf8A9a87e/uXjp9XT3ks=
+golang.org/x/sys v0.47.0/go.mod h1:4GL1E5IUh+htKOUEOaiffhrAeqysfVGipDYzABqnCmw=
-golang.org/x/term v0.39.0 h1:RclSuaJf32jOqZz74CkPA9qFuVTX7vhLlpfj/IGWlqY=
+golang.org/x/term v0.45.0 h1:NwWyBmoJCbfTHpxrWoZ9C6/VxOf7ic219I8xZZFdrf0=
-golang.org/x/term v0.39.0/go.mod h1:yxzUCTP/U+FzoxfdKmLaA0RV1WgE0VY7hXBwKtY/4ww=
+golang.org/x/term v0.45.0/go.mod h1:9aqxs0blBcrm/n0L9QW0aRVD+ktan8ssZromtqJC43w=
-golang.org/x/text v0.33.0 h1:B3njUFyqtHDUI5jMn1YIr5B0IE2U0qck04r6d4KPAxE=
+golang.org/x/text v0.40.0 h1:Ub2Z6/xjgF1WrYQz2nuITOEegKFtiIy+rieRJ5lHZKs=
-golang.org/x/text v0.33.0/go.mod h1:LuMebE6+rBincTi9+xWTY8TztLzKHc/9C1uBCG27+q8=
+golang.org/x/text v0.40.0/go.mod h1:hpnzDAfGV753zIKo+wk3u1bVKCGPbrnF7+7LBF/UHVY=
-golang.org/x/time v0.14.0 h1:MRx4UaLrDotUKUdCIqzPC48t1Y9hANFKIRpNx+Te8PI=
+golang.org/x/time v0.15.0 h1:bbrp8t3bGUeFOx08pvsMYRTCVSMk89u4tKbNOZbp88U=
-golang.org/x/time v0.14.0/go.mod h1:eL/Oa2bBBK0TkX57Fyni+NgnyQQN4LitPmob2Hjnqw4=
+golang.org/x/time v0.15.0/go.mod h1:Y4YMaQmXwGQZoFaVFk4YpCt4FLQMYKZe9oeV/f4MSno=
-golang.org/x/tools v0.41.0 h1:a9b8iMweWG+S0OBnlU36rzLp20z1Rp10w+IY2czHTQc=
+golang.org/x/tools v0.47.0 h1:7Kn5x/d1svx/PzryTsqeoZN4TZwqeH5pGWjefhLi/1Q=
-golang.org/x/tools v0.41.0/go.mod h1:XSY6eDqxVNiYgezAVqqCeihT4j1U2CCsqvH3WhQpnlg=
+golang.org/x/tools v0.47.0/go.mod h1:dFHnyTvFWY212G+h7ZY4Vsp/K3U4/7W9TyVaAul8uCA=
 gomodules.xyz/jsonpatch/v2 v2.4.0 h1:Ci3iUJyx9UeRx7CeFN8ARgGbkESwJK+KB9lLcWxY/Zw=
 gomodules.xyz/jsonpatch/v2 v2.4.0/go.mod h1:AH3dM2RI6uoBZxn3LVrfvJ3E0/9dG4cSrbuBJT4moAY=
-gonum.org/v1/gonum v0.16.0 h1:5+ul4Swaf3ESvrOnidPp4GZbzf0mxVQpDCYUQE7OJfk=
+gonum.org/v1/gonum v0.17.0 h1:VbpOemQlsSMrYmn7T2OUvQ4dqxQXU+ouZFQsZOx50z4=
-gonum.org/v1/gonum v0.16.0/go.mod h1:fef3am4MQ93R2HHpKnLk4/Tbh/s0+wqD5nfa6Pnwy4E=
+gonum.org/v1/gonum v0.17.0/go.mod h1:El3tOrEuMpv2UdMrbNlKEh9vd86bmQ6vqIcDwxEOc1E=
-google.golang.org/genproto/googleapis/api v0.0.0-20260128011058-8636f8732409 h1:merA0rdPeUV3YIIfHHcH4qBkiQAc1nfCKSI7lB4cV2M=
+google.golang.org/api v0.292.0 h1:Ewiwo/GTtiaPZSNAZQUcWLh8AYDEoPmIXyJfeoTSMHU=
-google.golang.org/genproto/googleapis/api v0.0.0-20260128011058-8636f8732409/go.mod h1:fl8J1IvUjCilwZzQowmw2b7HQB2eAuYBabMXzWurF+I=
+google.golang.org/api v0.292.0/go.mod h1:07kjmMnFGm2RQuCza2EZM/5N68G/fVvFb1xKjWqoFA0=
-google.golang.org/genproto/googleapis/rpc v0.0.0-20260128011058-8636f8732409 h1:H86B94AW+VfJWDqFeEbBPhEtHzJwJfTbgE2lZa54ZAQ=
+google.golang.org/genproto v0.0.0-20260319201613-d00831a3d3e7 h1:XzmzkmB14QhVhgnawEVsOn6OFsnpyxNPRY9QV01dNB0=
-google.golang.org/genproto/googleapis/rpc v0.0.0-20260128011058-8636f8732409/go.mod h1:j9x/tPzZkyxcgEFkiKEEGxfvyumM01BEtsW8xzOahRQ=
+google.golang.org/genproto v0.0.0-20260319201613-d00831a3d3e7/go.mod h1:L43LFes82YgSonw6iTXTxXUX1OlULt4AQtkik4ULL/I=
-google.golang.org/grpc v1.79.3 h1:sybAEdRIEtvcD68Gx7dmnwjZKlyfuc61Dyo9pGXXkKE=
+google.golang.org/genproto/googleapis/api v0.0.0-20260803160001-6ac0973c030d h1:FarXi840EJWSHYTN3ERkADbPWjl307+FGrA22KAVjjc=
-google.golang.org/grpc v1.79.3/go.mod h1:KmT0Kjez+0dde/v2j9vzwoAScgEPx/Bw1CYChhHLrHQ=
+google.golang.org/genproto/googleapis/api v0.0.0-20260803160001-6ac0973c030d/go.mod h1:K/+WGbmBY7aNW1HDw1fJnKYo10i0DkAX6pows00dLig=
+google.golang.org/genproto/googleapis/rpc v0.0.0-20260803160001-6ac0973c030d h1:IL4hdHzcUv2l/gcg98/Rj3FbtE6axwqslOW8SW0C+S0=
+google.golang.org/genproto/googleapis/rpc v0.0.0-20260803160001-6ac0973c030d/go.mod h1:4Hqkh8ycfw05ld/3BWL7rJOSfebL2Q+DVDeRgYgxUU8=
+google.golang.org/grpc v1.83.0 h1:JeNZEKJFbQxArAMl+hiytHauacDNqJUllNfmIMmpqnQ=
+google.golang.org/grpc v1.83.0/go.mod h1:kDyl6SKsiHKt0uylY5gtn5cEjkrIOhQOGDgIc4JGwzQ=
 google.golang.org/protobuf v1.36.12-0.20260120151049-f2248ac996af h1:+5/Sw3GsDNlEmu7TfklWKPdQ0Ykja5VEmq2i817+jbI=
 google.golang.org/protobuf v1.36.12-0.20260120151049-f2248ac996af/go.mod h1:HTf+CrKn2C3g5S8VImy6tdcUvCska2kB7j23XfzDpco=
 gopkg.in/check.v1 v0.0.0-20161208181325-20d25e280405/go.mod h1:Co6ibVJAznAaIkqp8huTwlJQCZ016jof/cbN4VW5Yz0=

hack/providers-dev.yaml

@@ -0,0 +1,6 @@
+# Providers config for `make run-dev`: local development against the
+# current kubeconfig context (e.g. a kind cluster). Only the
+# kubernetes-pod provider — no cloud credentials needed.
+providers:
+  - name: kubernetes
+    type: kubernetes

internal/controller/proxy_controller.go

@@ -41,6 +41,7 @@ import (
 	crawlv1alpha1 "gitea.home.hrajfrisbee.cz/kacerr/egress-proxies-operator/api/v1alpha1"
 	"gitea.home.hrajfrisbee.cz/kacerr/egress-proxies-operator/internal/health"
 	"gitea.home.hrajfrisbee.cz/kacerr/egress-proxies-operator/internal/provider"
+	"gitea.home.hrajfrisbee.cz/kacerr/egress-proxies-operator/internal/tracing"
 )
 
 // HealthSnapshotter provides the current probe verdict for a proxy. The
@@ -82,6 +83,9 @@ type ProxyReconciler struct {
 // +kubebuilder:rbac:groups=crawl.example.com,resources=proxies/status,verbs=get;update;patch
 // +kubebuilder:rbac:groups=crawl.example.com,resources=proxies/finalizers,verbs=update
 // +kubebuilder:rbac:groups="",resources=secrets,verbs=get;list;watch
+// The pod verbs are for the kubernetes-pod provider; cluster-scoped, since
+// its ListByTag enumerates the operator's Pods across all namespaces.
+// +kubebuilder:rbac:groups="",resources=pods,verbs=get;list;watch;create;delete
 
 // Reconcile fetches the Proxy named by req into p (r.Get fills the struct
 // through the pointer), dispatches to the delete/external/managed state
@@ -93,9 +97,14 @@ func (r *ProxyReconciler) Reconcile(ctx context.Context, req ctrl.Request) (res
 	}
 	base := p.DeepCopy()
 	defer func() {
+		// Runs inside the root reconcile span (this defer fires before the
+		// tracing.NewReconciler wrapper sees the return), and its error is
+		// folded into err, which that wrapper records.
+		pctx, span := tracing.Start(ctx, "status.patch")
+		defer span.End()
 		// NotFound is expected when this reconcile just removed the last
 		// finalizer and the object is already gone.
-		if perr := r.patchStatusIfChanged(ctx, base, &p); perr != nil && !apierrors.IsNotFound(perr) {
+		if perr := r.patchStatusIfChanged(pctx, base, &p); perr != nil && !apierrors.IsNotFound(perr) {
 			err = errors.Join(err, perr)
 		}
 	}()
@@ -111,6 +120,8 @@ func (r *ProxyReconciler) Reconcile(ctx context.Context, req ctrl.Request) (res
 }
 
 func (r *ProxyReconciler) reconcileManaged(ctx context.Context, p *crawlv1alpha1.Proxy) (ctrl.Result, error) {
+	ctx, span := tracing.Start(ctx, "reconcile.managed")
+	defer span.End()
 	log := logf.FromContext(ctx)
 
 	if controllerutil.AddFinalizer(p, crawlv1alpha1.FinalizerName) {
@@ -221,6 +232,8 @@ func (r *ProxyReconciler) reconcileManaged(ctx context.Context, p *crawlv1alpha1
 // exists" — hence: delete, poll to NotFound, only then advance the hash and
 // let the create branch run.
 func (r *ProxyReconciler) replaceInstance(ctx context.Context, p *crawlv1alpha1.Proxy, prov provider.Provider, hash string) (ctrl.Result, error) {
+	ctx, span := tracing.Start(ctx, "reconcile.replaceInstance")
+	defer span.End()
 	_, err := prov.Get(ctx, p.Status.ProviderID)
 	if provider.Class(err) == provider.ErrNotFound {
 		// Old instance is gone. The Update inside setSpecHash refreshes p
@@ -249,6 +262,8 @@ func (r *ProxyReconciler) replaceInstance(ctx context.Context, p *crawlv1alpha1.
 }
 
 func (r *ProxyReconciler) reconcileDelete(ctx context.Context, p *crawlv1alpha1.Proxy) (ctrl.Result, error) {
+	ctx, span := tracing.Start(ctx, "reconcile.delete")
+	defer span.End()
 	if !controllerutil.ContainsFinalizer(p, crawlv1alpha1.FinalizerName) {
 		return ctrl.Result{}, nil
 	}
@@ -406,7 +421,10 @@ func (r *ProxyReconciler) SetupWithManager(mgr ctrl.Manager) error {
 	if r.HealthEvents != nil {
 		b = b.WatchesRawSource(source.Channel(r.HealthEvents, &handler.EnqueueRequestForObject{}))
 	}
-	return b.Complete(r)
+	// Root span per reconcile; sub-reconcilers and the status flush hang
+	// their spans off it. Tests calling r.Reconcile directly bypass the
+	// wrapper and see no-op spans — the global tracer is never set there.
+	return b.Complete(tracing.NewReconciler("Proxy", r))
 }
 
 func (r *ProxyReconciler) applyDefaults() {

internal/controller/proxy_controller_test.go

@@ -28,6 +28,7 @@ import (
 	ctrl "sigs.k8s.io/controller-runtime"
 
 	crawlv1alpha1 "gitea.home.hrajfrisbee.cz/kacerr/egress-proxies-operator/api/v1alpha1"
+	"gitea.home.hrajfrisbee.cz/kacerr/egress-proxies-operator/internal/health"
 	"gitea.home.hrajfrisbee.cz/kacerr/egress-proxies-operator/internal/provider"
 )
 
@@ -233,6 +234,105 @@ var _ = Describe("Proxy controller", func() {
 		Expect(apierrors.IsNotFound(err)).To(BeTrue(), "proxy should be fully deleted")
 	})
 
+	It("reaches Ready once the health engine has a verdict", func() {
+		const name = "e2e-ready"
+		stub := &stubProvider{createID: "inst-rdy"}
+		r := newEnvtestReconciler(stub)
+		DeferCleanup(func() { cleanup(r, stub, name) })
+
+		Expect(k8sClient.Create(ctx, &crawlv1alpha1.Proxy{
+			ObjectMeta: metav1.ObjectMeta{Name: name, Namespace: ns},
+			Spec:       managedSpec(),
+		})).To(Succeed())
+		_, err := envReconcile(r, name)
+		Expect(err).NotTo(HaveOccurred())
+		_, err = envReconcile(r, name)
+		Expect(err).NotTo(HaveOccurred())
+		stub.getInst = &provider.Instance{ID: "inst-rdy", IP: "10.3.3.3", State: provider.StateRunning}
+		_, err = envReconcile(r, name)
+		Expect(err).NotTo(HaveOccurred())
+		Expect(fetch(name).Status.Phase).To(Equal(crawlv1alpha1.PhaseProvisioning),
+			"no health verdict yet — must not be Ready")
+
+		By("supplying a healthy snapshot")
+		r.Health = fakeSnapshotter{ok: true, snap: health.Snapshot{
+			Healthy: true, Latency: 21 * time.Millisecond, LastProbe: time.Now(),
+		}}
+		_, err = envReconcile(r, name)
+		Expect(err).NotTo(HaveOccurred())
+		p := fetch(name)
+		Expect(p.Status.Phase).To(Equal(crawlv1alpha1.PhaseReady))
+		Expect(p.Status.LatencyMillis).To(Equal(int64(21)))
+	})
+
+	It("treats quota exhaustion as a wait and a permanent error as Failed", func() {
+		const name = "e2e-errors"
+		stub := &stubProvider{
+			createErr: provider.Wrap(provider.ErrQuotaExceeded, "create", "stub", "", nil),
+		}
+		r := newEnvtestReconciler(stub)
+		DeferCleanup(func() { cleanup(r, stub, name) })
+
+		Expect(k8sClient.Create(ctx, &crawlv1alpha1.Proxy{
+			ObjectMeta: metav1.ObjectMeta{Name: name, Namespace: ns},
+			Spec:       managedSpec(),
+		})).To(Succeed())
+		_, err := envReconcile(r, name)
+		Expect(err).NotTo(HaveOccurred())
+
+		By("quota: condition set, slow requeue, phase NOT Failed")
+		res, err := envReconcile(r, name)
+		Expect(err).NotTo(HaveOccurred(), "quota must not count as an error (stays off the backoff curve)")
+		Expect(res.RequeueAfter).To(Equal(r.QuotaRetry))
+		p := fetch(name)
+		cond := apimeta.FindStatusCondition(p.Status.Conditions, crawlv1alpha1.ConditionProvisioned)
+		Expect(cond.Reason).To(Equal(ReasonQuotaExceeded))
+		Expect(p.Status.Phase).NotTo(Equal(crawlv1alpha1.PhaseFailed))
+
+		By("permanent: phase Failed and no further provider calls")
+		stub.createErr = provider.Wrap(provider.ErrPermanent, "create", "stub", "", nil)
+		_, err = envReconcile(r, name)
+		Expect(err).NotTo(HaveOccurred())
+		Expect(fetch(name).Status.Phase).To(Equal(crawlv1alpha1.PhaseFailed))
+		callsAfterLatch := stub.createCalls
+		_, err = envReconcile(r, name)
+		Expect(err).NotTo(HaveOccurred())
+		Expect(stub.createCalls).To(Equal(callsAfterLatch), "the latch must stop provider calls")
+	})
+
+	It("adopts an instance when the spec-hash annotation is stripped", func() {
+		const name = "e2e-adopt"
+		stub := &stubProvider{createID: "inst-adopt"}
+		r := newEnvtestReconciler(stub)
+		DeferCleanup(func() { cleanup(r, stub, name) })
+
+		Expect(k8sClient.Create(ctx, &crawlv1alpha1.Proxy{
+			ObjectMeta: metav1.ObjectMeta{Name: name, Namespace: ns},
+			Spec:       managedSpec(),
+		})).To(Succeed())
+		_, err := envReconcile(r, name)
+		Expect(err).NotTo(HaveOccurred())
+		_, err = envReconcile(r, name)
+		Expect(err).NotTo(HaveOccurred())
+		stub.getInst = &provider.Instance{ID: "inst-adopt", IP: "10.4.4.4", State: provider.StateRunning}
+		_, err = envReconcile(r, name)
+		Expect(err).NotTo(HaveOccurred())
+		originalHash := fetch(name).Annotations[crawlv1alpha1.AnnotationSpecHash]
+		Expect(originalHash).NotTo(BeEmpty())
+
+		By("stripping the annotation, as an operator-version upgrade with a changed hash input would")
+		p := fetch(name)
+		delete(p.Annotations, crawlv1alpha1.AnnotationSpecHash)
+		Expect(k8sClient.Update(ctx, p)).To(Succeed())
+
+		_, err = envReconcile(r, name)
+		Expect(err).NotTo(HaveOccurred())
+		p = fetch(name)
+		Expect(p.Annotations[crawlv1alpha1.AnnotationSpecHash]).To(Equal(originalHash), "hash must be restored")
+		Expect(p.Status.ProviderID).To(Equal("inst-adopt"), "adoption must keep the instance")
+		Expect(stub.deleteCalls).To(BeZero(), "adoption must never replace")
+	})
+
 	It("tracks an External proxy without touching providers", func() {
 		const name = "e2e-external"
 		stub := &stubProvider{}
@@ -264,3 +364,157 @@ var _ = Describe("Proxy controller", func() {
 		Expect(apierrors.IsNotFound(err)).To(BeTrue())
 	})
 })
+
+// These specs assert the CRD's CEL rules and structural defaulting against
+// the real envtest API server — the fake client runs neither, which is the
+// documented caveat on the action-table unit tests.
+var _ = Describe("Proxy CRD validation (CEL)", func() {
+	const ns = "default"
+
+	managed := func(name string) *crawlv1alpha1.Proxy {
+		return &crawlv1alpha1.Proxy{
+			ObjectMeta: metav1.ObjectMeta{Name: name, Namespace: ns},
+			Spec: crawlv1alpha1.ProxySpec{
+				Mode:     crawlv1alpha1.ModeManaged,
+				Provider: "stub",
+			},
+		}
+	}
+	external := func(name string) *crawlv1alpha1.Proxy {
+		return &crawlv1alpha1.Proxy{
+			ObjectMeta: metav1.ObjectMeta{Name: name, Namespace: ns},
+			Spec: crawlv1alpha1.ProxySpec{
+				Mode:     crawlv1alpha1.ModeExternal,
+				Endpoint: &crawlv1alpha1.EndpointSpec{Host: "203.0.113.9"},
+			},
+		}
+	}
+	mustCreate := func(p *crawlv1alpha1.Proxy) {
+		GinkgoHelper()
+		Expect(k8sClient.Create(ctx, p)).To(Succeed())
+		DeferCleanup(func() { _ = k8sClient.Delete(ctx, p) })
+	}
+
+	It("rejects invalid creates", func() {
+		invalid := []struct {
+			about string
+			spec  crawlv1alpha1.ProxySpec
+			want  string
+		}{
+			{
+				about: "Managed without provider",
+				spec:  crawlv1alpha1.ProxySpec{Mode: crawlv1alpha1.ModeManaged},
+				want:  "provider is required when mode is Managed",
+			},
+			{
+				about: "External with provider",
+				spec: crawlv1alpha1.ProxySpec{
+					Mode: crawlv1alpha1.ModeExternal, Provider: "stub",
+					Endpoint: &crawlv1alpha1.EndpointSpec{Host: "203.0.113.9"},
+				},
+				want: "provider must not be set when mode is External",
+			},
+			{
+				about: "External without endpoint",
+				spec:  crawlv1alpha1.ProxySpec{Mode: crawlv1alpha1.ModeExternal},
+				want:  "endpoint is required when mode is External",
+			},
+			{
+				about: "Managed with endpoint",
+				spec: crawlv1alpha1.ProxySpec{
+					Mode: crawlv1alpha1.ModeManaged, Provider: "stub",
+					Endpoint: &crawlv1alpha1.EndpointSpec{Host: "203.0.113.9"},
+				},
+				want: "endpoint must not be set when mode is Managed",
+			},
+			{
+				about: "cloudInit with both inline and secretRef",
+				spec: crawlv1alpha1.ProxySpec{
+					Mode: crawlv1alpha1.ModeManaged, Provider: "stub",
+					CloudInit: &crawlv1alpha1.CloudInitSpec{
+						Inline:    "#cloud-config",
+						SecretRef: &crawlv1alpha1.SecretKeySelector{Name: "s"},
+					},
+				},
+				want: "exactly one of inline or secretRef",
+			},
+			{
+				about: "cloudInit with neither inline nor secretRef",
+				spec: crawlv1alpha1.ProxySpec{
+					Mode: crawlv1alpha1.ModeManaged, Provider: "stub",
+					CloudInit: &crawlv1alpha1.CloudInitSpec{},
+				},
+				want: "exactly one of inline or secretRef",
+			},
+		}
+		for _, tc := range invalid {
+			p := &crawlv1alpha1.Proxy{
+				ObjectMeta: metav1.ObjectMeta{Name: "cel-invalid", Namespace: ns},
+				Spec:       tc.spec,
+			}
+			err := k8sClient.Create(ctx, p)
+			Expect(err).To(HaveOccurred(), tc.about)
+			Expect(err.Error()).To(ContainSubstring(tc.want), tc.about)
+		}
+	})
+
+	It("rejects mode mutation", func() {
+		p := external("cel-mode-immutable")
+		mustCreate(p)
+		p.Spec = crawlv1alpha1.ProxySpec{Mode: crawlv1alpha1.ModeManaged, Provider: "stub"}
+		err := k8sClient.Update(ctx, p)
+		Expect(err).To(HaveOccurred())
+		Expect(err.Error()).To(ContainSubstring("mode is immutable"))
+	})
+
+	It("rejects provider mutation and removal", func() {
+		p := managed("cel-provider-immutable")
+		mustCreate(p)
+
+		p.Spec.Provider = "other"
+		err := k8sClient.Update(ctx, p)
+		Expect(err).To(HaveOccurred())
+		Expect(err.Error()).To(ContainSubstring("provider is immutable"))
+
+		// Removal must also be rejected — the has()==has() form exists
+		// exactly because a field-level rule would not fire on absence.
+		// (Dropping provider alone would also trip the required-iff rule,
+		// so flip mode too and check the immutability rules win.)
+		fresh := fetchProxy(ns, "cel-provider-immutable")
+		fresh.Spec.Provider = ""
+		fresh.Spec.Endpoint = &crawlv1alpha1.EndpointSpec{Host: "203.0.113.9"}
+		fresh.Spec.Mode = crawlv1alpha1.ModeExternal
+		err = k8sClient.Update(ctx, fresh)
+		Expect(err).To(HaveOccurred())
+		Expect(err.Error()).To(ContainSubstring("immutable"))
+	})
+
+	It("materializes every nested healthCheck default when healthCheck is omitted", func() {
+		p := managed("cel-defaults")
+		mustCreate(p)
+
+		got := fetchProxy(ns, "cel-defaults")
+		// The +kubebuilder:default={} assertion: structural defaulting only
+		// descends into values that exist, so without it a nil healthCheck
+		// would get none of these.
+		hc := got.Spec.HealthCheck
+		Expect(hc).NotTo(BeNil())
+		Expect(hc.ProbeURL).To(Equal(crawlv1alpha1.DefaultProbeURL))
+		Expect(hc.IntervalSeconds).To(Equal(crawlv1alpha1.DefaultHealthCheckIntervalSeconds))
+		Expect(hc.TimeoutSeconds).To(Equal(crawlv1alpha1.DefaultHealthCheckTimeoutSeconds))
+		Expect(hc.FailureThreshold).To(Equal(crawlv1alpha1.DefaultFailureThreshold))
+		Expect(hc.SuccessThreshold).To(Equal(crawlv1alpha1.DefaultSuccessThreshold))
+		Expect(hc.ExpectedStatusCodes).To(Equal(crawlv1alpha1.DefaultExpectedStatusCodes))
+
+		Expect(got.Spec.Port).To(Equal(crawlv1alpha1.DefaultPort))
+		Expect(got.Spec.MaxLeases).NotTo(BeNil())
+		Expect(*got.Spec.MaxLeases).To(Equal(crawlv1alpha1.DefaultMaxLeases))
+	})
+})
+
+func fetchProxy(ns, name string) *crawlv1alpha1.Proxy {
+	GinkgoHelper()
+	p := &crawlv1alpha1.Proxy{}
+	Expect(k8sClient.Get(ctx, types.NamespacedName{Namespace: ns, Name: name}, p)).To(Succeed())
+	return p
+}

internal/discovery/handlers.go

@@ -0,0 +1,245 @@
+package discovery
+
+import (
+	"encoding/json"
+	"errors"
+	"fmt"
+	"net/http"
+	"slices"
+	"strings"
+	"time"
+
+	apimeta "k8s.io/apimachinery/pkg/api/meta"
+	"sigs.k8s.io/controller-runtime/pkg/client"
+	logf "sigs.k8s.io/controller-runtime/pkg/log"
+
+	crawlv1alpha1 "gitea.home.hrajfrisbee.cz/kacerr/egress-proxies-operator/api/v1alpha1"
+	"gitea.home.hrajfrisbee.cz/kacerr/egress-proxies-operator/internal/lease"
+)
+
+// proxyView is the wire shape of one proxy in list and lease responses.
+type proxyView struct {
+	ID            string            `json:"id"` // namespace/name
+	IP            string            `json:"ip"`
+	Port          int32             `json:"port"`
+	Attributes    map[string]string `json:"attributes,omitempty"`
+	Phase         string            `json:"phase"`
+	Healthy       bool              `json:"healthy"`
+	LatencyMillis int64             `json:"latencyMillis"`
+	ActiveLeases  int               `json:"activeLeases"`
+	MaxLeases     int32             `json:"maxLeases"`
+}
+
+func viewOf(p *crawlv1alpha1.Proxy, activeLeases int) proxyView {
+	return proxyView{
+		ID:            client.ObjectKeyFromObject(p).String(),
+		IP:            p.EffectiveHost(),
+		Port:          p.EffectivePort(),
+		Attributes:    p.Spec.Attributes,
+		Phase:         string(p.Status.Phase),
+		Healthy:       isHealthy(p),
+		LatencyMillis: p.Status.LatencyMillis,
+		ActiveLeases:  activeLeases,
+		MaxLeases:     p.MaxLeasesOrDefault(),
+	}
+}
+
+func isHealthy(p *crawlv1alpha1.Proxy) bool {
+	return apimeta.IsStatusConditionTrue(p.Status.Conditions, crawlv1alpha1.ConditionHealthy)
+}
+
+// matchesAttributes is spec.attributes equality: every selector pair must
+// be present verbatim.
+func matchesAttributes(p *crawlv1alpha1.Proxy, selector map[string]string) bool {
+	for k, v := range selector {
+		if p.Spec.Attributes[k] != v {
+			return false
+		}
+	}
+	return true
+}
+
+// GET /v1/proxies?attr.<key>=<value>&healthy=true|false
+func (s *Server) handleListProxies(w http.ResponseWriter, r *http.Request) {
+	selector := map[string]string{}
+	var healthyFilter *bool
+	for key, values := range r.URL.Query() {
+		switch {
+		case key == "healthy":
+			switch values[0] {
+			case "true":
+				healthyFilter = ptr(true)
+			case "false":
+				healthyFilter = ptr(false)
+			default:
+				writeError(w, http.StatusBadRequest, "invalid_query",
+					fmt.Sprintf("healthy must be true or false, got %q", values[0]))
+				return
+			}
+		case strings.HasPrefix(key, "attr."):
+			selector[strings.TrimPrefix(key, "attr.")] = values[0]
+		}
+	}
+
+	var list crawlv1alpha1.ProxyList
+	if err := s.Reader.List(r.Context(), &list); err != nil {
+		// The ctx logger is s.log enriched with this request's
+		// traceID/spanID by the tracing middleware (logr sinks can't read
+		// ctx at log time, so per-request values ride on the logger).
+		logf.FromContext(r.Context()).Error(err, "listing proxies")
+		writeError(w, http.StatusInternalServerError, "internal", "listing proxies failed")
+		return
+	}
+	counts := s.Store.Counts()
+
+	views := []proxyView{}
+	for i := range list.Items {
+		p := &list.Items[i]
+		if !p.DeletionTimestamp.IsZero() || !matchesAttributes(p, selector) {
+			continue
+		}
+		v := viewOf(p, counts[client.ObjectKeyFromObject(p).String()])
+		if healthyFilter != nil && v.Healthy != *healthyFilter {
+			continue
+		}
+		views = append(views, v)
+	}
+	slices.SortFunc(views, func(a, b proxyView) int { return strings.Compare(a.ID, b.ID) })
+
+	writeJSON(w, http.StatusOK, map[string]any{"proxies": views, "count": len(views)})
+}
+
+type leaseRequest struct {
+	Selector   map[string]string `json:"selector"`
+	TTLSeconds int64             `json:"ttlSeconds"`
+	Target     string            `json:"target"`
+}
+
+type leaseResponse struct {
+	LeaseID    string    `json:"leaseID"`
+	Proxy      proxyView `json:"proxy"`
+	ExpiresAt  time.Time `json:"expiresAt"`
+	TTLSeconds int64     `json:"ttlSeconds"`
+}
+
+// POST /v1/leases
+func (s *Server) handleAcquireLease(w http.ResponseWriter, r *http.Request) {
+	var req leaseRequest
+	if err := json.NewDecoder(r.Body).Decode(&req); err != nil {
+		writeError(w, http.StatusBadRequest, "invalid_body", err.Error())
+		return
+	}
+
+	ttl := time.Duration(req.TTLSeconds) * time.Second
+	if req.TTLSeconds == 0 {
+		ttl = defaultTTL
+	}
+	if ttl < 0 || ttl > s.MaxLeaseTTL {
+		writeError(w, http.StatusBadRequest, "invalid_ttl",
+			fmt.Sprintf("ttlSeconds must be between 1 and %d", int64(s.MaxLeaseTTL.Seconds())))
+		return
+	}
+
+	var list crawlv1alpha1.ProxyList
+	if err := s.Reader.List(r.Context(), &list); err != nil {
+		logf.FromContext(r.Context()).Error(err, "listing proxies for lease")
+		writeError(w, http.StatusInternalServerError, "internal", "listing proxies failed")
+		return
+	}
+
+	// The store gets only healthy, live candidates; unhealthy matches are
+	// counted here because the store never sees them.
+	var candidates []lease.Candidate
+	byKey := map[string]*crawlv1alpha1.Proxy{}
+	unhealthy := 0
+	for i := range list.Items {
+		p := &list.Items[i]
+		if !p.DeletionTimestamp.IsZero() || !matchesAttributes(p, req.Selector) {
+			continue
+		}
+		if !isHealthy(p) {
+			unhealthy++
+			continue
+		}
+		key := client.ObjectKeyFromObject(p).String()
+		byKey[key] = p
+		candidates = append(candidates, lease.Candidate{
+			Proxy:     key,
+			MaxLeases: p.MaxLeasesOrDefault(),
+			Latency:   time.Duration(p.Status.LatencyMillis) * time.Millisecond,
+		})
+	}
+
+	granted, stats, err := s.Store.Acquire(r.Context(), lease.AcquireRequest{
+		Candidates: candidates,
+		Target:     req.Target,
+		TTL:        ttl,
+	})
+	if errors.Is(err, lease.ErrNoMatch) {
+		if s.Metrics != nil {
+			s.Metrics.LeaseRequest("no_match")
+		}
+		writeJSON(w, http.StatusConflict, map[string]any{
+			"error":      "no_match",
+			"message":    "no healthy proxy with free capacity matched the selector",
+			"considered": stats.Considered + unhealthy,
+			"atCapacity": stats.AtCapacity,
+			"inCooldown": stats.InCooldown,
+			"unhealthy":  unhealthy,
+		})
+		return
+	}
+	if err != nil {
+		writeError(w, http.StatusBadRequest, "invalid_request", err.Error())
+		return
+	}
+
+	if s.Metrics != nil {
+		s.Metrics.LeaseRequest("granted")
+	}
+	writeJSON(w, http.StatusCreated, leaseResponse{
+		LeaseID:    granted.ID,
+		Proxy:      viewOf(byKey[granted.Proxy], s.Store.Counts()[granted.Proxy]),
+		ExpiresAt:  granted.ExpiresAt,
+		TTLSeconds: int64(ttl.Seconds()),
+	})
+}
+
+// DELETE /v1/leases/{id} — early release, always 204: releasing an unknown
+// or already expired lease is not an error.
+func (s *Server) handleReleaseLease(w http.ResponseWriter, r *http.Request) {
+	s.Store.Release(r.Context(), r.PathValue("id"))
+	w.WriteHeader(http.StatusNoContent)
+}
+
+type reportRequest struct {
+	Result string `json:"result"`
+	Target string `json:"target"`
+}
+
+// POST /v1/leases/{id}/report
+func (s *Server) handleReportLease(w http.ResponseWriter, r *http.Request) {
+	var req reportRequest
+	if err := json.NewDecoder(r.Body).Decode(&req); err != nil {
+		writeError(w, http.StatusBadRequest, "invalid_body", err.Error())
+		return
+	}
+	result, ok := lease.ParseResult(req.Result)
+	if !ok {
+		writeError(w, http.StatusBadRequest, "invalid_result",
+			fmt.Sprintf("result must be one of ok, rate_limited, banned; got %q", req.Result))
+		return
+	}
+	if err := s.Store.Report(r.Context(), r.PathValue("id"), result, req.Target); err != nil {
+		if errors.Is(err, lease.ErrUnknownLease) {
+			writeError(w, http.StatusNotFound, "unknown_lease", "no such lease")
+			return
+		}
+		logf.FromContext(r.Context()).Error(err, "reporting lease", "leaseID", r.PathValue("id"))
+		writeError(w, http.StatusInternalServerError, "internal", "report failed")
+		return
+	}
+	w.WriteHeader(http.StatusNoContent)
+}
+
+func ptr[T any](v T) *T { return &v }

internal/discovery/server.go

@@ -0,0 +1,238 @@
+// Package discovery implements the HTTP API crawler clients use to find
+// and lease proxies: list healthy proxies filtered by attributes, acquire a
+// TTL-based lease, release it early, and report how a target treated the
+// proxy. Reads go through the manager's informer cache; lease state lives
+// in the injected store.
+package discovery
+
+import (
+	"context"
+	"crypto/subtle"
+	"encoding/json"
+	"net"
+	"net/http"
+	"strings"
+	"sync"
+	"time"
+
+	"github.com/go-logr/logr"
+	"sigs.k8s.io/controller-runtime/pkg/client"
+	logf "sigs.k8s.io/controller-runtime/pkg/log"
+
+	"gitea.home.hrajfrisbee.cz/kacerr/egress-proxies-operator/internal/lease"
+	"gitea.home.hrajfrisbee.cz/kacerr/egress-proxies-operator/internal/tracing"
+)
+
+// LeaseStore is what the handlers need from a lease backend. Defined here,
+// consumer-side, so a CRD- or Redis-backed store can replace the in-memory
+// one (which internal/lease's *Store satisfies) without touching handlers.
+type LeaseStore interface {
+	Acquire(ctx context.Context, req lease.AcquireRequest) (*lease.Lease, lease.AcquireStats, error)
+	Release(ctx context.Context, id string)
+	Report(ctx context.Context, id string, result lease.Result, target string) error
+	Counts() map[string]int
+}
+
+// LeaseMetrics counts lease acquisitions by outcome. Implemented by
+// internal/metrics; defined here so this package carries no metrics
+// dependency.
+type LeaseMetrics interface {
+	LeaseRequest(outcome string)
+}
+
+const (
+	defaultAddr     = ":8090"
+	defaultTTL      = 5 * time.Minute
+	defaultMaxTTL   = time.Hour
+	maxBodyBytes    = 64 << 10
+	shutdownGrace   = 10 * time.Second
+	readHeadTimeout = 5 * time.Second
+)
+
+// Server serves the discovery API as a manager Runnable.
+type Server struct {
+	// Reader lists Proxies from the manager's cache.
+	Reader client.Reader
+	// Store is the lease backend.
+	Store LeaseStore
+	// Addr is the listen address (default ":8090"; --discovery-addr).
+	Addr string
+	// Token is the static bearer token from DISCOVERY_TOKEN. Empty
+	// disables auth — allowed for the prototype, but loudly warned about
+	// at startup, because in-cluster that is a silent security hole.
+	Token string
+	// MaxLeaseTTL caps requested lease TTLs (default 1h; --max-lease-ttl).
+	MaxLeaseTTL time.Duration
+	// Metrics, when non-nil, counts lease requests by outcome.
+	Metrics LeaseMetrics
+
+	log logr.Logger
+
+	mu        sync.Mutex
+	boundAddr string
+}
+
+// NeedLeaderElection is false, and the deployment ships replicas: 1.
+// Verified against controller-runtime's runnable ordering: caches start and
+// sync before non-leader-election runnables, so cache reads here are safe.
+// If this were leader-elected, non-leader replicas would refuse connections
+// while still being Service endpoints. The 1-replica constraint comes from
+// lease state being per-process — both facts are README caveats.
+func (s *Server) NeedLeaderElection() bool { return false }
+
+// BoundAddr returns the actual listen address once Start has bound it —
+// meaningful when Addr uses port 0 (tests).
+func (s *Server) BoundAddr() string {
+	s.mu.Lock()
+	defer s.mu.Unlock()
+	return s.boundAddr
+}
+
+// Start listens and serves until ctx ends, then shuts down gracefully with
+// a 10-second grace period.
+func (s *Server) Start(ctx context.Context) error {
+	if s.Addr == "" {
+		s.Addr = defaultAddr
+	}
+	if s.MaxLeaseTTL == 0 {
+		s.MaxLeaseTTL = defaultMaxTTL
+	}
+	s.log = logf.FromContext(ctx).WithName("discovery")
+	if s.Token == "" {
+		s.log.Info("WARNING: DISCOVERY_TOKEN is empty — the discovery API is served without authentication")
+	}
+
+	ln, err := net.Listen("tcp", s.Addr)
+	if err != nil {
+		return err
+	}
+	s.mu.Lock()
+	s.boundAddr = ln.Addr().String()
+	s.mu.Unlock()
+
+	srv := &http.Server{
+		Handler:           s.handler(),
+		ReadHeaderTimeout: readHeadTimeout,
+		ReadTimeout:       10 * time.Second,
+		WriteTimeout:      10 * time.Second,
+		IdleTimeout:       60 * time.Second,
+	}
+
+	errCh := make(chan error, 1)
+	go func() { errCh <- srv.Serve(ln) }()
+	s.log.Info("discovery API listening", "addr", s.boundAddr)
+
+	select {
+	case err := <-errCh:
+		return err
+	case <-ctx.Done():
+		shutdownCtx, cancel := context.WithTimeout(context.Background(), shutdownGrace)
+		defer cancel()
+		if err := srv.Shutdown(shutdownCtx); err != nil {
+			return err
+		}
+		<-errCh // always http.ErrServerClosed after a clean Shutdown
+		return nil
+	}
+}
+
+// handler assembles the mux and the middleware chain, outermost first:
+// recover → tracing (server span + request logger) → request-log →
+// body-size cap → bearer auth. Everything inside the tracing layer logs via
+// logf.FromContext(r.Context()) and so carries traceID/spanID.
+func (s *Server) handler() http.Handler {
+	mux := http.NewServeMux()
+	mux.HandleFunc("GET /healthz", func(w http.ResponseWriter, _ *http.Request) {
+		w.WriteHeader(http.StatusOK)
+		_, _ = w.Write([]byte("ok\n"))
+	})
+	mux.HandleFunc("GET /v1/proxies", s.handleListProxies)
+	mux.HandleFunc("POST /v1/leases", s.handleAcquireLease)
+	mux.HandleFunc("DELETE /v1/leases/{id}", s.handleReleaseLease)
+	mux.HandleFunc("POST /v1/leases/{id}/report", s.handleReportLease)
+
+	var h http.Handler = mux
+	h = s.authMiddleware(h)
+	h = maxBytesMiddleware(h)
+	h = s.logMiddleware(h)
+	h = tracing.HTTPMiddleware("discovery", s.log)(h)
+	h = s.recoverMiddleware(h)
+	return h
+}
+
+func (s *Server) recoverMiddleware(next http.Handler) http.Handler {
+	return http.HandlerFunc(func(w http.ResponseWriter, r *http.Request) {
+		defer func() {
+			if p := recover(); p != nil {
+				s.log.Error(nil, "panic in discovery handler", "panic", p, "path", r.URL.Path)
+				writeError(w, http.StatusInternalServerError, "internal", "internal server error")
+			}
+		}()
+		next.ServeHTTP(w, r)
+	})
+}
+
+// statusRecorder captures the response code for the request log.
+type statusRecorder struct {
+	http.ResponseWriter
+	status int
+}
+
+func (r *statusRecorder) WriteHeader(code int) {
+	r.status = code
+	r.ResponseWriter.WriteHeader(code)
+}
+
+func (s *Server) logMiddleware(next http.Handler) http.Handler {
+	return http.HandlerFunc(func(w http.ResponseWriter, r *http.Request) {
+		if r.URL.Path == "/healthz" {
+			next.ServeHTTP(w, r) // probes are noise
+			return
+		}
+		rec := &statusRecorder{ResponseWriter: w, status: http.StatusOK}
+		start := time.Now()
+		next.ServeHTTP(rec, r)
+		logf.FromContext(r.Context()).Info("request",
+			"method", r.Method, "path", r.URL.Path,
+			"status", rec.status, "duration", time.Since(start).String())
+	})
+}
+
+func maxBytesMiddleware(next http.Handler) http.Handler {
+	return http.HandlerFunc(func(w http.ResponseWriter, r *http.Request) {
+		r.Body = http.MaxBytesReader(w, r.Body, maxBodyBytes)
+		next.ServeHTTP(w, r)
+	})
+}
+
+func (s *Server) authMiddleware(next http.Handler) http.Handler {
+	return http.HandlerFunc(func(w http.ResponseWriter, r *http.Request) {
+		if s.Token == "" || r.URL.Path == "/healthz" {
+			next.ServeHTTP(w, r)
+			return
+		}
+		token, ok := strings.CutPrefix(r.Header.Get("Authorization"), "Bearer ")
+		if !ok || subtle.ConstantTimeCompare([]byte(token), []byte(s.Token)) != 1 {
+			writeError(w, http.StatusUnauthorized, "unauthorized", "missing or invalid bearer token")
+			return
+		}
+		next.ServeHTTP(w, r)
+	})
+}
+
+// errorBody is the shared error shape:
+// {"error":"<machine_code>","message":"<human>"}.
+type errorBody struct {
+	Error   string `json:"error"`
+	Message string `json:"message"`
+}
+
+func writeError(w http.ResponseWriter, status int, code, message string) {
+	writeJSON(w, status, errorBody{Error: code, Message: message})
+}
+
+func writeJSON(w http.ResponseWriter, status int, v any) {
+	w.Header().Set("Content-Type", "application/json")
+	w.WriteHeader(status)
+	_ = json.NewEncoder(w).Encode(v)
+}

internal/discovery/server_test.go

@@ -0,0 +1,386 @@
+package discovery
+
+import (
+	"bytes"
+	"context"
+	"encoding/json"
+	"fmt"
+	"io"
+	"net/http"
+	"net/http/httptest"
+	"testing"
+	"time"
+
+	metav1 "k8s.io/apimachinery/pkg/apis/meta/v1"
+	"k8s.io/apimachinery/pkg/runtime"
+	"k8s.io/apimachinery/pkg/types"
+	"sigs.k8s.io/controller-runtime/pkg/client/fake"
+
+	crawlv1alpha1 "gitea.home.hrajfrisbee.cz/kacerr/egress-proxies-operator/api/v1alpha1"
+	"gitea.home.hrajfrisbee.cz/kacerr/egress-proxies-operator/internal/lease"
+)
+
+func testProxy(name string, attrs map[string]string, healthy bool, mut ...func(*crawlv1alpha1.Proxy)) *crawlv1alpha1.Proxy {
+	p := &crawlv1alpha1.Proxy{
+		ObjectMeta: metav1.ObjectMeta{
+			Name: name, Namespace: "default", UID: types.UID("uid-" + name),
+		},
+		Spec: crawlv1alpha1.ProxySpec{
+			Mode:       crawlv1alpha1.ModeExternal,
+			Endpoint:   &crawlv1alpha1.EndpointSpec{Host: "10.0.0.1", Port: 3128},
+			Attributes: attrs,
+		},
+	}
+	p.Status.IP = "10.0.0.1"
+	p.Status.Phase = crawlv1alpha1.PhaseReady
+	status := metav1.ConditionFalse
+	if healthy {
+		status = metav1.ConditionTrue
+	}
+	p.Status.Conditions = []metav1.Condition{{
+		Type: crawlv1alpha1.ConditionHealthy, Status: status,
+		Reason: "Probing", LastTransitionTime: metav1.Now(),
+	}}
+	for _, m := range mut {
+		m(p)
+	}
+	return p
+}
+
+func withMaxLeases(n int32) func(*crawlv1alpha1.Proxy) {
+	return func(p *crawlv1alpha1.Proxy) { p.Spec.MaxLeases = &n }
+}
+
+func withLatency(ms int64) func(*crawlv1alpha1.Proxy) {
+	return func(p *crawlv1alpha1.Proxy) { p.Status.LatencyMillis = ms }
+}
+
+// newTestServer wires the handler chain to a fake cache reader and a real
+// lease store, served over httptest.
+func newTestServer(t *testing.T, token string, proxies ...*crawlv1alpha1.Proxy) (*httptest.Server, *Server) {
+	t.Helper()
+	s := runtime.NewScheme()
+	if err := crawlv1alpha1.AddToScheme(s); err != nil {
+		t.Fatalf("scheme: %v", err)
+	}
+	builder := fake.NewClientBuilder().WithScheme(s)
+	for _, p := range proxies {
+		builder = builder.WithObjects(p)
+	}
+	srv := &Server{
+		Reader:      builder.Build(),
+		Store:       lease.NewStore(15 * time.Minute),
+		Token:       token,
+		MaxLeaseTTL: time.Hour,
+	}
+	ts := httptest.NewServer(srv.handler())
+	t.Cleanup(ts.Close)
+	return ts, srv
+}
+
+type response struct {
+	status int
+	body   map[string]any
+}
+
+func do(t *testing.T, ts *httptest.Server, method, path, token string, body any) response {
+	t.Helper()
+	var reader io.Reader
+	if body != nil {
+		if s, ok := body.(string); ok {
+			reader = bytes.NewBufferString(s)
+		} else {
+			b, err := json.Marshal(body)
+			if err != nil {
+				t.Fatalf("marshaling request body: %v", err)
+			}
+			reader = bytes.NewBuffer(b)
+		}
+	}
+	req, err := http.NewRequestWithContext(context.Background(), method, ts.URL+path, reader)
+	if err != nil {
+		t.Fatalf("building request: %v", err)
+	}
+	if token != "" {
+		req.Header.Set("Authorization", "Bearer "+token)
+	}
+	resp, err := ts.Client().Do(req)
+	if err != nil {
+		t.Fatalf("%s %s: %v", method, path, err)
+	}
+	defer func() { _ = resp.Body.Close() }()
+	out := response{status: resp.StatusCode}
+	raw, err := io.ReadAll(resp.Body)
+	if err != nil {
+		t.Fatalf("reading response: %v", err)
+	}
+	if len(raw) > 0 && resp.Header.Get("Content-Type") == "application/json" {
+		if err := json.Unmarshal(raw, &out.body); err != nil {
+			t.Fatalf("decoding response %q: %v", raw, err)
+		}
+	}
+	return out
+}
+
+func TestAuth(t *testing.T) {
+	t.Parallel()
+	ts, _ := newTestServer(t, "sekrit", testProxy("p1", nil, true))
+
+	if got := do(t, ts, http.MethodGet, "/v1/proxies", "", nil); got.status != http.StatusUnauthorized {
+		t.Errorf("no token: status %d, want 401", got.status)
+	}
+	if got := do(t, ts, http.MethodGet, "/v1/proxies", "wrong", nil); got.status != http.StatusUnauthorized {
+		t.Errorf("wrong token: status %d, want 401", got.status)
+	}
+	if got := do(t, ts, http.MethodGet, "/v1/proxies", "sekrit", nil); got.status != http.StatusOK {
+		t.Errorf("correct token: status %d, want 200", got.status)
+	}
+	if got := do(t, ts, http.MethodGet, "/healthz", "", nil); got.status != http.StatusOK {
+		t.Errorf("healthz without token: status %d, want 200 (always unauthenticated)", got.status)
+	}
+}
+
+func TestAuth_disabledWithEmptyToken(t *testing.T) {
+	t.Parallel()
+	ts, _ := newTestServer(t, "", testProxy("p1", nil, true))
+	if got := do(t, ts, http.MethodGet, "/v1/proxies", "", nil); got.status != http.StatusOK {
+		t.Errorf("status %d, want 200 with auth disabled", got.status)
+	}
+}
+
+func TestListProxies(t *testing.T) {
+	t.Parallel()
+	ts, _ := newTestServer(t, "",
+		testProxy("eu-healthy", map[string]string{"geo": "eu", "purpose": "crawl"}, true),
+		testProxy("eu-sick", map[string]string{"geo": "eu"}, false),
+		testProxy("us-healthy", map[string]string{"geo": "us"}, true),
+	)
+
+	tests := []struct {
+		name      string
+		query     string
+		wantCount int
+		wantFirst string
+	}{
+		{name: "no filter returns everything", query: "", wantCount: 3, wantFirst: "default/eu-healthy"},
+		{name: "healthy filter", query: "?healthy=true", wantCount: 2},
+		{name: "unhealthy filter", query: "?healthy=false", wantCount: 1, wantFirst: "default/eu-sick"},
+		{name: "attribute filter", query: "?attr.geo=eu", wantCount: 2},
+		{name: "attribute and health combined", query: "?attr.geo=eu&healthy=true", wantCount: 1, wantFirst: "default/eu-healthy"},
+		{name: "two attributes must both match", query: "?attr.geo=eu&attr.purpose=crawl", wantCount: 1, wantFirst: "default/eu-healthy"},
+		{name: "no matches is 200 with count 0", query: "?attr.geo=mars", wantCount: 0},
+	}
+
+	for _, tc := range tests {
+		t.Run(tc.name, func(t *testing.T) {
+			t.Parallel()
+			got := do(t, ts, http.MethodGet, "/v1/proxies"+tc.query, "", nil)
+			if got.status != http.StatusOK {
+				t.Fatalf("status %d, want 200", got.status)
+			}
+			count := int(got.body["count"].(float64))
+			proxies := got.body["proxies"].([]any)
+			if count != tc.wantCount || len(proxies) != tc.wantCount {
+				t.Fatalf("count = %d (len %d), want %d", count, len(proxies), tc.wantCount)
+			}
+			if tc.wantFirst != "" {
+				first := proxies[0].(map[string]any)
+				if first["id"] != tc.wantFirst {
+					t.Errorf("first id = %v, want %s", first["id"], tc.wantFirst)
+				}
+			}
+		})
+	}
+
+	t.Run("invalid healthy value is 400", func(t *testing.T) {
+		t.Parallel()
+		if got := do(t, ts, http.MethodGet, "/v1/proxies?healthy=maybe", "", nil); got.status != http.StatusBadRequest {
+			t.Errorf("status %d, want 400", got.status)
+		}
+	})
+}
+
+func TestAcquireLease_grantShape(t *testing.T) {
+	t.Parallel()
+	ts, _ := newTestServer(t, "",
+		testProxy("eu1", map[string]string{"geo": "eu"}, true, withLatency(30)),
+		testProxy("eu2", map[string]string{"geo": "eu"}, true, withLatency(10)),
+	)
+
+	got := do(t, ts, http.MethodPost, "/v1/leases", "", map[string]any{
+		"selector": map[string]string{"geo": "eu"},
+	})
+	if got.status != http.StatusCreated {
+		t.Fatalf("status %d (%v), want 201", got.status, got.body)
+	}
+	if got.body["leaseID"] == "" || got.body["leaseID"] == nil {
+		t.Error("empty leaseID")
+	}
+	if got.body["ttlSeconds"].(float64) != 300 {
+		t.Errorf("ttlSeconds = %v, want the 300 default", got.body["ttlSeconds"])
+	}
+	proxy := got.body["proxy"].(map[string]any)
+	if proxy["id"] != "default/eu2" {
+		t.Errorf("granted %v, want default/eu2 (lower latency at equal load)", proxy["id"])
+	}
+	if proxy["activeLeases"].(float64) != 1 {
+		t.Errorf("activeLeases = %v, want 1 (this grant included)", proxy["activeLeases"])
+	}
+	if _, err := time.Parse(time.RFC3339, got.body["expiresAt"].(string)); err != nil {
+		t.Errorf("expiresAt %v is not RFC3339: %v", got.body["expiresAt"], err)
+	}
+}
+
+func TestAcquireLease_noMatchBody(t *testing.T) {
+	t.Parallel()
+	ts, _ := newTestServer(t, "",
+		testProxy("eu-tiny", map[string]string{"geo": "eu"}, true, withMaxLeases(1)),
+		testProxy("eu-sick", map[string]string{"geo": "eu"}, false),
+	)
+
+	body := map[string]any{"selector": map[string]string{"geo": "eu"}}
+	if got := do(t, ts, http.MethodPost, "/v1/leases", "", body); got.status != http.StatusCreated {
+		t.Fatalf("first acquire: status %d, want 201", got.status)
+	}
+
+	got := do(t, ts, http.MethodPost, "/v1/leases", "", body)
+	if got.status != http.StatusConflict {
+		t.Fatalf("second acquire: status %d, want 409", got.status)
+	}
+	want := map[string]float64{"considered": 2, "atCapacity": 1, "inCooldown": 0, "unhealthy": 1}
+	for k, v := range want {
+		if got.body[k].(float64) != v {
+			t.Errorf("%s = %v, want %v (body %v)", k, got.body[k], v, got.body)
+		}
+	}
+	if got.body["error"] != "no_match" {
+		t.Errorf("error = %v, want no_match", got.body["error"])
+	}
+}
+
+func TestAcquireLease_badRequests(t *testing.T) {
+	t.Parallel()
+	ts, _ := newTestServer(t, "", testProxy("p1", nil, true))
+
+	tests := []struct {
+		name     string
+		body     any
+		wantCode string
+	}{
+		{name: "ttl above the cap", body: map[string]any{"ttlSeconds": 999999}, wantCode: "invalid_ttl"},
+		{name: "negative ttl", body: map[string]any{"ttlSeconds": -5}, wantCode: "invalid_ttl"},
+		{name: "malformed json", body: "{not json", wantCode: "invalid_body"},
+	}
+	for _, tc := range tests {
+		t.Run(tc.name, func(t *testing.T) {
+			t.Parallel()
+			got := do(t, ts, http.MethodPost, "/v1/leases", "", tc.body)
+			if got.status != http.StatusBadRequest || got.body["error"] != tc.wantCode {
+				t.Errorf("= %d/%v, want 400/%s", got.status, got.body["error"], tc.wantCode)
+			}
+		})
+	}
+}
+
+func TestReleaseLease_alwaysNoContent(t *testing.T) {
+	t.Parallel()
+	ts, _ := newTestServer(t, "", testProxy("p1", nil, true))
+
+	got := do(t, ts, http.MethodPost, "/v1/leases", "", map[string]any{})
+	if got.status != http.StatusCreated {
+		t.Fatalf("acquire: status %d, want 201", got.status)
+	}
+	id := got.body["leaseID"].(string)
+
+	for _, path := range []string{"/v1/leases/" + id, "/v1/leases/" + id, "/v1/leases/never-existed"} {
+		if got := do(t, ts, http.MethodDelete, path, "", nil); got.status != http.StatusNoContent {
+			t.Errorf("DELETE %s: status %d, want 204", path, got.status)
+		}
+	}
+}
+
+func TestReportLease(t *testing.T) {
+	t.Parallel()
+	ts, _ := newTestServer(t, "", testProxy("p1", map[string]string{"geo": "eu"}, true))
+
+	got := do(t, ts, http.MethodPost, "/v1/leases", "", map[string]any{
+		"selector": map[string]string{"geo": "eu"}, "target": "example.com",
+	})
+	if got.status != http.StatusCreated {
+		t.Fatalf("acquire: status %d, want 201", got.status)
+	}
+	id := got.body["leaseID"].(string)
+	reportPath := fmt.Sprintf("/v1/leases/%s/report", id)
+
+	if got := do(t, ts, http.MethodPost, reportPath, "", map[string]any{"result": "rate_limited", "target": "example.com"}); got.status != http.StatusNoContent {
+		t.Fatalf("report: status %d, want 204", got.status)
+	}
+
+	// The cooldown from the report now blocks same-target acquisition.
+	got = do(t, ts, http.MethodPost, "/v1/leases", "", map[string]any{
+		"selector": map[string]string{"geo": "eu"}, "target": "example.com",
+	})
+	if got.status != http.StatusConflict || got.body["inCooldown"].(float64) != 1 {
+		t.Errorf("post-report acquire = %d/%v, want 409 with inCooldown 1", got.status, got.body)
+	}
+
+	t.Run("invalid result value", func(t *testing.T) {
+		got := do(t, ts, http.MethodPost, reportPath, "", map[string]any{"result": "throttled"})
+		if got.status != http.StatusBadRequest || got.body["error"] != "invalid_result" {
+			t.Errorf("= %d/%v, want 400/invalid_result", got.status, got.body["error"])
+		}
+	})
+	t.Run("unknown lease", func(t *testing.T) {
+		got := do(t, ts, http.MethodPost, "/v1/leases/never-existed/report", "", map[string]any{"result": "ok"})
+		if got.status != http.StatusNotFound || got.body["error"] != "unknown_lease" {
+			t.Errorf("= %d/%v, want 404/unknown_lease", got.status, got.body["error"])
+		}
+	})
+}
+
+func TestStart_servesAndShutsDown(t *testing.T) {
+	t.Parallel()
+	s := runtime.NewScheme()
+	if err := crawlv1alpha1.AddToScheme(s); err != nil {
+		t.Fatalf("scheme: %v", err)
+	}
+	srv := &Server{
+		Reader: fake.NewClientBuilder().WithScheme(s).Build(),
+		Store:  lease.NewStore(time.Minute),
+		Addr:   "127.0.0.1:0",
+	}
+
+	ctx, cancel := context.WithCancel(context.Background())
+	done := make(chan error, 1)
+	go func() { done <- srv.Start(ctx) }()
+
+	var addr string
+	deadline := time.After(5 * time.Second)
+	for addr == "" {
+		select {
+		case <-deadline:
+			t.Fatal("server never bound")
+		case <-time.After(5 * time.Millisecond):
+			addr = srv.BoundAddr()
+		}
+	}
+
+	resp, err := http.Get("http://" + addr + "/healthz")
+	if err != nil {
+		t.Fatalf("healthz: %v", err)
+	}
+	_ = resp.Body.Close()
+	if resp.StatusCode != http.StatusOK {
+		t.Errorf("healthz status %d, want 200", resp.StatusCode)
+	}
+
+	cancel()
+	select {
+	case err := <-done:
+		if err != nil {
+			t.Errorf("Start returned %v, want nil after graceful shutdown", err)
+		}
+	case <-time.After(5 * time.Second):
+		t.Fatal("Start did not stop on cancel")
+	}
+}

internal/gc/gc.go

@@ -0,0 +1,137 @@
+// Package gc implements orphan garbage collection: a periodic sweep that
+// deletes provider instances tagged by this operator whose owning Proxy CR
+// no longer exists — the safety net for crashes between a provider Create
+// and the status write that records it.
+package gc
+
+import (
+	"context"
+	"errors"
+	"time"
+
+	"sigs.k8s.io/controller-runtime/pkg/client"
+	logf "sigs.k8s.io/controller-runtime/pkg/log"
+
+	"go.opentelemetry.io/otel/attribute"
+
+	crawlv1alpha1 "gitea.home.hrajfrisbee.cz/kacerr/egress-proxies-operator/api/v1alpha1"
+	"gitea.home.hrajfrisbee.cz/kacerr/egress-proxies-operator/internal/provider"
+	"gitea.home.hrajfrisbee.cz/kacerr/egress-proxies-operator/internal/tracing"
+)
+
+// Sweeper is the manager Runnable running the sweep loop.
+type Sweeper struct {
+	// Reader lists Proxies from the manager's cache to establish the live
+	// UID set.
+	Reader client.Reader
+	// Providers are the configured backends; each is swept independently.
+	Providers map[string]provider.Provider
+
+	// Interval between sweeps (default 10m). The first sweep runs one full
+	// interval after start, not immediately — right after startup the
+	// cache is coldest and an in-flight create is most likely.
+	Interval time.Duration
+	// MinAge exempts young instances (default 10m): an instance mid-create
+	// may not have its status write landed yet; deleting it would race the
+	// reconciler.
+	MinAge time.Duration
+
+	// NamespaceRestricted must be set when the manager cache is limited to
+	// one namespace. Then the live-UID set is incomplete, and a sweep
+	// would delete VMs owned by Proxies the cache cannot see — so Start
+	// refuses unless AllowNamespaced (--gc-allow-namespaced) is explicit.
+	NamespaceRestricted bool
+	AllowNamespaced     bool
+
+	now func() time.Time
+}
+
+// NeedLeaderElection is true: the sweep is destructive and must have a
+// single writer.
+func (s *Sweeper) NeedLeaderElection() bool { return true }
+
+// Start runs the sweep loop until ctx ends.
+func (s *Sweeper) Start(ctx context.Context) error {
+	if s.NamespaceRestricted && !s.AllowNamespaced {
+		return errors.New(
+			"orphan GC refuses to run against a namespace-restricted cache: proxies outside the namespace " +
+				"would count as orphans and their instances would be deleted; pass --gc-allow-namespaced to override")
+	}
+	if s.Interval == 0 {
+		s.Interval = 10 * time.Minute
+	}
+	if s.MinAge == 0 {
+		s.MinAge = 10 * time.Minute
+	}
+	if s.now == nil {
+		s.now = time.Now
+	}
+
+	ticker := time.NewTicker(s.Interval)
+	defer ticker.Stop()
+	for {
+		select {
+		case <-ctx.Done():
+			return nil
+		case <-ticker.C:
+			s.sweep(ctx)
+		}
+	}
+}
+
+// sweep deletes tagged instances whose UID matches no existing Proxy CR.
+// A CR with a deletionTimestamp still counts as live: its finalizer owns
+// that deletion, and GC racing it would double-delete. A UID becomes
+// orphan-eligible only once the object is fully gone.
+func (s *Sweeper) sweep(ctx context.Context) {
+	ctx, span := tracing.Start(ctx, "gc.sweep")
+	defer span.End()
+	log := logf.FromContext(ctx).WithName("orphan-gc")
+
+	var list crawlv1alpha1.ProxyList
+	if err := s.Reader.List(ctx, &list); err != nil {
+		// Without the live set nothing can be proven orphaned; skip the
+		// whole sweep rather than guess.
+		log.Error(err, "listing proxies; skipping this sweep")
+		return
+	}
+	live := make(map[string]bool, len(list.Items))
+	for i := range list.Items {
+		live[string(list.Items[i].UID)] = true
+	}
+
+	deleted := 0
+	for name, prov := range s.Providers {
+		instances, err := prov.ListByTag(ctx)
+		if err != nil {
+			// One broken provider must not abort the sweep for the rest.
+			log.Error(err, "listing instances; skipping this provider", "provider", name)
+			continue
+		}
+		for _, inst := range instances {
+			switch {
+			case inst.UID == "":
+				// Managed label without a UID label shouldn't exist for
+				// anything this operator created; without ownership proof,
+				// never delete.
+				continue
+			case live[inst.UID]:
+				continue
+			case s.now().Sub(inst.CreatedAt) < s.MinAge:
+				continue
+			}
+			log.Info("WARNING: deleting orphaned instance",
+				"provider", name, "providerID", inst.ID, "uid", inst.UID)
+			if err := prov.Delete(ctx, inst.ID); err != nil {
+				log.Error(err, "deleting orphaned instance",
+					"provider", name, "providerID", inst.ID, "uid", inst.UID)
+				continue
+			}
+			deleted++
+		}
+	}
+	span.SetAttributes(
+		attribute.Int("gc.providers", len(s.Providers)),
+		attribute.Int("gc.deleted", deleted),
+	)
+}

internal/gc/gc_test.go

@@ -0,0 +1,214 @@
+package gc
+
+import (
+	"context"
+	"errors"
+	"strings"
+	"sync"
+	"testing"
+	"time"
+
+	metav1 "k8s.io/apimachinery/pkg/apis/meta/v1"
+	"k8s.io/apimachinery/pkg/runtime"
+	"k8s.io/apimachinery/pkg/types"
+	"sigs.k8s.io/controller-runtime/pkg/client"
+	"sigs.k8s.io/controller-runtime/pkg/client/fake"
+
+	crawlv1alpha1 "gitea.home.hrajfrisbee.cz/kacerr/egress-proxies-operator/api/v1alpha1"
+	"gitea.home.hrajfrisbee.cz/kacerr/egress-proxies-operator/internal/provider"
+)
+
+// listProvider serves a canned instance list and records deletions.
+type listProvider struct {
+	mu        sync.Mutex
+	instances []provider.Instance
+	listErr   error
+	deleted   []string
+}
+
+func (l *listProvider) Create(context.Context, provider.CreateRequest) (string, error) {
+	return "", errors.New("not used")
+}
+
+func (l *listProvider) Get(context.Context, string) (*provider.Instance, error) {
+	return nil, provider.ErrNotFound
+}
+
+func (l *listProvider) Delete(_ context.Context, id string) error {
+	l.mu.Lock()
+	defer l.mu.Unlock()
+	l.deleted = append(l.deleted, id)
+	return nil
+}
+
+func (l *listProvider) ListByTag(context.Context) ([]provider.Instance, error) {
+	return l.instances, l.listErr
+}
+
+func (l *listProvider) deletedIDs() []string {
+	l.mu.Lock()
+	defer l.mu.Unlock()
+	return append([]string(nil), l.deleted...)
+}
+
+func proxyWithUID(name, uid string, mut ...func(*crawlv1alpha1.Proxy)) *crawlv1alpha1.Proxy {
+	p := &crawlv1alpha1.Proxy{
+		ObjectMeta: metav1.ObjectMeta{Name: name, Namespace: "default", UID: types.UID(uid)},
+		Spec: crawlv1alpha1.ProxySpec{
+			Mode:     crawlv1alpha1.ModeManaged,
+			Provider: "stub",
+		},
+	}
+	for _, m := range mut {
+		m(p)
+	}
+	return p
+}
+
+func newReader(t *testing.T, objs ...client.Object) client.Reader {
+	t.Helper()
+	s := runtime.NewScheme()
+	if err := crawlv1alpha1.AddToScheme(s); err != nil {
+		t.Fatalf("scheme: %v", err)
+	}
+	return fake.NewClientBuilder().WithScheme(s).WithObjects(objs...).Build()
+}
+
+func oldInstance(id, uid string) provider.Instance {
+	return provider.Instance{ID: id, UID: uid, State: provider.StateRunning,
+		CreatedAt: time.Now().Add(-time.Hour)}
+}
+
+func newSweeper(reader client.Reader, providers map[string]provider.Provider) *Sweeper {
+	return &Sweeper{
+		Reader:    reader,
+		Providers: providers,
+		Interval:  10 * time.Minute,
+		MinAge:    10 * time.Minute,
+		now:       time.Now,
+	}
+}
+
+func TestSweep_deletesOnlyTrueOrphans(t *testing.T) {
+	t.Parallel()
+
+	deletingCR := proxyWithUID("deleting", "uid-deleting", func(p *crawlv1alpha1.Proxy) {
+		now := metav1.Now()
+		p.DeletionTimestamp = &now
+		p.Finalizers = []string{crawlv1alpha1.FinalizerName}
+	})
+	prov := &listProvider{instances: []provider.Instance{
+		oldInstance("inst-live", "uid-live"),
+		oldInstance("inst-orphan", "uid-orphan"),
+		oldInstance("inst-deleting", "uid-deleting"),
+		{ID: "inst-young", UID: "uid-young-orphan", State: provider.StateRunning,
+			CreatedAt: time.Now().Add(-time.Minute)},
+		oldInstance("inst-unlabelled", ""),
+	}}
+	s := newSweeper(
+		newReader(t, proxyWithUID("live", "uid-live"), deletingCR),
+		map[string]provider.Provider{"stub": prov},
+	)
+
+	s.sweep(context.Background())
+
+	got := prov.deletedIDs()
+	if len(got) != 1 || got[0] != "inst-orphan" {
+		t.Errorf("deleted %v, want exactly [inst-orphan]:\n"+
+			"live CR's instance must stay; a deleting CR still owns its instance (finalizer, not GC);\n"+
+			"young instances may be mid-create; unlabelled instances have no ownership proof", got)
+	}
+}
+
+func TestSweep_providerErrorDoesNotAbortOthers(t *testing.T) {
+	t.Parallel()
+	broken := &listProvider{listErr: errors.New("cloud is down")}
+	working := &listProvider{instances: []provider.Instance{oldInstance("inst-orphan", "uid-orphan")}}
+	s := newSweeper(newReader(t), map[string]provider.Provider{
+		"broken":  broken,
+		"working": working,
+	})
+
+	s.sweep(context.Background())
+
+	if got := working.deletedIDs(); len(got) != 1 {
+		t.Errorf("working provider deletions = %v, want the orphan despite the broken provider", got)
+	}
+}
+
+// errReader fails every List: without the live set nothing can be proven
+// orphaned, so the sweep must delete nothing.
+type errReader struct{ client.Reader }
+
+func (errReader) List(context.Context, client.ObjectList, ...client.ListOption) error {
+	return errors.New("cache broken")
+}
+
+func TestSweep_listFailureSkipsSweep(t *testing.T) {
+	t.Parallel()
+	prov := &listProvider{instances: []provider.Instance{oldInstance("inst-orphan", "uid-orphan")}}
+	s := newSweeper(errReader{}, map[string]provider.Provider{"stub": prov})
+
+	s.sweep(context.Background())
+
+	if got := prov.deletedIDs(); len(got) != 0 {
+		t.Errorf("deleted %v with an unreadable live set, want nothing", got)
+	}
+}
+
+func TestStart_namespaceGuard(t *testing.T) {
+	t.Parallel()
+
+	s := newSweeper(newReader(t), nil)
+	s.NamespaceRestricted = true
+	err := s.Start(context.Background())
+	if err == nil || !strings.Contains(err.Error(), "--gc-allow-namespaced") {
+		t.Errorf("Start with restricted cache = %v, want refusal naming the override flag", err)
+	}
+
+	s2 := newSweeper(newReader(t), nil)
+	s2.NamespaceRestricted = true
+	s2.AllowNamespaced = true
+	ctx, cancel := context.WithCancel(context.Background())
+	done := make(chan error, 1)
+	go func() { done <- s2.Start(ctx) }()
+	cancel()
+	select {
+	case err := <-done:
+		if err != nil {
+			t.Errorf("Start with override = %v, want it to run until cancel", err)
+		}
+	case <-time.After(5 * time.Second):
+		t.Fatal("Start did not stop on cancel")
+	}
+}
+
+func TestStart_sweepsOnIntervalAndStops(t *testing.T) {
+	t.Parallel()
+	prov := &listProvider{instances: []provider.Instance{oldInstance("inst-orphan", "uid-orphan")}}
+	s := newSweeper(newReader(t), map[string]provider.Provider{"stub": prov})
+	s.Interval = 5 * time.Millisecond
+
+	ctx, cancel := context.WithCancel(context.Background())
+	done := make(chan error, 1)
+	go func() { done <- s.Start(ctx) }()
+
+	deadline := time.After(5 * time.Second)
+	for len(prov.deletedIDs()) == 0 {
+		select {
+		case <-deadline:
+			t.Fatal("no sweep ran")
+		case <-time.After(2 * time.Millisecond):
+		}
+	}
+
+	cancel()
+	select {
+	case err := <-done:
+		if err != nil {
+			t.Errorf("Start = %v, want nil", err)
+		}
+	case <-time.After(5 * time.Second):
+		t.Fatal("Start did not stop on cancel")
+	}
+}

internal/health/engine.go

@@ -10,6 +10,9 @@ import (
 	"sync"
 	"time"
 
+	"go.opentelemetry.io/otel/attribute"
+	"go.opentelemetry.io/otel/codes"
+	"go.opentelemetry.io/otel/trace"
 	apimeta "k8s.io/apimachinery/pkg/api/meta"
 	metav1 "k8s.io/apimachinery/pkg/apis/meta/v1"
 	"k8s.io/apimachinery/pkg/types"
@@ -18,6 +21,7 @@ import (
 	logf "sigs.k8s.io/controller-runtime/pkg/log"
 
 	crawlv1alpha1 "gitea.home.hrajfrisbee.cz/kacerr/egress-proxies-operator/api/v1alpha1"
+	"gitea.home.hrajfrisbee.cz/kacerr/egress-proxies-operator/internal/tracing"
 )
 
 // Snapshot is the engine's current verdict for one proxy, read by the
@@ -62,6 +66,14 @@ type probeJob struct {
 	interval time.Duration
 }
 
+// ProbeMetrics receives every probe result and the retirement of a
+// proxy's series. Implemented by internal/metrics; defined here so this
+// package carries no metrics dependency.
+type ProbeMetrics interface {
+	ObserveProbe(proxy string, latency time.Duration, success bool)
+	ForgetProxy(proxy string)
+}
+
 // Engine runs the probe scheduler and worker pool as a manager Runnable. It
 // never writes Proxy status itself — keeping the reconciler the single
 // status writer — and instead emits a GenericEvent per status-affecting
@@ -87,6 +99,14 @@ type Engine struct {
 	// ProbeTLSConfig overrides TLS verification for https probe URLs; nil
 	// means system roots. Needed for private CAs (and tests).
 	ProbeTLSConfig *tls.Config
+	// Metrics, when non-nil, is fed on every probe — the status writes are
+	// transition-only by design, so metrics are where high-frequency
+	// signal (true probe recency, every latency sample) lives.
+	Metrics ProbeMetrics
+	// TraceProbes emits one root span per probe (--trace-health-probes).
+	// Off by default: probes run about once per second per proxy and would
+	// dominate trace volume.
+	TraceProbes bool
 
 	probeFn func(context.Context, *url.URL, crawlv1alpha1.HealthCheckSpec, *tls.Config) probeResult
 
@@ -143,8 +163,7 @@ func (e *Engine) Start(ctx context.Context) error {
 				case <-ctx.Done():
 					return
 				case job := <-jobs:
-					res := e.probeFn(ctx, job.proxyURL, job.hc, e.ProbeTLSConfig)
+					e.record(job, e.runProbe(ctx, job), time.Now())
-					e.record(job, res, time.Now())
 				}
 			}
 		})
@@ -220,6 +239,11 @@ func (e *Engine) tick(ctx context.Context, now time.Time, jobs chan<- probeJob)
 	for key := range e.states {
 		if _, ok := probeable[key]; !ok {
 			delete(e.states, key)
+			if e.Metrics != nil {
+				// Retire the per-proxy series with the state, or series
+				// for deleted proxies leak forever.
+				e.Metrics.ForgetProxy(key.String())
+			}
 		}
 	}
 }
@@ -247,11 +271,38 @@ func newState(p *crawlv1alpha1.Proxy, now time.Time, interval time.Duration) *st
 	return st
 }
 
+// runProbe executes one probe, inside its own root span when TraceProbes is
+// on. The span ends before record folds the result (record stays ctx-free),
+// and the probe transport is deliberately uninstrumented — no traceparent
+// must ever leak through a proxy toward external targets.
+func (e *Engine) runProbe(ctx context.Context, job probeJob) probeResult {
+	if !e.TraceProbes {
+		return e.probeFn(ctx, job.proxyURL, job.hc, e.ProbeTLSConfig)
+	}
+	ctx, span := tracing.Start(ctx, "health.probe",
+		trace.WithSpanKind(trace.SpanKindClient),
+		trace.WithAttributes(attribute.String("proxy", job.key.String())))
+	defer span.End()
+	res := e.probeFn(ctx, job.proxyURL, job.hc, e.ProbeTLSConfig)
+	span.SetAttributes(
+		attribute.Bool("probe.ok", res.ok),
+		attribute.Int64("probe.latency_ms", res.latency.Milliseconds()),
+	)
+	if !res.ok {
+		span.SetStatus(codes.Error, res.err.Error())
+	}
+	return res
+}
+
 // record folds one probe result into the proxy's threshold state and emits
 // an event when the result is status-affecting: a first-ever verdict, a
 // threshold-crossing flip, or a material latency change (beyond
 // max(LatencyFloor, 50% of reported) and rate-limited by MinReportInterval).
 func (e *Engine) record(job probeJob, res probeResult, now time.Time) {
+	if e.Metrics != nil {
+		e.Metrics.ObserveProbe(job.key.String(), res.latency, res.ok)
+	}
+
 	e.mu.Lock()
 	defer e.mu.Unlock()
 

internal/lease/store.go

@@ -0,0 +1,319 @@
+// Package lease implements the in-memory lease store behind the discovery
+// API: TTL-based proxy assignment with server-side usage tracking and
+// per-(proxy, target) cooldowns. Accepted prototype limitation, documented
+// in the README: state is per-process, so an operator restart drops all
+// leases and cooldowns — clients must tolerate a lease vanishing (their
+// requests still work; they just re-lease).
+package lease
+
+import (
+	"cmp"
+	"context"
+	"crypto/rand"
+	"errors"
+	"fmt"
+	"slices"
+	"strings"
+	"sync"
+	"time"
+)
+
+// Result is a client's report of how a leased proxy behaved against a
+// target. ResultRateLimited and ResultBanned record a cooldown; ResultOK is
+// an acknowledgement and records nothing.
+type Result string
+
+const (
+	ResultOK          Result = "ok"
+	ResultRateLimited Result = "rate_limited"
+	ResultBanned      Result = "banned"
+)
+
+// ParseResult maps a wire value to a Result; ok is false for anything
+// unknown, which the API layer turns into a 400.
+func ParseResult(s string) (Result, bool) {
+	switch r := Result(s); r {
+	case ResultOK, ResultRateLimited, ResultBanned:
+		return r, true
+	default:
+		return "", false
+	}
+}
+
+var (
+	// ErrNoMatch means no candidate could take a lease; AcquireStats says
+	// why, and the API layer turns both into the 409 body.
+	ErrNoMatch = errors.New("lease: no candidate available")
+	// ErrUnknownLease means the lease ID does not resolve (404). Reports on
+	// recently expired leases do NOT hit this — see the retention note on
+	// Store.
+	ErrUnknownLease = errors.New("lease: unknown lease id")
+)
+
+// Candidate is one leasable proxy as seen by the caller at selection time.
+// The store itself knows nothing about Proxy objects — the discovery layer
+// filters for health/attributes and passes what selection needs.
+type Candidate struct {
+	// Proxy is the opaque proxy key ("namespace/name").
+	Proxy string
+	// MaxLeases caps concurrent leases; 0 means unleasable.
+	MaxLeases int32
+	// Latency is the proxy's last reported latency, used as the tie-break.
+	Latency time.Duration
+}
+
+// Lease is a granted assignment. Values returned by the store are copies;
+// mutating them does not affect the store.
+type Lease struct {
+	ID        string
+	Proxy     string
+	Target    string
+	ExpiresAt time.Time
+}
+
+// AcquireRequest carries the candidate set and lease parameters. Acquire
+// deliberately takes the whole candidate set, not a pre-chosen proxy:
+// selection and insertion must happen under one lock, or two concurrent
+// requests both see "3 of 5 used" and overcommit.
+type AcquireRequest struct {
+	Candidates []Candidate
+	// Target scopes the cooldown check; empty means the global pool.
+	Target string
+	TTL    time.Duration
+}
+
+// AcquireStats explains an ErrNoMatch (and is returned on success too):
+// every candidate is either leased, at capacity, or in cooldown.
+type AcquireStats struct {
+	Considered int
+	AtCapacity int
+	InCooldown int
+}
+
+type cooldownKey struct{ proxy, target string }
+
+// Store is the in-memory lease store. One mutex guards everything: at tens
+// of proxies and human-rate QPS, sharding would be premature complexity.
+//
+// Retention: an expired lease is kept for CooldownWindow past its TTL so a
+// Report arriving just after expiry still resolves — which matters most
+// exactly when a proxy is being rate-limited. Acquire and the counts ignore
+// retained leases; only the sweep finally drops them.
+type Store struct {
+	// CooldownWindow is how long a reported proxy/target pair is excluded
+	// from selection (default 15m; --lease-cooldown in Step 10).
+	CooldownWindow time.Duration
+	// SweepInterval is how often the expiry sweep runs (default 30s).
+	SweepInterval time.Duration
+
+	now func() time.Time
+
+	mu        sync.Mutex
+	byID      map[string]*Lease
+	byProxy   map[string]map[string]*Lease
+	cooldowns map[cooldownKey]time.Time
+}
+
+// NewStore returns a ready Store. A non-positive cooldownWindow selects the
+// 15-minute default.
+func NewStore(cooldownWindow time.Duration) *Store {
+	if cooldownWindow <= 0 {
+		cooldownWindow = 15 * time.Minute
+	}
+	return &Store{
+		CooldownWindow: cooldownWindow,
+		SweepInterval:  30 * time.Second,
+		now:            time.Now,
+		byID:           map[string]*Lease{},
+		byProxy:        map[string]map[string]*Lease{},
+		cooldowns:      map[cooldownKey]time.Time{},
+	}
+}
+
+// Acquire selects the least-loaded eligible candidate (ties: lowest
+// latency, then name, so selection is deterministic and testable) and
+// grants a lease on it.
+func (s *Store) Acquire(_ context.Context, req AcquireRequest) (*Lease, AcquireStats, error) {
+	stats := AcquireStats{Considered: len(req.Candidates)}
+	if req.TTL <= 0 {
+		return nil, stats, fmt.Errorf("lease: non-positive TTL %v", req.TTL)
+	}
+	now := s.now()
+
+	s.mu.Lock()
+	defer s.mu.Unlock()
+
+	type eligible struct {
+		cand   Candidate
+		active int
+	}
+	var elig []eligible
+	for _, c := range req.Candidates {
+		if s.inCooldownLocked(c.Proxy, req.Target, now) {
+			stats.InCooldown++
+			continue
+		}
+		active := s.activeCountLocked(c.Proxy, now)
+		if int32(active) >= c.MaxLeases {
+			stats.AtCapacity++
+			continue
+		}
+		elig = append(elig, eligible{cand: c, active: active})
+	}
+	if len(elig) == 0 {
+		return nil, stats, ErrNoMatch
+	}
+
+	slices.SortFunc(elig, func(a, b eligible) int {
+		if c := cmp.Compare(a.active, b.active); c != 0 {
+			return c
+		}
+		if c := cmp.Compare(a.cand.Latency, b.cand.Latency); c != 0 {
+			return c
+		}
+		return strings.Compare(a.cand.Proxy, b.cand.Proxy)
+	})
+
+	l := &Lease{
+		ID:        rand.Text(),
+		Proxy:     elig[0].cand.Proxy,
+		Target:    req.Target,
+		ExpiresAt: now.Add(req.TTL),
+	}
+	s.byID[l.ID] = l
+	if s.byProxy[l.Proxy] == nil {
+		s.byProxy[l.Proxy] = map[string]*Lease{}
+	}
+	s.byProxy[l.Proxy][l.ID] = l
+
+	granted := *l
+	return &granted, stats, nil
+}
+
+// Release drops a lease early. Idempotent: releasing an unknown or already
+// expired lease is a no-op, so the API's DELETE can always answer 204.
+func (s *Store) Release(_ context.Context, id string) {
+	s.mu.Lock()
+	defer s.mu.Unlock()
+	s.dropLocked(id)
+}
+
+// Report records the outcome of using a lease. Rate-limited and banned
+// results put the (proxy, target) pair in cooldown — target taken from the
+// report, falling back to the lease's own target, falling back to the
+// global pool. Reports on recently expired leases still resolve (see the
+// retention note on Store).
+func (s *Store) Report(_ context.Context, id string, result Result, target string) error {
+	s.mu.Lock()
+	defer s.mu.Unlock()
+	l, ok := s.byID[id]
+	if !ok {
+		return ErrUnknownLease
+	}
+	if result == ResultOK {
+		return nil
+	}
+	if target == "" {
+		target = l.Target
+	}
+	s.cooldowns[cooldownKey{proxy: l.Proxy, target: target}] = s.now().Add(s.CooldownWindow)
+	return nil
+}
+
+// ActiveCount returns the number of unexpired leases held on one proxy.
+func (s *Store) ActiveCount(proxy string) int {
+	now := s.now()
+	s.mu.Lock()
+	defer s.mu.Unlock()
+	return s.activeCountLocked(proxy, now)
+}
+
+// Counts returns the active-lease count per proxy, for the discovery list
+// endpoint and the metrics collector. Proxies with no active leases are
+// absent from the map.
+func (s *Store) Counts() map[string]int {
+	now := s.now()
+	s.mu.Lock()
+	defer s.mu.Unlock()
+	counts := make(map[string]int, len(s.byProxy))
+	for proxy := range s.byProxy {
+		if n := s.activeCountLocked(proxy, now); n > 0 {
+			counts[proxy] = n
+		}
+	}
+	return counts
+}
+
+// Start runs the expiry sweep until ctx ends; it satisfies
+// manager.Runnable so cmd/main.go can mgr.Add the store directly.
+func (s *Store) Start(ctx context.Context) error {
+	ticker := time.NewTicker(s.SweepInterval)
+	defer ticker.Stop()
+	for {
+		select {
+		case <-ctx.Done():
+			return nil
+		case <-ticker.C:
+			s.sweep(s.now())
+		}
+	}
+}
+
+// NeedLeaderElection is false: lease state is per-process and the discovery
+// API serves wherever this process runs, so the sweep must run there too.
+func (s *Store) NeedLeaderElection() bool { return false }
+
+// sweep drops leases past their retention window and elapsed cooldowns.
+// Correctness never depends on sweep timing — every read path checks
+// expiry against the clock — so this is purely garbage collection.
+func (s *Store) sweep(now time.Time) {
+	s.mu.Lock()
+	defer s.mu.Unlock()
+	for id, l := range s.byID {
+		if now.After(l.ExpiresAt.Add(s.CooldownWindow)) {
+			s.dropLocked(id)
+		}
+	}
+	for k, until := range s.cooldowns {
+		if now.After(until) {
+			delete(s.cooldowns, k)
+		}
+	}
+}
+
+func (s *Store) dropLocked(id string) {
+	l, ok := s.byID[id]
+	if !ok {
+		return
+	}
+	delete(s.byID, id)
+	delete(s.byProxy[l.Proxy], id)
+	if len(s.byProxy[l.Proxy]) == 0 {
+		delete(s.byProxy, l.Proxy)
+	}
+}
+
+func (s *Store) activeCountLocked(proxy string, now time.Time) int {
+	n := 0
+	for _, l := range s.byProxy[proxy] {
+		if now.Before(l.ExpiresAt) {
+			n++
+		}
+	}
+	return n
+}
+
+// inCooldownLocked: the global cooldown (empty target) always applies; a
+// target-scoped cooldown additionally applies to acquisitions for that
+// target. An acquisition without a target sees only the global pool — a
+// proxy rate-limited by one site is still fine for everyone else.
+func (s *Store) inCooldownLocked(proxy, target string, now time.Time) bool {
+	if until, ok := s.cooldowns[cooldownKey{proxy: proxy}]; ok && now.Before(until) {
+		return true
+	}
+	if target == "" {
+		return false
+	}
+	until, ok := s.cooldowns[cooldownKey{proxy: proxy, target: target}]
+	return ok && now.Before(until)
+}

internal/lease/store_test.go

@@ -0,0 +1,365 @@
+package lease
+
+import (
+	"context"
+	"errors"
+	"sync"
+	"testing"
+	"time"
+)
+
+// fakeClock is an injectable, manually advanced clock.
+type fakeClock struct {
+	mu  sync.Mutex
+	cur time.Time
+}
+
+func newFakeClock() *fakeClock {
+	return &fakeClock{cur: time.Date(2026, 8, 9, 12, 0, 0, 0, time.UTC)}
+}
+
+func (c *fakeClock) Now() time.Time {
+	c.mu.Lock()
+	defer c.mu.Unlock()
+	return c.cur
+}
+
+func (c *fakeClock) Advance(d time.Duration) {
+	c.mu.Lock()
+	defer c.mu.Unlock()
+	c.cur = c.cur.Add(d)
+}
+
+func newTestStore() (*Store, *fakeClock) {
+	s := NewStore(15 * time.Minute)
+	clock := newFakeClock()
+	s.now = clock.Now
+	return s, clock
+}
+
+func candidate(proxy string, maxLeases int32, latency time.Duration) Candidate {
+	return Candidate{Proxy: proxy, MaxLeases: maxLeases, Latency: latency}
+}
+
+func mustAcquire(t *testing.T, s *Store, req AcquireRequest) *Lease {
+	t.Helper()
+	l, _, err := s.Acquire(context.Background(), req)
+	if err != nil {
+		t.Fatalf("Acquire: %v", err)
+	}
+	return l
+}
+
+func TestAcquire_capacity(t *testing.T) {
+	t.Parallel()
+	s, _ := newTestStore()
+	req := AcquireRequest{Candidates: []Candidate{candidate("ns/p1", 2, 0)}, TTL: time.Minute}
+
+	l1 := mustAcquire(t, s, req)
+	l2 := mustAcquire(t, s, req)
+	if l1.ID == l2.ID {
+		t.Fatal("two leases share an ID")
+	}
+	if got := s.ActiveCount("ns/p1"); got != 2 {
+		t.Fatalf("ActiveCount = %d, want 2", got)
+	}
+
+	_, stats, err := s.Acquire(context.Background(), req)
+	if !errors.Is(err, ErrNoMatch) {
+		t.Fatalf("third acquire error = %v, want ErrNoMatch", err)
+	}
+	want := AcquireStats{Considered: 1, AtCapacity: 1}
+	if stats != want {
+		t.Errorf("stats = %+v, want %+v", stats, want)
+	}
+
+	// Early release frees the slot again.
+	s.Release(context.Background(), l1.ID)
+	mustAcquire(t, s, req)
+}
+
+func TestAcquire_maxLeasesZeroIsUnleasable(t *testing.T) {
+	t.Parallel()
+	s, _ := newTestStore()
+	_, stats, err := s.Acquire(context.Background(), AcquireRequest{
+		Candidates: []Candidate{candidate("ns/p1", 0, 0)},
+		TTL:        time.Minute,
+	})
+	if !errors.Is(err, ErrNoMatch) {
+		t.Fatalf("err = %v, want ErrNoMatch", err)
+	}
+	if stats.AtCapacity != 1 {
+		t.Errorf("stats = %+v, want the unleasable proxy counted AtCapacity", stats)
+	}
+}
+
+func TestAcquire_selectionOrder(t *testing.T) {
+	t.Parallel()
+
+	t.Run("least loaded wins", func(t *testing.T) {
+		t.Parallel()
+		s, _ := newTestStore()
+		mustAcquire(t, s, AcquireRequest{
+			Candidates: []Candidate{candidate("ns/a", 5, 10*time.Millisecond)}, TTL: time.Minute,
+		})
+		l := mustAcquire(t, s, AcquireRequest{
+			Candidates: []Candidate{
+				candidate("ns/a", 5, 10*time.Millisecond), // 1 active, lower latency
+				candidate("ns/b", 5, 90*time.Millisecond), // 0 active
+			},
+			TTL: time.Minute,
+		})
+		if l.Proxy != "ns/b" {
+			t.Errorf("chose %s, want the least-loaded ns/b", l.Proxy)
+		}
+	})
+
+	t.Run("latency breaks the load tie", func(t *testing.T) {
+		t.Parallel()
+		s, _ := newTestStore()
+		l := mustAcquire(t, s, AcquireRequest{
+			Candidates: []Candidate{
+				candidate("ns/a", 5, 90*time.Millisecond),
+				candidate("ns/b", 5, 10*time.Millisecond),
+			},
+			TTL: time.Minute,
+		})
+		if l.Proxy != "ns/b" {
+			t.Errorf("chose %s, want the lower-latency ns/b", l.Proxy)
+		}
+	})
+
+	t.Run("name breaks a full tie deterministically", func(t *testing.T) {
+		t.Parallel()
+		s, _ := newTestStore()
+		l := mustAcquire(t, s, AcquireRequest{
+			Candidates: []Candidate{
+				candidate("ns/b", 5, 10*time.Millisecond),
+				candidate("ns/a", 5, 10*time.Millisecond),
+			},
+			TTL: time.Minute,
+		})
+		if l.Proxy != "ns/a" {
+			t.Errorf("chose %s, want ns/a (lexicographic tie-break)", l.Proxy)
+		}
+	})
+}
+
+func TestAcquire_cooldownScoping(t *testing.T) {
+	t.Parallel()
+	s, _ := newTestStore()
+	cands := []Candidate{candidate("ns/p1", 5, 0)}
+
+	l := mustAcquire(t, s, AcquireRequest{Candidates: cands, Target: "example.com", TTL: time.Minute})
+	if err := s.Report(context.Background(), l.ID, ResultRateLimited, "example.com"); err != nil {
+		t.Fatalf("Report: %v", err)
+	}
+
+	// Same target: excluded.
+	_, stats, err := s.Acquire(context.Background(), AcquireRequest{
+		Candidates: cands, Target: "example.com", TTL: time.Minute,
+	})
+	if !errors.Is(err, ErrNoMatch) || stats.InCooldown != 1 {
+		t.Errorf("same-target acquire = (%v, %+v), want ErrNoMatch with InCooldown=1", err, stats)
+	}
+
+	// Different target: fine.
+	mustAcquire(t, s, AcquireRequest{Candidates: cands, Target: "other.org", TTL: time.Minute})
+
+	// No target (global pool): a target-scoped cooldown does not apply.
+	mustAcquire(t, s, AcquireRequest{Candidates: cands, TTL: time.Minute})
+}
+
+func TestAcquire_globalCooldownBlocksEverything(t *testing.T) {
+	t.Parallel()
+	s, _ := newTestStore()
+	cands := []Candidate{candidate("ns/p1", 5, 0)}
+
+	// A lease without a target, reported banned without a target: the
+	// cooldown lands on the global pool.
+	l := mustAcquire(t, s, AcquireRequest{Candidates: cands, TTL: time.Minute})
+	if err := s.Report(context.Background(), l.ID, ResultBanned, ""); err != nil {
+		t.Fatalf("Report: %v", err)
+	}
+
+	for _, target := range []string{"", "example.com"} {
+		_, stats, err := s.Acquire(context.Background(), AcquireRequest{
+			Candidates: cands, Target: target, TTL: time.Minute,
+		})
+		if !errors.Is(err, ErrNoMatch) || stats.InCooldown != 1 {
+			t.Errorf("acquire(target=%q) = (%v, %+v), want global cooldown to block", target, err, stats)
+		}
+	}
+}
+
+func TestAcquire_cooldownExpires(t *testing.T) {
+	t.Parallel()
+	s, clock := newTestStore()
+	cands := []Candidate{candidate("ns/p1", 5, 0)}
+
+	l := mustAcquire(t, s, AcquireRequest{Candidates: cands, TTL: time.Minute})
+	if err := s.Report(context.Background(), l.ID, ResultRateLimited, ""); err != nil {
+		t.Fatalf("Report: %v", err)
+	}
+	if _, _, err := s.Acquire(context.Background(), AcquireRequest{Candidates: cands, TTL: time.Minute}); !errors.Is(err, ErrNoMatch) {
+		t.Fatal("expected cooldown to block immediately after the report")
+	}
+
+	clock.Advance(15*time.Minute + time.Second)
+	mustAcquire(t, s, AcquireRequest{Candidates: cands, TTL: time.Minute})
+}
+
+func TestExpiry_freesCapacityWithoutSweep(t *testing.T) {
+	t.Parallel()
+	s, clock := newTestStore()
+	req := AcquireRequest{Candidates: []Candidate{candidate("ns/p1", 1, 0)}, TTL: time.Minute}
+
+	mustAcquire(t, s, req)
+	if _, _, err := s.Acquire(context.Background(), req); !errors.Is(err, ErrNoMatch) {
+		t.Fatal("capacity 1 not enforced")
+	}
+
+	clock.Advance(2 * time.Minute)
+	// No sweep has run; expiry must still free capacity and zero the counts.
+	if got := s.ActiveCount("ns/p1"); got != 0 {
+		t.Fatalf("ActiveCount after TTL = %d, want 0", got)
+	}
+	if counts := s.Counts(); len(counts) != 0 {
+		t.Fatalf("Counts after TTL = %v, want empty", counts)
+	}
+	mustAcquire(t, s, req)
+}
+
+func TestReport_expiredButRetainedLease(t *testing.T) {
+	t.Parallel()
+	s, clock := newTestStore()
+	cands := []Candidate{candidate("ns/p1", 5, 0)}
+
+	l := mustAcquire(t, s, AcquireRequest{Candidates: cands, Target: "example.com", TTL: time.Minute})
+
+	// TTL lapses; the report arrives late — exactly when the proxy is being
+	// rate-limited, which is when the cooldown matters most.
+	clock.Advance(5 * time.Minute)
+	s.sweep(clock.Now())
+	if err := s.Report(context.Background(), l.ID, ResultRateLimited, ""); err != nil {
+		t.Fatalf("Report on an expired-but-retained lease: %v", err)
+	}
+	// The cooldown fell back to the lease's own target.
+	_, stats, err := s.Acquire(context.Background(), AcquireRequest{
+		Candidates: cands, Target: "example.com", TTL: time.Minute,
+	})
+	if !errors.Is(err, ErrNoMatch) || stats.InCooldown != 1 {
+		t.Errorf("acquire = (%v, %+v), want cooldown from the late report", err, stats)
+	}
+
+	// Past the retention window the sweep finally drops it.
+	clock.Advance(15 * time.Minute)
+	s.sweep(clock.Now())
+	if err := s.Report(context.Background(), l.ID, ResultRateLimited, ""); !errors.Is(err, ErrUnknownLease) {
+		t.Errorf("Report after retention = %v, want ErrUnknownLease", err)
+	}
+}
+
+func TestReport_okRecordsNothing(t *testing.T) {
+	t.Parallel()
+	s, _ := newTestStore()
+	cands := []Candidate{candidate("ns/p1", 5, 0)}
+	l := mustAcquire(t, s, AcquireRequest{Candidates: cands, Target: "example.com", TTL: time.Minute})
+
+	if err := s.Report(context.Background(), l.ID, ResultOK, "example.com"); err != nil {
+		t.Fatalf("Report(ok): %v", err)
+	}
+	mustAcquire(t, s, AcquireRequest{Candidates: cands, Target: "example.com", TTL: time.Minute})
+}
+
+func TestRelease_isIdempotent(t *testing.T) {
+	t.Parallel()
+	s, _ := newTestStore()
+	l := mustAcquire(t, s, AcquireRequest{Candidates: []Candidate{candidate("ns/p1", 1, 0)}, TTL: time.Minute})
+
+	s.Release(context.Background(), l.ID)
+	s.Release(context.Background(), l.ID)
+	s.Release(context.Background(), "never-existed")
+	if got := s.ActiveCount("ns/p1"); got != 0 {
+		t.Errorf("ActiveCount = %d, want 0", got)
+	}
+}
+
+func TestParseResult(t *testing.T) {
+	t.Parallel()
+	for _, valid := range []string{"ok", "rate_limited", "banned"} {
+		if _, ok := ParseResult(valid); !ok {
+			t.Errorf("ParseResult(%q) rejected a valid value", valid)
+		}
+	}
+	for _, invalid := range []string{"", "OK", "throttled", "rate-limited"} {
+		if _, ok := ParseResult(invalid); ok {
+			t.Errorf("ParseResult(%q) accepted an invalid value", invalid)
+		}
+	}
+}
+
+func TestAcquire_concurrentNeverOvercommits(t *testing.T) {
+	t.Parallel()
+	s, _ := newTestStore()
+	req := AcquireRequest{Candidates: []Candidate{candidate("ns/p1", 5, 0)}, TTL: time.Minute}
+
+	const attempts = 40
+	var wg sync.WaitGroup
+	granted := make(chan *Lease, attempts)
+	for range attempts {
+		wg.Go(func() {
+			if l, _, err := s.Acquire(context.Background(), req); err == nil {
+				granted <- l
+			}
+		})
+	}
+	wg.Wait()
+	close(granted)
+
+	var n int
+	for range granted {
+		n++
+	}
+	if n != 5 {
+		t.Errorf("%d of %d concurrent acquires granted, want exactly MaxLeases=5", n, attempts)
+	}
+	if got := s.ActiveCount("ns/p1"); got != 5 {
+		t.Errorf("ActiveCount = %d, want 5", got)
+	}
+}
+
+func TestStart_sweepsAndStops(t *testing.T) {
+	t.Parallel()
+	s, clock := newTestStore()
+	s.SweepInterval = time.Millisecond
+
+	l := mustAcquire(t, s, AcquireRequest{Candidates: []Candidate{candidate("ns/p1", 5, 0)}, TTL: time.Minute})
+	clock.Advance(20 * time.Minute) // past TTL + retention
+
+	ctx, cancel := context.WithCancel(context.Background())
+	done := make(chan error, 1)
+	go func() { done <- s.Start(ctx) }()
+
+	deadline := time.After(5 * time.Second)
+	for {
+		if err := s.Report(context.Background(), l.ID, ResultOK, ""); errors.Is(err, ErrUnknownLease) {
+			break
+		}
+		select {
+		case <-deadline:
+			t.Fatal("sweep never dropped the lease")
+		case <-time.After(5 * time.Millisecond):
+		}
+	}
+
+	cancel()
+	select {
+	case err := <-done:
+		if err != nil {
+			t.Errorf("Start returned %v, want nil", err)
+		}
+	case <-time.After(5 * time.Second):
+		t.Fatal("Start did not stop on cancel")
+	}
+}

internal/metrics/metrics.go

@@ -0,0 +1,119 @@
+// Package metrics defines the operator's Prometheus metrics. Nothing here
+// registers itself — no init(), per house rules — the composition root
+// calls Register explicitly, which also lets every test use a fresh
+// registry.
+package metrics
+
+import (
+	"time"
+
+	"github.com/prometheus/client_golang/prometheus"
+)
+
+// Metrics holds the vector metrics the operator's components feed. The
+// consuming packages (health, discovery, provider) each define their own
+// small recorder interface; *Metrics satisfies all of them structurally,
+// so none of them import this package's prometheus surface.
+type Metrics struct {
+	healthcheckDuration *prometheus.HistogramVec
+	healthcheckFailures *prometheus.CounterVec
+	leaseRequests       *prometheus.CounterVec
+	providerRequests    *prometheus.CounterVec
+}
+
+// New builds the metric set, unregistered.
+func New() *Metrics {
+	return &Metrics{
+		healthcheckDuration: prometheus.NewHistogramVec(prometheus.HistogramOpts{
+			Name:    "proxy_operator_healthcheck_duration_seconds",
+			Help:    "Duration of through-the-proxy health probes.",
+			Buckets: prometheus.DefBuckets,
+		}, []string{"proxy"}),
+		healthcheckFailures: prometheus.NewCounterVec(prometheus.CounterOpts{
+			Name: "proxy_operator_healthcheck_failures_total",
+			Help: "Failed health probes.",
+		}, []string{"proxy"}),
+		leaseRequests: prometheus.NewCounterVec(prometheus.CounterOpts{
+			Name: "proxy_operator_lease_requests_total",
+			Help: "Lease acquisition requests by outcome.",
+		}, []string{"outcome"}),
+		providerRequests: prometheus.NewCounterVec(prometheus.CounterOpts{
+			Name: "proxy_operator_provider_requests_total",
+			Help: "Provider API calls by operation and classified result.",
+		}, []string{"provider", "op", "result"}),
+	}
+}
+
+// Register registers the vectors plus the two scrape-time collectors.
+// proxyPhases and activeLeases are read at every scrape: gauges derived
+// from reconcile-time increments inevitably drift and leak series on
+// delete; reading the source of truth cannot.
+func (m *Metrics) Register(reg prometheus.Registerer, proxyPhases func() map[string]int, activeLeases func() int) error {
+	collectors := []prometheus.Collector{
+		m.healthcheckDuration,
+		m.healthcheckFailures,
+		m.leaseRequests,
+		m.providerRequests,
+		&constCollector{
+			desc: prometheus.NewDesc("proxy_operator_proxies",
+				"Proxy objects by phase.", []string{"phase"}, nil),
+			read: proxyPhases,
+		},
+		&constCollector{
+			desc: prometheus.NewDesc("proxy_operator_leases_active",
+				"Currently active leases.", nil, nil),
+			read: func() map[string]int { return map[string]int{"": activeLeases()} },
+		},
+	}
+	for _, c := range collectors {
+		if err := reg.Register(c); err != nil {
+			return err
+		}
+	}
+	return nil
+}
+
+// ObserveProbe records one health probe. Called on every probe — metrics
+// are the home for high-frequency signal that must never touch status.
+func (m *Metrics) ObserveProbe(proxy string, latency time.Duration, success bool) {
+	m.healthcheckDuration.WithLabelValues(proxy).Observe(latency.Seconds())
+	if !success {
+		m.healthcheckFailures.WithLabelValues(proxy).Inc()
+	}
+}
+
+// ForgetProxy drops the per-proxy series when the health engine prunes its
+// state — without this, series for deleted proxies leak forever.
+func (m *Metrics) ForgetProxy(proxy string) {
+	m.healthcheckDuration.DeleteLabelValues(proxy)
+	m.healthcheckFailures.DeleteLabelValues(proxy)
+}
+
+// LeaseRequest records a lease acquisition outcome ("granted"|"no_match").
+func (m *Metrics) LeaseRequest(outcome string) {
+	m.leaseRequests.WithLabelValues(outcome).Inc()
+}
+
+// ProviderRequest records one provider API call with its classified result.
+func (m *Metrics) ProviderRequest(provider, op, result string) {
+	m.providerRequests.WithLabelValues(provider, op, result).Inc()
+}
+
+// constCollector reads a label→value map at scrape time and emits one
+// gauge sample per entry. An empty-string label key means "no labels".
+type constCollector struct {
+	desc *prometheus.Desc
+	read func() map[string]int
+}
+
+func (c *constCollector) Describe(ch chan<- *prometheus.Desc) { ch <- c.desc }
+
+func (c *constCollector) Collect(ch chan<- prometheus.Metric) {
+	for label, value := range c.read() {
+		if label == "" {
+			ch <- prometheus.MustNewConstMetric(c.desc, prometheus.GaugeValue, float64(value))
+			continue
+		}
+		ch <- prometheus.MustNewConstMetric(c.desc, prometheus.GaugeValue, float64(value), label)
+	}
+}

internal/metrics/metrics_test.go

@@ -0,0 +1,113 @@
+package metrics
+
+import (
+	"strings"
+	"testing"
+	"time"
+
+	"github.com/prometheus/client_golang/prometheus"
+	"github.com/prometheus/client_golang/prometheus/testutil"
+)
+
+// register wires a fresh registry — the reason Register exists instead of
+// init()-time self-registration.
+func register(t *testing.T, m *Metrics, phases map[string]int, active int) *prometheus.Registry {
+	t.Helper()
+	reg := prometheus.NewRegistry()
+	err := m.Register(reg,
+		func() map[string]int { return phases },
+		func() int { return active },
+	)
+	if err != nil {
+		t.Fatalf("Register: %v", err)
+	}
+	return reg
+}
+
+func TestRegister_scrapeTimeCollectors(t *testing.T) {
+	t.Parallel()
+	m := New()
+	reg := register(t, m, map[string]int{"Ready": 3, "Provisioning": 1}, 7)
+
+	expected := `
+# HELP proxy_operator_leases_active Currently active leases.
+# TYPE proxy_operator_leases_active gauge
+proxy_operator_leases_active 7
+# HELP proxy_operator_proxies Proxy objects by phase.
+# TYPE proxy_operator_proxies gauge
+proxy_operator_proxies{phase="Provisioning"} 1
+proxy_operator_proxies{phase="Ready"} 3
+`
+	if err := testutil.GatherAndCompare(reg, strings.NewReader(expected),
+		"proxy_operator_proxies", "proxy_operator_leases_active"); err != nil {
+		t.Error(err)
+	}
+}
+
+func TestObserveProbe_andForget(t *testing.T) {
+	t.Parallel()
+	m := New()
+	reg := register(t, m, nil, 0)
+
+	m.ObserveProbe("default/p1", 30*time.Millisecond, true)
+	m.ObserveProbe("default/p1", 40*time.Millisecond, false)
+	m.ObserveProbe("default/p2", 10*time.Millisecond, true)
+
+	if got := testutil.CollectAndCount(m.healthcheckDuration); got != 2 {
+		t.Errorf("duration series = %d, want 2 (one per proxy)", got)
+	}
+	if got := testutil.ToFloat64(m.healthcheckFailures.WithLabelValues("default/p1")); got != 1 {
+		t.Errorf("p1 failures = %v, want 1 (only the failed probe)", got)
+	}
+
+	m.ForgetProxy("default/p1")
+	if got := testutil.CollectAndCount(m.healthcheckDuration); got != 1 {
+		t.Errorf("duration series after ForgetProxy = %d, want 1 — series must not leak", got)
+	}
+	if got := testutil.CollectAndCount(m.healthcheckFailures); got != 0 {
+		t.Errorf("failure series after ForgetProxy = %d, want 0", got)
+	}
+	_ = reg
+}
+
+func TestLeaseRequest(t *testing.T) {
+	t.Parallel()
+	m := New()
+	register(t, m, nil, 0)
+
+	m.LeaseRequest("granted")
+	m.LeaseRequest("granted")
+	m.LeaseRequest("no_match")
+
+	if got := testutil.ToFloat64(m.leaseRequests.WithLabelValues("granted")); got != 2 {
+		t.Errorf("granted = %v, want 2", got)
+	}
+	if got := testutil.ToFloat64(m.leaseRequests.WithLabelValues("no_match")); got != 1 {
+		t.Errorf("no_match = %v, want 1", got)
+	}
+}
+
+func TestProviderRequest(t *testing.T) {
+	t.Parallel()
+	m := New()
+	register(t, m, nil, 0)
+
+	m.ProviderRequest("gcp-eu", "create", "ok")
+	m.ProviderRequest("gcp-eu", "create", "quota_exceeded")
+
+	if got := testutil.ToFloat64(m.providerRequests.WithLabelValues("gcp-eu", "create", "ok")); got != 1 {
+		t.Errorf("ok = %v, want 1", got)
+	}
+	if got := testutil.ToFloat64(m.providerRequests.WithLabelValues("gcp-eu", "create", "quota_exceeded")); got != 1 {
+		t.Errorf("quota_exceeded = %v, want 1", got)
+	}
+}
+
+func TestRegister_freshRegistryPerTest(t *testing.T) {
+	t.Parallel()
+	// Registering the same metric set on two registries must both succeed —
+	// the property init()-style global registration would break.
+	m1, m2 := New(), New()
+	register(t, m1, nil, 0)
+	register(t, m2, nil, 0)
+}

internal/provider/gcp/errors.go

@@ -0,0 +1,81 @@
+package gcp
+
+import (
+	"errors"
+	"net/http"
+	"slices"
+
+	"github.com/go-logr/logr"
+	"google.golang.org/api/googleapi"
+
+	"gitea.home.hrajfrisbee.cz/kacerr/egress-proxies-operator/internal/provider"
+)
+
+// classify maps a GCP API error onto the provider taxonomy:
+// 404 → NotFound; 429 and quota-flavored 403s → QuotaExceeded;
+// 400/401/other 403s → Permanent; 408/5xx and anything unrecognized
+// (network errors, context cancellation) → Transient, because retrying is
+// always safer than latching Failed on an error nobody taught this
+// function to recognize.
+func classify(err error) error {
+	var gerr *googleapi.Error
+	if !errors.As(err, &gerr) {
+		return provider.ErrTransient
+	}
+	switch {
+	case gerr.Code == http.StatusNotFound:
+		return provider.ErrNotFound
+	case gerr.Code == http.StatusTooManyRequests:
+		return provider.ErrQuotaExceeded
+	case gerr.Code == http.StatusForbidden && hasReason(gerr, "quotaExceeded", "rateLimitExceeded"):
+		return provider.ErrQuotaExceeded
+	case gerr.Code == http.StatusBadRequest,
+		gerr.Code == http.StatusUnauthorized,
+		gerr.Code == http.StatusForbidden:
+		return provider.ErrPermanent
+	default:
+		return provider.ErrTransient
+	}
+}
+
+func (p *Provider) wrapErr(op, id string, err error) error {
+	return provider.Wrap(classify(err), op, p.name, id, err)
+}
+
+// logAPIError records the raw googleapi error shape (HTTP status, reasons)
+// at V(1) — classify collapses it onto the coarser provider taxonomy, so
+// this line is the only place the original status survives.
+func logAPIError(log logr.Logger, op string, err error) {
+	if !log.V(1).Enabled() {
+		return
+	}
+	kv := []any{"op", op, "error", err.Error()}
+	var gerr *googleapi.Error
+	if errors.As(err, &gerr) {
+		reasons := make([]string, 0, len(gerr.Errors))
+		for _, item := range gerr.Errors {
+			reasons = append(reasons, item.Reason)
+		}
+		kv = append(kv, "httpStatus", gerr.Code, "reasons", reasons)
+	}
+	log.V(1).Info("GCP API call failed", kv...)
+}
+
+func hasReason(gerr *googleapi.Error, reasons ...string) bool {
+	for _, item := range gerr.Errors {
+		if slices.Contains(reasons, item.Reason) {
+			return true
+		}
+	}
+	return false
+}
+
+func isAlreadyExists(err error) bool {
+	var gerr *googleapi.Error
+	return errors.As(err, &gerr) && gerr.Code == http.StatusConflict
+}
+
+func isNotFound(err error) bool {
+	var gerr *googleapi.Error
+	return errors.As(err, &gerr) && gerr.Code == http.StatusNotFound
+}

internal/provider/gcp/errors_test.go

@@ -0,0 +1,71 @@
+package gcp
+
+import (
+	"errors"
+	"fmt"
+	"testing"
+
+	"google.golang.org/api/googleapi"
+
+	"gitea.home.hrajfrisbee.cz/kacerr/egress-proxies-operator/internal/provider"
+)
+
+func gerr(code int, reasons ...string) error {
+	e := &googleapi.Error{Code: code, Message: "boom"}
+	for _, r := range reasons {
+		e.Errors = append(e.Errors, googleapi.ErrorItem{Reason: r})
+	}
+	return e
+}
+
+func TestClassify(t *testing.T) {
+	t.Parallel()
+
+	tests := []struct {
+		name string
+		err  error
+		want error
+	}{
+		{name: "404 is NotFound", err: gerr(404), want: provider.ErrNotFound},
+		{name: "429 is Quota", err: gerr(429), want: provider.ErrQuotaExceeded},
+		{name: "403 quotaExceeded is Quota", err: gerr(403, "quotaExceeded"), want: provider.ErrQuotaExceeded},
+		{name: "403 rateLimitExceeded is Quota", err: gerr(403, "rateLimitExceeded"), want: provider.ErrQuotaExceeded},
+		{name: "403 plain is Permanent", err: gerr(403, "forbidden"), want: provider.ErrPermanent},
+		{name: "400 is Permanent", err: gerr(400), want: provider.ErrPermanent},
+		{name: "401 is Permanent", err: gerr(401), want: provider.ErrPermanent},
+		{name: "408 is Transient", err: gerr(408), want: provider.ErrTransient},
+		{name: "500 is Transient", err: gerr(500), want: provider.ErrTransient},
+		{name: "503 is Transient", err: gerr(503), want: provider.ErrTransient},
+		{name: "409 is Transient (alreadyExists is handled before classify)", err: gerr(409), want: provider.ErrTransient},
+		{name: "plain network error is Transient", err: errors.New("connection reset"), want: provider.ErrTransient},
+		{name: "wrapped googleapi error still classifies", err: fmt.Errorf("calling api: %w", gerr(404)), want: provider.ErrNotFound},
+	}
+
+	for _, tc := range tests {
+		t.Run(tc.name, func(t *testing.T) {
+			t.Parallel()
+			if got := classify(tc.err); got != tc.want {
+				t.Errorf("classify() = %v, want %v", got, tc.want)
+			}
+		})
+	}
+}
+
+// The wrapped error must satisfy both halves of the taxonomy contract:
+// errors.Is against the sentinel AND errors.As back to the SDK error.
+func TestWrapErr_isAndAsBothWork(t *testing.T) {
+	t.Parallel()
+	p := &Provider{name: "gcp-eu"}
+	wrapped := p.wrapErr("get", "zones/z/instances/i", gerr(404))
+
+	if !errors.Is(wrapped, provider.ErrNotFound) {
+		t.Error("errors.Is(wrapped, ErrNotFound) = false")
+	}
+	var ge *googleapi.Error
+	if !errors.As(wrapped, &ge) || ge.Code != 404 {
+		t.Error("errors.As back to *googleapi.Error failed")
+	}
+	if provider.Class(wrapped) != provider.ErrNotFound {
+		t.Errorf("Class() = %v, want ErrNotFound", provider.Class(wrapped))
+	}
+}

internal/provider/gcp/gcp.go

@@ -0,0 +1,307 @@
+// Package gcp implements the provider contract on GCP Compute Engine via
+// the modern Cloud Client Library (cloud.google.com/go/compute/apiv1),
+// deliberately restricted to four calls: instances.Insert, Get, Delete,
+// AggregatedList. Operations are fire-and-forget — Operation.Wait is never
+// called; Create/Delete return as soon as the operation is submitted and
+// the reconciler discovers progress by polling Get.
+package gcp
+
+import (
+	"context"
+	"fmt"
+	"strings"
+	"time"
+
+	compute "cloud.google.com/go/compute/apiv1"
+	"cloud.google.com/go/compute/apiv1/computepb"
+	"github.com/go-logr/logr"
+	"google.golang.org/api/iterator"
+	"google.golang.org/api/option"
+	"google.golang.org/protobuf/proto"
+	logf "sigs.k8s.io/controller-runtime/pkg/log"
+
+	"gitea.home.hrajfrisbee.cz/kacerr/egress-proxies-operator/internal/provider"
+)
+
+// instancesAPI is the test seam. It deliberately does not mirror the SDK:
+// the SDK's InstancesScopedListPairIterator has an unexported nextFunc, so
+// a fake cannot construct one — the seam flattens AggregatedList to a
+// slice, and returns operations as just their name (the only thing this
+// provider ever uses, since it never waits on them).
+type instancesAPI interface {
+	Insert(ctx context.Context, req *computepb.InsertInstanceRequest) (opName string, err error)
+	Get(ctx context.Context, req *computepb.GetInstanceRequest) (*computepb.Instance, error)
+	Delete(ctx context.Context, req *computepb.DeleteInstanceRequest) (opName string, err error)
+	AggregatedList(ctx context.Context, req *computepb.AggregatedListInstancesRequest) ([]*computepb.Instance, error)
+}
+
+// realInstances adapts *compute.InstancesClient to the seam.
+type realInstances struct {
+	client *compute.InstancesClient
+}
+
+func (r *realInstances) Insert(ctx context.Context, req *computepb.InsertInstanceRequest) (string, error) {
+	op, err := r.client.Insert(ctx, req)
+	if err != nil {
+		return "", err
+	}
+	return op.Name(), nil
+}
+
+func (r *realInstances) Get(ctx context.Context, req *computepb.GetInstanceRequest) (*computepb.Instance, error) {
+	return r.client.Get(ctx, req)
+}
+
+func (r *realInstances) Delete(ctx context.Context, req *computepb.DeleteInstanceRequest) (string, error) {
+	op, err := r.client.Delete(ctx, req)
+	if err != nil {
+		return "", err
+	}
+	return op.Name(), nil
+}
+
+func (r *realInstances) AggregatedList(ctx context.Context, req *computepb.AggregatedListInstancesRequest) ([]*computepb.Instance, error) {
+	it := r.client.AggregatedList(ctx, req)
+	var out []*computepb.Instance
+	for {
+		pair, err := it.Next()
+		if err == iterator.Done {
+			return out, nil
+		}
+		if err != nil {
+			return nil, err
+		}
+		if pair.Value != nil {
+			out = append(out, pair.Value.Instances...)
+		}
+	}
+}
+
+// Provider implements provider.Provider on GCP Compute Engine.
+type Provider struct {
+	name string
+	cfg  provider.GCPConfig
+	api  instancesAPI
+}
+
+// New builds a Provider using Application Default Credentials (workload
+// identity in-cluster, gcloud ADC locally — no key-file plumbing).
+// Deliberately untested: it dials real Google endpoints; everything below
+// it is exercised through newWithAPI.
+func New(ctx context.Context, pc provider.ProviderConfig) (provider.Provider, error) {
+	return NewWithWireOptions(ctx, pc, WireLogOptions{})
+}
+
+// NewWithWireOptions is New with explicit control over the V(5) wire
+// logging; the injected wire logger surfaces the SDK's HTTP
+// request/response records at V(5). Note option.WithLogger overrides the
+// SDK's own GOOGLE_SDK_GO_LOGGING_LEVEL env var, so --zap-log-level is
+// the only knob.
+func NewWithWireOptions(ctx context.Context, pc provider.ProviderConfig, opts WireLogOptions) (provider.Provider, error) {
+	base := logf.Log.WithName("gcp").WithName("http")
+	if base.V(5).Enabled() {
+		logf.Log.WithName("gcp").Info(
+			"GCP HTTP wire logging active — request payloads include cloud-init user-data",
+			"fullPayloads", opts.FullPayloads)
+	}
+	client, err := compute.NewInstancesRESTClient(ctx, option.WithLogger(wireLogger(base, opts)))
+	if err != nil {
+		return nil, fmt.Errorf("creating GCP instances client: %w", err)
+	}
+	return newWithAPI(pc, &realInstances{client: client}), nil
+}
+
+func newWithAPI(pc provider.ProviderConfig, api instancesAPI) *Provider {
+	cfg := provider.GCPConfig{}
+	if pc.GCP != nil {
+		cfg = *pc.GCP
+	}
+	return &Provider{name: pc.Name, cfg: withDefaults(cfg), api: api}
+}
+
+// logger derives the request-scoped logger from ctx, so provider lines
+// inherit the reconcile context (which Proxy triggered the call).
+func (p *Provider) logger(ctx context.Context) logr.Logger {
+	return logf.FromContext(ctx).WithName("gcp").WithValues("provider", p.name)
+}
+
+// Create submits the insert and returns immediately with the
+// zone-qualified providerID. A 409 alreadyExists is success — the
+// deterministic instance name means a repeat call after a crash found the
+// VM it already created, which is exactly the idempotency the contract
+// demands.
+func (p *Provider) Create(ctx context.Context, req provider.CreateRequest) (string, error) {
+	pl := req.Placement
+	if pl.Zone == "" || pl.MachineType == "" || pl.Image == "" {
+		return "", provider.Wrap(provider.ErrPermanent, "create", p.name, "", fmt.Errorf(
+			"gcp requires placement.zone, placement.machineType and placement.image (got zone=%q machineType=%q image=%q)",
+			pl.Zone, pl.MachineType, pl.Image))
+	}
+	log := p.logger(ctx)
+	id := formatProviderID(pl.Zone, req.Name)
+	insertReq := buildInsertRequest(p.cfg, req)
+	// Curated fields only: the request proto embeds the cloud-init
+	// user-data, which may be Secret-sourced and must never reach logs.
+	log.V(2).Info("GCP insert request built",
+		"zone", pl.Zone, "name", req.Name,
+		"network", p.cfg.Network, "networkTag", p.cfg.NetworkTag,
+		"diskSizeGb", p.cfg.DiskSizeGB, "port", req.Port,
+		"labels", insertReq.GetInstanceResource().GetLabels(),
+		"cloudInitBytes", len(req.CloudInit))
+	opName, err := p.api.Insert(ctx, insertReq)
+	switch {
+	case err == nil:
+		log.V(1).Info("GCP instance insert submitted",
+			"zone", pl.Zone, "name", req.Name,
+			"machineType", pl.MachineType, "image", pl.Image, "opName", opName)
+	case isAlreadyExists(err):
+		log.V(1).Info("GCP instance already exists, insert treated as success",
+			"zone", pl.Zone, "name", req.Name)
+	default:
+		logAPIError(log, "create", err)
+		return "", p.wrapErr("create", id, err)
+	}
+	return id, nil
+}
+
+// Get returns the instance state. The providerID carries its own zone, so
+// this stays correct even mid-replacement after a zone edit — re-reading
+// spec.placement.zone would look up the wrong zone exactly then.
+func (p *Provider) Get(ctx context.Context, providerID string) (*provider.Instance, error) {
+	zone, name, err := parseProviderID(providerID)
+	if err != nil {
+		return nil, provider.Wrap(provider.ErrPermanent, "get", p.name, providerID, err)
+	}
+	log := p.logger(ctx)
+	inst, err := p.api.Get(ctx, &computepb.GetInstanceRequest{
+		Project:  p.cfg.Project,
+		Zone:     zone,
+		Instance: name,
+	})
+	if err != nil {
+		logAPIError(log, "get", err)
+		return nil, p.wrapErr("get", providerID, err)
+	}
+	out := toInstance(inst, zone)
+	log.V(1).Info("GCP instance fetched",
+		"zone", zone, "name", name,
+		"status", inst.GetStatus(), "state", out.State, "ip", out.IP)
+	return out, nil
+}
+
+// Delete submits the delete and returns; deleting an instance that is
+// already gone is success.
+func (p *Provider) Delete(ctx context.Context, providerID string) error {
+	zone, name, err := parseProviderID(providerID)
+	if err != nil {
+		return provider.Wrap(provider.ErrPermanent, "delete", p.name, providerID, err)
+	}
+	log := p.logger(ctx)
+	opName, err := p.api.Delete(ctx, &computepb.DeleteInstanceRequest{
+		Project:  p.cfg.Project,
+		Zone:     zone,
+		Instance: name,
+	})
+	switch {
+	case err == nil:
+		log.V(1).Info("GCP instance delete submitted",
+			"zone", zone, "name", name, "opName", opName)
+	case isNotFound(err):
+		log.V(1).Info("GCP instance already gone, delete treated as success",
+			"zone", zone, "name", name)
+	default:
+		logAPIError(log, "delete", err)
+		return p.wrapErr("delete", providerID, err)
+	}
+	return nil
+}
+
+// ListByTag sweeps every zone for instances carrying the GC labels.
+// ReturnPartialSuccess matters: without it one unreachable zone fails the
+// entire GC sweep.
+func (p *Provider) ListByTag(ctx context.Context) ([]provider.Instance, error) {
+	log := p.logger(ctx)
+	filter := fmt.Sprintf("labels.%s = %s", provider.LabelManaged, provider.LabelManagedYes)
+	instances, err := p.api.AggregatedList(ctx, &computepb.AggregatedListInstancesRequest{
+		Project:              p.cfg.Project,
+		Filter:               proto.String(filter),
+		ReturnPartialSuccess: proto.Bool(true),
+	})
+	if err != nil {
+		logAPIError(log, "list", err)
+		return nil, p.wrapErr("list", "", err)
+	}
+	log.V(1).Info("GCP instances listed", "filter", filter, "count", len(instances))
+	out := make([]provider.Instance, 0, len(instances))
+	for _, inst := range instances {
+		conv := toInstance(inst, lastPathSegment(inst.GetZone()))
+		out = append(out, *conv)
+		log.V(2).Info("GCP listed instance",
+			"id", conv.ID, "state", conv.State, "uid", conv.UID, "createdAt", conv.CreatedAt)
+	}
+	return out, nil
+}
+
+func toInstance(inst *computepb.Instance, zone string) *provider.Instance {
+	var ip string
+	if nics := inst.GetNetworkInterfaces(); len(nics) > 0 {
+		if acs := nics[0].GetAccessConfigs(); len(acs) > 0 {
+			ip = acs[0].GetNatIP()
+		}
+	}
+	// CreationTimestamp is RFC3339; a parse failure leaves the zero time,
+	// which orphan GC treats as "old" — safe, since a malformed timestamp
+	// never protects a candidate from collection forever.
+	created, _ := time.Parse(time.RFC3339, inst.GetCreationTimestamp())
+	return &provider.Instance{
+		ID:        formatProviderID(zone, inst.GetName()),
+		IP:        ip,
+		State:     mapState(inst.GetStatus(), ip),
+		UID:       inst.GetLabels()[provider.LabelUID],
+		CreatedAt: created,
+	}
+}
+
+// mapState collapses GCP instance statuses onto the provider states. A
+// RUNNING instance without a NatIP maps to Provisioning — an empty IP must
+// never be published as Running. Anything unrecognized maps to Stopped:
+// the reconciler's answer to Stopped is delete-and-recreate, which is
+// always safe for cattle.
+func mapState(status, ip string) provider.InstanceState {
+	switch status {
+	case "PROVISIONING", "STAGING", "REPAIRING":
+		return provider.StateProvisioning
+	case "RUNNING":
+		if ip == "" {
+			return provider.StateProvisioning
+		}
+		return provider.StateRunning
+	case "STOPPING", "STOPPED", "SUSPENDING", "SUSPENDED":
+		return provider.StateStopped
+	case "TERMINATED":
+		return provider.StateTerminated
+	default:
+		return provider.StateStopped
+	}
+}
+
+func formatProviderID(zone, name string) string {
+	return fmt.Sprintf("zones/%s/instances/%s", zone, name)
+}
+
+func parseProviderID(id string) (zone, name string, err error) {
+	parts := strings.Split(id, "/")
+	if len(parts) != 4 || parts[0] != "zones" || parts[2] != "instances" || parts[1] == "" || parts[3] == "" {
+		return "", "", fmt.Errorf("malformed gcp providerID %q, want zones/<zone>/instances/<name>", id)
+	}
+	return parts[1], parts[3], nil
+}
+
+// lastPathSegment extracts the zone name from the URL-style
+// ".../zones/europe-west1-b" the API returns on instances.
+func lastPathSegment(url string) string {
+	if i := strings.LastIndexByte(url, '/'); i >= 0 {
+		return url[i+1:]
+	}
+	return url
+}

internal/provider/gcp/gcp_test.go

@@ -0,0 +1,564 @@
+package gcp
+
+import (
+	"context"
+	"errors"
+	"log/slog"
+	"strings"
+	"testing"
+	"time"
+
+	"cloud.google.com/go/compute/apiv1/computepb"
+	"github.com/go-logr/logr"
+	"github.com/go-logr/logr/funcr"
+	"google.golang.org/protobuf/proto"
+
+	"gitea.home.hrajfrisbee.cz/kacerr/egress-proxies-operator/internal/provider"
+)
+
+// fakeAPI implements the instancesAPI seam.
+type fakeAPI struct {
+	insertReq *computepb.InsertInstanceRequest
+	insertErr error
+
+	getReq  *computepb.GetInstanceRequest
+	getInst *computepb.Instance
+	getErr  error
+
+	deleteReq *computepb.DeleteInstanceRequest
+	deleteErr error
+
+	listReq   *computepb.AggregatedListInstancesRequest
+	listInsts []*computepb.Instance
+	listErr   error
+}
+
+func (f *fakeAPI) Insert(_ context.Context, req *computepb.InsertInstanceRequest) (string, error) {
+	f.insertReq = req
+	return "op-insert", f.insertErr
+}
+
+func (f *fakeAPI) Get(_ context.Context, req *computepb.GetInstanceRequest) (*computepb.Instance, error) {
+	f.getReq = req
+	return f.getInst, f.getErr
+}
+
+func (f *fakeAPI) Delete(_ context.Context, req *computepb.DeleteInstanceRequest) (string, error) {
+	f.deleteReq = req
+	return "op-delete", f.deleteErr
+}
+
+func (f *fakeAPI) AggregatedList(_ context.Context, req *computepb.AggregatedListInstancesRequest) ([]*computepb.Instance, error) {
+	f.listReq = req
+	return f.listInsts, f.listErr
+}
+
+func newTestProvider(api *fakeAPI) *Provider {
+	return newWithAPI(provider.ProviderConfig{
+		Name: "gcp-eu",
+		Type: "gcp",
+		GCP:  &provider.GCPConfig{Project: "my-project"},
+	}, api)
+}
+
+func TestCreate_returnsZoneQualifiedID(t *testing.T) {
+	t.Parallel()
+	api := &fakeAPI{}
+	p := newTestProvider(api)
+
+	id, err := p.Create(context.Background(), testCreateRequest())
+	if err != nil {
+		t.Fatalf("Create: %v", err)
+	}
+	if want := "zones/europe-west1-b/instances/proxy-abc123def456ghij"; id != want {
+		t.Errorf("providerID = %s, want %s", id, want)
+	}
+	if api.insertReq.Project != "my-project" || api.insertReq.Zone != "europe-west1-b" {
+		t.Errorf("insert sent to %s/%s, want my-project/europe-west1-b", api.insertReq.Project, api.insertReq.Zone)
+	}
+}
+
+func TestCreate_alreadyExistsIsSuccess(t *testing.T) {
+	t.Parallel()
+	api := &fakeAPI{insertErr: gerr(409)}
+	p := newTestProvider(api)
+
+	id, err := p.Create(context.Background(), testCreateRequest())
+	if err != nil {
+		t.Fatalf("Create after crash (409): %v — alreadyExists must be success", err)
+	}
+	if want := "zones/europe-west1-b/instances/proxy-abc123def456ghij"; id != want {
+		t.Errorf("providerID = %s, want %s", id, want)
+	}
+}
+
+func TestCreate_incompletePlacementIsPermanent(t *testing.T) {
+	t.Parallel()
+	api := &fakeAPI{}
+	p := newTestProvider(api)
+	req := testCreateRequest()
+	req.Placement.MachineType = ""
+
+	_, err := p.Create(context.Background(), req)
+	if provider.Class(err) != provider.ErrPermanent {
+		t.Errorf("Class = %v, want ErrPermanent for missing placement", provider.Class(err))
+	}
+	if api.insertReq != nil {
+		t.Error("Insert was called despite invalid placement")
+	}
+}
+
+func TestCreate_quotaErrorClassified(t *testing.T) {
+	t.Parallel()
+	p := newTestProvider(&fakeAPI{insertErr: gerr(403, "quotaExceeded")})
+	_, err := p.Create(context.Background(), testCreateRequest())
+	if provider.Class(err) != provider.ErrQuotaExceeded {
+		t.Errorf("Class = %v, want ErrQuotaExceeded", provider.Class(err))
+	}
+}
+
+func TestGet_stateMapping(t *testing.T) {
+	t.Parallel()
+
+	tests := []struct {
+		name      string
+		status    string
+		natIP     string
+		wantState provider.InstanceState
+		wantIP    string
+	}{
+		{name: "provisioning", status: "PROVISIONING", wantState: provider.StateProvisioning},
+		{name: "staging", status: "STAGING", wantState: provider.StateProvisioning},
+		{name: "repairing", status: "REPAIRING", wantState: provider.StateProvisioning},
+		{name: "running without NatIP stays provisioning", status: "RUNNING", wantState: provider.StateProvisioning},
+		{name: "running with NatIP", status: "RUNNING", natIP: "34.1.2.3", wantState: provider.StateRunning, wantIP: "34.1.2.3"},
+		{name: "stopped", status: "STOPPED", wantState: provider.StateStopped},
+		{name: "suspended", status: "SUSPENDED", wantState: provider.StateStopped},
+		{name: "terminated", status: "TERMINATED", wantState: provider.StateTerminated},
+		{name: "unknown status maps to stopped for recreation", status: "SOMETHING_NEW", wantState: provider.StateStopped},
+	}
+
+	for _, tc := range tests {
+		t.Run(tc.name, func(t *testing.T) {
+			t.Parallel()
+			inst := &computepb.Instance{
+				Name:              proto.String("proxy-abc"),
+				Status:            proto.String(tc.status),
+				CreationTimestamp: proto.String("2026-08-09T10:00:00+02:00"),
+				Labels: map[string]string{
+					provider.LabelUID: "uid-1",
+				},
+			}
+			if tc.natIP != "" {
+				inst.NetworkInterfaces = []*computepb.NetworkInterface{{
+					AccessConfigs: []*computepb.AccessConfig{{NatIP: proto.String(tc.natIP)}},
+				}}
+			}
+			p := newTestProvider(&fakeAPI{getInst: inst})
+
+			got, err := p.Get(context.Background(), "zones/europe-west1-b/instances/proxy-abc")
+			if err != nil {
+				t.Fatalf("Get: %v", err)
+			}
+			if got.State != tc.wantState || got.IP != tc.wantIP {
+				t.Errorf("state/ip = %s/%q, want %s/%q", got.State, got.IP, tc.wantState, tc.wantIP)
+			}
+			if got.UID != "uid-1" {
+				t.Errorf("UID = %q, want uid-1 (from the GC label)", got.UID)
+			}
+			if got.ID != "zones/europe-west1-b/instances/proxy-abc" {
+				t.Errorf("ID = %s, want the zone-qualified providerID", got.ID)
+			}
+			if got.CreatedAt.IsZero() {
+				t.Error("CreatedAt not parsed from creationTimestamp")
+			}
+		})
+	}
+}
+
+func TestGet_notFound(t *testing.T) {
+	t.Parallel()
+	p := newTestProvider(&fakeAPI{getErr: gerr(404)})
+	_, err := p.Get(context.Background(), "zones/z/instances/gone")
+	if !errors.Is(err, provider.ErrNotFound) {
+		t.Errorf("err = %v, want ErrNotFound", err)
+	}
+}
+
+func TestGet_malformedProviderID(t *testing.T) {
+	t.Parallel()
+	p := newTestProvider(&fakeAPI{})
+	for _, id := range []string{"", "proxy-abc", "zones//instances/x", "zones/z/instances/", "z/zone/i/name"} {
+		if _, err := p.Get(context.Background(), id); provider.Class(err) != provider.ErrPermanent {
+			t.Errorf("Get(%q): Class = %v, want ErrPermanent", id, provider.Class(err))
+		}
+	}
+}
+
+func TestDelete_notFoundIsSuccess(t *testing.T) {
+	t.Parallel()
+	api := &fakeAPI{deleteErr: gerr(404)}
+	p := newTestProvider(api)
+	if err := p.Delete(context.Background(), "zones/z/instances/gone"); err != nil {
+		t.Errorf("Delete of missing instance: %v, want nil", err)
+	}
+}
+
+func TestDelete_sendsParsedZoneAndName(t *testing.T) {
+	t.Parallel()
+	api := &fakeAPI{}
+	p := newTestProvider(api)
+	if err := p.Delete(context.Background(), "zones/us-east1-c/instances/proxy-xyz"); err != nil {
+		t.Fatalf("Delete: %v", err)
+	}
+	if api.deleteReq.Zone != "us-east1-c" || api.deleteReq.Instance != "proxy-xyz" {
+		t.Errorf("delete sent %s/%s, want us-east1-c/proxy-xyz", api.deleteReq.Zone, api.deleteReq.Instance)
+	}
+}
+
+func TestListByTag(t *testing.T) {
+	t.Parallel()
+	api := &fakeAPI{listInsts: []*computepb.Instance{{
+		Name:              proto.String("proxy-old"),
+		Status:            proto.String("RUNNING"),
+		Zone:              proto.String("https://www.googleapis.com/compute/v1/projects/my-project/zones/europe-west1-b"),
+		CreationTimestamp: proto.String(time.Now().Format(time.RFC3339)),
+		Labels: map[string]string{
+			provider.LabelManaged: provider.LabelManagedYes,
+			provider.LabelUID:     "uid-orphan",
+		},
+		NetworkInterfaces: []*computepb.NetworkInterface{{
+			AccessConfigs: []*computepb.AccessConfig{{NatIP: proto.String("34.9.9.9")}},
+		}},
+	}}}
+	p := newTestProvider(api)
+
+	got, err := p.ListByTag(context.Background())
+	if err != nil {
+		t.Fatalf("ListByTag: %v", err)
+	}
+
+	if want := "labels.proxy-operator-managed = true"; api.listReq.GetFilter() != want {
+		t.Errorf("filter = %q, want %q", api.listReq.GetFilter(), want)
+	}
+	if !api.listReq.GetReturnPartialSuccess() {
+		t.Error("ReturnPartialSuccess not set — one unreachable zone would fail the whole GC sweep")
+	}
+
+	if len(got) != 1 {
+		t.Fatalf("instances = %d, want 1", len(got))
+	}
+	if got[0].ID != "zones/europe-west1-b/instances/proxy-old" {
+		t.Errorf("ID = %s, want the zone parsed out of the URL-style zone field", got[0].ID)
+	}
+	if got[0].UID != "uid-orphan" || got[0].State != provider.StateRunning {
+		t.Errorf("instance = %+v, want uid-orphan/Running", got[0])
+	}
+}
+
+func TestListByTag_errorPropagates(t *testing.T) {
+	t.Parallel()
+	p := newTestProvider(&fakeAPI{listErr: gerr(500)})
+	_, err := p.ListByTag(context.Background())
+	if provider.Class(err) != provider.ErrTransient {
+		t.Errorf("Class = %v, want ErrTransient", provider.Class(err))
+	}
+}
+
+func TestParseProviderID_roundTrip(t *testing.T) {
+	t.Parallel()
+	id := formatProviderID("europe-west1-b", "proxy-abc")
+	zone, name, err := parseProviderID(id)
+	if err != nil || zone != "europe-west1-b" || name != "proxy-abc" {
+		t.Errorf("round trip = %s/%s (%v), want europe-west1-b/proxy-abc", zone, name, err)
+	}
+}
+
+// captureContext returns a ctx carrying a funcr logger that records every
+// emitted line, capped at the given verbosity — the test stand-in for
+// --zap-log-level=<verbosity>.
+func captureContext(verbosity int) (context.Context, *[]string) {
+	lines := &[]string{}
+	log := funcr.New(func(prefix, args string) {
+		*lines = append(*lines, prefix+" "+args)
+	}, funcr.Options{Verbosity: verbosity})
+	return logr.NewContext(context.Background(), log), lines
+}
+
+func runningInstance() *computepb.Instance {
+	return &computepb.Instance{
+		Name:              proto.String("proxy-abc123def456ghij"),
+		Status:            proto.String("RUNNING"),
+		Zone:              proto.String("https://www.googleapis.com/compute/v1/projects/my-project/zones/europe-west1-b"),
+		CreationTimestamp: proto.String("2026-08-09T10:00:00+02:00"),
+		Labels: map[string]string{
+			provider.LabelManaged: provider.LabelManagedYes,
+			provider.LabelUID:     "uid-1",
+		},
+		NetworkInterfaces: []*computepb.NetworkInterface{{
+			AccessConfigs: []*computepb.AccessConfig{{NatIP: proto.String("34.1.2.3")}},
+		}},
+	}
+}
+
+func runAllOps(t *testing.T, ctx context.Context, req provider.CreateRequest) {
+	t.Helper()
+	inst := runningInstance()
+	p := newTestProvider(&fakeAPI{getInst: inst, listInsts: []*computepb.Instance{inst}})
+	if _, err := p.Create(ctx, req); err != nil {
+		t.Fatalf("Create: %v", err)
+	}
+	if _, err := p.Get(ctx, "zones/europe-west1-b/instances/proxy-abc123def456ghij"); err != nil {
+		t.Fatalf("Get: %v", err)
+	}
+	if err := p.Delete(ctx, "zones/europe-west1-b/instances/proxy-abc123def456ghij"); err != nil {
+		t.Fatalf("Delete: %v", err)
+	}
+	if _, err := p.ListByTag(ctx); err != nil {
+		t.Fatalf("ListByTag: %v", err)
+	}
+}
+
+func TestLogging_verbosityTiers(t *testing.T) {
+	t.Parallel()
+
+	tests := []struct {
+		name        string
+		verbosity   int
+		wantLines   []string
+		absentLines []string
+	}{
+		{
+			name:      "v0 stays silent",
+			verbosity: 0,
+			absentLines: []string{
+				"GCP instance insert submitted",
+				"GCP instance fetched",
+				"GCP instance delete submitted",
+				"GCP instances listed",
+			},
+		},
+		{
+			name:      "v1 logs one line per API call",
+			verbosity: 1,
+			wantLines: []string{
+				`"msg"="GCP instance insert submitted"`,
+				`"opName"="op-insert"`,
+				`"msg"="GCP instance fetched"`,
+				`"status"="RUNNING"`,
+				`"msg"="GCP instance delete submitted"`,
+				`"opName"="op-delete"`,
+				`"msg"="GCP instances listed"`,
+				`"provider"="gcp-eu"`,
+			},
+			absentLines: []string{
+				"GCP insert request built",
+				"GCP listed instance",
+			},
+		},
+		{
+			name:      "v2 adds request and per-instance detail",
+			verbosity: 2,
+			wantLines: []string{
+				`"msg"="GCP insert request built"`,
+				`"cloudInitBytes"=`,
+				`"msg"="GCP listed instance"`,
+			},
+		},
+	}
+
+	for _, tc := range tests {
+		t.Run(tc.name, func(t *testing.T) {
+			t.Parallel()
+			ctx, lines := captureContext(tc.verbosity)
+			req := testCreateRequest()
+			const sentinel = "SENTINEL-cloud-init-must-never-be-logged"
+			req.CloudInit = sentinel
+
+			runAllOps(t, ctx, req)
+
+			joined := strings.Join(*lines, "\n")
+			if tc.verbosity == 0 && len(*lines) != 0 {
+				t.Errorf("verbosity 0 logged %d lines:\n%s", len(*lines), joined)
+			}
+			for _, want := range tc.wantLines {
+				if !strings.Contains(joined, want) {
+					t.Errorf("output missing %q:\n%s", want, joined)
+				}
+			}
+			for _, absent := range tc.absentLines {
+				if strings.Contains(joined, absent) {
+					t.Errorf("output unexpectedly contains %q:\n%s", absent, joined)
+				}
+			}
+			if strings.Contains(joined, sentinel) {
+				t.Errorf("cloud-init content leaked into logs:\n%s", joined)
+			}
+		})
+	}
+}
+
+func TestWireLogger_gatesAtV5(t *testing.T) {
+	t.Parallel()
+
+	tests := []struct {
+		name      string
+		verbosity int
+		wantDebug bool
+	}{
+		{name: "v5 shows wire records", verbosity: 5, wantDebug: true},
+		{name: "v4 hides wire records", verbosity: 4, wantDebug: false},
+		{name: "v2 hides wire records", verbosity: 2, wantDebug: false},
+	}
+
+	for _, tc := range tests {
+		t.Run(tc.name, func(t *testing.T) {
+			t.Parallel()
+			lines := &[]string{}
+			base := funcr.New(func(prefix, args string) {
+				*lines = append(*lines, prefix+" "+args)
+			}, funcr.Options{Verbosity: tc.verbosity})
+
+			slogger := wireLogger(base, WireLogOptions{})
+			slogger.Debug("api request", "rpcName", "Insert")
+
+			joined := strings.Join(*lines, "\n")
+			if got := strings.Contains(joined, "api request"); got != tc.wantDebug {
+				t.Errorf("Debug record visible = %v, want %v; output:\n%s", got, tc.wantDebug, joined)
+			}
+			if tc.wantDebug && !strings.Contains(joined, "rpcName") {
+				t.Errorf("wire record lost its attrs:\n%s", joined)
+			}
+		})
+	}
+}
+
+func TestWireLogger_infoLandsAtV1(t *testing.T) {
+	t.Parallel()
+	lines := &[]string{}
+	base := funcr.New(func(prefix, args string) {
+		*lines = append(*lines, prefix+" "+args)
+	}, funcr.Options{Verbosity: 1})
+
+	wireLogger(base, WireLogOptions{}).Info("hello")
+
+	if joined := strings.Join(*lines, "\n"); !strings.Contains(joined, "hello") {
+		t.Errorf("slog Info should land at V(1) and be visible at verbosity 1; output:\n%s", joined)
+	}
+}
+
+func captureWireLogger(verbosity int, opts WireLogOptions) (*slog.Logger, *[]string) {
+	lines := &[]string{}
+	base := funcr.New(func(prefix, args string) {
+		*lines = append(*lines, prefix+" "+args)
+	}, funcr.Options{Verbosity: verbosity})
+	return wireLogger(base, opts), lines
+}
+
+func TestWireLogger_dropsNonAPIDebugRecords(t *testing.T) {
+	t.Parallel()
+	slogger, lines := captureWireLogger(9, WireLogOptions{})
+
+	const secret = "assertion=eyJhbGciOiJSUzI1NiJ9.SECRET"
+	slogger.Debug("2LO token request", "request", map[string]any{"payload": secret})
+	slogger.Debug("2LO token response", "response", map[string]any{"payload": "ya29.SECRET-TOKEN"})
+
+	if len(*lines) != 0 {
+		t.Errorf("auth token-exchange records must be dropped; got:\n%s", strings.Join(*lines, "\n"))
+	}
+
+	slogger.Warn("credential refresh failed")
+	if joined := strings.Join(*lines, "\n"); !strings.Contains(joined, "credential refresh failed") {
+		t.Errorf("non-debug SDK records should pass through; output:\n%s", joined)
+	}
+}
+
+func TestWireLogger_elidesLargeFields(t *testing.T) {
+	t.Parallel()
+	slogger, lines := captureWireLogger(9, WireLogOptions{})
+
+	huge := strings.Repeat("x", 4096)
+	slogger.Debug("api response", "response", map[string]any{
+		"status": "200",
+		"payload": map[string]any{
+			"name":  "proxy-abc",
+			"disks": []any{map[string]any{"content": huge}},
+		},
+	})
+
+	joined := strings.Join(*lines, "\n")
+	if strings.Contains(joined, huge[:64]) {
+		t.Errorf("large field not elided:\n%.500s", joined)
+	}
+	if !strings.Contains(joined, "[elided 4096 bytes]") {
+		t.Errorf("elision marker missing:\n%s", joined)
+	}
+	for _, keep := range []string{"proxy-abc", "200", "api response"} {
+		if !strings.Contains(joined, keep) {
+			t.Errorf("small field %q lost during elision:\n%s", keep, joined)
+		}
+	}
+}
+
+func TestWireLogger_fullPayloadsDisablesElision(t *testing.T) {
+	t.Parallel()
+	slogger, lines := captureWireLogger(9, WireLogOptions{FullPayloads: true})
+
+	huge := strings.Repeat("y", 4096)
+	slogger.Debug("api response", "response", map[string]any{"payload": huge})
+
+	joined := strings.Join(*lines, "\n")
+	if !strings.Contains(joined, huge) {
+		t.Errorf("FullPayloads should keep fields verbatim:\n%.200s", joined)
+	}
+
+	slogger.Debug("2LO token response", "response", "ya29.SECRET")
+	if joined := strings.Join(*lines, "\n"); strings.Contains(joined, "ya29.SECRET") {
+		t.Error("auth records must be dropped even with FullPayloads")
+	}
+}
+
+func TestLogging_apiErrorKeepsHTTPDetail(t *testing.T) {
+	t.Parallel()
+	ctx, lines := captureContext(1)
+	p := newTestProvider(&fakeAPI{insertErr: gerr(403, "quotaExceeded")})
+
+	if _, err := p.Create(ctx, testCreateRequest()); err == nil {
+		t.Fatal("Create: want error")
+	}
+
+	joined := strings.Join(*lines, "\n")
+	for _, want := range []string{
+		`"msg"="GCP API call failed"`,
+		`"httpStatus"=403`,
+		`"quotaExceeded"`,
+		`"op"="create"`,
+	} {
+		if !strings.Contains(joined, want) {
+			t.Errorf("output missing %q:\n%s", want, joined)
+		}
+	}
+}
+
+func TestLogging_treatedAsSuccessPathsAreExplicit(t *testing.T) {
+	t.Parallel()
+	ctx, lines := captureContext(1)
+	p := newTestProvider(&fakeAPI{insertErr: gerr(409), deleteErr: gerr(404)})
+
+	if _, err := p.Create(ctx, testCreateRequest()); err != nil {
+		t.Fatalf("Create with 409: %v", err)
+	}
+	if err := p.Delete(ctx, "zones/z/instances/gone"); err != nil {
+		t.Fatalf("Delete with 404: %v", err)
+	}
+
+	joined := strings.Join(*lines, "\n")
+	for _, want := range []string{
+		`"msg"="GCP instance already exists, insert treated as success"`,
+		`"msg"="GCP instance already gone, delete treated as success"`,
+	} {
+		if !strings.Contains(joined, want) {
+			t.Errorf("output missing %q:\n%s", want, joined)
+		}
+	}
+}

internal/provider/gcp/insert.go

@@ -0,0 +1,74 @@
+package gcp
+
+import (
+	"fmt"
+
+	"cloud.google.com/go/compute/apiv1/computepb"
+	"google.golang.org/protobuf/proto"
+
+	"gitea.home.hrajfrisbee.cz/kacerr/egress-proxies-operator/internal/provider"
+)
+
+const (
+	defaultNetwork    = "default"
+	defaultNetworkTag = "proxy-operator"
+	defaultDiskSizeGB = 10
+	userDataKey       = "user-data"
+)
+
+func withDefaults(cfg provider.GCPConfig) provider.GCPConfig {
+	if cfg.Network == "" {
+		cfg.Network = defaultNetwork
+	}
+	if cfg.NetworkTag == "" {
+		cfg.NetworkTag = defaultNetworkTag
+	}
+	if cfg.DiskSizeGB == 0 {
+		cfg.DiskSizeGB = defaultDiskSizeGB
+	}
+	return cfg
+}
+
+// buildInsertRequest is pure so the field-by-field unit test needs no fake
+// at all — the plan's primary test for this provider.
+func buildInsertRequest(cfg provider.GCPConfig, req provider.CreateRequest) *computepb.InsertInstanceRequest {
+	inst := &computepb.Instance{
+		Name:        proto.String(req.Name),
+		MachineType: proto.String(fmt.Sprintf("zones/%s/machineTypes/%s", req.Placement.Zone, req.Placement.MachineType)),
+		Disks: []*computepb.AttachedDisk{{
+			Boot:       proto.Bool(true),
+			AutoDelete: proto.Bool(true),
+			InitializeParams: &computepb.AttachedDiskInitializeParams{
+				SourceImage: proto.String(req.Placement.Image),
+				DiskSizeGb:  proto.Int64(cfg.DiskSizeGB),
+			},
+		}},
+		NetworkInterfaces: []*computepb.NetworkInterface{{
+			Network: proto.String("global/networks/" + cfg.Network),
+			// An ephemeral external IP: exactly this pair, per the API's
+			// contract for one-to-one NAT.
+			AccessConfigs: []*computepb.AccessConfig{{
+				Name: proto.String("External NAT"),
+				Type: proto.String("ONE_TO_ONE_NAT"),
+			}},
+		}},
+		// The GC contract: every resource this operator creates carries
+		// these two labels, and orphan GC relies on both.
+		Labels: map[string]string{
+			provider.LabelManaged: provider.LabelManagedYes,
+			provider.LabelUID:     req.UID,
+		},
+		Tags: &computepb.Tags{Items: []string{cfg.NetworkTag}},
+	}
+	if req.CloudInit != "" {
+		inst.Metadata = &computepb.Metadata{Items: []*computepb.Items{{
+			Key:   proto.String(userDataKey),
+			Value: proto.String(req.CloudInit),
+		}}}
+	}
+	return &computepb.InsertInstanceRequest{
+		Project:          cfg.Project,
+		Zone:             req.Placement.Zone,
+		InstanceResource: inst,
+	}
+}

internal/provider/gcp/insert_test.go

@@ -0,0 +1,127 @@
+package gcp
+
+import (
+	"testing"
+
+	"gitea.home.hrajfrisbee.cz/kacerr/egress-proxies-operator/internal/provider"
+)
+
+func testCreateRequest() provider.CreateRequest {
+	return provider.CreateRequest{
+		Name:      "proxy-abc123def456ghij",
+		UID:       "11111111-2222-3333-4444-555555555555",
+		Namespace: "default",
+		ProxyName: "eu-proxy-1",
+		Placement: provider.Placement{
+			Zone:        "europe-west1-b",
+			MachineType: "e2-micro",
+			Image:       "projects/debian-cloud/global/images/family/debian-12",
+		},
+		CloudInit: "#cloud-config\npackages: [squid]",
+		Port:      3128,
+	}
+}
+
+func TestBuildInsertRequest_fieldByField(t *testing.T) {
+	t.Parallel()
+	cfg := withDefaults(provider.GCPConfig{Project: "my-project"})
+	req := buildInsertRequest(cfg, testCreateRequest())
+
+	if req.Project != "my-project" || req.Zone != "europe-west1-b" {
+		t.Errorf("project/zone = %s/%s, want my-project/europe-west1-b", req.Project, req.Zone)
+	}
+	inst := req.InstanceResource
+	if inst.GetName() != "proxy-abc123def456ghij" {
+		t.Errorf("name = %s", inst.GetName())
+	}
+	if got, want := inst.GetMachineType(), "zones/europe-west1-b/machineTypes/e2-micro"; got != want {
+		t.Errorf("machineType = %s, want %s", got, want)
+	}
+
+	if len(inst.GetDisks()) != 1 {
+		t.Fatalf("disks = %d, want 1", len(inst.GetDisks()))
+	}
+	disk := inst.GetDisks()[0]
+	if !disk.GetBoot() || !disk.GetAutoDelete() {
+		t.Errorf("boot/autoDelete = %v/%v, want true/true", disk.GetBoot(), disk.GetAutoDelete())
+	}
+	if got, want := disk.GetInitializeParams().GetSourceImage(), "projects/debian-cloud/global/images/family/debian-12"; got != want {
+		t.Errorf("sourceImage = %s, want %s", got, want)
+	}
+	if disk.GetInitializeParams().GetDiskSizeGb() != 10 {
+		t.Errorf("diskSizeGb = %d, want the 10 default", disk.GetInitializeParams().GetDiskSizeGb())
+	}
+
+	if len(inst.GetNetworkInterfaces()) != 1 {
+		t.Fatalf("networkInterfaces = %d, want 1", len(inst.GetNetworkInterfaces()))
+	}
+	nic := inst.GetNetworkInterfaces()[0]
+	if got, want := nic.GetNetwork(), "global/networks/default"; got != want {
+		t.Errorf("network = %s, want %s", got, want)
+	}
+	if len(nic.GetAccessConfigs()) != 1 {
+		t.Fatalf("accessConfigs = %d, want 1", len(nic.GetAccessConfigs()))
+	}
+	ac := nic.GetAccessConfigs()[0]
+	if ac.GetName() != "External NAT" || ac.GetType() != "ONE_TO_ONE_NAT" {
+		t.Errorf("accessConfig = %s/%s, want External NAT/ONE_TO_ONE_NAT", ac.GetName(), ac.GetType())
+	}
+
+	wantLabels := map[string]string{
+		provider.LabelManaged: provider.LabelManagedYes,
+		provider.LabelUID:     "11111111-2222-3333-4444-555555555555",
+	}
+	labels := inst.GetLabels()
+	if len(labels) != len(wantLabels) {
+		t.Errorf("labels = %v, want %v", labels, wantLabels)
+	}
+	for k, v := range wantLabels {
+		if labels[k] != v {
+			t.Errorf("label %s = %q, want %q", k, labels[k], v)
+		}
+	}
+
+	if tags := inst.GetTags().GetItems(); len(tags) != 1 || tags[0] != "proxy-operator" {
+		t.Errorf("tags = %v, want [proxy-operator]", tags)
+	}
+
+	items := inst.GetMetadata().GetItems()
+	if len(items) != 1 || items[0].GetKey() != "user-data" {
+		t.Fatalf("metadata items = %v, want one user-data entry", items)
+	}
+	if items[0].GetValue() != "#cloud-config\npackages: [squid]" {
+		t.Errorf("user-data = %q, want the resolved cloud-init", items[0].GetValue())
+	}
+}
+
+func TestBuildInsertRequest_configOverrides(t *testing.T) {
+	t.Parallel()
+	cfg := withDefaults(provider.GCPConfig{
+		Project:    "my-project",
+		Network:    "crawl-vpc",
+		NetworkTag: "crawl-egress",
+		DiskSizeGB: 42,
+	})
+	req := buildInsertRequest(cfg, testCreateRequest())
+	inst := req.InstanceResource
+
+	if got, want := inst.GetNetworkInterfaces()[0].GetNetwork(), "global/networks/crawl-vpc"; got != want {
+		t.Errorf("network = %s, want %s", got, want)
+	}
+	if tags := inst.GetTags().GetItems(); len(tags) != 1 || tags[0] != "crawl-egress" {
+		t.Errorf("tags = %v, want [crawl-egress]", tags)
+	}
+	if got := inst.GetDisks()[0].GetInitializeParams().GetDiskSizeGb(); got != 42 {
+		t.Errorf("diskSizeGb = %d, want 42", got)
+	}
+}
+
+func TestBuildInsertRequest_noCloudInitMeansNoMetadata(t *testing.T) {
+	t.Parallel()
+	req := testCreateRequest()
+	req.CloudInit = ""
+	built := buildInsertRequest(withDefaults(provider.GCPConfig{Project: "p"}), req)
+	if built.InstanceResource.GetMetadata() != nil {
+		t.Errorf("metadata = %v, want none without cloud-init", built.InstanceResource.GetMetadata())
+	}
+}

internal/provider/gcp/wirelog.go

@@ -0,0 +1,127 @@
+package gcp
+
+import (
+	"context"
+	"fmt"
+	"log/slog"
+
+	"github.com/go-logr/logr"
+	"go.opentelemetry.io/otel/trace"
+)
+
+// wireLogMaxFieldBytes is the elision threshold for string fields in wire
+// payloads: GCP responses embed multi-KB blobs (Shielded-VM UEFI dbx
+// databases, licenses) that swamp the log line without diagnostic value.
+const wireLogMaxFieldBytes = 1024
+
+// WireLogOptions controls the V(5) HTTP wire logging of the GCP SDK.
+type WireLogOptions struct {
+	// FullPayloads disables field elision and logs payloads verbatim.
+	FullPayloads bool
+}
+
+// wireLogger returns the slog logger handed to the SDK: its Debug-level
+// "api request"/"api response" records (slog Debug = +4 on the logr
+// scale) land at V(5) on top of the base's V(1) shift.
+//
+// Debug records other than the compute client's api request/response are
+// dropped entirely: the same logger propagates into the auth library,
+// whose token-exchange records contain the signed JWT assertion and the
+// bearer access token. Warnings and errors pass through.
+func wireLogger(base logr.Logger, opts WireLogOptions) *slog.Logger {
+	return slog.New(&wireFilterHandler{
+		inner:        logr.ToSlogHandler(base.V(1)),
+		fullPayloads: opts.FullPayloads,
+	})
+}
+
+type wireFilterHandler struct {
+	inner        slog.Handler
+	fullPayloads bool
+}
+
+func (h *wireFilterHandler) Enabled(ctx context.Context, level slog.Level) bool {
+	return h.inner.Enabled(ctx, level)
+}
+
+func (h *wireFilterHandler) Handle(ctx context.Context, rec slog.Record) error {
+	if rec.Level <= slog.LevelDebug && rec.Message != "api request" && rec.Message != "api response" {
+		return nil
+	}
+	// The SDK logs with the request ctx, so wire records can carry the
+	// surrounding provider span — the one place slog's ctx-aware handlers
+	// beat logr, and the same keys the logr enrichment uses.
+	if sc := trace.SpanContextFromContext(ctx); sc.IsValid() {
+		rec = rec.Clone()
+		rec.AddAttrs(
+			slog.String("traceID", sc.TraceID().String()),
+			slog.String("spanID", sc.SpanID().String()))
+	}
+	if h.fullPayloads {
+		return h.inner.Handle(ctx, rec)
+	}
+	elided := slog.NewRecord(rec.Time, rec.Level, rec.Message, rec.PC)
+	rec.Attrs(func(a slog.Attr) bool {
+		elided.AddAttrs(slog.Attr{Key: a.Key, Value: elideValue(a.Value)})
+		return true
+	})
+	return h.inner.Handle(ctx, elided)
+}
+
+func (h *wireFilterHandler) WithAttrs(attrs []slog.Attr) slog.Handler {
+	return &wireFilterHandler{inner: h.inner.WithAttrs(attrs), fullPayloads: h.fullPayloads}
+}
+
+func (h *wireFilterHandler) WithGroup(name string) slog.Handler {
+	return &wireFilterHandler{inner: h.inner.WithGroup(name), fullPayloads: h.fullPayloads}
+}
+
+func elideValue(v slog.Value) slog.Value {
+	v = v.Resolve()
+	switch v.Kind() {
+	case slog.KindString:
+		if s := v.String(); len(s) > wireLogMaxFieldBytes {
+			return slog.StringValue(elisionMarker(len(s)))
+		}
+		return v
+	case slog.KindGroup:
+		attrs := v.Group()
+		out := make([]slog.Attr, 0, len(attrs))
+		for _, a := range attrs {
+			out = append(out, slog.Attr{Key: a.Key, Value: elideValue(a.Value)})
+		}
+		return slog.GroupValue(out...)
+	case slog.KindAny:
+		return slog.AnyValue(elideAny(v.Any()))
+	default:
+		return v
+	}
+}
+
+func elideAny(v any) any {
+	switch t := v.(type) {
+	case string:
+		if len(t) > wireLogMaxFieldBytes {
+			return elisionMarker(len(t))
+		}
+		return t
+	case map[string]any:
+		out := make(map[string]any, len(t))
+		for k, val := range t {
+			out[k] = elideAny(val)
+		}
+		return out
+	case []any:
+		out := make([]any, len(t))
+		for i, val := range t {
+			out[i] = elideAny(val)
+		}
+		return out
+	default:
+		return v
+	}
+}
+
+func elisionMarker(size int) string {
+	return fmt.Sprintf("[elided %d bytes]", size)
+}

internal/provider/gcp/wirelog_test.go

@@ -0,0 +1,50 @@
+package gcp
+
+import (
+	"context"
+	"strings"
+	"testing"
+
+	"github.com/go-logr/logr/funcr"
+	sdktrace "go.opentelemetry.io/otel/sdk/trace"
+)
+
+func TestWireFilterHandler_addsTraceContext(t *testing.T) {
+	t.Parallel()
+
+	var lines []string
+	base := funcr.New(func(prefix, args string) {
+		lines = append(lines, prefix+" "+args)
+	}, funcr.Options{Verbosity: 5})
+	log := wireLogger(base, WireLogOptions{})
+
+	tp := sdktrace.NewTracerProvider()
+	t.Cleanup(func() { _ = tp.Shutdown(context.Background()) })
+	ctx, span := tp.Tracer("test").Start(context.Background(), "provider.create")
+	defer span.End()
+
+	log.DebugContext(ctx, "api request", "url", "https://compute.googleapis.com/x")
+	if len(lines) != 1 {
+		t.Fatalf("got %d lines, want 1: %v", len(lines), lines)
+	}
+	traceID := span.SpanContext().TraceID().String()
+	if !strings.Contains(lines[0], "traceID") || !strings.Contains(lines[0], traceID) {
+		t.Errorf("wire record missing trace context %s: %s", traceID, lines[0])
+	}
+
+	// The security filter must still win: non-wire Debug records are
+	// dropped even when a span is present.
+	log.DebugContext(ctx, "token exchange", "assertion", "secret-jwt")
+	if len(lines) != 1 {
+		t.Fatalf("filtered record leaked: %v", lines[1:])
+	}
+
+	// No span in ctx: record passes through without trace keys.
+	log.DebugContext(context.Background(), "api response", "status", 200)
+	if len(lines) != 2 {
+		t.Fatalf("got %d lines, want 2", len(lines))
+	}
+	if strings.Contains(lines[1], "traceID") {
+		t.Errorf("spanless record must not carry traceID: %s", lines[1])
+	}
+}

internal/provider/kubernetes/kubernetes.go

@@ -14,6 +14,7 @@ import (
 	"k8s.io/apimachinery/pkg/runtime"
 	"k8s.io/apimachinery/pkg/types"
 	"k8s.io/client-go/tools/cache"
+	"k8s.io/client-go/transport"
 	ctrl "sigs.k8s.io/controller-runtime"
 	"sigs.k8s.io/controller-runtime/pkg/client"
 
@@ -39,11 +40,22 @@ type Provider struct {
 
 // New builds a kubernetes Provider from its config block. Satisfies
 // registry.Constructor.
-func New(_ context.Context, cfg provider.ProviderConfig) (provider.Provider, error) {
+func New(ctx context.Context, cfg provider.ProviderConfig) (provider.Provider, error) {
+	return NewWithTransportWrapper(ctx, cfg, nil)
+}
+
+// NewWithTransportWrapper is New with an optional transport wrapper applied
+// to the provider's own rest.Config (this client is built independently of
+// the manager's, so the composition root must wrap it separately for
+// tracing). A nil wrapper means a plain client.
+func NewWithTransportWrapper(_ context.Context, cfg provider.ProviderConfig, wrap transport.WrapperFunc) (provider.Provider, error) {
 	restCfg, err := ctrl.GetConfig()
 	if err != nil {
 		return nil, fmt.Errorf("kubernetes provider %q: loading kubeconfig: %w", cfg.Name, err)
 	}
+	if wrap != nil {
+		restCfg.Wrap(wrap)
+	}
 	scheme := runtime.NewScheme()
 	if err := corev1.AddToScheme(scheme); err != nil {
 		return nil, fmt.Errorf("kubernetes provider %q: %w", cfg.Name, err)

internal/provider/kubernetes/pod.go

@@ -58,10 +58,18 @@ func buildPod(image string, req provider.CreateRequest) *corev1.Pod {
 // there, never interpreted. via/forwarded_for are turned off so the proxy
 // doesn't leak the Pod's identity to the origin.
 func squidConf(port int32) string {
+	// max_filedescriptors is load-bearing in containers: squid sizes its FD
+	// tables from RLIMIT_NOFILE at startup, and containerd commonly sets
+	// that to effectively unlimited (kind: ~10^9) — squid then allocates
+	// gigabytes and is OOM-killed before it ever listens. cache_mem is
+	// trimmed because a forwarding proxy for crawling gains nothing from
+	// squid's 256 MB default cache.
 	return fmt.Sprintf(`http_port %d
 acl all src 0.0.0.0/0
 http_access allow all
 via off
 forwarded_for off
+max_filedescriptors 1024
+cache_mem 16 MB
 `, port)
 }

internal/provider/kubernetes/pod_test.go

@@ -72,7 +72,10 @@ func TestBuildPod_usesRequestPort(t *testing.T) {
 func TestSquidConf_permissive(t *testing.T) {
 	t.Parallel()
 	conf := squidConf(3128)
-	for _, want := range []string{"http_port 3128", "http_access allow all", "via off", "forwarded_for off"} {
+	// max_filedescriptors guards against squid sizing its FD tables from a
+	// container's effectively-unlimited RLIMIT_NOFILE and getting OOM-killed
+	// at startup — found by the kind verification run, must not regress.
+	for _, want := range []string{"http_port 3128", "http_access allow all", "via off", "forwarded_for off", "max_filedescriptors 1024"} {
 		if !strings.Contains(conf, want) {
 			t.Errorf("squidConf() = %q, want it to contain %q", conf, want)
 		}

internal/provider/metrics.go

@@ -0,0 +1,74 @@
+package provider
+
+import "context"
+
+// RequestRecorder receives one record per provider API call. Implemented
+// by internal/metrics; defined here so this package needs no metrics
+// dependency.
+type RequestRecorder interface {
+	ProviderRequest(provider, op, result string)
+}
+
+// WithMetrics wraps a Provider so every call is recorded with its
+// classified result — zero-cost instrumentation for the next five
+// providers, and the one place Class is called purely for observability.
+func WithMetrics(name string, p Provider, rec RequestRecorder) Provider {
+	return &instrumented{name: name, inner: p, rec: rec}
+}
+
+type instrumented struct {
+	name  string
+	inner Provider
+	rec   RequestRecorder
+}
+
+func (i *instrumented) Create(ctx context.Context, req CreateRequest) (string, error) {
+	id, err := i.inner.Create(ctx, req)
+	i.record("create", err)
+	return id, err
+}
+
+func (i *instrumented) Get(ctx context.Context, providerID string) (*Instance, error) {
+	inst, err := i.inner.Get(ctx, providerID)
+	i.record("get", err)
+	return inst, err
+}
+
+func (i *instrumented) Delete(ctx context.Context, providerID string) error {
+	err := i.inner.Delete(ctx, providerID)
+	i.record("delete", err)
+	return err
+}
+
+func (i *instrumented) ListByTag(ctx context.Context) ([]Instance, error) {
+	instances, err := i.inner.ListByTag(ctx)
+	i.record("list", err)
+	return instances, err
+}
+
+func (i *instrumented) record(op string, err error) {
+	i.rec.ProviderRequest(i.name, op, resultLabel(err))
+}
+
+const (
+	resultOK            = "ok"
+	resultNotFound      = "not_found"
+	resultQuotaExceeded = "quota_exceeded"
+	resultPermanent     = "permanent"
+	resultTransient     = "transient"
+)
+
+func resultLabel(err error) string {
+	switch Class(err) {
+	case nil:
+		return resultOK
+	case ErrNotFound:
+		return resultNotFound
+	case ErrQuotaExceeded:
+		return resultQuotaExceeded
+	case ErrPermanent:
+		return resultPermanent
+	default:
+		return resultTransient
+	}
+}

internal/provider/metrics_test.go

@@ -0,0 +1,100 @@
+package provider
+
+import (
+	"context"
+	"errors"
+	"testing"
+)
+
+type recordedCall struct{ provider, op, result string }
+
+type fakeRecorder struct{ calls []recordedCall }
+
+func (f *fakeRecorder) ProviderRequest(provider, op, result string) {
+	f.calls = append(f.calls, recordedCall{provider, op, result})
+}
+
+// staticProvider returns canned values; only the classification of its
+// errors matters here.
+type staticProvider struct {
+	createErr, deleteErr, getErr, listErr error
+}
+
+func (s *staticProvider) Create(context.Context, CreateRequest) (string, error) {
+	return "id-1", s.createErr
+}
+func (s *staticProvider) Get(context.Context, string) (*Instance, error) {
+	return &Instance{ID: "id-1"}, s.getErr
+}
+func (s *staticProvider) Delete(context.Context, string) error          { return s.deleteErr }
+func (s *staticProvider) ListByTag(context.Context) ([]Instance, error) { return nil, s.listErr }
+
+func TestWithMetrics_recordsClassifiedResults(t *testing.T) {
+	t.Parallel()
+
+	tests := []struct {
+		name       string
+		inner      *staticProvider
+		call       func(p Provider) error
+		wantOp     string
+		wantResult string
+	}{
+		{
+			name:       "successful create is ok",
+			inner:      &staticProvider{},
+			call:       func(p Provider) error { _, err := p.Create(context.Background(), CreateRequest{}); return err },
+			wantOp:     "create",
+			wantResult: "ok",
+		},
+		{
+			name:       "get NotFound",
+			inner:      &staticProvider{getErr: Wrap(ErrNotFound, "get", "x", "id-1", nil)},
+			call:       func(p Provider) error { _, err := p.Get(context.Background(), "id-1"); return err },
+			wantOp:     "get",
+			wantResult: "not_found",
+		},
+		{
+			name:       "create quota",
+			inner:      &staticProvider{createErr: Wrap(ErrQuotaExceeded, "create", "x", "", nil)},
+			call:       func(p Provider) error { _, err := p.Create(context.Background(), CreateRequest{}); return err },
+			wantOp:     "create",
+			wantResult: "quota_exceeded",
+		},
+		{
+			name:       "delete permanent",
+			inner:      &staticProvider{deleteErr: Wrap(ErrPermanent, "delete", "x", "id-1", nil)},
+			call:       func(p Provider) error { return p.Delete(context.Background(), "id-1") },
+			wantOp:     "delete",
+			wantResult: "permanent",
+		},
+		{
+			name:       "unclassified list error is transient",
+			inner:      &staticProvider{listErr: errors.New("connection reset")},
+			call:       func(p Provider) error { _, err := p.ListByTag(context.Background()); return err },
+			wantOp:     "list",
+			wantResult: "transient",
+		},
+	}
+
+	for _, tc := range tests {
+		t.Run(tc.name, func(t *testing.T) {
+			t.Parallel()
+			rec := &fakeRecorder{}
+			p := WithMetrics("gcp-eu", tc.inner, rec)
+
+			callErr := tc.call(p)
+
+			if len(rec.calls) != 1 {
+				t.Fatalf("recorded %d calls, want 1", len(rec.calls))
+			}
+			want := recordedCall{provider: "gcp-eu", op: tc.wantOp, result: tc.wantResult}
+			if rec.calls[0] != want {
+				t.Errorf("recorded %+v, want %+v", rec.calls[0], want)
+			}
+			// The decorator must be transparent: errors pass through.
+			if (tc.wantResult == "ok") != (callErr == nil) {
+				t.Errorf("error passthrough broken: result %s but err %v", tc.wantResult, callErr)
+			}
+		})
+	}
+}

internal/provider/tracing.go

@@ -0,0 +1,80 @@
+package provider
+
+import (
+	"context"
+
+	"go.opentelemetry.io/otel/attribute"
+	"go.opentelemetry.io/otel/codes"
+	"go.opentelemetry.io/otel/trace"
+
+	"gitea.home.hrajfrisbee.cz/kacerr/egress-proxies-operator/internal/tracing"
+)
+
+// WithTracing wraps a Provider so every call runs in a client span carrying
+// the classified result, mirroring WithMetrics. It goes through
+// tracing.StartSpan, so provider-internal logs (e.g. the gcp provider's
+// context logger) inherit traceID/spanID. Errors pass through unmodified.
+func WithTracing(name string, p Provider, opts ...tracing.Option) Provider {
+	return &traced{name: name, inner: p, tracer: tracing.Tracer(opts...)}
+}
+
+type traced struct {
+	name   string
+	inner  Provider
+	tracer trace.Tracer
+}
+
+func (t *traced) Create(ctx context.Context, req CreateRequest) (string, error) {
+	ctx, span := t.start(ctx, "provider.create")
+	id, err := t.inner.Create(ctx, req)
+	if id != "" {
+		span.SetAttributes(attribute.String("provider.id", id))
+	}
+	t.end(span, err)
+	return id, err
+}
+
+func (t *traced) Get(ctx context.Context, providerID string) (*Instance, error) {
+	ctx, span := t.start(ctx, "provider.get")
+	span.SetAttributes(attribute.String("provider.id", providerID))
+	inst, err := t.inner.Get(ctx, providerID)
+	t.end(span, err)
+	return inst, err
+}
+
+func (t *traced) Delete(ctx context.Context, providerID string) error {
+	ctx, span := t.start(ctx, "provider.delete")
+	span.SetAttributes(attribute.String("provider.id", providerID))
+	err := t.inner.Delete(ctx, providerID)
+	t.end(span, err)
+	return err
+}
+
+func (t *traced) ListByTag(ctx context.Context) ([]Instance, error) {
+	ctx, span := t.start(ctx, "provider.list")
+	instances, err := t.inner.ListByTag(ctx)
+	span.SetAttributes(attribute.Int("provider.instances", len(instances)))
+	t.end(span, err)
+	return instances, err
+}
+
+func (t *traced) start(ctx context.Context, op string) (context.Context, trace.Span) {
+	return tracing.StartSpan(ctx, t.tracer, op,
+		trace.WithSpanKind(trace.SpanKindClient),
+		trace.WithAttributes(attribute.String("provider.name", t.name)))
+}
+
+// end records the taxonomy class and closes the span. ErrNotFound stays Ok:
+// the reconciler polls Get to NotFound during replacement/deletion, so it is
+// an expected answer, not a failure — same reasoning as resultLabel's
+// distinct "not_found" bucket.
+func (t *traced) end(span trace.Span, err error) {
+	span.SetAttributes(attribute.String("provider.result", resultLabel(err)))
+	switch Class(err) {
+	case nil, ErrNotFound:
+		span.SetStatus(codes.Ok, "")
+	default:
+		span.SetStatus(codes.Error, err.Error())
+	}
+	span.End()
+}

internal/provider/tracing_test.go

@@ -0,0 +1,118 @@
+package provider
+
+import (
+	"context"
+	"errors"
+	"slices"
+	"testing"
+
+	"go.opentelemetry.io/otel/attribute"
+	"go.opentelemetry.io/otel/codes"
+	sdktrace "go.opentelemetry.io/otel/sdk/trace"
+	"go.opentelemetry.io/otel/sdk/trace/tracetest"
+	"go.opentelemetry.io/otel/trace"
+
+	"gitea.home.hrajfrisbee.cz/kacerr/egress-proxies-operator/internal/tracing"
+)
+
+func TestWithTracing_spanPerCall(t *testing.T) {
+	t.Parallel()
+
+	tests := []struct {
+		name       string
+		inner      *staticProvider
+		call       func(p Provider) error
+		wantSpan   string
+		wantStatus codes.Code
+		wantResult string
+		wantAttr   attribute.KeyValue
+	}{
+		{
+			name:       "successful create",
+			inner:      &staticProvider{},
+			call:       func(p Provider) error { _, err := p.Create(context.Background(), CreateRequest{}); return err },
+			wantSpan:   "provider.create",
+			wantStatus: codes.Ok,
+			wantResult: resultOK,
+			wantAttr:   attribute.String("provider.id", "id-1"),
+		},
+		{
+			name:       "get NotFound is not a span error",
+			inner:      &staticProvider{getErr: Wrap(ErrNotFound, "get", "x", "id-1", nil)},
+			call:       func(p Provider) error { _, err := p.Get(context.Background(), "id-1"); return err },
+			wantSpan:   "provider.get",
+			wantStatus: codes.Ok,
+			wantResult: resultNotFound,
+			wantAttr:   attribute.String("provider.id", "id-1"),
+		},
+		{
+			name:       "delete transient error",
+			inner:      &staticProvider{deleteErr: Wrap(ErrTransient, "delete", "x", "id-1", errors.New("503"))},
+			call:       func(p Provider) error { return p.Delete(context.Background(), "id-1") },
+			wantSpan:   "provider.delete",
+			wantStatus: codes.Error,
+			wantResult: resultTransient,
+			wantAttr:   attribute.String("provider.id", "id-1"),
+		},
+		{
+			name:       "quota exceeded create",
+			inner:      &staticProvider{createErr: Wrap(ErrQuotaExceeded, "create", "x", "", nil)},
+			call:       func(p Provider) error { _, err := p.Create(context.Background(), CreateRequest{}); return err },
+			wantSpan:   "provider.create",
+			wantStatus: codes.Error,
+			wantResult: resultQuotaExceeded,
+			wantAttr:   attribute.String("provider.name", "x"),
+		},
+		{
+			name:       "list records instance count",
+			inner:      &staticProvider{},
+			call:       func(p Provider) error { _, err := p.ListByTag(context.Background()); return err },
+			wantSpan:   "provider.list",
+			wantStatus: codes.Ok,
+			wantResult: resultOK,
+			wantAttr:   attribute.Int("provider.instances", 0),
+		},
+	}
+
+	for _, tc := range tests {
+		t.Run(tc.name, func(t *testing.T) {
+			t.Parallel()
+			sr := tracetest.NewSpanRecorder()
+			tp := sdktrace.NewTracerProvider(sdktrace.WithSpanProcessor(sr))
+			t.Cleanup(func() { _ = tp.Shutdown(context.Background()) })
+
+			p := WithTracing("x", tc.inner, tracing.WithTracerProvider(tp))
+			err := tc.call(p)
+
+			wantErr := errors.Join(tc.inner.createErr, tc.inner.getErr, tc.inner.deleteErr, tc.inner.listErr)
+			if (wantErr == nil) != (err == nil) {
+				t.Fatalf("decorator changed the error: got %v", err)
+			}
+
+			ended := sr.Ended()
+			if len(ended) != 1 {
+				t.Fatalf("got %d spans, want 1", len(ended))
+			}
+			span := ended[0]
+			if span.Name() != tc.wantSpan {
+				t.Errorf("span name = %q, want %q", span.Name(), tc.wantSpan)
+			}
+			if span.SpanKind() != trace.SpanKindClient {
+				t.Errorf("span kind = %v, want client", span.SpanKind())
+			}
+			if span.Status().Code != tc.wantStatus {
+				t.Errorf("status = %v, want %v", span.Status().Code, tc.wantStatus)
+			}
+			attrs := span.Attributes()
+			hasAttr := func(want attribute.KeyValue) bool {
+				return slices.Contains(attrs, want)
+			}
+			if !hasAttr(attribute.String("provider.result", tc.wantResult)) {
+				t.Errorf("provider.result %q missing in %v", tc.wantResult, attrs)
+			}
+			if !hasAttr(tc.wantAttr) {
+				t.Errorf("attribute %v missing in %v", tc.wantAttr, attrs)
+			}
+		})
+	}
+}

internal/tracing/http.go

@@ -0,0 +1,41 @@
+package tracing
+
+import (
+	"net/http"
+
+	"github.com/go-logr/logr"
+	"go.opentelemetry.io/contrib/instrumentation/net/http/otelhttp"
+	"go.opentelemetry.io/otel/propagation"
+)
+
+// HTTPMiddleware returns middleware that opens a server span per request
+// (named from the mux route pattern once routing has happened) and hands
+// handlers a request context whose logf.FromContext logger is base enriched
+// with the trace context. Incoming W3C traceparent headers are honored, so
+// clients see their own trace continue into the operator. /healthz is never
+// traced. With tracing disabled the middleware degrades to injecting base
+// unenriched — handlers can rely on logf.FromContext either way.
+func HTTPMiddleware(operation string, base logr.Logger, opts ...Option) func(http.Handler) http.Handler {
+	o := newOptions(opts)
+	return func(next http.Handler) http.Handler {
+		inner := http.HandlerFunc(func(w http.ResponseWriter, r *http.Request) {
+			r2 := r.WithContext(ContextWithLogger(r.Context(), base))
+			next.ServeHTTP(w, r2)
+			// WithContext copies the request, so the mux recorded the matched
+			// route on r2; surface it to otelhttp, which renames the span
+			// from r.Pattern after the handler returns.
+			r.Pattern = r2.Pattern
+		})
+		otelOpts := []otelhttp.Option{
+			otelhttp.WithFilter(func(r *http.Request) bool { return r.URL.Path != "/healthz" }),
+			// Explicit propagators: deterministic regardless of whether the
+			// global propagator has been installed (tests, disabled tracing).
+			otelhttp.WithPropagators(propagation.NewCompositeTextMapPropagator(
+				propagation.TraceContext{}, propagation.Baggage{})),
+		}
+		if o.tp != nil {
+			otelOpts = append(otelOpts, otelhttp.WithTracerProvider(o.tp))
+		}
+		return otelhttp.NewHandler(inner, operation, otelOpts...)
+	}
+}

internal/tracing/http_test.go

@@ -0,0 +1,82 @@
+package tracing
+
+import (
+	"context"
+	"net/http"
+	"net/http/httptest"
+	"strings"
+	"testing"
+
+	sdktrace "go.opentelemetry.io/otel/sdk/trace"
+	"go.opentelemetry.io/otel/sdk/trace/tracetest"
+	logf "sigs.k8s.io/controller-runtime/pkg/log"
+)
+
+const sampleTraceparent = "00-4bf92f3577b34da6a3ce929d0e0e4736-00f067aa0ba902b7-01"
+
+func TestHTTPMiddleware(t *testing.T) {
+	t.Parallel()
+
+	newServer := func(lines *[]string, tp *sdktrace.TracerProvider) http.Handler {
+		mux := http.NewServeMux()
+		handler := func(w http.ResponseWriter, r *http.Request) {
+			logf.FromContext(r.Context()).Info("handling")
+			w.WriteHeader(http.StatusOK)
+		}
+		mux.HandleFunc("GET /healthz", handler)
+		mux.HandleFunc("GET /v1/things/{id}", handler)
+		return HTTPMiddleware("discovery", captureLogger(lines), WithTracerProvider(tp))(mux)
+	}
+
+	t.Run("route span, enriched handler logs, traceparent continuation", func(t *testing.T) {
+		t.Parallel()
+		sr := tracetest.NewSpanRecorder()
+		tp := sdktrace.NewTracerProvider(sdktrace.WithSpanProcessor(sr))
+		t.Cleanup(func() { _ = tp.Shutdown(context.Background()) })
+
+		var lines []string
+		rec := httptest.NewRecorder()
+		req := httptest.NewRequest(http.MethodGet, "/v1/things/42", nil)
+		req.Header.Set("traceparent", sampleTraceparent)
+		newServer(&lines, tp).ServeHTTP(rec, req)
+
+		ended := sr.Ended()
+		if len(ended) != 1 {
+			t.Fatalf("got %d spans, want 1", len(ended))
+		}
+		if got := ended[0].Name(); got != "GET /v1/things/{id}" {
+			t.Errorf("span name = %q, want route pattern", got)
+		}
+		wantTrace := "4bf92f3577b34da6a3ce929d0e0e4736"
+		if got := ended[0].SpanContext().TraceID().String(); got != wantTrace {
+			t.Errorf("span traceID = %s, want continuation of client trace %s", got, wantTrace)
+		}
+		if len(lines) != 1 {
+			t.Fatalf("got %d log lines, want 1: %v", len(lines), lines)
+		}
+		if n := strings.Count(lines[0], `"traceID"`); n != 1 {
+			t.Errorf("traceID appears %d times, want 1: %s", n, lines[0])
+		}
+		if !strings.Contains(lines[0], wantTrace) {
+			t.Errorf("handler log missing traceID %s: %s", wantTrace, lines[0])
+		}
+	})
+
+	t.Run("healthz is not traced but still gets a logger", func(t *testing.T) {
+		t.Parallel()
+		sr := tracetest.NewSpanRecorder()
+		tp := sdktrace.NewTracerProvider(sdktrace.WithSpanProcessor(sr))
+		t.Cleanup(func() { _ = tp.Shutdown(context.Background()) })
+
+		var lines []string
+		rec := httptest.NewRecorder()
+		newServer(&lines, tp).ServeHTTP(rec, httptest.NewRequest(http.MethodGet, "/healthz", nil))
+
+		if len(sr.Ended()) != 0 {
+			t.Fatalf("healthz produced %d spans, want 0", len(sr.Ended()))
+		}
+		if len(lines) != 1 || strings.Contains(lines[0], "traceID") {
+			t.Fatalf("want one unenriched log line, got %v", lines)
+		}
+	})
+}

internal/tracing/logger.go

@@ -0,0 +1,65 @@
+package tracing
+
+import (
+	"context"
+
+	"github.com/go-logr/logr"
+	"go.opentelemetry.io/otel/trace"
+	logf "sigs.k8s.io/controller-runtime/pkg/log"
+)
+
+// baseLoggerKey stores the pre-enrichment logger. logr sinks never see a
+// context, so trace IDs must ride on the logger as WithValues — and zap does
+// not dedupe repeated keys, so each nested span must re-derive from the same
+// base instead of stacking traceID/spanID onto an already-enriched logger.
+type baseLoggerKey struct{}
+
+// Start begins a span from the global tracer and returns a context whose
+// logf.FromContext logger carries the span's traceID/spanID. With tracing
+// disabled the span is a no-op with an invalid span context and the logger
+// is left untouched.
+//
+// Trade-off, documented: values pushed via logf.IntoContext *between* two
+// Start calls are dropped by the inner Start's re-derivation. Nothing
+// first-party does that; controller-runtime's per-reconcile logger
+// (reconcileID etc.) is captured as the base and survives.
+func Start(ctx context.Context, name string, opts ...trace.SpanStartOption) (context.Context, trace.Span) {
+	return StartSpan(ctx, newOptions(nil).tracer(), name, opts...)
+}
+
+// StartSpan is Start with an explicit tracer, for decorators that carry
+// their own (test-injected) TracerProvider.
+func StartSpan(ctx context.Context, tracer trace.Tracer, name string, opts ...trace.SpanStartOption) (context.Context, trace.Span) {
+	ctx, span := tracer.Start(ctx, name, opts...)
+	sc := span.SpanContext()
+	if !sc.IsValid() {
+		return ctx, span
+	}
+	base, ok := ctx.Value(baseLoggerKey{}).(logr.Logger)
+	if !ok {
+		base = logf.FromContext(ctx)
+		ctx = context.WithValue(ctx, baseLoggerKey{}, base)
+	}
+	return logf.IntoContext(ctx, withSpanValues(base, sc)), span
+}
+
+// ContextWithLogger seeds ctx with base as both the current logger and the
+// base for span enrichment. If ctx already carries a valid span (the HTTP
+// middleware calls this inside the otelhttp handler), the logger is
+// enriched immediately.
+//
+//nolint:logcheck // IntoContext-analogue: taking ctx and the logger to seed it with is the point.
+func ContextWithLogger(ctx context.Context, base logr.Logger) context.Context {
+	ctx = context.WithValue(ctx, baseLoggerKey{}, base)
+	if sc := trace.SpanContextFromContext(ctx); sc.IsValid() {
+		return logf.IntoContext(ctx, withSpanValues(base, sc))
+	}
+	return logf.IntoContext(ctx, base)
+}
+
+// withSpanValues uses lowerCamel keys to match the house style
+// (reconcileID, providerID); Grafana/Loki derived fields must match
+// "traceID", not the trace_id default.
+func withSpanValues(base logr.Logger, sc trace.SpanContext) logr.Logger {
+	return base.WithValues("traceID", sc.TraceID().String(), "spanID", sc.SpanID().String())
+}

internal/tracing/logger_test.go

@@ -0,0 +1,136 @@
+package tracing
+
+import (
+	"context"
+	"strings"
+	"testing"
+
+	"github.com/go-logr/logr"
+	"github.com/go-logr/logr/funcr"
+	sdktrace "go.opentelemetry.io/otel/sdk/trace"
+	"go.opentelemetry.io/otel/sdk/trace/tracetest"
+	"go.opentelemetry.io/otel/trace"
+	"go.opentelemetry.io/otel/trace/noop"
+	logf "sigs.k8s.io/controller-runtime/pkg/log"
+)
+
+// captureLogger records every emitted line so tests can assert on the
+// rendered key/value output — the only place duplicate zap-style keys
+// would show up.
+func captureLogger(lines *[]string) logr.Logger {
+	return funcr.New(func(prefix, args string) {
+		*lines = append(*lines, prefix+" "+args)
+	}, funcr.Options{})
+}
+
+func recordingTracer(t *testing.T) (trace.Tracer, *tracetest.SpanRecorder) {
+	t.Helper()
+	sr := tracetest.NewSpanRecorder()
+	tp := sdktrace.NewTracerProvider(sdktrace.WithSpanProcessor(sr))
+	t.Cleanup(func() { _ = tp.Shutdown(context.Background()) })
+	return tp.Tracer("test"), sr
+}
+
+func TestStartSpan_enrichesLoggerOncePerNesting(t *testing.T) {
+	t.Parallel()
+	tracer, sr := recordingTracer(t)
+
+	var lines []string
+	ctx := logf.IntoContext(context.Background(), captureLogger(&lines))
+
+	ctx1, span1 := StartSpan(ctx, tracer, "outer")
+	logf.FromContext(ctx1).Info("outer work")
+
+	ctx2, span2 := StartSpan(ctx1, tracer, "inner")
+	logf.FromContext(ctx2).Info("inner work")
+
+	span2.End()
+	span1.End()
+
+	if len(lines) != 2 {
+		t.Fatalf("got %d log lines, want 2: %v", len(lines), lines)
+	}
+	traceID := span1.SpanContext().TraceID().String()
+	for i, want := range []string{span1.SpanContext().SpanID().String(), span2.SpanContext().SpanID().String()} {
+		if n := strings.Count(lines[i], `"traceID"`); n != 1 {
+			t.Errorf("line %d: traceID appears %d times, want exactly 1: %s", i, n, lines[i])
+		}
+		if n := strings.Count(lines[i], `"spanID"`); n != 1 {
+			t.Errorf("line %d: spanID appears %d times, want exactly 1: %s", i, n, lines[i])
+		}
+		if !strings.Contains(lines[i], traceID) {
+			t.Errorf("line %d: missing traceID %s: %s", i, traceID, lines[i])
+		}
+		if !strings.Contains(lines[i], want) {
+			t.Errorf("line %d: missing spanID %s: %s", i, want, lines[i])
+		}
+	}
+
+	ended := sr.Ended()
+	if len(ended) != 2 {
+		t.Fatalf("got %d spans, want 2", len(ended))
+	}
+	// Ended in LIFO order: inner first.
+	if got := ended[0].Parent().SpanID(); got != span1.SpanContext().SpanID() {
+		t.Errorf("inner span parent = %s, want %s", got, span1.SpanContext().SpanID())
+	}
+}
+
+func TestStartSpan_noopTracerLeavesLoggerUntouched(t *testing.T) {
+	t.Parallel()
+
+	var lines []string
+	ctx := logf.IntoContext(context.Background(), captureLogger(&lines))
+
+	ctx, span := StartSpan(ctx, noop.NewTracerProvider().Tracer("test"), "op")
+	defer span.End()
+	logf.FromContext(ctx).Info("work")
+
+	if len(lines) != 1 {
+		t.Fatalf("got %d log lines, want 1", len(lines))
+	}
+	if strings.Contains(lines[0], "traceID") {
+		t.Errorf("disabled tracing must not add traceID: %s", lines[0])
+	}
+}
+
+func TestContextWithLogger(t *testing.T) {
+	t.Parallel()
+	tracer, _ := recordingTracer(t)
+
+	t.Run("no span injects base as-is", func(t *testing.T) {
+		t.Parallel()
+		var lines []string
+		ctx := ContextWithLogger(context.Background(), captureLogger(&lines))
+		logf.FromContext(ctx).Info("plain")
+		if len(lines) != 1 || strings.Contains(lines[0], "traceID") {
+			t.Fatalf("want one line without traceID, got %v", lines)
+		}
+	})
+
+	t.Run("existing span enriches immediately and nested Start does not stack", func(t *testing.T) {
+		t.Parallel()
+		var lines []string
+		ctx, outer := tracer.Start(context.Background(), "server")
+		defer outer.End()
+
+		ctx = ContextWithLogger(ctx, captureLogger(&lines))
+		logf.FromContext(ctx).Info("handler")
+
+		ctx, inner := StartSpan(ctx, tracer, "child")
+		defer inner.End()
+		logf.FromContext(ctx).Info("nested")
+
+		if len(lines) != 2 {
+			t.Fatalf("got %d lines, want 2: %v", len(lines), lines)
+		}
+		for i, line := range lines {
+			if n := strings.Count(line, `"traceID"`); n != 1 {
+				t.Errorf("line %d: traceID appears %d times, want 1: %s", i, n, line)
+			}
+		}
+		if !strings.Contains(lines[1], inner.SpanContext().SpanID().String()) {
+			t.Errorf("nested line should carry the child spanID: %s", lines[1])
+		}
+	})
+}

internal/tracing/options.go

@@ -0,0 +1,48 @@
+package tracing
+
+import (
+	"go.opentelemetry.io/otel"
+	"go.opentelemetry.io/otel/trace"
+)
+
+// tracerName is the instrumentation scope for every span this module emits.
+const tracerName = "gitea.home.hrajfrisbee.cz/kacerr/egress-proxies-operator"
+
+type options struct {
+	tp trace.TracerProvider
+}
+
+// Option configures the tracing decorators. The zero configuration uses the
+// global TracerProvider installed by Setup; tests inject their own recorder
+// via WithTracerProvider so they can run in parallel without touching
+// process-global state.
+type Option func(*options)
+
+// WithTracerProvider overrides the global TracerProvider.
+func WithTracerProvider(tp trace.TracerProvider) Option {
+	return func(o *options) { o.tp = tp }
+}
+
+func newOptions(opts []Option) options {
+	var o options
+	for _, opt := range opts {
+		opt(&o)
+	}
+	return o
+}
+
+// Tracer resolves a tracer from the given options, for decorators outside
+// this package (provider.WithTracing).
+func Tracer(opts ...Option) trace.Tracer {
+	return newOptions(opts).tracer()
+}
+
+// tracer resolves the configured tracer. The global path goes through
+// otel.Tracer, which delegates to whatever provider Setup installs later —
+// construction order between decorators and Setup does not matter.
+func (o options) tracer() trace.Tracer {
+	if o.tp != nil {
+		return o.tp.Tracer(tracerName)
+	}
+	return otel.Tracer(tracerName)
+}

internal/tracing/reconciler.go

@@ -0,0 +1,52 @@
+package tracing
+
+import (
+	"context"
+
+	"go.opentelemetry.io/otel/attribute"
+	"go.opentelemetry.io/otel/codes"
+	"go.opentelemetry.io/otel/trace"
+	"sigs.k8s.io/controller-runtime/pkg/controller"
+	"sigs.k8s.io/controller-runtime/pkg/reconcile"
+)
+
+// NewReconciler wraps inner so every reconcile runs in a root span named
+// "Reconcile <kind>" and every log line under it carries the trace context.
+// Reconciles are triggered by watch events with no incoming trace to
+// continue, so each one starts a new trace.
+func NewReconciler(kind string, inner reconcile.Reconciler, opts ...Option) reconcile.Reconciler {
+	return &tracedReconciler{
+		spanName: "Reconcile " + kind,
+		inner:    inner,
+		tracer:   newOptions(opts).tracer(),
+	}
+}
+
+type tracedReconciler struct {
+	spanName string
+	inner    reconcile.Reconciler
+	tracer   trace.Tracer
+}
+
+func (t *tracedReconciler) Reconcile(ctx context.Context, req reconcile.Request) (reconcile.Result, error) {
+	ctx, span := StartSpan(ctx, t.tracer, t.spanName,
+		trace.WithAttributes(
+			attribute.String("k8s.namespace.name", req.Namespace),
+			attribute.String("k8s.object.name", req.Name),
+		))
+	defer span.End()
+	if id := controller.ReconcileIDFromContext(ctx); id != "" {
+		span.SetAttributes(attribute.String("reconcile.id", string(id)))
+	}
+
+	res, err := t.inner.Reconcile(ctx, req)
+	if err != nil {
+		span.SetStatus(codes.Error, err.Error())
+		return res, err
+	}
+	span.SetStatus(codes.Ok, "")
+	if res.RequeueAfter > 0 {
+		span.SetAttributes(attribute.Int64("reconcile.requeue_after_ms", res.RequeueAfter.Milliseconds()))
+	}
+	return res, nil
+}

internal/tracing/reconciler_test.go

@@ -0,0 +1,86 @@
+package tracing
+
+import (
+	"context"
+	"errors"
+	"testing"
+	"time"
+
+	"go.opentelemetry.io/otel/attribute"
+	"go.opentelemetry.io/otel/codes"
+	sdktrace "go.opentelemetry.io/otel/sdk/trace"
+	"go.opentelemetry.io/otel/sdk/trace/tracetest"
+	"k8s.io/apimachinery/pkg/types"
+	"sigs.k8s.io/controller-runtime/pkg/reconcile"
+)
+
+type fakeReconciler struct {
+	res reconcile.Result
+	err error
+}
+
+func (f *fakeReconciler) Reconcile(context.Context, reconcile.Request) (reconcile.Result, error) {
+	return f.res, f.err
+}
+
+func TestNewReconciler_spanPerReconcile(t *testing.T) {
+	t.Parallel()
+
+	req := reconcile.Request{NamespacedName: types.NamespacedName{Namespace: "default", Name: "p1"}}
+
+	tests := []struct {
+		name       string
+		inner      *fakeReconciler
+		wantStatus codes.Code
+		wantAttr   attribute.KeyValue
+	}{
+		{
+			name:       "success records requeue",
+			inner:      &fakeReconciler{res: reconcile.Result{RequeueAfter: 10 * time.Second}},
+			wantStatus: codes.Ok,
+			wantAttr:   attribute.Int64("reconcile.requeue_after_ms", 10_000),
+		},
+		{
+			name:       "error sets error status",
+			inner:      &fakeReconciler{err: errors.New("boom")},
+			wantStatus: codes.Error,
+			wantAttr:   attribute.String("k8s.object.name", "p1"),
+		},
+	}
+
+	for _, tc := range tests {
+		t.Run(tc.name, func(t *testing.T) {
+			t.Parallel()
+			sr := tracetest.NewSpanRecorder()
+			tp := sdktrace.NewTracerProvider(sdktrace.WithSpanProcessor(sr))
+			t.Cleanup(func() { _ = tp.Shutdown(context.Background()) })
+
+			r := NewReconciler("Proxy", tc.inner, WithTracerProvider(tp))
+			res, err := r.Reconcile(context.Background(), req)
+			if res != tc.inner.res || !errors.Is(err, tc.inner.err) {
+				t.Fatalf("decorator changed the result: (%v, %v)", res, err)
+			}
+
+			ended := sr.Ended()
+			if len(ended) != 1 {
+				t.Fatalf("got %d spans, want 1", len(ended))
+			}
+			span := ended[0]
+			if span.Name() != "Reconcile Proxy" {
+				t.Errorf("span name = %q, want %q", span.Name(), "Reconcile Proxy")
+			}
+			if span.Status().Code != tc.wantStatus {
+				t.Errorf("status = %v, want %v", span.Status().Code, tc.wantStatus)
+			}
+			found := false
+			for _, a := range span.Attributes() {
+				if a == tc.wantAttr {
+					found = true
+				}
+			}
+			if !found {
+				t.Errorf("attribute %v missing in %v", tc.wantAttr, span.Attributes())
+			}
+		})
+	}
+}

internal/tracing/tracing.go

@@ -0,0 +1,157 @@
+// Package tracing wires OpenTelemetry tracing into the operator: SDK setup
+// gated on standard OTEL_* environment variables, span helpers that keep the
+// logr/zap logging enriched with trace context, and decorators for the
+// reconciler, providers, HTTP server, and Kubernetes API transport.
+package tracing
+
+import (
+	"context"
+	"fmt"
+	"os"
+	"strings"
+
+	"go.opentelemetry.io/otel"
+	"go.opentelemetry.io/otel/exporters/otlp/otlptrace/otlptracegrpc"
+	"go.opentelemetry.io/otel/exporters/otlp/otlptrace/otlptracehttp"
+	"go.opentelemetry.io/otel/exporters/stdout/stdouttrace"
+	"go.opentelemetry.io/otel/propagation"
+	"go.opentelemetry.io/otel/sdk/resource"
+	sdktrace "go.opentelemetry.io/otel/sdk/trace"
+	semconv "go.opentelemetry.io/otel/semconv/v1.43.0"
+	logf "sigs.k8s.io/controller-runtime/pkg/log"
+)
+
+const (
+	envSDKDisabled        = "OTEL_SDK_DISABLED"
+	envTracesExporter     = "OTEL_TRACES_EXPORTER"
+	envOTLPEndpoint       = "OTEL_EXPORTER_OTLP_ENDPOINT"
+	envOTLPTracesEndpoint = "OTEL_EXPORTER_OTLP_TRACES_ENDPOINT"
+	envOTLPProtocol       = "OTEL_EXPORTER_OTLP_PROTOCOL"
+	envOTLPTracesProtocol = "OTEL_EXPORTER_OTLP_TRACES_PROTOCOL"
+
+	exporterOTLP    = "otlp"
+	exporterConsole = "console"
+	exporterNone    = "none"
+)
+
+// maxQueueSize bounds the batch processor's span buffer; the default 2048
+// is oversized for this process (3 concurrent reconciles, tickers) and the
+// manager pod runs with a 128Mi memory limit.
+const maxQueueSize = 512
+
+// Setup initializes the global tracing pipeline from OTEL_* environment
+// variables and returns a shutdown func that flushes pending spans.
+//
+// Tracing stays fully off — no exporter, no global provider, spans are
+// no-ops, logs carry no traceID — unless the environment opts in by setting
+// OTEL_TRACES_EXPORTER or an OTLP endpoint. OTEL_SDK_DISABLED=true and
+// OTEL_TRACES_EXPORTER=none force it off (the Go SDK does not implement
+// OTEL_SDK_DISABLED itself). Sampling, endpoints, TLS, and headers follow
+// the standard SDK/exporter env vars (OTEL_TRACES_SAMPLER, OTEL_EXPORTER_OTLP_*).
+//
+// Setup logs via the logger in ctx (logf.FromContext) rather than a
+// parameter — the caller seeds it with logf.IntoContext.
+func Setup(ctx context.Context, service, version string) (func(context.Context) error, error) {
+	log := logf.FromContext(ctx)
+	noop := func(context.Context) error { return nil }
+
+	exporterEnv := strings.ToLower(strings.TrimSpace(os.Getenv(envTracesExporter)))
+	endpointSet := os.Getenv(envOTLPEndpoint) != "" ||
+		os.Getenv(envOTLPTracesEndpoint) != ""
+	sdkDisabled := strings.EqualFold(strings.TrimSpace(os.Getenv(envSDKDisabled)), "true")
+
+	if sdkDisabled || exporterEnv == exporterNone || (exporterEnv == "" && !endpointSet) {
+		log.Info("tracing disabled",
+			"reason", disabledReason(sdkDisabled, exporterEnv))
+		return noop, nil
+	}
+
+	exp, expName, err := newExporter(ctx, exporterEnv)
+	if err != nil {
+		return noop, fmt.Errorf("tracing setup: %w", err)
+	}
+
+	res, err := buildResource(ctx, service, version)
+	if err != nil {
+		if res == nil {
+			return noop, fmt.Errorf("tracing setup: building resource: %w", err)
+		}
+		// Schema-URL conflicts between semconv versions still yield a usable
+		// merged resource; keep it rather than losing tracing over metadata.
+		log.V(1).Info("tracing resource merge conflict; continuing", "err", err.Error())
+	}
+
+	tp := sdktrace.NewTracerProvider(
+		sdktrace.WithBatcher(exp, sdktrace.WithMaxQueueSize(maxQueueSize)),
+		sdktrace.WithResource(res),
+	)
+	otel.SetTracerProvider(tp)
+	otel.SetTextMapPropagator(propagation.NewCompositeTextMapPropagator(
+		propagation.TraceContext{}, propagation.Baggage{}))
+	otelLog := log.WithName("otel")
+	otel.SetLogger(otelLog)
+	// V(1), not Error: an unreachable collector fails every export cycle and
+	// would otherwise spam the error log every few seconds.
+	otel.SetErrorHandler(otel.ErrorHandlerFunc(func(err error) {
+		otelLog.V(1).Info("otel error", "err", err.Error())
+	}))
+
+	log.Info("tracing enabled", "exporter", expName, "service", service)
+	return tp.Shutdown, nil
+}
+
+func disabledReason(sdkDisabled bool, exporterEnv string) string {
+	switch {
+	case sdkDisabled:
+		return "OTEL_SDK_DISABLED=true"
+	case exporterEnv == exporterNone:
+		return "OTEL_TRACES_EXPORTER=none"
+	default:
+		return "no OTEL_TRACES_EXPORTER or OTLP endpoint configured"
+	}
+}
+
+// newExporter hand-rolls the OTEL_TRACES_EXPORTER / OTEL_EXPORTER_OTLP_*
+// protocol selection instead of pulling in contrib's autoexport, which drags
+// metric/log/prometheus exporters into a trace-only binary.
+func newExporter(ctx context.Context, kind string) (sdktrace.SpanExporter, string, error) {
+	switch kind {
+	case "", exporterOTLP:
+		proto := strings.ToLower(strings.TrimSpace(os.Getenv(envOTLPTracesProtocol)))
+		if proto == "" {
+			proto = strings.ToLower(strings.TrimSpace(os.Getenv(envOTLPProtocol)))
+		}
+		switch proto {
+		case "", "http/protobuf":
+			exp, err := otlptracehttp.New(ctx)
+			return exp, "otlp/http", err
+		case "grpc":
+			exp, err := otlptracegrpc.New(ctx)
+			return exp, "otlp/grpc", err
+		default:
+			return nil, "", fmt.Errorf("unsupported OTLP protocol %q (supported: http/protobuf, grpc)", proto)
+		}
+	case exporterConsole:
+		exp, err := stdouttrace.New()
+		return exp, exporterConsole, err
+	default:
+		return nil, "", fmt.Errorf("unsupported OTEL_TRACES_EXPORTER %q (supported: otlp, console, none)", kind)
+	}
+}
+
+// buildResource layers defaults < service identity < environment, so
+// OTEL_SERVICE_NAME / OTEL_RESOURCE_ATTRIBUTES always win.
+func buildResource(ctx context.Context, service, version string) (*resource.Resource, error) {
+	base, err := resource.Merge(resource.Default(), resource.NewWithAttributes(semconv.SchemaURL,
+		semconv.ServiceName(service),
+		semconv.ServiceVersion(version),
+	))
+	if err != nil {
+		return base, err
+	}
+	env, err := resource.New(ctx, resource.WithFromEnv())
+	if err != nil {
+		return base, err
+	}
+	return resource.Merge(base, env)
+}

internal/tracing/tracing_test.go

@@ -0,0 +1,130 @@
+package tracing
+
+import (
+	"context"
+	"testing"
+	"time"
+
+	"go.opentelemetry.io/otel"
+	sdktrace "go.opentelemetry.io/otel/sdk/trace"
+	"go.opentelemetry.io/otel/trace/noop"
+)
+
+const testOTLPEndpoint = "http://localhost:4318"
+
+// clearOTelEnv pins every env var Setup reads, so developer shells with
+// OTEL_* set can't change test outcomes. Not parallel-safe by design
+// (t.Setenv forbids t.Parallel).
+func clearOTelEnv(t *testing.T) {
+	t.Helper()
+	for _, k := range []string{
+		envSDKDisabled,
+		envTracesExporter,
+		envOTLPEndpoint,
+		envOTLPTracesEndpoint,
+		envOTLPProtocol,
+		envOTLPTracesProtocol,
+	} {
+		t.Setenv(k, "")
+	}
+}
+
+func TestSetup_envGating(t *testing.T) {
+	tests := []struct {
+		name        string
+		env         map[string]string
+		wantEnabled bool
+		wantErr     bool
+	}{
+		{name: "no env means disabled", env: nil, wantEnabled: false},
+		{
+			name:        "endpoint enables otlp",
+			env:         map[string]string{envOTLPEndpoint: testOTLPEndpoint},
+			wantEnabled: true,
+		},
+		{
+			name:        "traces endpoint enables otlp",
+			env:         map[string]string{envOTLPTracesEndpoint: testOTLPEndpoint},
+			wantEnabled: true,
+		},
+		{
+			name:        "explicit console exporter",
+			env:         map[string]string{envTracesExporter: exporterConsole},
+			wantEnabled: true,
+		},
+		{
+			name:        "grpc protocol",
+			env:         map[string]string{envTracesExporter: exporterOTLP, envOTLPProtocol: "grpc"},
+			wantEnabled: true,
+		},
+		{
+			name: "exporter none wins over endpoint",
+			env: map[string]string{
+				envTracesExporter: exporterNone,
+				envOTLPEndpoint:   testOTLPEndpoint,
+			},
+			wantEnabled: false,
+		},
+		{
+			name: "OTEL_SDK_DISABLED wins over everything",
+			env: map[string]string{
+				envSDKDisabled:  "true",
+				envOTLPEndpoint: testOTLPEndpoint,
+			},
+			wantEnabled: false,
+		},
+		{
+			name:    "unsupported exporter errors",
+			env:     map[string]string{envTracesExporter: "jaeger"},
+			wantErr: true,
+		},
+		{
+			name: "unsupported protocol errors",
+			env: map[string]string{
+				envTracesExporter: exporterOTLP,
+				envOTLPProtocol:   "http/json",
+			},
+			wantErr: true,
+		},
+	}
+
+	for _, tc := range tests {
+		t.Run(tc.name, func(t *testing.T) {
+			clearOTelEnv(t)
+			for k, v := range tc.env {
+				t.Setenv(k, v)
+			}
+			// Fresh noop global per case: disabled paths must leave it
+			// untouched, and resetting avoids leaking one case's SDK
+			// provider into the next (or warning-prone restores of the
+			// process-default delegate).
+			before := noop.NewTracerProvider()
+			otel.SetTracerProvider(before)
+
+			shutdown, err := Setup(context.Background(), "test-svc", "abc123")
+			if tc.wantErr {
+				if err == nil {
+					t.Fatal("want error, got nil")
+				}
+				return
+			}
+			if err != nil {
+				t.Fatalf("Setup: %v", err)
+			}
+
+			_, isSDK := otel.GetTracerProvider().(*sdktrace.TracerProvider)
+			if isSDK != tc.wantEnabled {
+				t.Errorf("global provider is SDK = %v, want %v", isSDK, tc.wantEnabled)
+			}
+			if tc.wantEnabled && otel.GetTracerProvider() == before {
+				t.Error("enabled Setup must install a new global provider")
+			}
+
+			ctx, cancel := context.WithTimeout(context.Background(), 2*time.Second)
+			defer cancel()
+			if err := shutdown(ctx); err != nil {
+				t.Errorf("shutdown: %v", err)
+			}
+		})
+	}
+}

internal/tracing/transport.go

@@ -0,0 +1,51 @@
+package tracing
+
+import (
+	"net/http"
+
+	"go.opentelemetry.io/contrib/instrumentation/net/http/otelhttp"
+	"go.opentelemetry.io/otel/propagation"
+	"go.opentelemetry.io/otel/trace"
+	"k8s.io/client-go/transport"
+)
+
+// RestConfigWrapper returns a rest.Config.Wrap-compatible wrapper that adds
+// a client span to every Kubernetes API request already running inside a
+// trace. Requests with no parent span pass through untouched: informer
+// list/watch long-polls, leader-election renewals, and metrics authn would
+// otherwise each become meaningless (and in the watch case, minutes-long)
+// root spans. client-go applies Wrap innermost, so the span sees the final
+// authenticated request.
+func RestConfigWrapper(opts ...Option) transport.WrapperFunc {
+	o := newOptions(opts)
+	return func(rt http.RoundTripper) http.RoundTripper {
+		otelOpts := []otelhttp.Option{
+			// Explicit propagators: deterministic regardless of global
+			// state. The apiserver ignores incoming traceparent (by
+			// design), so injection is harmless there.
+			otelhttp.WithPropagators(propagation.NewCompositeTextMapPropagator(
+				propagation.TraceContext{}, propagation.Baggage{})),
+		}
+		if o.tp != nil {
+			otelOpts = append(otelOpts, otelhttp.WithTracerProvider(o.tp))
+		}
+		return &parentGatedTransport{
+			traced: otelhttp.NewTransport(rt, otelOpts...),
+			plain:  rt,
+		}
+	}
+}
+
+// parentGatedTransport enforces the parent-span requirement itself rather
+// than relying on otelhttp filter semantics for transports.
+type parentGatedTransport struct {
+	traced http.RoundTripper
+	plain  http.RoundTripper
+}
+
+func (t *parentGatedTransport) RoundTrip(r *http.Request) (*http.Response, error) {
+	if trace.SpanContextFromContext(r.Context()).IsValid() {
+		return t.traced.RoundTrip(r)
+	}
+	return t.plain.RoundTrip(r)
+}

internal/tracing/transport_test.go

@@ -0,0 +1,73 @@
+package tracing
+
+import (
+	"context"
+	"io"
+	"net/http"
+	"net/http/httptest"
+	"testing"
+
+	sdktrace "go.opentelemetry.io/otel/sdk/trace"
+	"go.opentelemetry.io/otel/sdk/trace/tracetest"
+	"go.opentelemetry.io/otel/trace"
+)
+
+func TestRestConfigWrapper_parentGated(t *testing.T) {
+	t.Parallel()
+
+	var gotTraceparent string
+	srv := httptest.NewServer(http.HandlerFunc(func(w http.ResponseWriter, r *http.Request) {
+		gotTraceparent = r.Header.Get("traceparent")
+		w.WriteHeader(http.StatusOK)
+	}))
+	t.Cleanup(srv.Close)
+
+	sr := tracetest.NewSpanRecorder()
+	tp := sdktrace.NewTracerProvider(sdktrace.WithSpanProcessor(sr))
+	t.Cleanup(func() { _ = tp.Shutdown(context.Background()) })
+
+	rt := RestConfigWrapper(WithTracerProvider(tp))(http.DefaultTransport)
+	do := func(ctx context.Context) {
+		t.Helper()
+		req, err := http.NewRequestWithContext(ctx, http.MethodGet, srv.URL, nil)
+		if err != nil {
+			t.Fatal(err)
+		}
+		resp, err := rt.RoundTrip(req)
+		if err != nil {
+			t.Fatal(err)
+		}
+		_, _ = io.Copy(io.Discard, resp.Body)
+		_ = resp.Body.Close()
+	}
+
+	// No parent span: informer watches, leader election. Must not trace.
+	do(context.Background())
+	if len(sr.Ended()) != 0 {
+		t.Fatalf("request without parent span produced %d spans, want 0", len(sr.Ended()))
+	}
+	if gotTraceparent != "" {
+		t.Fatalf("request without parent span injected traceparent %q", gotTraceparent)
+	}
+
+	// Under a parent span: one client child span, traceparent injected.
+	ctx, parent := tp.Tracer("test").Start(context.Background(), "reconcile")
+	do(ctx)
+	parent.End()
+
+	var client sdktrace.ReadOnlySpan
+	for _, s := range sr.Ended() {
+		if s.SpanKind() == trace.SpanKindClient {
+			client = s
+		}
+	}
+	if client == nil {
+		t.Fatalf("no client span recorded, got %d spans", len(sr.Ended()))
+	}
+	if got := client.Parent().SpanID(); got != parent.SpanContext().SpanID() {
+		t.Errorf("client span parent = %s, want %s", got, parent.SpanContext().SpanID())
+	}
+	if gotTraceparent == "" {
+		t.Error("traceparent header not injected under a parent span")
+	}
+}

internal/version/version.go

@@ -0,0 +1,47 @@
+// Package version reports which commit the binary was built from. Docker
+// builds stamp it via -ldflags (the build context has no .git, so Go's
+// automatic VCS stamp is absent there); host builds fall back to that
+// automatic stamp.
+package version
+
+import "runtime/debug"
+
+// Commit is set at link time via
+// -ldflags "-X <module>/internal/version.Commit=<hash>".
+var Commit string
+
+// Resolve returns the commit the binary was built from, or "unknown" when
+// neither the ldflags stamp nor build info is available (e.g. go test).
+func Resolve() string {
+	return resolve(Commit, debug.ReadBuildInfo)
+}
+
+func resolve(ldflagsCommit string, readBuildInfo func() (*debug.BuildInfo, bool)) string {
+	if ldflagsCommit != "" {
+		return ldflagsCommit
+	}
+	bi, ok := readBuildInfo()
+	if !ok {
+		return "unknown"
+	}
+	var revision string
+	var modified bool
+	for _, s := range bi.Settings {
+		switch s.Key {
+		case "vcs.revision":
+			revision = s.Value
+		case "vcs.modified":
+			modified = s.Value == "true"
+		}
+	}
+	if revision == "" {
+		return "unknown"
+	}
+	if len(revision) > 12 {
+		revision = revision[:12]
+	}
+	if modified {
+		revision += "-dirty"
+	}
+	return revision
+}

internal/version/version_test.go

@@ -0,0 +1,74 @@
+package version
+
+import (
+	"runtime/debug"
+	"testing"
+)
+
+func buildInfoWith(settings ...debug.BuildSetting) func() (*debug.BuildInfo, bool) {
+	return func() (*debug.BuildInfo, bool) {
+		return &debug.BuildInfo{Settings: settings}, true
+	}
+}
+
+func TestResolve_precedenceAndFallback(t *testing.T) {
+	t.Parallel()
+
+	noBuildInfo := func() (*debug.BuildInfo, bool) { return nil, false }
+
+	tests := []struct {
+		name          string
+		ldflagsCommit string
+		readBuildInfo func() (*debug.BuildInfo, bool)
+		want          string
+	}{
+		{
+			name:          "ldflags stamp wins over build info",
+			ldflagsCommit: "abc123def456-dirty",
+			readBuildInfo: buildInfoWith(debug.BuildSetting{Key: "vcs.revision", Value: "ffffffffffffffffffffffffffffffffffffffff"}),
+			want:          "abc123def456-dirty",
+		},
+		{
+			name:          "no stamp, no build info",
+			readBuildInfo: noBuildInfo,
+			want:          "unknown",
+		},
+		{
+			name:          "build info without vcs settings",
+			readBuildInfo: buildInfoWith(),
+			want:          "unknown",
+		},
+		{
+			name: "full revision truncated to 12 chars",
+			readBuildInfo: buildInfoWith(
+				debug.BuildSetting{Key: "vcs.revision", Value: "0123456789abcdef0123456789abcdef01234567"},
+				debug.BuildSetting{Key: "vcs.modified", Value: "false"},
+			),
+			want: "0123456789ab",
+		},
+		{
+			name: "modified tree gets dirty suffix",
+			readBuildInfo: buildInfoWith(
+				debug.BuildSetting{Key: "vcs.revision", Value: "0123456789abcdef0123456789abcdef01234567"},
+				debug.BuildSetting{Key: "vcs.modified", Value: "true"},
+			),
+			want: "0123456789ab-dirty",
+		},
+		{
+			name: "short revision kept as-is",
+			readBuildInfo: buildInfoWith(
+				debug.BuildSetting{Key: "vcs.revision", Value: "abc123"},
+			),
+			want: "abc123",
+		},
+	}
+
+	for _, tc := range tests {
+		t.Run(tc.name, func(t *testing.T) {
+			t.Parallel()
+			if got := resolve(tc.ldflagsCommit, tc.readBuildInfo); got != tc.want {
+				t.Errorf("resolve() = %q, want %q", got, tc.want)
+			}
+		})
+	}
+}

test/e2e/tracing_test.go

@@ -0,0 +1,424 @@
+//go:build e2e
+// +build e2e
+
+/*
+Copyright 2026.
+
+Licensed under the Apache License, Version 2.0 (the "License");
+you may not use this file except in compliance with the License.
+You may obtain a copy of the License at
+
+    http://www.apache.org/licenses/LICENSE-2.0
+
+Unless required by applicable law or agreed to in writing, software
+distributed under the License is distributed on an "AS IS" BASIS,
+WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+See the License for the specific language governing permissions and
+limitations under the License.
+*/
+
+package e2e
+
+import (
+	"context"
+	"encoding/json"
+	"fmt"
+	"io"
+	"net/http"
+	"net/url"
+	"os"
+	"os/exec"
+	"path/filepath"
+	"strconv"
+	"strings"
+	"time"
+
+	. "github.com/onsi/ginkgo/v2"
+	. "github.com/onsi/gomega"
+
+	"gitea.home.hrajfrisbee.cz/kacerr/egress-proxies-operator/test/utils"
+)
+
+// The tracing e2e proves the full pipeline against a real Tempo: operator in
+// kind → OTLP export → Tempo ingest → traces queryable with the documented
+// span topology. It is gated on TEMPO_URL (Tempo query API, e.g.
+// http://192.168.0.30:3200) and OTLP_ENDPOINT (OTLP HTTP ingest, e.g.
+// http://192.168.0.30:4318) and skips when either is unset, so the rest of
+// the suite runs anywhere.
+//
+// Every span of a run carries the resource attribute test.run.id=<runID>
+// (injected via OTEL_RESOURCE_ATTRIBUTES — no code changes), so one TraceQL
+// query finds exactly this run's traces, in the test and in Grafana alike.
+var _ = Describe("OTel tracing", Ordered, func() {
+	// Proxy CRs live in default, not the operator namespace: the squid pods
+	// the kubernetes provider creates carry no securityContext and would be
+	// rejected by the operator namespace's restricted PSS label.
+	const proxyNS = "default"
+	const deploymentName = "egress-proxies-operator-controller-manager"
+	const squidImage = "ubuntu/squid:6.6-24.04_edge"
+
+	proxyNames := []string{"proxy-tracing-e2e-1", "proxy-tracing-e2e-2"}
+
+	var (
+		tempoURL     string
+		otlpEndpoint string
+		runID        string
+		suiteStart   time.Time
+	)
+
+	BeforeAll(func() {
+		tempoURL = os.Getenv("TEMPO_URL")
+		otlpEndpoint = os.Getenv("OTLP_ENDPOINT")
+		if tempoURL == "" || otlpEndpoint == "" {
+			Skip("TEMPO_URL / OTLP_ENDPOINT not set — skipping the Tempo-backed tracing e2e")
+		}
+		suiteStart = time.Now()
+		runID = "e2e-" + strconv.FormatInt(suiteStart.UnixNano(), 10)
+		_, _ = fmt.Fprintf(GinkgoWriter,
+			"tracing e2e run id: %s — find this run in Grafana with TraceQL {resource.test.run.id=%q}\n",
+			runID, runID)
+
+		By("creating manager namespace")
+		cmd := exec.Command("kubectl", "create", "ns", namespace)
+		_, err := utils.Run(cmd)
+		Expect(err).NotTo(HaveOccurred(), "Failed to create namespace")
+
+		By("labeling the namespace to enforce the restricted security policy")
+		cmd = exec.Command("kubectl", "label", "--overwrite", "ns", namespace,
+			"pod-security.kubernetes.io/enforce=restricted")
+		_, err = utils.Run(cmd)
+		Expect(err).NotTo(HaveOccurred(), "Failed to label namespace with restricted policy")
+
+		By("installing CRDs")
+		cmd = exec.Command("make", "install")
+		_, err = utils.Run(cmd)
+		Expect(err).NotTo(HaveOccurred(), "Failed to install CRDs")
+
+		By("deploying the controller-manager")
+		cmd = exec.Command("make", "deploy", fmt.Sprintf("IMG=%s", managerImage))
+		_, err = utils.Run(cmd)
+		Expect(err).NotTo(HaveOccurred(), "Failed to deploy the controller-manager")
+
+		By("pre-pulling the squid image into kind (best effort, kills the biggest flake source)")
+		if _, err := utils.Run(exec.Command("docker", "pull", squidImage)); err == nil {
+			if err := utils.LoadImageToKindClusterWithName(squidImage); err != nil {
+				_, _ = fmt.Fprintf(GinkgoWriter, "kind load of %s failed (continuing): %v\n", squidImage, err)
+			}
+		} else {
+			_, _ = fmt.Fprintf(GinkgoWriter, "docker pull %s failed (continuing): %v\n", squidImage, err)
+		}
+
+		By("preflighting the OTLP endpoint from inside the cluster")
+		// Host-reachability of the OTLP endpoint does not prove
+		// pod-reachability from inside kind, and the operator logs export
+		// failures only at V(1) — without this, a broken path is a slow,
+		// opaque search timeout instead of a clear failure.
+		preflightOTLP(otlpEndpoint)
+
+		By("pointing the operator at the OTLP endpoint and tagging the test run")
+		// OTEL_RESOURCE_ATTRIBUTES is replaced in place, which keeps it
+		// listed after the downward-API POD_NAME/POD_NAMESPACE vars —
+		// $(VAR) expansion only sees earlier-listed vars. exec.Command
+		// passes $(...) through without shell mangling.
+		cmd = exec.Command("kubectl", "set", "env",
+			"deployment/"+deploymentName, "-n", namespace,
+			"OTEL_EXPORTER_OTLP_ENDPOINT="+otlpEndpoint,
+			fmt.Sprintf(
+				"OTEL_RESOURCE_ATTRIBUTES=k8s.pod.name=$(POD_NAME),k8s.namespace.name=$(POD_NAMESPACE),test.run.id=%s",
+				runID))
+		_, err = utils.Run(cmd)
+		Expect(err).NotTo(HaveOccurred(), "Failed to set OTel env on the deployment")
+
+		cmd = exec.Command("kubectl", "rollout", "status",
+			"deployment/"+deploymentName, "-n", namespace, "--timeout=3m")
+		_, err = utils.Run(cmd)
+		Expect(err).NotTo(HaveOccurred(), "Rollout after set env did not finish")
+
+		By("verifying the operator reports tracing enabled")
+		Eventually(func(g Gomega) {
+			pod := newestControllerPod(g)
+			out, err := utils.Run(exec.Command("kubectl", "logs", pod, "-n", namespace))
+			g.Expect(err).NotTo(HaveOccurred())
+			g.Expect(out).To(ContainSubstring("tracing enabled"),
+				"operator did not log 'tracing enabled' after rollout")
+		}, 2*time.Minute).Should(Succeed())
+	})
+
+	AfterAll(func() {
+		if tempoURL == "" || otlpEndpoint == "" {
+			return // spec was skipped; nothing was deployed
+		}
+		By("cleaning up test proxies")
+		args := append([]string{"delete", "proxy", "-n", proxyNS, "--ignore-not-found"}, proxyNames...)
+		_, _ = utils.Run(exec.Command("kubectl", args...))
+
+		By("cleaning up the OTLP preflight pod")
+		_, _ = utils.Run(exec.Command("kubectl", "delete", "pod", otlpProbePodName, "-n", namespace,
+			"--ignore-not-found"))
+
+		By("undeploying the controller-manager")
+		_, _ = utils.Run(exec.Command("make", "undeploy"))
+
+		By("uninstalling CRDs")
+		_, _ = utils.Run(exec.Command("make", "uninstall"))
+
+		By("removing manager namespace")
+		_, _ = utils.Run(exec.Command("kubectl", "delete", "ns", namespace))
+	})
+
+	It("creates proxies and reports reconcile traces to Tempo", func() {
+		By("applying two kubernetes-provider proxies")
+		// Absolute paths on purpose: utils.Run chdirs the whole process.
+		dir := GinkgoT().TempDir()
+		for _, name := range proxyNames {
+			manifest := fmt.Sprintf(`apiVersion: crawl.example.com/v1alpha1
+kind: Proxy
+metadata:
+  name: %s
+  namespace: %s
+spec:
+  mode: Managed
+  provider: kubernetes
+  attributes:
+    purpose: tracing-e2e
+`, name, proxyNS)
+			path := filepath.Join(dir, name+".yaml")
+			Expect(os.WriteFile(path, []byte(manifest), 0o644)).To(Succeed())
+			_, err := utils.Run(exec.Command("kubectl", "apply", "-f", path))
+			Expect(err).NotTo(HaveOccurred(), "Failed to apply %s", name)
+		}
+
+		By("waiting for the proxies to become Ready")
+		Eventually(func(g Gomega) {
+			for _, name := range proxyNames {
+				out, err := utils.Run(exec.Command("kubectl", "get", "proxy", name,
+					"-n", proxyNS, "-o", "jsonpath={.status.phase}"))
+				g.Expect(err).NotTo(HaveOccurred())
+				g.Expect(out).To(Equal("Ready"), "proxy %s not Ready", name)
+			}
+		}, 5*time.Minute).Should(Succeed())
+
+		By("finding a provider.create trace for this run in Tempo")
+		// Anchored on provider.create, not the root span name: a
+		// "Reconcile Proxy" hit could be the finalizer-add or a drift
+		// reconcile, which contain no provider call.
+		traceID := eventuallyFindTrace(tempoURL, runID, "provider.create", suiteStart)
+
+		By("asserting the reconcile trace structure")
+		spanNames, resAttrs, err := tempoTrace(tempoURL, traceID)
+		Expect(err).NotTo(HaveOccurred())
+		Expect(spanNames).To(ContainElements(
+			"Reconcile Proxy", "reconcile.managed", "provider.create", "status.patch"),
+			"trace %s is missing expected spans; got: %v", traceID, spanNames)
+		Expect(resAttrs["service.name"]).To(Equal("egress-proxies-operator"))
+		Expect(resAttrs["test.run.id"]).To(Equal(runID))
+	})
+
+	It("traces proxy deletion", func() {
+		By("deleting the proxies")
+		args := append([]string{"delete", "proxy", "-n", proxyNS, "--wait=false"}, proxyNames...)
+		_, err := utils.Run(exec.Command("kubectl", args...))
+		Expect(err).NotTo(HaveOccurred(), "Failed to delete proxies")
+
+		By("waiting for the proxies to be gone (finalizer ran provider.delete)")
+		Eventually(func(g Gomega) {
+			out, err := utils.Run(exec.Command("kubectl", "get", "proxy", "-n", proxyNS, "-o", "name"))
+			g.Expect(err).NotTo(HaveOccurred())
+			g.Expect(out).NotTo(ContainSubstring("proxy-tracing-e2e"))
+		}, 3*time.Minute).Should(Succeed())
+
+		By("finding a provider.delete trace for this run in Tempo")
+		traceID := eventuallyFindTrace(tempoURL, runID, "provider.delete", suiteStart)
+
+		By("asserting the deletion trace structure")
+		spanNames, _, err := tempoTrace(tempoURL, traceID)
+		Expect(err).NotTo(HaveOccurred())
+		Expect(spanNames).To(ContainElements("Reconcile Proxy", "reconcile.delete", "provider.delete"),
+			"trace %s is missing expected spans; got: %v", traceID, spanNames)
+	})
+})
+
+// preflightOTLP runs a one-shot curl pod inside the cluster POSTing to the
+// OTLP HTTP ingest, and fails with a clear message when it is unreachable.
+// The pod runs in the restricted-PSS operator namespace, hence the full
+// securityContext (same shape as the curl-metrics pod).
+func preflightOTLP(otlpEndpoint string) {
+	script := fmt.Sprintf(
+		"for i in $(seq 1 10); do "+
+			"code=$(curl -sS -o /dev/null -w '%%{http_code}' -X POST "+
+			"-H 'Content-Type: application/json' -d '{}' %s/v1/traces); "+
+			"echo \"attempt $i: HTTP $code\"; "+
+			"[ \"$code\" = \"200\" ] && echo OTLP_OK && exit 0; sleep 2; "+
+			"done; echo OTLP_UNREACHABLE; exit 1",
+		otlpEndpoint)
+	cmd := exec.Command("kubectl", "run", otlpProbePodName, "--restart=Never",
+		"--namespace", namespace,
+		"--image=curlimages/curl:latest",
+		"--overrides",
+		fmt.Sprintf(`{
+			"spec": {
+				"containers": [{
+					"name": "curl",
+					"image": "curlimages/curl:latest",
+					"command": ["/bin/sh", "-c"],
+					"args": [%q],
+					"securityContext": {
+						"readOnlyRootFilesystem": true,
+						"allowPrivilegeEscalation": false,
+						"capabilities": {
+							"drop": ["ALL"]
+						},
+						"runAsNonRoot": true,
+						"runAsUser": 1000,
+						"seccompProfile": {
+							"type": "RuntimeDefault"
+						}
+					}
+				}]
+			}
+		}`, script))
+	_, err := utils.Run(cmd)
+	Expect(err).NotTo(HaveOccurred(), "Failed to create the OTLP preflight pod")
+
+	Eventually(func(g Gomega) {
+		out, err := utils.Run(exec.Command("kubectl", "get", "pod", otlpProbePodName,
+			"-n", namespace, "-o", "jsonpath={.status.phase}"))
+		g.Expect(err).NotTo(HaveOccurred())
+		g.Expect(out).To(BeElementOf("Succeeded", "Failed"), "preflight pod still running")
+	}, 2*time.Minute).Should(Succeed())
+
+	logs, _ := utils.Run(exec.Command("kubectl", "logs", otlpProbePodName, "-n", namespace))
+	Expect(logs).To(ContainSubstring("OTLP_OK"),
+		"OTLP endpoint %s is not reachable from inside the kind cluster; curl output:\n%s",
+		otlpEndpoint, logs)
+}
+
+// otlpProbePodName mirrors the Describe-local constant for the helpers below.
+const otlpProbePodName = "curl-otlp"
+
+// newestControllerPod returns the most recently created controller pod —
+// right after a rollout, an unsorted lookup may pick the terminating one.
+func newestControllerPod(g Gomega) string {
+	out, err := utils.Run(exec.Command("kubectl", "get", "pods",
+		"-l", "control-plane=controller-manager", "-n", namespace,
+		"--sort-by=.metadata.creationTimestamp", "-o", "name"))
+	g.Expect(err).NotTo(HaveOccurred())
+	lines := utils.GetNonEmptyLines(out)
+	g.Expect(lines).NotTo(BeEmpty(), "no controller pods found")
+	return strings.TrimPrefix(lines[len(lines)-1], "pod/")
+}
+
+// eventuallyFindTrace polls Tempo until a trace containing a span with the
+// given name exists for this run, and returns its trace ID. The batch span
+// processor flushes every ~5s, so a couple of polls is normal.
+func eventuallyFindTrace(tempoURL, runID, spanName string, since time.Time) string {
+	var traceID string
+	query := fmt.Sprintf(`{resource.test.run.id=%q && name=%q}`, runID, spanName)
+	Eventually(func(g Gomega) {
+		ids, err := tempoSearch(tempoURL, query, since)
+		g.Expect(err).NotTo(HaveOccurred())
+		g.Expect(ids).NotTo(BeEmpty(), "no trace for %s yet (query: %s)", spanName, query)
+		traceID = ids[0]
+	}, 2*time.Minute).Should(Succeed())
+	return traceID
+}
+
+// tempoSearch runs a TraceQL query against Tempo's search API and returns
+// the matching trace IDs. start/end are Unix seconds.
+func tempoSearch(tempoURL, traceql string, since time.Time) ([]string, error) {
+	u, err := url.Parse(tempoURL + "/api/search")
+	if err != nil {
+		return nil, err
+	}
+	q := u.Query()
+	q.Set("q", traceql)
+	q.Set("start", strconv.FormatInt(since.Add(-5*time.Minute).Unix(), 10))
+	q.Set("end", strconv.FormatInt(time.Now().Add(time.Minute).Unix(), 10))
+	q.Set("limit", "20")
+	u.RawQuery = q.Encode()
+
+	body, err := tempoGet(u.String())
+	if err != nil {
+		return nil, err
+	}
+	var result struct {
+		Traces []struct {
+			TraceID string `json:"traceID"`
+		} `json:"traces"`
+	}
+	if err := json.Unmarshal(body, &result); err != nil {
+		return nil, fmt.Errorf("decoding Tempo search response: %w", err)
+	}
+	ids := make([]string, 0, len(result.Traces))
+	for _, t := range result.Traces {
+		ids = append(ids, t.TraceID)
+	}
+	return ids, nil
+}
+
+// tempoTrace fetches one trace and flattens it to a span-name list plus the
+// resource attributes. Tempo returns OTLP-JSON (batches → scopeSpans →
+// spans), not Jaeger's shape.
+func tempoTrace(tempoURL, traceID string) ([]string, map[string]string, error) {
+	body, err := tempoGet(tempoURL + "/api/traces/" + traceID)
+	if err != nil {
+		return nil, nil, err
+	}
+	var trace struct {
+		Batches []struct {
+			Resource struct {
+				Attributes []struct {
+					Key   string `json:"key"`
+					Value struct {
+						StringValue string `json:"stringValue"`
+					} `json:"value"`
+				} `json:"attributes"`
+			} `json:"resource"`
+			ScopeSpans []struct {
+				Spans []struct {
+					Name string `json:"name"`
+				} `json:"spans"`
+			} `json:"scopeSpans"`
+		} `json:"batches"`
+	}
+	if err := json.Unmarshal(body, &trace); err != nil {
+		return nil, nil, fmt.Errorf("decoding Tempo trace %s: %w", traceID, err)
+	}
+	var spanNames []string
+	resAttrs := map[string]string{}
+	for _, b := range trace.Batches {
+		for _, a := range b.Resource.Attributes {
+			if a.Value.StringValue != "" {
+				resAttrs[a.Key] = a.Value.StringValue
+			}
+		}
+		for _, ss := range b.ScopeSpans {
+			for _, s := range ss.Spans {
+				spanNames = append(spanNames, s.Name)
+			}
+		}
+	}
+	return spanNames, resAttrs, nil
+}
+
+func tempoGet(rawURL string) ([]byte, error) {
+	ctx, cancel := context.WithTimeout(context.Background(), 15*time.Second)
+	defer cancel()
+	req, err := http.NewRequestWithContext(ctx, http.MethodGet, rawURL, nil)
+	if err != nil {
+		return nil, err
+	}
+	resp, err := http.DefaultClient.Do(req)
+	if err != nil {
+		return nil, fmt.Errorf("querying Tempo: %w", err)
+	}
+	defer func() { _ = resp.Body.Close() }()
+	body, err := io.ReadAll(resp.Body)
+	if err != nil {
+		return nil, err
+	}
+	if resp.StatusCode != http.StatusOK {
+		return nil, fmt.Errorf("tempo returned %d for %s: %s", resp.StatusCode, rawURL, string(body))
+	}
+	return body, nil
+}